Penn State Cuts Off Adidas Over Sweatshop Complaint

Penn State President Rodney Erickson has decided to suspend the school’s relationship with Adidas, to reprimand the apparel company for not paying Indonesian workers after the closing of a factory in 2011. A nationwide anti-sweatshop student group claims the workers are owed $1.8 million.

The suspension will allot Adidas 60 days to compensate those who worked at the factory. Adidas is forbidden to produce any items carrying the Penn State logo, and if the suspension expires before workers are compensated, Penn State will terminate its license with Adidas.

For what it’s worth, Nike doesn’t seem to be on much better terms with the school either these days. [Daily Collegian]