ewsletter no. 19 uly 2005 08 What to Do about the Informal Economy? 12 Complaint Mechanisms Kt» Explained i t i „ H P © 6 C C C o m m u n i t i e s P u s h Local Governments across Europe 20 Bangladeshi Workers B A l i v e i n fT #f& How to Contact the Cl ean Clothes T: +34-91-549-91-28 Campaigns & Projects in Europe F: +34-91-549-95-72 E: info@ropalimpia.org www.ropalimpia.org AUSTRIA T: +33-156-03-93-50 SWEDEN Clean Clothes Kampagne F: +33-147-70-96-35 Kampanjen Rena Kläder c/o Südwind Agentur E: info@ethique-sur-etiquette.org c/o LO-TCO Biståndsnämnd Laudongasse 40 www.ethique-sur-etiquette.org Upplandsgatan 3 A1080 Wien S-111 23 Stockholm Austria GERMANY Sweden T: +43-1-405-55-15 Kampagne für Saubere Kleidung T: +46-87-96-29-89 F: +43-1-405-55-19 c/o Vereinte Evangelische Mission F: +46-82-49-79-4 E: cck@oneworld.at Rudolfstr. 131 E: info@renaklader.org www.cleanclothes.at 42285 Wuppertal www.renaklader.org Germany BELGIUM T: +49-202-89-00-43-16 SWITZERLAND Schone Kleren Campagne F: +49-202-89-00-479 Clean Clothes Campaign c/o Wereldsolidariteit E: ccc-d@vemission.org c/o Erklärung von Bern Haachtsesteenweg 579 www.ci-romero.de Postfach 1031 Brussel 8031 Zürich Belgium ITALY Switzerland T: +32-22-46-36-81 Campagna Abiti Puliti T: +41-12-77-70-00 F: +32-22-46-38-85 c/o Centra Nuevo Modello di Sviluppo F: +41-12-77-70-01 E: campagne@schonekleren.be Via della Barra 32 E: campaign@evb.ch www.schonekleren.be 56019 Vecchiano (PI) www.cleanclothes.ch Italy Vêtements Propres T: +39-50-82-63-54 Clean Clothes Campaign 285 Rue Provinciale F: +39-50-82-71-65 c/o Déclaration de Berne 1301 Wavre E: coord@cnms.it Case Postale 212 Belgium www.abitipuliti.org 1000 Lausanne 9 T: +32-10-43-79-50 Switzerland F: +32-10-43-79-69 THE NETHERLANDS T: +41-21-620-03-03 E: info@vetementspropres.be Schone Kleren Kampagne F: +41-21-620-03-00 www.vetementspropres.be Postbus 11584 E: info@cleanclothes.ch 1001 GN Amsterdam www.cleanclothes.ch CENTRAL & EASTERN EUROPE the Netherlands (INCLUDING TURKEY) T: +31-20-412-27-85 UNITED KINGDOM Bettina Musiolek F: +31-20-412-27-86 Labour Behind the Label Protestant Academy Meissen E: info@schonekleren.nl 38 Exchange Street Freiheit 16 www.schonekleren.nl Norwich NR2 1AX 01662 Meissen United Kingdom Germany PORTUGAL T: +44-16-03-66-61-60 T: +49-35-21-47-06-16 Roupas Limpias F: +44-16-03-62-50-04 E: B.Musiolek@knuut.de c/o CIDAC E: info@labourbehindthelabel.org Rua Pinheiro Chagas, 77-2° Esq0 www.labourbehindthelabel.org Regina Barendt 1069-069 Lisboa Münchener Str. 2 Portugal 97292 Uettingen T: +351-21-317-28-60 Germany F: +351-21-317-28-70 T: +49-93-69-98-10-67 E: cidac@cidac.pt INTERNATIONAL SECRETARIAT E: oreginally@yahoo.de www.cidac.pt Clean Clothes Campaign Postbus 11584 FRANCE SPAIN 1001 GN Amsterdam Collectif 'De l'Ethique sur l'Etiquette' Campaña Ropa Limpia the Netherlands c/o Fédération Artisans du Monde c/o SETEM Madrid T: +31-20-412-27-85 53, Boulevard de Strasbourg c/ Gaztambide, 50 F: +31-20-412-27-86 75010 Paris Madrid 28015 E: info@cleanclothes.org France Spain www.cleanclothes.org 2 Clean Clothes Campaign Newsletter no. 19 July 2005 itorial As this edition of the newsletter was going to press many of the Many of the Clean Clothes Campaigns in Europe have tak rkers who survived the April collapse of the Spectrum factory up the case of the Spectrum workers and will continu angladesh and the families of those who died were still with- push for their demands to be met (for more on this ca money, food, and housing. They were left in the lurch by their please see page 20). This is an example of the CCC's urg ployers and by the companies whose garments they were appea ducing, many of which claim to respect good labour standards CCC re their garments are made. The magnitude of this tragedy regularly visit the urgent appeals section of the CCC web mmense - the horrifying way in which the Spectrum workers (http://www.cleanclothes.org/appeals.htm) for news on , the sheer number of dead and injured, and the impact of urgent cases - suggestions for action that can be taken are sequent joblessness on the workers and their families. Once always included and provide a clear way for people to dem fronted with the details of the collapse the failure of strate their support of garment workers' rights. ctrum's European clients to take timely and decisive action meet their supply workers' needs can only be considered a This edition of the newsletter features an article about co vesty of corporate social responsibility. Governmental indiffer- plaint mechanisms - systems set up to raise workers' g e to the fate of the workers and the need for sweeping vances with the companies and initiatives that are inten nges in the sector, particularly in relation to health and safe- to address problems in the sector. A commitment to be ssues, compounds the problems at hand. The reality of the developing complaint mechanisms, and then following u ectrum workers demonstrates again how much more needs a timely fashion the plans to solve the problems that e done to improve conditions in the global garment industry, reported, is one way that companies can take positive ac to improve the systems intended to facilitate that process. to make real their promises on respecting workers' right functioning complaint and remediation system can have potential to better address some of urgent cases and get tice for garment workers. This edition of the newsletter also includes reports on ot activities underway at the various CCCs, including the m initiatives to get communities to commit to being responsi consumers. With work moving forward on Clean Clot Communities, the CCC hopes that local governments will use their purchasing power to push for better working conditi where their garments (things like police and fire departm uniforms) are produced. Dozens of workers were killed at the Spectrum factory, Bangladesh, see story page 20. The Clean Clothes Campaign (CCC) aims to improve working rates with organisations all over the world, especially self-orga- conditions in the garment industry worldwide. The CCC is made nised groups of garment workers (including workers in factories alitions of consumer orga s, solidarity groups, worl shops, and other organisa- working papers). tions. The CCC informs consumers about the conditions in which their garments and sports shoes are produced, pressures brands and retailers to take responsibility for these conditions, and demands that companies accept and implement a good code of Editors: Celia Mather & Nina Ascoly labour standards that includes monitoring and independent veri- Design: Roel Dalhuisen, www.alaskaontwerpers.nl/roel fication of code compliance. The Clean Clothes Campaign coope- Printing: PrimaveraQuint, Amsterdam Clean Clothes Campaign Newsletter no. 19 July 2005 3 A thousand guidance manuals for activists have been sent out, along with 3,500 posters, 50,000 campaigning leaflets, 500 edu- cation/training panels and 48,000 stickers. The French campaign- News from ers are finding that the campaign is generating significant coverage in the local press and media. the CCCs “Jouez le Jeu!” campaign materials can be found at: www.ethique-sur-etiquette.org French CCC Pressures Retailers Since 2004, the French CCC coalition, Collectif de l'Ethique sur l'Etiquette, has been stepping up pressure on the big French sports retailers and supermarkets. Their targets include the big supermarket chain Carrefour, along with Auchan, Decathlon, Leclerc, Go Sport and Intersport. Last year, a “barometer” was published ranking 16 French companies according to their management of social quality in their supply chains. All were found seriously lacking com- pared with the big three international brands Nike, Reebok and adidas. Pressure continued through a booklet called “Entreprises et Qualité Sociale 2004” (“Companies and Social Quality 2004”) JOU EZ which delivered an in-depth analysis of social quality management by the retailers. Meanwhile 122 local CCC coa- litions, which involve consumer groups and trade unions, LE JEU organised over 330 events across the country and there was a demonstration in front of the Eiffel Tower in Paris in June. Some 110,000 postcards were sent to the main sports retail- ers. Huge press and TV coverage was won for the campaign. POUR LE RESPECT In the second phase, beginning in early 2005, the focus has DES DROITS DE L'HOMME narrowed on the six big retailers. In “Jouez le Jeu!” or “Play the Game!”, as the campaign is called, at least 43 local CCC AU TRAVAIL DAMS coalitions have asked for meetings with the managers of 144 supermarket/retailer branches across the country to discuss INDUSTRIE DU SPORT their social quality management. So far, 26 have agreed. Auchan and Go Sport are proving to be much more open than, for example, Decathlon. 4 Clean Clothes Campaign Newsletter no. 19 July 2005 Tchibo Campaign Continues in Germany Tchibo is a well-known German coffee retailer that has expanded into a wide range of goods including clothing through its own shops, other supermarkets and mail-order. It is now the 8th largest retailer in Germany and has opened shops in Austria, Switzerland, the Netherlands and the UK. It is privately owned by the Hertz family who, with an interesting policy of trying to look small while actually being big, have so far been resistant to accepting their social responsibilities. The German CCC (Kampagne für “Saubere” Kleidung) faced disappointment when talks in September 2004 with Tchibo had no satisfactory outcome, and a further meeting in January 2005 was cancelled by the company at short notice. However, Tchibo has recently appointed an officer for social affairs and asked the CCC to start talks again. At issue are labour rights violations in Tchibo's supplier factories in Bangladesh. A CCC-commissioned study found workers being fired for trying to join a union or just to organise themselves, below legal minimum wages, wages being paid up to three months late, no employment contracts, and other problems. German Consumer Affairs Minister Renate Künast (left) praised Hess Natur's decision to join the Fair Wear Foundation. CCC groups undertook street actions in October in Hamburg and pre-Christmas street theatre in Berlin. The study was summari- sed in a booklet “Tchibo - Jede Woche eine neue Welt? Nicht für Pilot Project with Hess Natur die Textilarbeiterinnen in Bangladesch!” (“Tchibo - Each week a new World? Not for the Garment Workers in Bangladesh!” - the A pilot project has been running since July 2003 between title being a play on a key Tchibo slogan). Public discussion Hess Natur, the biggest mail order company in Germany that panels were held. Though invited, Tchibo never showed up, but sells clothing made out of natural (including organic) fibres, importers working for them did. A flyer and postcard campaign and the German CCC. The aim of the project was to develop followed, and the Hamburg CCC group is holding a theatre work- and test a transparent verification system that is applicable shop in mid-June where they will develop more street actions also for smaller and medium-sized companies. It was tested and ideas for the campaign. Recently, the Austrian CCC has joined at Hess Natur suppliers in Germany, Poland and Latvia. in the campaign on Tchibo. On April 28, 2005, the results were presented at a press con- Meanwhile, the German CCC took up the case of one Bangladeshi ference together with the