02.02.2023: News from KW 4

Studies and Co.

Geneva Center for Business & Human RightsAmplifying Misinformation - The Case of Sustainability Indices in Fashion" (PDF): According to the reports "The Great Greenwashing Machine - Part 1: Back to the Roots of Sustainability" (PDF) (see News Update KW 38 '21), "The Great Green Washing Machine Part 2: The Use and Misuse of Sustainability Metrics in Fashion" (PDF) (see News Update KW 12 '22) and "The Rise of Life Cycle Analysis and the Fall of Sustainability - Illustrations from the Apparel and Leather Sector" (PDF) Publish Veronica Bates-Kassatly and Dorothée Baumann-Pauly Now a fourth report. It examines what the fashion sector itself defines as sustainable and how it measures it. In particular, the Business of Fashion (BOF) Sustainability Index is examined in detail. The analysis clearly shows that the apparel sector will not meet any of the internationally agreed 2030 targets - neither the United Nations Sustainable Development Goals nor the 45% reduction in greenhouse gas (GHG) emissions by 2030 set out in the Paris Agreement - if the industry continues to pursue current misconceptions about what a sustainability metric is and relies on reporting to measure success. According to the authors, brands should not mislead consumers by suggesting that the choice of fibres makes a product sustainable, while in reality the production of raw materials represents only a small part of the lifelong greenhouse gas emissions of the product. Those who want to prove their sustainability would have to either produce in low-carbon countries or produce in plants in high-carbon countries whose owners have invested heavily in reducing greenhouse gas emissions. As for fashion as a whole, in order to be sustainable, it needs to sell fewer items.

IndustriAll "Building Union Power - Handbook on strategic corporate research and campaigning" (PDF): To help trade unions organise and negotiate, IndustriALL a handbook on strategic business research and campaigning for trade unions in the textile and clothing industry. The handbook is designed to provide member organizations with a clear understanding of strategic business research and how it can be applied to apparel manufacturers, brands, retailers and shopping malls. The handbook also provides useful insights into the development of strategic campaigns to organize trade unions and eliminate unfair labour practices in the global supply chain. It is available in English as well as in the languages of the main manufacturing countries of ready-to-wear clothing: Arabic, Bangla, Bahasa, Khmer, Portuguese, Spanish and Vietnamese.

the Südwind Institute "What is a Gender Transformative OSH Approach? - A scheme for the footwear and garment sectors" (PDF): The paper is a first evaluation of a joint project by the Südwind Institute and FEMNET and is a response to the need for a gender-specific approach to occupational safety and health in the footwear and clothing industry. Author Dr. Jiska Gojowczyk discusses what a gender perspective means and how to adapt our thinking on OSH risks. It also illustrates the interaction between gender standards, safety and health at work. Most of today's occupational health and safety concepts are gender blind and therefore systematically overlook the prevailing problems. The paper presents a scheme for a gender lens that can be applied in all sectors and production regions.

Better buying "Purchasing practices and factory-level noncompliances: How the available research can inform supply chain due diligence": The study examines the available research that documents the link between purchasing practices and non-compliances and concludes that buyers' purchasing practices have the greatest impact on non-compliances related to working hours, employment contracts and employee compensation. These insights can help global brands in their efforts to carefully review the supply chain and show them where to look for potential risks in their own supply chains. Participant of the Better buying Programs should also be better prepared to meet the requirements of the Supply Chain Act by using the detailed investigation of their own supply chains to identify human rights risks, eliminate existing impacts and prevent future ones in cooperation with their suppliers.

News

Action #AdidasReality: In mid-January, the #AdidasReality campaign took place. Clean clothes campaign In cooperation with the YesMen carried out, in the spotlight and aroused worldwide media interest about Adidas’ Hypocrisy and the PayYourWorkerscampaign. Among them were many reports in important German newspapers (e.g. mirrors, TIME, n-tv, faz and TagesspiegelIt has also been reported internationally (e.g. Guardian). The campaign started with a press release of the domain adidas-group.com, in which it was announced, inter alia, that a former garment worker and trade union leader from Cambodia, "Vay Ya Nak Phoan" ("clothing worker" on Khmer) to co-CEO next to Bjørn Gulden (Adidas The CEO should be appointed. The subsequent fake fashion show in Berlin showed the new clothing line "suffering-forward realitywear" and should address the plight of Adidas-reflect workers in the producing countries. Adidas He distanced himself from the action and dismissed the accusations. The CCC calls for: Bjørn Gulden continue on, the Pay your workersAgreement to be signed.

