Chinese footwear contractor for Nike, Adidas makes offer to end strike

Chinese footwear contractor for Nike, Adidas makes offer to end strike

Yue Yuen Industrial Holdings Ltd. offered to raise worker salaries and increase benefits.

Workers have disrupted production in Yue Yuen’s Dongguan factory complex, which employs more than 40,000 people, since April 14 in a dispute over pay, benefits and the right to pick their own union. They were seen coming to the plant, clocking in and then leaving yesterday. Some employees, who asked not to be identified because they or their family members could lose their jobs, said in interviews that they were still on strike.

The Hong Kong-listed company, a supplier to companies including Adidas AG and Nike Inc. is willing to raise wages in its factories in southern China by 230 yuan ($d37) month starting May 1, spokesman George Liu said in a phone interview yesterday. It also agreed to bring forward to next month a social-security benefit plan originally scheduled for 2015, Liu said.

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