German Minister for Consumers. Tchibo supplier factory, Urmi Garments, where forty workers had The German CCC regards the outcomes as very positive. The been fired when management heard they belonged to a union. company has accepted all labour standards of the CCC Model Three women went to court to ask for the legal three months' Code, and has become the first one from Germany to join the redundancy pay and, though it took a year, they won. Fair Wear Foundation (FWF). A multi-stakeholder group has been formed in Germany to cooperate with the FWF. Members are the IG Metall trade union (that has merged with the former textile workers' union), the CCC Germany, and Hess Natur. Clean Clothes Campaign Newsletter no. 19 July 2005 5 News from the CCCs Wal-Mart the Worst, According to Public Eye Every year in January, the World Economic Forum (WEF) gathers Aisha Bahadur of the Civil Society Research and Support together business leaders, politicians and the world's media in Collective in South Africa presented the case against the compa- Davos, Switzerland, to set the trends for future development of ny, in a speech entitled “Wal-Mart: Menace to Social and Labour global business. And, every year, the international NGO coalition Standards Worldwide”. The company did not respond to an invi- “Public Eye on Davos” is present at the same time and place as tation to attend. However, international press and media did, and the WEF with an alternative event. there was significant coverage in the Swiss newspapers. The highlight of the 2005 “Public Eye” was an award ceremony Other garment companies nominated for the Public Eye Award for WEF corporate members and other companies who have were: North Sails, GST, and Boards and More (nominated by excelled in socially and environmentally irresponsible behaviour. CCC), Stallion Garments (nominated by the Maru Malarchi Awards were given in the categories of human rights, environ- Labour Front from India), and Tchibo (nominated by the German ment, labour rights, and taxes. Eventual winners included Dow CCC). Chemical Company, Royal Dutch/Shell Group, KPMG Internatio- nal and Nestlé. Public awareness work was also done by some of the CCC part- ners who sent out invitation cards to the awards ceremony and Winner in the labour law category was the giant US retailer Wal- distributed a Public Eye Awards poster that gave details of all the Mart, which had been nominated by the CCC for refusing to nominations the reverse side. assume any kind of responsibility for working conditions in its clothes supply factories outside the US. In Lesotho, Kenya and Thailand, Wal-Mart has ignored requests for an improvement in working conditions that include excessive compulsory overtime For more information on Public Eye on Davos and the 2005 award, and wages below the subsistence level. including the CCC case against Wal-Mart, see the Berne Declara- tion website at: http://www.evb.ch WAL-MART 6 Clean Clothes Campaign Newsletter no. 19 July 2005 requently steps to improve the working conditions in supply chains. This is all we have, for now, to point us in the right direction. sked More information on MSIs can be found at www.clean- clothes.org/faq/faq34.htm. The Dutch CCC is member of an uestions MSI called the Fair Wear Foundation (for more information see www.fairwear.nl). But the Fair Wear Foundation and similar MSIs have to be careful not to promise what they can- hy isn't not deliver. The labour situation in a workplace can change overnight: tomorrow there can be a fire, or a strike, or a wor- ker can get sexually harassed... and it will take time before ere a this problem is communicated, investigated, and solved. ean Clothes In the meantime, it is now widely accepted - by both compa-nies as well as campaign groups - that companies should not cut and run from suppliers with bad working conditions, but mpaign label? use their leverage to improve the situation. Once a company knows that a problem exists and therefore that the clothes are not “clean” its job is to stay and solve the problem. We can only put a label on a garment if we are 100% sure that the garment or shoe is made in good working condi- tions. Before we can start labelling, we first need to be sure that the company concerned has all the basic labour standards included in its code of conduct, that these standards are implemented in a way that benefits workers, and that there is a credible organisation, not controlled by the com- pany itself, which verifies if this is really happening. Only then can we “label” a company as producing “Clean Clothes”, and even then it will be complicated to put a label on a garment claiming this. First of all, it would have to be possible to trace an individual garment, say a shirt, to an individual factory. Up to now, this isn't possible globally. Secondly, violations can occur very suddenly - in any indi- vidual factory. So, it is not possible to be entirely sure that the particular shirt you want to buy is perfectly “clean”. The CCC believes it is more correct to state if a company is giving a guarantee that it is doing everything in its power to ensure that its suppliers are respecting its code of con- duct, if it has a programme to try to prevent violations from happening, and a process to react adequately if A CCC activist in Amsterdam discusses labour rights issues with something does, and if it is actively cooperating with trade consumers. unions and NGOs at the local and international level to achieve this. Companies that achieve this could be put on a list of those that are more progressive. At present, such a list does not yet exist. What we do have is a list of companies that are members of credible multi-stakeholder initiatives (MSIs), “credible” For more FAQs about the CCC, please visit: www.cleanclothes. in the sense that the CCC believes they are taking viable org/faq/index.htm Clean Clothes Campaign newsletter no. 19 July 2005 / The Global Garment Industry and the Informal Economy “Informal” work is nothing new in the garment industry. The informal economy however, does change its nature. What is more, latest research shows that, far from disappearing, it is actually growing. So what are the implications for campaigning for garment workers' rights? Workers employed informally do not have access to the hard- won formal protection of labour laws, and social security pro- visions where they exist. Some of them are not even legally recognised as a worker. This is why the term used for their situation is “informal”. The majority of informal garment wor- kers are women. In Sri Lanka, some garment workers are considered “self- employed”, even though their pay and hours are regulated by the factory. Garment workers in many countries have been shifted out of the permanent workforce and onto temporary contracts. More and more workers on the production line are being hired in through subcontractors rather than directly employed by the fac- tory owner. At the Nien Hsing factory in Lesotho, Southern Africa, more than half the workers were on “gate call”, daily hire- and-fire basis. In Central and Eastern Europe, it is estimated that 70% of facto- ry workers are informal, though by its very nature the informal economy is difficult to measure. In the UK, where most large fac- informal labour in the global garment industry”. As the title sug- tories have closed or moved overseas, there has been an increase gests, the aim was not just to describe what is happening but to in small units that use immigrant labour. Such workers have exchange ideas about what is being done, and could be done limited choice because of language or legal status, and are paid more/better, to help defend the rights of informal workers. Some low wages, and work long hours, seasonally. 45 people from 20 countries took part, from NGOs and trade unions in both garment producing and consuming countries. Virtually everywhere, at the end of garment production chains are homeworkers, who are probably paid the worst and suffer It is obviously much easier for trade unions to organise workers the most abuse. who are on permanent employment contracts with a clearly identified employer and in a large workplace. Millions of gar- Such bad employment practices are the route many garment ment workers are simply not in this situation. companies are choosing in order to stay competitive in the glo- bal market. This increase in “informalisation” of employment is Nevertheless, as Jane Tate of HomeWorkers Worldwide (HWW) linked to increasing decentralisation and a shift towards smaller told the seminar, there has been a notable growth in informal production units globally. There are also fears that more economy workers' organisations, from the foundation of the downward pressure on standards, and therefore more informali- Self-Employed Women's Association (SEWA) in India in the sation, will be caused by the phase-out of the Multi-Fibre 1970s onwards. In a number of countries, including Canada, Arrangement. Australia, and in Europe, there have been good broad-based campaigns involving unions. What's being done At an international level there are networks such as WIEGO On 23-25 September 2004, the CCC and IRENE (International (Women in the Informal Economy, Globalising and Organising), Restructuring Education Network Europe) held a seminar in Streetnet for street vendors and Homenet for homeworkers. Meissen, Germany, on the theme “Campaigning strategies on HWW is currently engaged in a mapping exercise involving many 8 Clean Clothes Campaign Newsletter no. 19 July 2005 informal workers' situations. Meanwhile, European Works Councils in particular companies could be more strongly moti- vated to take up issues of informal workers related to their pro- duction chains. At a national level, the seminar came up with a long list of pos- sible demands on governments. One area is to push harder to ensure that employment laws are widened in scope – to apply to small enterprises and to a wider definition of who is a “worker”, for example. Other suggestions included improving labour inspectorates and better research methods to quantify and make the informal economy more visible. However, as the seminar participants universally agreed, the key to seeing laws and conventions, whether national or interna- tional, implemented is organisation by the workers concerned. This would be assisted if governments were to recognise infor- mal economy worker organisations as social partners for collec- tive bargaining. Perhaps the biggest obstacle to informal workers organising, however, is not having any proof of employment, as Rohini Hensman of the Union Research Group in Mumbai, India, pointed out. Many workers cannot even prove that they are workers, let alone who they have been working for. It should be compulsory that there is some system of registration where the employment relationship is recorded, she said, recommending that this requirement should be included in codes of conduct and the glo- bal framework agreements of the Global Unions. The founding history of trade unionism in the industrialised countries and the more recent success of SEWA in India are, however, based on self-help and involve a wide range of activi- ties not necessarily associated with how many trade unions oper- ate today. “We need different types of organisations that are more flexible… cooperatives, workers' associations”, said Jini Park from the