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Bloomberg
Nike Inc., which was cited in the so-called Paradise Papers for funneling billions of dollars into offshore tax havens, is now facing a push by organised labour to stop the practice.
The AFL-CIO, a federation of 56 unions that represent 12.5 million workers, said it sent a shareholder proposal to the company.
The document asks the world’s largest sports brand to pay its fair share of taxes—money that could help finance schools, infrastructure and hospitals.
“The use of offshore tax-avoidance strategies poses substantial financial and reputational risks for Nike,†the AFL-CIO, which was planning to hold a press call to discuss its campaign, said in a statement.
The move comes after Nike’s appearance earlier this month in the Paradise Papers, a trove of 6.8 million leaked internal files from an international tax law firm.
The documents have been analysed by more than 90 media outlets and the International Consortium of Investigative Journalists. A report from this group highlighted Nike’s use of a subsidiary that allowed it to shift billions in profits from Europe to a tax haven in Bermuda.
Nike, based in Beaverton, Oregon, didn’t immediately respond to a request for comment.