In a monumental victory, Adidas has agreed to compensate 2,800 Indonesian garment workers who were owed US $1.8 million in severance pay following the closure of sportswear factory PT Kizone. Workers, with the support of international campaigners, have forced German sportswear giant Adidas to agree a settlement and pay the money owed to them since April 2011, when the factory closed down and was declared bankrupt. Thank you to everyone who campaigned  to make this happen.

One month after our petition with nearly 50,000 signatures was handed over to adidas by US and European activists, the sports brand issued a statement saying how they intend to respond to the outstanding US$1.8million in severance payments owed to former Kizone workers in Indonesia.

Worker rights activists in the US, UK and Germany have delivered a petition signed by 50,000 international supporters demanding that adidas pay US$1.8 million in severance owed to 2,800 workers from its former Indonesia supplier, PT Kizone. Activists delivered the petition to adidas’ US headquarters as well as flagship retail stores in the UK and Germany.

An offer by adidas to donate food vouchers to Indonesian workers owed millions of euros has been described as "downright insulting" by union representatives and labour right campaigners. The workers, previously employed at ex-addidas supplier PT Kizone, have been fighting for over a year to get adidas to pay the 1.5 million euros still owed to them in unpaid severance.

Adidas' offer: a food voucher worth just 35 pounds.

Just days after demonstrations took place in Indonesia, Europe and the US demanding adidas pay $1.8 million to former PT Kizone workers, adidas asked to meet with the district level union, which represents the majority of PT Kizone workers, and the factory-level union. This is the first time it has agreed to meet with the union body that the majority of workers have chosen to represent them.

On 11th June, to coincide with the Euro 2012 football tournament, which is sponsored by adidas, dozens of PT Kizone workers and their supporters held a march in Jakarta calling on adidas to pay the $1.8 million dollars owned to them in severance pay.

June 8, 2012: This morning 30 activists from Labour Behind the Label, People and Planet, UK Feminista and War on Want protested outside adidas' Oxford Street sotre to demand they pay $1.8 million in outstanding severance pay to 2,800 Indonesia workers left unemployed following the closure of their factory in April last year. The action was part of an international day of action in support of PT Kizone workers, which marked the beginning of Euro2012, of which adidas is the main sponsor.