Committee for Asian Women based in Bangkok. countries, and this is being used as a means to support organ- The global trade union movement is well aware of the need to ising activities. Making the role of informal workers, especi- tackle the informalisation of employment. According to Sergejus ally homeworkers, not just legally recognised but simply Glovackas of the CEE Unit of the International Confederation of more visible is, the seminar decided, a very important effort. Free Trade Unions (ICFTU), “A political decision has been taken to focus on informal economy. Now it just remains to be seen The adoption of the ILO Convention 177 on Homework in 1996 how to implement this”. He spoke about their organising efforts was a significant step forward, bringing recognition that in his region, though this does not yet include garment workers. homeworkers too are workers with rights. However, the However, around the world there are some examples of garment Convention still needs more governments to ratify it, and this workers' trade unions taking initiatives to bring in informal econ- is one area of lobbying that supporters can undertake. The omy workers, such as the Southern African Clothing and Textile ILO is currently examining informal employment relation- Workers' Union (SACTWU). ships of many types and their relationship to “decent work”. It is also very important to influence the outcomes of these “We act according to the belief that knowledge and information discussions through union and government representatives must come from the workers themselves, and that home-based involved. workers must say their needs and priorities for themselves”, said Dilek Hattatoglu of the Working Group on Home-based Also at an international level, the European Union issues Workers in Turkey. In workshops they organised in 14 cities in directives which must be implemented in each member Turkey, home-based workers came up with the same top priori- state. Many of these, if properly implemented, could improve ty: social protection. At first they did not see themselves as work- Clean Clothes Campaign Newsletter no. 19 July 2005 9 To meet the needs of migrant workers, there is a great need to internationalise organising and even union membership. In the Baltics, gas station workers have been able to have their union membership recognised while working abroad - a kind of “union passport”. The British union centre TUC invited Solidarnosc, its counterpart in Poland, to send organisers to help organise Polish workers in the UK. The participants were keen to see the development of international union cards. Unions were urged to take up a stronger advocacy role on behalf of migrant workers with the public authorities. No European country, for example, has yet ratified the United Nations Convention on the Rights of Migrants, noted Rita Vandeloo of Wereldsolidariteit in Belgium. There is more to be done too to raise public awareness about the value of migrant workers to the economy, and to encourage social contact between “home coun- try” members and migrant workers to build mutual understand- ing and combat discrimination. Push for corporate responsibility How well are brands and retailers in the garment/sportswear industries responding to the idea that they are responsible for the working conditions of all workers in their supply chains, including informal workers? Ensuring that proof of employment relationship is included in all codes is a long-standing demand made by CCC to companies, but it could be highlighted more, acknowledged CCC's Esther de Haan. Woman sewing underwear in Novo Friburgo, Brazil. Company codes of conduct ought to cover entire supply chains Photo: Sharon Jones and make specific reference to problems faced by informal wor- kers, according to seminar participants. Getting companies to accept this is, however, another story. Camille Warren of Women Working Worldwide said her research had revealed “an unwill- ers but through the workshops they started to, and began to ingness among large retailers to know their supply chains”. organise themselves as workers. Better social protection be- Beyond the top tiers of suppliers (big manufacturers and fac- came their aim, and self-organisation the means to achieve it. tories), they do not want to know and some have expressed the Unfortunately, with one exception, the Turkish trade unions, belief that it is unreasonable to expect them to know, she said. though invited, did not take part. It is important, participants decided, to continue putting pres- For the ICFTU's CEE Unit, Glovackas is keen to promote better sure on brands and retailers to map their entire supply chains. relations between unions and NGOs. “Cooperation is important”, These companies need to understand the link between their own he said, adding that unions need it to survive in the face of the purchasing policies and the informalisation of workers who are growing informal economy. thereby pushed into even greater poverty. It is their responsibil- ity to ensure that the law is respected all the way down the Needs of informal, migrant workers chains, as far as and including homeworkers who are part of their production process. Suggestions included a campaign tar- The low level of awareness among informal workers about their geted in particular at cost-cutting retailers (sometimes referred legal rights and their low level of organisation are a reflection of to as “price-breakers”), and more pressure on companies who their vulnerability to losing their job at any time. If, in addition, participate in multi-stakeholder initiatives. they are migrant workers, their problems are compounded. It has become a widely accepted principle that monitoring and Yet the seminar heard many positive cases of organising among verifying activities must include consultation with the workers migrant workers. For example, the FNV in the Netherlands, and concerned. The seminar recognised that this ought to include the GMB and T&G unions in the UK take on organisers from the much better efforts to reach out to informal workers. Yet many same language group or culture as the workers in question, on professional auditors already do not adequately consult workers the principle that “like organises like”. who are clearly employed within identifiable workplaces. How 10 Clean Clothes Campaign Newsletter no. 19 July 2005 much more difficult will it be to persuade them to cover the of informal workers – their right to organise and earn a living whole workforce, including the virtually hidden homeworkers or wage, for example – would be a key “hook” for campaigning. So the temporary contract workers? There is no alternative, the would creating space for workers' voices to be heard through seminar concluded, than to build capacity among local indepen- speaker tours and international exchanges. dent NGOs to do auditing that includes informal workers. Ultimately, of course, the goal is organisations of informal work- ers, or which include informal workers, that can represent their own voice. Opportunities for solidarity action This article is based on a discussion paper written for the Meissen seminar, and the seminar report. Both documents can be found at In order to take up a representational role for informal economy the CCC website: workers, many trade unions may need to change their constitu- tions. However, there is much that trade unions can do before “Meissen meeting brings together garment industry labor rights taking this step. In particular, they can be advocates for the activists and informal economy experts”, the full report of the CCC- rights of all workers, including informal workers, and encourage IRENE seminar, “Campaigning Strategies on Informal Labour in the or stimulate the self-organisation of informal workers. Global Garment Industry”, held on 23-25 September 2004, in Meissen, Germany, can be found at: www.cleancloth es.org/ftp/04- When it comes to consumer campaigns and public awareness- 12-informal_labour_seminar_report.pdf raising, the significant contribution of informal workers in the supply chains needs to be made more visible. Campaigners must “The Global Garment Industry and the Informal Economy: Critical be in touch with informal economy workers' organisations to Issues for Labor Rights Advocates”, a discussion paper written for ensure that their demands coincide with what informal economy the seminar, can be found at: www.cleanclothes.org/ publicati- workers want. An emphasis on the basic human and legal rights ons/04-09-informal_labour_seminar01.htm Campaigning: Inform about Informal The CCC has attempted to include the rights of informal workers in such activities as the living wage campaign of 2000-2001. More recently, in the “Play Fair at the Olympics” campaign, pre- carious employment was one of the themes highlighted. There is, however, much more that CCC groups can do to make the informal economy more prominent in awareness-raising campaigns. Being sure to focus on the entire supply cha way. A Swedish documentary film that focused on rights viola- tions in H&M supply chains included, for example, coverage of conditions for homeworkers in the Philippines doing embroidery on sweaters. This was very important in getting H&M to take on responsibility for their whole chain. Then there are the frequently used representations of the price breakdown of a garment or sports shoe, which show the various costs involved in producing and bringing a product to market and ere the wages of workers fit in. These could try to show the sence and value of work done by informal workers. Violations the rights of informal workers can also be more thoroughly en up through the CCC urgent appeals system. In Belgium, CCC member Wereldsolidaritet has run a campaign for a worldwide social security system that would provide mini- mum protection for workers. The campaign uses various methods – including a quiz, video, games and informational eve- nings – to convey information to their target groups. For more information on this case, please see www.wsm.be Clean Clothes Campaign Newsletter no. 19 July 2005 11 Unions and labour rights groups are increasingly making use of the various opportunities that exist to file a complaint when rights are violated. So, what does it mean to file a complaint, what are the different mechanisms, how is it done, and how > Where a workplace is certified according to the SA-8000 inter- useful is it in achieving respect for workers' rights? national standard, a complaint can be sent to the body that deals with that standard, Social Accountability International (SAI). There are now quite a variety of different mechanisms through which complaints can be made against garments/sportswear > There are also intergovernmental bodies that can be approach- companies which violate workers' rights. ed, including the Organization for Economic Cooperation and Development (OECD) and the International Labour Orga- > A number of brand companies and retailers are now opera- nization (ILO) (these are not discussed in this article). ting or developing their own internal systems to process com- plaints of rights violations. In most cases, violations of codes of labour standards also con- stitute violations of local labour law. So, filing a complaint through > There are multi-stakeholder initiatives (MSIs) – including the one or more of these routes is often done in addition to filing the Fair