Sweatshops, those dirty little secrets of a free-market economy, have been gaining a great deal of media attention lately. Well-known names such as The Gap, Nike, the Walt Disney Company, and Kathie Lee Gifford have been linked to harsh garment production practices including child labor and wages below the minimum standard. More than an estimated 78 million children under the age of 15 work, but the facts surrounding their working conditions are confusing at best.
An income of $2.28 a day, the base pay of Nike factory workers in Indonesia, sounds like sub-standard compensation. But a recent Washington Post article reveals that not only is Nike in compliance with the minimum wage standard in Indonesia, but its workers receive more than double the daily income of about half the working population. Half of all adults in Indonesia are farmers, who receive less than $1 a day. The factory workers consider themselves fortunate to be earning minimum wage.