German Supply Chain Act: show of the day reported: A study on the implementation of the law in German companies that rbb24 Research This shows that most companies do not yet feel well positioned. Although the law has been in force since the beginning of the year, only about 4% of the companies surveyed said that they were very well prepared for it at the organizational level, while 70% consider themselves mediocre to very poorly positioned. They carried out the study of Federal Association of Materials Management, Purchasing and Logistics (BME) and the risk management company Integrity next. To the BME There are nearly 10,000 members from all industries, including all 40 DAX companies. Nearly 250 member companies participated in the survey, from small businesses to corporations with more than 50,000 employees. Only 13% of companies with more than 1000 employees have full transparency when it comes to risks such as possible human rights violations against their immediate business partners.

EU Supply Chain Act:

  1. While the German Supply Chain Act has entered into force since 1.1.23, German MEPs are actively trying to prevent an effective EU supply chain law. This criticises them Supply Chain Act initiative in an open letter to the Rhenish European Parliamentarians Axel Voss (CDU/EPP). On 30.11.22 the Member of Parliament published Voss, Shadow Rapporteur in the Parliamentary Committee on Legal Affairs (JURI), 198 partly far-reaching amendments to the current draft law of the EU Commission. Among other things, demand Voss and three other MEPs to remove various requirements for companies on climate protection from the future EU law. You want to completely exclude the downstream supply chain and the financial sector. Despite well-known human rights violations in European countries, such as the German meat industry or fruit and vegetable cultivation in southern Europe, EU countries are to be completely exempted from the regulations. Liability under civil law shall be Voss be limited to intent and gross negligence. In addition, the full application of the law for EU Member States is to be delayed by years. All in all, these proposals would render the EU Supply Chain Act completely ineffective. In one Research by Misereor and the Global Policy Forum It has also been revealed that MEPs have taken many of their proposals from business associations, some of which have even been copied verbatim (all information on this in the Twitter thread the Supply Chain Act initiative).
  2. Criticized in a paper FEMNET (in cooperation with other NGOs) required loopholes (Safe Harbours) for companies. Time and again, the question arises as to whether multi-stakeholder initiatives (MSIs) and certifications should play a role as proof of compliance with companies' human rights and environmental due diligence obligations, and if so, which ones? For some, membership in an MSI or submission of a certification should already be proof that the company complies with its due diligence obligations. Others hope that by joining MSI or using recognized certifications, companies can no longer be held liable for slight negligence. All these discussed roles for MSI and certifications are considered by the signatory NGOs to be dangerous loopholes to the detriment of people and the environment that need to be prevented. Also ZDF frontal Report on the new lobbying battle in Brussels and the Federal Government’s demand for a limitation of liability rules in the EU Supply Chain Act – apparently under pressure from the FDP and the industry (see also the news update of KW 43 '22).

Countries of production

Myanmar:
FEMNET Report about the place Sar Lin Gyi, Region sagaing, where the Military systematically burned 39 houses of unionized textile workers at the beginning of December have (further photos and information in Tweet from Khaing Zar Aung (IMFM)).

Bangladesh:

  1. An extensive survey of 1,000 manufacturers in Bangladesh, conducted by the University of Aberdeen, the Centre for Global Development and Transform trade, revealed that major fashion brands paid their producers below the cost of production. For example, 19% of Lidl’s suppliers stated that in December 2021 they had to sell their goods below the cost of production for: C&A This figure was 11%, for Kik 10%, for H&M 9%. The majority of Bangladeshi factories selling to 24 of the largest global retailers report paying the same prices almost two years after the start of the pandemic, even though the cost of raw materials has risen. 90% of the larger brands that shop at four or more factories have been accused of using unfair purchasing practices (here's the study).Impact of Global Clothing Retailers' Unfair Practices on Bangladeshi Suppliers During COVID-19"). Of the brands listed in the report, 12 are members of the Ethical trading initiative, which has already commented on the allegations.
  2. Out of 196 protests reported in Bangladesh in 2022, most (115) took place within the apparel industry. This Bangladesh Institute of Labour Studies (BILLS) reports that most of the riots were organised due to outstanding payments. 1169 people were killed in their jobs in 2022 (all sectors).

Indonesia:
The IndustriALL-Member organizations in Indonesia have replaced the Emergency Ordinance issued by the President in December last year with the Employment Creation Act (Perppu) Condemned. The controversial Omnibus law, officially referred to as the Job Creation Act, was adopted by parliament in October 2020, but declared unconstitutional by the Indonesian Constitutional Court. At the end of December 2022, the President adopted: Joko Widodo an emergency regulation on job creation, in order to: Omnibus law to replace, under the pretext of addressing the risks of the global recession in 2023 and attracting more foreign investment at the expense of workers’ rights. The unions argue that some provisions in the regulation give governors a margin of discretion in setting the minimum wage. For example, certain sectors could be exempted from the minimum wage regime and workers' rights could be violated.