Labor Association (FLA), the Fair Wear Foundation (FWF), case with local labour law enforcement authorities. and the Ethical Trading Initiative (ETI) – which have complaints mechanisms with regard to their member companies and/or In fact, it is not unusual for a union or labour rights organisation require their member companies to set up their own com- to file grievances simultaneously wherever they can. And why plaints mechanisms. not? It increases pressure for the resolution of the case in ques- tion. It also draws broader public attention to what are often sys- > The Worker Rights Consortium (WRC) in the US: the WRC temic problems that transcend the single workplace. has no companies as members but university licensing bodies are on the WRC Board in their capacity as garment-purchas- Why are they important? ers. So, workers producing for US universities can lodge a complaint with the WRC. Labour rights advocates have long maintained that codes of con- duct are worthless if they do not contain a system that monitors 12 Clean Clothes Campaign Newsletter no. 19 July 2005 and verifies compliance with the code. But social audits – where, local and then senior managers of their production facility. Or, if say, a professional auditing company comes into a factory to make this does not produce results, the complaint is made from the an examination – are limited in scope. For example, they only pro- workers/union direct to the brand or retail company, sidestep- vide a “snapshot” of labour practices at a specific moment in time. ping local management. Or again, if this fails to bring a result, they can go up one more level to the multi-stakeholder initiative So, there should also be a mechanism to handle complaints and/or file with an intergovernmental body. coming directly from the workers concerned and their organisa- tions. It is a way of ensuring their direct input at any point in The CCC's work on urgent action cases has provided a great deal time. Some companies are starting to see how this can help alert of insight into the possibilities for developing complaint mecha- them to problems and get them solved more quickly. Labour nisms for brands or MSIs so that they can be credible tools for rights activists see it as another avenue for pressuring compa- resolving worker grievances. We have identified key issues that nies to make improvements. must be addressed if they are to be useful: However, the route by which complaints are handled is often not > How complaints are filed (who files complaints, where are the very clear. What is supposed to happen in theory often does not complaints filed, etc.); work out that way. > On what basis complaints are accepted for follow up; > How complaints are investigated; Theoretically a complaint should travel “up the chain” from work- > How action is taken to solve the problems raised in the com- ers (and their union or support organization, where one exists) to plaint. Clean Clothes Campaign Newsletter no. 19 July 2005 13 Then there are also the broader issues of time, funding, and reporting. The CCC is committed to pushing for the development of complaint mechanisms that can result in meaningful and sus- tainable positive change for garment and sports shoe workers. Brands and retailers with their own complaint mechanisms It is not often that workers know when the companies buying their production have complaint mechanisms. More often, it is international support organisations that have this information. When the CCC gets an urgent request from workers for help, we alert the buyers and push them to take action. They may have an existing complaint mechanism but, if not, we urge them to set one up. Other labour support organizations have a similar approach. Some brands/retailers (for example, Gap, H&M, C&A) have local staff in their countries or region of production, and send them to talk with factory management. Where there is no local staff, the company will contact management and, perhaps at a later stage, after sustained pressure, send in a lawyer or auditor, or go themselves. Often in this first phase no communication with workers or related organizations takes place. All that is obtained is management's view. This of course contradicts the view of those filing the complaint, but significantly also often turns out to be simply misleading, for example based on an incorrect interpretation of local labour law. Not surprisingly, a drawn out debate takes place, and there may be no resolution. There are many such outstanding cases. However, where pressure can be brought to bear internationally, via public campaigning or by involving other parties like MSIs or Bangla Filing Complaints with the MSIs experts. The FWF works with local organisations with good relations to the workers of the suppliers concerned, who can The different ways that complaint mechanisms of the MSIs work act as “complaints handler”. These locally manage the proce- vary a lot. Here is a brief analysis, based on the CCC's experience. dure and report complaints to the Foundation, which is re- sponsible for follow-up. In the first step, the complaint goes to > The ETI in the UK: current sourcing companies that are mem- the member company to handle; if this fails to resolve mat- bers of the Ethical Trading Initiative include Levi Strauss, ters, then the FWF becomes directly involved. At present it is Marks & Spencer, Gap, and Mothercare. The ETI has devel- unclear in what way member companies are obliged to devel- oped a mechanism that channels complaints directly to mem- op channels to receive complaints directly or to ensure that ber companies. Complaints have to be filed by an ETI member their suppliers have mechanisms to handle worker-to- organisation (NGO, trade union, or, presumably, a company) management complaints. As a follow-up, a verification audit to the member company concerned. The ETI Secretariat only is an option. For such audits FWF uses teams made up of becomes directly involved if parties fail to reach an agree- local experts, following advice from members of its local part- ment. ETI member companies are also expected to provide ner network (which includes trade unions and labor rights workers with a confidential way of reporting failure to ob- NGOs). For more information, see www.fairwear.nl. serve the ETI Base Code directly to them. There is no obliga- > The FLA in the US: members of the Fair Labor Association tion for member companies to ensure that their suppliers include all the major sportswear brands, such as Nike, Ree- have a mechanism to handle worker-to-management com- bok, and adidas, as well as other major brands such as Liz plaints. For more information, see www.ethicaltrade.org. Claiborne and Eddie Bauer. As part of its internal monitoring > The FWF in the Netherlands: Fair Wear Foundation members obligations, the FLA requires that member companies pro- include G-Sus, O'Neill and several smaller Dutch brands. CCC vide workers with a confidential reporting channel through representatives are on the FWF board and the committee of which they can report non-compliance directly to that mem- 14 Clean Clothes Campaign Newsletter no. 19 July 2005 international governmental bodies, some cases do result in > Payment of back pay or severance benefits to workers after effective action that meets the demands of the workers. Also, workplace closures; and some brands and retailers are beginning to see that sole reli- > Organisation of forums for employers, trade unions, local ance on workplace management for information does not nec- government and NGOs to discuss more systemic issues. essarily lead to a swift resolution of problems, and are taking more seriously the need to consult directly with the workers making the complaints. Can complaints make a difference? The short answer is that, yes, sometimes lodging a complaint can make a difference. The CCC has seen some positive results out of complaints being filed with individual brand companies, MSIs or intergovernmental bodies. They include the cases of Gina Form (Thailand), Jaqalanka (Sri Lanka), Stella (China), Choi Shin (Guatemala), Codevi (Haiti), BJB (Dominican Republic), and Square Fashions (Bangladesh). The type of action that has been taken includes: > Suppliers being assisted to hire full-time human resources staff, or to work with local experts (labour lawyers, payroll experts, health and safety experts) to draft and help imple- ment new policies; > Training and educational programs for management and workers; > New procedures for management to communicate more effectively with workers (via grievance mechanisms, commit- tees, meetings, etc.); > Verification of union membership with a view to union recog- nition or assistance in working towards negotiation of a CBA; > Changes in national employment law; ber company. Member companies are also recommended to for a US college campus, the WRC jointly, in coordination with ensure that their suppliers have mechanisms in place for local worker organizations, investigates the complaint, and worker-to-management complaints. In addition, anybody can develops a suggested course of action for the sourcing com- file a complaint directly to the FLA itself. The FLA (after panies concerned. The leverage provided by the WRC's uni- review) passes the complaint on to the member company for versity members, the final buyers of the product, means that remediation; the company has an initial 45 days to solve the sourcing companies are more likely to meet their demands. problem before the FLA will intervene; but the FLA takes an For more information, see www.workersrights.org. active role in this process, and ultimate responsibility lies with > SAI in the US: before Social Accountability International (SAI) the FLA. In some cases, the FLA has been acting more as a agrees to an SA8000 certificate for a company, it requires that mediator. An example is the Jaqalanka dispute in Sri Lanka in there is a mechanism in place for company management to 2003 where the remediation consisted of drawing up a collec- handle complaints from workers. Additionally, anyone can file tive bargaining agreement. For more information, see a complaint directly to SAI itself, or to the certification body www.fairlabor.org. that certified the facility on behalf of SAI. Usually such com- > The WRC in the US: unlike the other initiatives, the Worker plaints will first be passed on to the supplier or to the audit Rights Consortium does not have member companies and firm that certified it, for resolution. Or the complaint may be therefore does not have an official role in setting up complaint passed to a different audit firm. An investigation has to be systems for sourcing companies. The WRC, to a certain made within 30 days, or an appeal can be filed with SAI, which extent, can be seen as an institutionalized variant of the activ- then sets up an appeal board. Sourcing companies related to ist urgent appeal phenomenon. It concentrates on the com- SAI (via its Corporate Involvement Program) are not required plaints it receives, usually filed by NGOs or trade unions, and to have a process for directly receiving complaints. For more also investigates pro-actively. If an appeal from a local union information, see www.cepaa.org. or support organization concerns a factory producing apparel Clean Clothes Campaign Newsletter no. 19 July 2005 15 There it was decided that municipal buying and