UW-Madison officials may soon be faced with a decision about what to do with its exclusive uniform provider, Adidas, as new information continues to emerge about alleged workers' rights abuses at an Indonesian factory.
A watchdog group said Adidas is "misleading" universities concerning its relationship with the factory, PT Kizone.
The factory owner fled in January 2011 after reportedly failing to pay 2,800 workers an estimated $3.2 million in severance. Adidas claims it doesn't need to make severance payments because it cut ties with the factory before the violations occurred.
But the Worker Rights Consortium disputes that claim in an update issued Thursday. The report found that Adidas was still listing the factory as a supplier in January 2011.
The Worker Rights Consortium is a group that monitors labor rights, funded by dues from 181 colleges and universities, including UW-Madison.
An internal campus committee has called for interim UW-Madison Chancellor David Ward to put Adidas "on notice," giving the company 90 days to make payment before terminating its contract. But Ward is waiting for a full report from the consortium before deciding what to do, said UW-Madison spokesman Vince Sweeney.
UW-Madison's contract with Adidas to provide uniforms and athletic equipment is worth about $2.5 million annually and runs through 2016.