On 14 March 2026, Pan-Phil Sportswear Inc. a sports apparel company tin Mactan Export Processing Zone (MEPZ), allegedly ceased its operation without any prior notice to their workers. Pan-Phil Sportswear Inc. is allegedly a subcontractor of Sports City International and manufactures sports apparel for the international brand, Nike.

The company management reportedly informed workers that they might be transferred to another company but workers expressed that such transfer has not been presented in any written agreement.

Visayas Human Development Agency, Inc. (VIHDA), a Cebu-based organisation, alleged that some employees were advised not to discuss their situation publicly and were warned that doing so might affect their chances of being accepted by the other factory

The Business & Human Rights Centre invited Pan-Phil Sportswear Inc., Nike and Sports City International Philippines to respond. Pan-Phil Sportswear Inc. could not be reached. Sports City International Philippines did not respond. Nike responded. The response is linked below.