procurement ought to be a key focus for community activists looking to set up “Clean Clothes Communities” or CCCommunities, as they've come to be known. It would, for example, also help to strengthen local CCC campaigning and public awareness-raising. It was decided that the “CCCommunities” campaign would main- ly focus on social standards. However, municipalities should also address ecological issues, and so this is an area where CCC groups can work together with environmental activists. At the meeting, the CCCs decided what they would demand of the com- munities, and set out these demands in a model resolution that communities should be pushed to adopt (see the box). Some national CCCs had already been working on this area prior to the meeting, and since then, CCCommunities campaigns have taken off in a number of countries. Today: > In France, no fewer than 250 communities, large and small, have adopted a resolution to take labour standards into account when tendering for new clothing orders. The cam- paign has developed a model resolution, and a guide on how to implement it. Clean Clothes > In Belgium North, 60 municipalities have become CCCom-munities. In addition to this, the Clean Clothes at Work project has been set up, in cooperation with two unions. Here, the purpose is to get people in the workplace to look critically at Communities: the clothes that their employers make them wear, and to ask for “clean clothes”. Focus on Work Wear Governments have a key role to play in ensuring that good labour standards are enforced, not only by regulating the pri- vate sector but in their own activities. At local and national levels, they spend millions on uniforms, for example. The CCC believes that all work wear worn by public workers should be produced in workplaces that respect workers' rights. Through community-council targeted action, lobby and research, the CCC is already seeing positive results. Each year, towns and cities across Europe spend a huge amount of money on clothing for municipal services such as the fire department, cleaning, and public transport. Until recently, however, how well or badly the workers who make this work wear are treated was not a factor in their purchasing decisions. But all that is starting to change. A plan to better coordinate CCC activity on this front was develop- ed in October 2003, at a meeting in Paris of CCCs from six European countries plus the CCC International Secretariat. 16 Clean Clothes Campaign Newsletter no. 19 July 2005 > In Amsterdam, the Netherlands, following a resolution adopt- The research will be presented at a two-day seminar focusing on ed by the City Council in December 2000 and subsequent public procurement in October 2005, hosted by the Spanish CCC. research by the Dutch CCC, a “guide” for the purchase of As well as national CCCs and SOMO, those invited to the first day clean work wear was written. This was presented in 2004 to might include the companies researched, campaigns working the thirty city employees who handle purchasing decisions. In on similar issues, the Fair Wear Foundation, and representati- 2004 Amsterdam won an award for this handbook from the ves of (local) authorities who have or haven't passed a motion. Dutch Ministry of Housing, Spatial Planning and the Environ- They will hear the outcomes of the research and discuss the con- ment (VROM) for governments who inspiringly integrate sus sequences for (local) authorities. The following day will be used tainability into their buying practices. Meanwhile, the city of by the CCC representatives to plan their joint future strategies Enschede became the first Dutch city to implement the proce- and campaigns on this theme. dures. So how does it work? > In Spain, an extensive programme on ethical procurement was initiated in the Catalonia region in September 2004, A city or municipal authority that wants to become a “Clean with three different local governments involved: Barcelona, Clothes Community” first adopts a resolution that says that only Manresa and Badalona. work wear made under good labour conditions will be pur- chased. They then have to formulate an ethical procurement > In the UK, the project is part of a broader campaign on public policy and develop a plan of action so that within a specified peri- procurement, in which the CCC UK cooperates with many od of time buying “clean” uniforms becomes a reality. other organisations and the University of Cardiff. A prelimi- nary study of the UK legal framework for public procurement Before they start, they need to determine exactly who is respon- was done in 2004, and a questionnaire has been sent out to all sible for the purchases, who their suppliers are, where their cur- local authorities to establish their purchasing practices and rent uniforms are actually produced, what is known about the policies with regard to work wear. labour conditions there, and which labour criteria they now want to take into account. > In Sweden, in February 2005, the Swedish CCC Rena Kläder began campaigning on public procurement. The campaign is called Se Upp which is a short form of the Swedish for “Community for Ethical Procurement” but also means “Watch Out!”. The campaign brings together the CCC with other What the CCCommunities Model Resolution says Swedish fair trade groups and, as in the UK campaign, does not focus on clothes alone but takes them as a useful focus. Communities should: Others participating include the Swedish Association of Health Professionals (Vårdförbundet) and the trade union for > Demand that suppliers accept and implement the CCC community officers SKTF. Among the first activities, there model code of conduct. have been seminars for local authority buyers, and the release of a book about public procurement. Rena Kläder says > Demonstrate compliance with the CCC code. that, after a gentle start, “this could be big”. > Publicly disclose any efforts made and results achieved to Work wear company research comply with the code. Past campaigning experience has made it clear that it is vital to > Publicly disclose where they are sourcing and in what understand the make-up of the market you are dealing with. circumstances (optional: disclose a list of suppliers). Also, the CCC feels it is necessary to be able to confront the work wear companies themselves with their responsibility to ensure > Form an accountable task group that is responsible for the decent working conditions. development of implementation. So, in April 2005 the CCC commissioned the Dutch-based Centre > Support the creation of a European Fair Wear Foundation. for Research on Multinational Companies (SOMO) to research the CSR performance of work wear companies. > Act to promote the labour rights of garment workers (through lobbying at national and European level). To kick off the research, national CCC coalitions compiled lists of the biggest work wear companies supplying their (local) autho- rities. Out of this seven companies have been selected which sell to authorities in various European countries. The companies are Illustrations: Michaël Pattiruhu themselves from different countries, and of various sizes and background. The seven are being investigated for their CSR poli- cies and implementation, supply chain structure, and past histo- ry of labour rights' violations. Clean Clothes Campaign Newsletter no. 19 July 2005 17 Still Seeking Fair Play The Olympics campaign moves on After months of relentless campaigning, the organisations acknowledged that such changes take place over a longer taking part in the “Play Fair at the Olympics” campaign took period of time. stock of their achievements. On December 16-17, 2004 an evaluation meeting was held by the campaign's steering While the campaign provided plenty of scope for participation group, which is made up of representatives from Asia in consumer countries, campaigns in producing countries Monitor Resource Center (AMRC), the CCC, Global Unions, often felt they had fewer ways to get involved. Moreover, not Oxfam, and the Thai Labour Campaign. Other organisations enough thought had been given to how the outcomes of the were invited and several attended, including the Centre for campaign (in particular the advances made in dialogue with Education and Development and Cividep, both based in India. sportswear sourcing firms) could be used by workers them- selves to bring about change in their working and living con- The assessment of the Play Fair campaign so far is that it ditions. heralded unprecedented levels of collaboration between NGOs and trade union organisations in many countries, A major conclusion of the first part of the campaign, there- North and South. It also produced a “roadmap” that will fore, is that organisations in the producing countries must be serve as the basis for discussions for a sportswear sectoral placed at the centre of any future work, as must measures agreement. Linking with a global sports event proved to be a that truly facilitate workers' freedom of association. very effective way of bringing together targeted brand com- panies. With this in mind, the international trade union federation for garment workers (ITGLWF) has already embarked on a pro- Particularly positive was the dialogue developed with indivi- gram with its affiliated unions in Asia to develop their knowl- dual sportswear companies. In some cases this led to direct edge of the supply chains of the major multinational sports- relations between the companies and local trade unions. Five wear companies sourcing from their countries. At a regional out of the seven targeted companies reviewed their workshop planned in Vietnam for July 2005, organised by the codes/labour practice policies and were to varying degrees ITGLWF with the Friedrich Ebert Foundation of Germany, moved to take action. In the evaluation it was stressed that they will be looking at the range of instruments that can be gains at the policy level are not, of course, the same as con- used to assist in organising along such chains. NGOs that crete improvements for workers at plant level. have been involved in the sportswear workers' rights activi- ties will also take part in the preparations for the workshop, The fairolympics.org website provided a strong focal point for thereby increasing union-NGO cooperation. the campaign. The events section was very valuable, as was the site's role as a way of exchanging information between Other planned follow-up sportswear activities include a participating organisations. Highlighting certain company larger meeting for NGOs and unions, probably in India, later targets on the website placed a lot of pressure on them to in 2005 that will address wider global campaigning issues. take action. Olympic committees The level of public attention achieved was rated as very high. The pre-games “Athens Sew-In” stunt in particular gained a A big disappointment of the “Play Fair at the Olympics” cam- lot of press and media coverage around the world, as did our paign was the reaction of the International Olympic (unsuccessful) attempts to present a petition of over half a Committee (IOC), which moved very little, if at all. However, million signatures from 35 countries to the International some national Olympic committees and games organising Olympic Committee. committees were open to the campaign and have adopted new policies, which bodes well for the future. Although not fully