It is clearly inconsistent with Catholic teaching on social justice for Catholics to abett this sort of exploitation. The right to organize, the right to a family living wage, the right to privacy regarding contraceptive choices, and other rights typically violated in sweathops are all rights that Catholic social teaching recognizes and calls us to respect. Notre Dame licenses a number of companies to produce apparel that bears or will bear the Notre Dame name. If we are contracting with companies that exploit workers in sweatshops, and we are benefiting from that exploitation through increased profits in our licensing operations, then we are morally culpable. It is this University's duty as a Catholic institution to investigate the conditions under which the companies we license produce Notre Dame apparel, and to refuse to do business with companies that utilize sweatshops.
Corrupt governments are in league with big business to exploit worker citizens.
There is little we can do about that politically. It's a matter of the internal affairs of those countries. We can and should refuse to do business in areas where this sort of exploitation occurs though.