global, participation in the campaign in Europe and Asia was widespread. One of the major gains in The Turin 2006 Winter Olympic Committee (TOROC) has sportswear producing countries was innovative alliance- adopted a “Charter of Intents”. Although a move not directly building. The worker exchange initiatives carried out connected to the campaign, it may nevertheless contribute to amongst garment workers in India and the regional exchange the defining of ethical standards for global sporting events. organized after the “Workers' Olympics” in Bangkok were seen as particularly successful. On the other hand, the campaigning period was quite short and, in such a short period, it is hard to immediately identify any meaningful change in workers' lives. The evaluation 18 Clean Clothes Campaign Newsletter no. 19 July 2005 As for on-going activities with the targeted companies: > The dialogue between Umbro and the UK Play Fair coali- tion continues, and parties are developing concrete plans for worker training and other activities as agreed by Umbro during the campaign. > A meeting between Puma and Bulgarian unions/NGOs took place at the end of 2004, as did another with the Turkish trade unions. > In Finland a campaign has been launched around the IAAF World Championships in Athletics in August 2005, which will focus on the Japan-based Mizuno, the main sponsor of the event. At the Workers' Olympics, Bangkok, Thailand, August 2004 > Asics, another Japanese company targeted in the cam- paign, has contacted Hong Kong labor rights groups regarding health and safety training in Chinese factories. TOROC has expressed an interest in discussing ways to > There has been no progress, however, on the part of Fila, improve social and ethical values in sport with the campaign. Kappa and Lotto. Fila is now being targeted by the CCC because of their failure to act responsibly at PT Tae Hwa in At a national level, the various campaign organisations are Indonesia (see the Urgent Appeals section on page 20). following up with their own national Olympic committees. For example: Meanwhile, campaigning efforts in several European coun- tries are focussing on sportswear retailers as well as produ- > In the UK, the British Olympics Association has moved cers. They include Decathlon, Intersport and Go Sport (see, from its original position of refusing to meet with the cam- for example, the French CCC on page 4). paign to agreeing to engage with the campaign in order to “look at contracts and at what needs to be changed to The World Federation of Sporting Goods Industries (WFSGI) improve the conditions (of workers)”. Meanwhile, the recently established Committee on Corporate Social “London Bid”, the organisation set up to promote Britain's Responsibility (WFSGI-CSR) had its first meeting in Shanghai goal of hosting the Olympic Games in 2012, has met with on March 16, 2005. It was attended by representatives of the trade union federation TUC, Oxfam and Labour Behind major sportswear brands, suppliers, national sportswear the Label (the UK CCC), and is now committed to including manufacturing associations, the International Labour Organ- workers' rights issues in its contracts with suppliers. isation (ILO), and the Fair Labor Association (FLA). Finally, > In the Netherlands, the commitments made by the Dutch the WFSGI discussed the Play Fair Programme of Work for Olympic Committee (NOC*NSF) during the campaign the Sportswear Industry presented to them in May 2004. The included adding a clause on labour standards in their con- Play Fair campaign was disappointed not to be invited to the tracts with Asics, and this will be followed up. WFSGI meeting, even though initial indications from the CSR committee were that this was under consideration. Nor did Sportswear companies the WFSGI answer the question of how they would take up the issues raised by the Play Fair campaign. They made it clear The sportswear brands were urged through the Play Fair at that, in their view, a sectoral framework agreement is not the Olympics campaign to cooperate on a “programme of feasible at the moment. work” aimed at bringing labour abuses in the industry to an end. In particular seven companies were highlighted by the It goes without saying that the Play Fair Alliance will continue campaign: Puma, Umbro, Lotto, Fila, Asics, Mizuno and Kappa. taking the achievements of the 2004 Olympics Campaign onwards, towards the Winter Olympics in Turin in 2006 and Since September 2004, the campaign's lobbying activities at the Summer Olympics in Beijing in 2008. the international level have been scaled down, and the team has concentrated on developing a report that provides a com- plete record of the interaction between the different compa- nies and the Play Fair Alliance, as the campaign is now called. For more on the achievements of the “Play Fair at the Olympics” Each company has reviewed its own chapter, and the full campaign, please see: document is now available on the Play Fair and CCC websites. www.cleanclothes.org/campaign/olympics2004.htm Clean Clothes Campaign Newsletter no. 19 July 2005 19 Collapsed Spectrum Garment factory in Savar, Bangladesh Protests and legal initiatives continue in order to bring to justice the persons responsible and ensure that victims' families re- Bangladesh Workers ceive substantially more than the legal minimum compensation. Survivors also must receive compensation for their injuries, and Buried Alive where necessary, retraining so they can find new jobs. It is esti- mated that almost 6,000 people are now unemployed due to the On April 11, 2005, the building that houses the Spectrum collapse of the factory building, and the CCC has called upon the Sweater factory in Bangladesh collapsed during the night shift. brands to act immediately to provide urgently needed financial At least 74 workers were killed, many others injured, and an support for these workers. Other important demands that re- unknown number were left missing, buried under the debris. quire follow-up are in relation to the investigation into this trage- dy, as well as preventative measures to be taken to ensure that The facility, located in Savar, an industrial town northwest of such a needless loss of life never happens again. Dhaka, housed Spectrum Sweater Ltd. and Shahriar Fabrics Ltd. and produced for several well-known European brands like Zara, Some of Spectrum's clients are members of the Business Social Carrefour and Karstadt Quelle. The CCC, in cooperation with Compliance Initiative (BSCI). After some delay the BSCI sent a Bangladeshi trade unions and labour groups, has been insisting mission to Bangladesh in June to follow-up on the Spectrum case, on action by the buyers and authorities. however, their willingness to do so only came after further urging by CCC. At that time nearly two months after the factory collapsed In the weeks that followed there were many public protests organ- many of the victims' families and survivors reported to the CCC ised by local union federations and supporters. One took the that they have been left hungry and homeless because without any form of a human chain in which 52 Spectrum workers and the source of income they can no longer pay their rent or pay for food. families of victims took part. Another was a symbolic one-hour The outcomes of the BSCI trip were not yet available at press time. hunger strike. In another, 2000 garment workers in Dhaka listen- ed to an appeal for justice by the mother of two workers who died Together with our Bangladeshi partners, the CCC is continuing at the factory. to collect information directly from the workers so as to docu- ment the case and keep up pressure on the brands and The factory owner, Shahriar Saeed, and one of the directors, Bangladeshi authorities to act responsibly. Altaf Fakir, were arrested. At a hearing on May 8th, lawyers suc- cessfully contested their bail application and the court ordered both men to be imprisoned pending a further bail hearing four For more information on this case, or to send a message of protest days later. The court decision was unprecedented and was re- to the companies sourcing at Spectrum, or the BSCI, please visit the ferred to as “one step forward” by Amirul Haque Amin of the CCC website: www.cleanclothes.org/news/05-06-01.htm National Garment Workers' Federation (NGWF), who had 39 members working at the Spectrum factory. The NGWF was one List of missing of the organisations hiring a lawyer to contest the bail applica- Spectrum tion. Despite a long string of deadly “incidents” in Bangladeshi workers, garment factories, mainly due to fires, as yet no factory owner Savar has ever been found guilty. Bangladesh 20 Clean Clothes Campaign Newsletter no. 19 July 2005 “Message in a Bottle” Landmark Court Decision for to North Sails, Sri Lanka Chinese Workers In 2002, 207 workers at the North Sails factory in Sri Lanka were At a criminal appeal court hearing on December 31, 2004, seven dismissed because they had gone on strike to protest against Chinese shoe factory workers walked free in the southern city of management's refusal to pay their annual quality bonus. Since Dongguan, Guangdong Province, after their original sentences of their wages are extremely low, the workers needed these “bonus- up to three-and-a-half years' imprisonment were reduced to es” to survive. Now, three years later, these workers are still nine months, suspended for one year. Three under-aged workers unemployed. were also released and their original suspended prison senten- ces dropped. They had all been in jail since April 2004. North Sails, which produces sails and sailing garments, is now known as Global Sports Lanka (GSL), following its sale to the This reversal of the sentencing of the Stella International shoe Swiss company Global Sports Technologies. A “memorandum of factory workers – all of whom had been involved in mass protests understanding” outlining a process to resolve the dispute was against bad working conditions at Stella's Xing Xiong and Xing signed by GSL management in 2003. However, they ultimately Ang factories in late April 2004 – represents a significant land- did not act in good faith and in the CCC's view failed to follow the mark in the history of the modern labour movement in China. spirit of the agreement. Despite repeated attempts by the FTZ&GSEU (Free Trade Zone & General Services Union) in Sri In a statement issued on 10 January 2005, Hong Kong-based Lanka the situation remained unresolved. China Labour Bulletin (CLB) said, “The Stella case demonstrates that principled and well-written defence arguments by mainland So, in 2004, the CCC re-launched an international campaign to Chinese lawyers, coupled with a bold and well-coordinated cam- urge Global Sports Technologies to pressure local management paign by concerned labour groups and the international labour to resolve the dispute. CCC called upon GSL either to reinstate movement, can make a real difference to the fate of detained the dismissed workers or, at a minimum, agree to third party Chinese worker activists, even in a case involving major criminal mediation. GSL ignored these calls and has not shown any initia- charges.” tive to come to a fair resolution in this dispute. The defendants had been charged with "intentional destruction On March 29, 2005, the third anniversary of this dispute, Dutch of property" in connection with two mass protests involving thou- Clean Clothes Campaign activists sent a “message in a bottle” to sands of workers at the Xing Xiong and Xing Ang factories owned North Sails by launching 207 protest letters in bottles into the by the Taiwanese company Stella International on 21 and 23 April North Sea in a symbolic gesture of solidarity with the 207 dis- 2004 respectively. Excessive working hours, low pay, having missed North Sails workers. This international day of action withheld or seriously underpaid their wages for a several-month coincided with a protest march by North Sails workers in Sri period, and the poor quality of food provided at the factories' Lanka. canteens were the triggers for the protests. GST has been contacted again but has yet to respond to the For example, during the trial on 25 August, it emerged that some CCC's call for them to intervene to bring about a fair resolution workers at the factory had been “working like brute animals” all to this case. The CCC intends to continue the campaign against month long but had received a salary of only around 450 Yuan, a North Sails until workers' demands are met. large proportion of which went to pay for their accommodation and food at the factory. Moreover, for the two months of March and April, Stella International had apparently paid many of the workers only 50 Yuan per month in wages. None of the factory's More information on the North Sails case can be found at: workers had had the slightest idea as to why they were sudden- www.cleanclothes.org/companies/northsails04-12-24.htm ly being paid only a fraction of their normal monthly wages. The strikes were reported by the mainland media, and CLB be- lieves that the court's decision was in part a reaction to the media, in particular a long analysis published by the China News Weekly (Zhongguo Xinwen Zhoukan) on October 25, 2004. In a rare move, the semi-official magazine high-lighted Lawyer Gao's argument in his defence statement for Chen Nanliu – one of the Xing Ang workers – that the prosecuting authorities had failed to prove that the workers' actions were in any way planned or or- ganised. It also quoted a labour expert in Guangdong as saying that "workers should be allowed to organise themselves and to have a legal channel to express their grievances". Clean Clothes Campaign Newsletter no. 19 July 2005 21 New CCC Brochure: Urgent Appeals “The Clean Clothes Urgent Appeals System” As for international support, on October 29 - less than a week Each year the CCC takes action on dozens of urgent cases of after the sentencing of the Xing Ang workers - the International workers' rights violations in the garment and sports shoe Confederation of Free Trade Unions (ICFTU) sent a letter to industries. This is one way that the CCC stimulates direct President Hu Jintao protesting against the sentences. They also solidarity action by supporters throughout Europe to put quickly issued a press release. pressure on brands and retailers. After being alerted to the case in early October, the CCC contact- To explain to workers’ organisations how the CCC's urgent ed CLB and, based upon their advice, in the third week of October appeals system works, the campaign recently issued a brief contacted the following Stella clients: Nike, Timberland, Sears, brochure. It gives information on how the CCC decides which Jones Apparel, Clark Shoes, New Balance, Kenneth Cole and cases to take up – for example, only where it is clear that this Marc Jacobs. Reebok, another Stella client, had already become is what the workers involved in the dispute want. Plus there active in the case. The CCC asked the brands to contact the au- is information on the actions that the CCC and supporters thorities and Stella management to request leniency in the sen- may take, and how this is coordinated. There is also advice on tencing and secure improvements so that conditions would be how to inform the CCC about a potential urgent appeals case. fair, and workers have appropriate avenues to communicate grievances. Reebok CEO Paul Fireman himself wrote to the At the moment this brochure is available in English though Dongguan Court requesting leniency for the “Stella Ten”. We translation into other languages is expected. Copies are avail- understand that Clark's shoe company did likewise. able from the CCC Secretariat (info@cleanclothes.org) or can be downloaded from the CCC website: www.cleanclothes. At a court hearing on August 25, 2004, Lawyer Gao made a org/ftp/UA_leaflet.pdf powerful defence speech highlighting the underlying causes of the exploitative working conditions that led to the Stella factory workers' protest - China's neglect of workers' rights in its unqualified support for foreign investment. Although this case is a milestone on the journey towards work- ers' rights in China, we should not forget that the appeal court still maintains that the ten Stella workers are guilty of their a l- leged offences. As CLB says, “Instead of scapegoating individual workers in this way, the Chinese authorities should address the real issue of why labour unrest has become so widespread. Workers need to be able to establish their own independent trade unions, so that they can voice their grievances peacefully and negotiate with their employers on working conditions, wages, health and safety, and other issues of vital concern to workers around the country.” For more information on this case, including a translation of Lawyer Gao's defence statement please see the China Labour Bulletin web- site at www.china-labour.org.hk 22 Clean Clothes Campaign Newsletter no. 19 July 2005 PT Tae Hwa Closed Without Notice On February 11, 2005, workers returned from a two-day holiday It is hoped that public opinion will force Fila to take responsibili- to find the PT Tae Hwa factory in Indonesia had closed down in ty for the unemployed workers by meeting the following their absence, and the management was nowhere to be found. demands: Nearly 3,600 people were employed at this factory and to date they have not been given any explanation for its closure. > Fila must assist its workers in finding new employment; > Workers must be paid their back wages as well as any other Rumours soon circulated among the workers that the closure of money they are legally entitled to; the factory, which produced sports shoes, came as a result of the > Workers awaiting new employment must receive financial major buyer Fila withholding a large payment, rendering PT Tae assistance or a severance pay package in accordance with Hwa unable to meet its debts. Fila, which takes 70-90% of the Indonesian labour law, in order to support them until they find factory's production, is owned by the US-based Sports Brands new jobs. This money could be drawn from a fund established International. Fila was one of the targets of the 2004 “Play Fair by Fila for this purpose; at the Olympics” campaign, and a report on labour conditions at > Fila must demonstrate transparency in explaining its role in the PT Tae Hwa factory provided a case study for the campaign. the closure of the Tae Hwa factory. Since the sudden closure, the CCC and partners, including the The Clean Clothes campaign is also demanding that Fila refor- International Confederation of Free Trade Unions (ICFTU) have mulate its code of conduct so that it complies with international repeatedly written to Fila and telephoned its Chief Marketing labour standards. The company must allow for inspections to be Officer Robert Erb in an attempt to get clarification about the carried out by a third party to verify compliance with this code of situation regarding the PT Tae Hwa factory and its dismissed conduct. Fila must also cooperate with local unions and organi- workers. There has been no response. The CCC and partners sations so that situations similar to the Tae Hwa case can be around the world plan to continue to draw attention to FILA's fail- resolved in a more constructive manner. ure to follow-up on this matter. FILA has a responsibility to these workers who were producing goods for FILA right up to the last day before the factory closed! Case study on Fila and the PT Tae Hwa factory for the “Play Fair at the Olympics” campaign are available at: www.cleanclothes.org/ ftp/04-09-Fila_casestudy.pdf Nike Responds over MSP Sportswear, Thailand After three union activists were dismissed from the MSP They will cover the protection and reinstatement of the Sportswear factory in Thailand for exercising their right workers, their reintegration, and any follow-up work that to organize in October 2004, the CCC targeted MSP's two needs to be done. They are to include rules of behavior for major clients, Nike and the French brand Decathlon, to all parties concerned (MSP management, external par- push them to play a role in resolving the dispute. By ties, brands, dismissed workers, general MSP workers, March 2005, CCC was able to announce the reinstate- and any other workers' organizations or workers' repre- ment of the three unionists, and the successful campaign sentatives at MSP). A neutral third party will be identified was called off. by the FLA, with the consent of all parties, to facilitate a sustainable solution to prevent the recurrence of labor A union was formed at MSP in November 2003 when work- disputes at MSP. Several rounds of negiotations between ers could no longer tolerate the very bad working condi- the different parties haven taken place since then, and tions. These included constantly increasing quotas with CLIST reports thus far reasonable progress is being no pay increase, compulsory overtime, poor quality drink- made. ing water, verbal abuse from supervisors, and daily body searches that at times amounted to sexual harassment. While the CCC welcomes the steps taken by Nike to re- solve this situation in their supplier factory in Thailand, at The CCC International Secretariat, working closely with the same time Nike can be criticized for unnecessarily the French CCC, pressured both brands to enter into talks prolonging the dispute. There were numerous opportuni- with CLIST (Centre for Labor Information Service and ties for Nike to intervene by enforcing its code of conduct Training, the Thai organization supporting the union activ- and insisting that MSP reinstate the dismissed workers. ists), and the local union at the MSP Sportswear factory. Instead, the dismissed workers and their union col- The French CCC distributed 7,000 protest letters and leagues still working in the factory faced great hardship 9,000 campaign postcards to put extra pressure on De- in what can only be seen as an attempt to break the union. cathlon. However Decathlon failed to react in any con- The CCC hopes that Nike will learn from this dispute and structive way. Indeed, CCC regards their role as disgrace- take its own code of conduct more seriously. ful and disappointing. However, a great deal of publicity was generated in the French press and by the letter-writ- ing campaign which certainly helped to resolve the case. On March 18, 2005, a meeting took place between CLIST and the other brand, Nike. Here an agreement was reach- ed where all three dismissed union activists were offered their jobs back, including full back pay to the date of dis- missal for two of the workers. The third worker accepted settlement money which came to a higher amount than the back pay. The parties also agreed to develop “Terms of Engage- ment” with input from all concerned: workers, manage- ment, buyers and Thai labor officials. The Fair Labor Association (FLA), involved in the case after a complaint was filed by the union against FLA member company Nike, is to develop these Terms of Engagement further. 24 Clean Clothes Campaign Newsletter no. 19 July 2005 New Resources Play Fair in India Workers Exchange Reports In August 2004, as part of the “Play Fair at the Olympics” cam- I CCC Publications paign, the South India Coalition for the Rights of Garment I For an overview of national CCCs' activities, including resources Workers organised a National Workers Exchange Programme in published in various languages during the period October 2004 Bangalore, India. Over two days, some 84 workers, organizers to February 2005, please go to: www.cleanclothes.org/news/05- and activists from manufacturing centres in India discussed | 02-cccrep.htm labour rights and labour standards in the garments/sportswear industries, and how to bring more pressure on the industry and Implementing Codes of Conduct the government to improve working conditions. Nearly 1,000 I ILO researcher Ivanka Mamic has looked in depth at how best to workers participated in a public meeting organised on the con- implement voluntary corporate codes of conduct in global supply cluding day. chains. Her study focuses on three sectors: athletic footwear, ,| apparel, and retail. She interviewed hundreds of managers, The report of the event is available at: f governmental officials, factory workers, workers' representati- www.cleanclothes.org/campaign/olympics2004-08-24.htm ves, and activists, relating to over 90 enterprises and suppliers in the US, Europe, Vietnam, China, Thailand, Sri Lanka, Guatemala, Turkey and Honduras. One important conclusion she reaches is that the athletic foot- wear sector has made greater progress in implementing codes of conduct than the apparel and retail sectors. Another is that companies should move away from “policing” as the best way of ensuring compliance towards an approach in which workers are empowered to oversee their own workplaces. The book provides a detailed overview of the managerial systems related to code implementation in the three different sectors. It gives many examples of the problems corporations face in this effort. However, the focal point of the study is on management practices and systems, rather than assessing the effects of the codes of conduct themselves. Ivanka Mamic, “Implementing Codes of Conduct: How Businesses A Critical Guide to Corporate Codes of Conduct Manage Social Performance in Global Supply Chains”, Greenleaf This booklet, from the Asia Monitor Resource Center (AMRC) in Publishing and International Labour Organisation, 2004, ISBN 1 Hong Kong, reflects the on-going attempts of labour organisa- 874719 89 6, Price: Hardback, US$65.00 tions in the Asian Transnational Corporations Monitoring Network (ATNC Monitoring Network) to understand the utility and the Sewing for the World Market limits of corporate codes of conduct. As well as introducing the Published at the end of 2004, by SÜDWIND, an organisation ac- different types of codes and how they developed, the contributors tive in the German CCC, this report is on women's work in export analyse their own experiences in trying to use them. processing zones (EPZs) and the informal economy. It features case studies from China, Indonesia and Sri Lanka, and focuses Available from AMRC, for more information see www.amrc.org.hk. on the supplier factories for KarstadtQuelle, C&A, Otto, adidas- Price: outside Hong Kong: US$12 (including postage), with a dis- Salomon and Puma. The author, Ingeborg Wick, analyses trends count for AMRC network partners. in the world market for textiles and clothing, reflects the practi- cal experiences of unionists and consumers, and offers propos- Success at Gina, Thailand Studied als for action. The struggle of the Gina Form Bra Company workers in Thailand is familiar to many in the CCC network, being a case taken up Full report in German: €5 each for 1-4 copies, €4.50 each for 5-9 through the CCC Urgent Appeals system and one where the wor- copies, and €4 each for 10+ copies. To order, contact Ingeborg Wikcekr, s won. This case has been written up in “The Struggle of the e-mail: wick@suedwind-institut.de. English versions of the case Gina Workers in Thailand: Inside a successful international soli- studies from China and Indonesia can be found at: darity campaign” by Philip Robertson and Somsak Playoowong. www.cleanclothes.org/publications/05-01-25.htm Useful lessons are drawn for future such cases. Available at: www.cleanclothes.org/ftp/04-11_Robertson_Somsak. pdf Clean Clothes Campaign Newsletter no. 19 July 2005 25 Latest Codes Memo Codes Memo No.18, published by the Maquila Solidarity Network in January 2005, focuses on code complaints proc- esses. The Gildan case is used to take a closer look at how the Worker Rights Consortium and the Fair Labor Association (FLA) work. Also included are analyses of the FLA's second annual report, and Mattel's first CSR report. Available in English and Spanish at: www.maquilasolidarity.org/ resources/codes/pdf/codesmemo18.pdf Worker Rights Consortium Reports New reports are available on Worker Rights Consortium (WRC) investigations at Far East and First Apparel (Thailand), Lian Thai (Thailand), and Unique Garments (Swaziland). Each report describes the allegations, the investigation process and the local experts involved, the findings and the recom- mendations and current status (including buyers' responses). Available at: www.workersrights.org Fair Wear Foundation Country Studies variety of code implementation strategies and approaches. Project The Fair Wear Foundation commissions local researchers to do materials in English and Turkish can be found at the Jo-In website. a background study for each country where it becomes active, in order to help build partner networks and guide the set-up of For more information on this initiative, see the project's website: (locally-trained) audit teams. Each country study includes a www.jo-in.org description of the garment industry and labour conditions there, and compares local labour law against the standards of the FWF MFA Phase-Out Info code. Each also describes the trade unions, NGOs, industry and The phase-out of the world trade agreement called the “Multi- government bodies active in the country and their priorities for Fibre Arrangement” (MFA) may have disastrous consequences improvement of labour standards. for garment workers and industry in certain countries. A semi- nar organised by the Ethical Trading Initiative (ETI) in the UK in English language studies are available for China, India, Macedonia, October 2004 looked at how workers and industry in vulnerable Poland and Turkey, at: www.fairwear.nl/?p=112 countries can be protected from the worst effects. The outcomes are to be fed into the work of the MFA Alliance, an international group of public institutions, companies, unions, multi-stakehold- er initiatives and NGOs, set up to identify ways of tackling the fall-out from the phase-out. The seminar report is available at: www.ethicaltrade.org/Z/lib/ 2004/10/sem-mfa/ETI-semrep-MFAphaseout-200410.pdf More information on the MFA Alliance is available at: www.accountability.org.uk/research/default.asp?pageid=180 Two Dutch Clothing Companies The Centre for Research on Multinational Corporations (SOMO), based in the Netherlands, has analysed how two Dutch clothing companies are handling their corporate social responsibilities. One is a member of the Fair Wear Foundation and the other uses the SA8000 standard. The reports also analyse the strengths and weaknesses of these initiatives. GSUS Clothing Sindustries is a relatively new, small but fast- Jo-In Website growing company specialising in youth “street wear”. While The CCC, FWF, ETI, FLA, WRC, and SAI have formed the Joint taking environmental and social principles seriously, GSUS sen- Initiative on Corporate Accountability and Workers’ Rights, known ior management had merely made assumptions about labour as “Jo-In” for short. The partnership aims to lessen the confusi- conditions in their supplier factories. However, in early 2004 on generated by the multiplicity of codes and related initiatives. GSUS joined the FWF and has become enthusiastic about CSR, A first pilot project is underway in Turkey, to test and compare a including transparency. 26 Clean Clothes Campaign Newsletter no. 19 July 2005 ( $ ) The report is available at: www.somo.nl/html/paginas/pdf/GSUS_ Profile_2004_NL.pdf WE Europe is a family-owned fashion retailer, with stores in six European countries. After six years of claiming to use the SA8000 standard, researchers found that few WE supplier factor- ies appear to have achieved SA8000 certification, though WE refuses to make the information public. The report describes the kinds of problems, delays and hurdles involved, even where intentions might be good. The report is available at: www.somo.nl/html/paginas/pdf/WE_ Profile_2004_EN.pdf Trade in Used Clothing Studied Used clothing from countries of the North is being resold in and Activists” provides practical examples to assist with the great quantities in Africa, affecting the development of the cloth- development of campaigns, including the engagement of consum- ing and textile industries in the continent. A report “Developing a ers in lobbying corporations. Strategic Response to the Trade in Used Clothing in Africa” was prepared for the 8th International Congress of the International Available at: www.homeworkersww.org.uk/resource&material/ Textile, Garment and Leather Workers' Federation (ITGLWF) in campaign%20manual.pdf October 2004 by the Civil Society Research and Support Collective, with the aim of informing union policy. Field and desk research was conducted in a number of African countries, pre- dominantly in South and East Africa. The report is available at: www.cleanclothes.org/publications/04-itg.htm “Behind the Brand Names” This report from the International Confederation of Free Trade Unions (ICFTU), published in December 2004, focuses on what the ICFTU calls “the sharp end of globalisation” -- working con- ditions and labour rights in export processing zones. It has a par- ticular emphasis on the experiences of workers in the electron- ics industry and includes case studies from nine countries. OECD Watch Available at: www.icftu.org/www/PDF/EPZreportE.pdf Several CCC partners have filed cases under the “Guidelines for Multinational Enterprises” of the Organisation for Economic Cooperation and Development (OECD). OECD Watch has been set up to inform civil society about the policies and activities of the OECD's Investment Committee and to test the effectiveness of the OECD Guidelines. See the OECD Watch website (www.oecdwatch.org) for a report of a “Training and Strategy Seminar on using the OECD Guidelines” organised by SOMO and IRENE in October 2004, and a database of cases filed so far. OECD Watch has also recently published its first newsletter: www.oecdwatch.org/docs/newsletter%20E%202005 %201.pdf Homeworkers Campaign Guide Homeworkers Worldwide recently launched a new campaign guide for homeworkers and others working in precarious and informal employment. “Campaigns at Work: a Guide to Cam- paigning for Home Worker Groups, Unions, Campaign Groups Clean Clothes Campaign Newsletter no. 19 July 2005 27