Femnet e.V.

12.12.2022: News from KW 49

Studies and Co.

Greenpeace "More SHEIN than Being - Dangerous Chemicals and Nature Destruction as a Business Model": Greenpeace has 47 items, including garments and shoes for men, women, children and toddlers about SHEINWebsites purchased in Austria, Germany, Italy, Spain and Switzerland and from the independent laboratory BUI (the Bremen Environment Institute) to be examined. The result: Seven samples (15 percent) contained hazardous chemicals that violate EU limits under the REACH-infringement of the Regulation. In 15 products (32%) hazardous chemicals were present in worrying quantities. Da SHEIN Selling directly through its app and social media online, many transactions pass by the authorities. Greenpeace calls, therefore, for better controls and more far-reaching directives. Public eye has in one update All research on SHEIN and the reactions of the group summarized and criticized the lack of awareness of the problem SHEINs. The company is not aware that the far too low prices, the SHEIN Factories pay together with the tight delivery times and the pressure to produce new models again and again, for many grievances at the business partners are jointly responsible. If grievances are detected during the sporadic inspections, the suppliers must correct them or SHEIN terminate the cooperation. With a new "Head of Sustainability", special collections and charity campaigns SHEIN In addition, greenwashing and distracting from the actual problems (more on SHEIN in the news update of KW 43).

ReMake "Fashion Accountability Report": For the 2022 report, ReMake 58 large companies, including the textile alliance companies H&M (32 out of 150 possible points), Adidas (26), Puma (26) and Primark (14). Overall, the investigated companies performed as follows in the categories: Traceability 11.3%, wages & health 6.3%, business practices 6.7%, raw materials 10%, environmental protection 9.5%, corporate governance 7.1%. In addition, the report examines whether the companies Accord They asked if they were forced to do forced labour. Uiguiren in Xinjiang position and whether they commit to dealing responsibly with pandemic-related wage theft. The report reveals major shortcomings in the industry: Only 3% of the companies examined (ASOS & Puma) published supplier lists that allow full traceability down to the Tier 3 processing plants at a level of detail sufficient to enable the Transparency Pledge to be fulfilled; none of the companies pays a living wage to all workers in the supply chains; none has adequately demonstrated that it actively protects labour rights and the well-being of raw material producers; None was sufficiently transparent about what happens to the clothing collected under its take-back programmes, e.g. what proportion is exported to the Global South.

International Labour Organization "Asia-Pacific Employment and Social Outlook" (PDF): The report summarises the latest statistics to update the impact on workers and businesses in the region since the start of the COVID-19 pandemic almost three years ago. It also examines longer-term trends to get a detailed picture of where and how people work in the region, focusing on the sectoral composition of employment and its relationship to decent work and development outcomes. Almost one in four workers in the region's manufacturing sector works in the clothing sector. Thus, while this sector is the most employment-rich sub-sector of the manufacturing sector, it is also the only one that contracted both in the years before and during the pandemic. Against the background of increasing economic, political and environmental uncertainties, the ILOthat only by reshaping the functioning of labour market institutions can countries achieve a breakthrough towards a people-centred future of work linked to inclusive and sustainable growth.

News

EU Supply Chain Act: The Council has its Negotiating position ("general approach") on the Corporate Sustainability Due Diligence Directive (PDF) is fixed. In the Press release The directive will help the EU make the transition to a climate-neutral and green economy, as it does in the European Union. Green Deal and the UNSustainable Development Goals (SDGs) are described. By: letters (PDF) to the Ministers ECCJ (European Coalition for Corporate Justice) with 50 other NGOs in the run-up to pressure the Council to support a strict directive. The initiative Supply Chain Act Criticism in one Press release, that arms exports are not covered and that very limited due diligence obligations are foreseen for financial services. In addition, exporters would not have to deal with the use of their products. Thus, for example, agricultural corporations would be fine-tuned, even if their pesticides harm the health of farmers and plantation workers. In addition, the Federal Government announced in a protocol note that it would only agree to the EU Supply Chain Act in the end if required loopholes are included ("Safe Harbour"): Anyone who uses certain certifications or participates in industry standards would therefore not be liable for damage caused by negligence. On the positive side, however, the directive is intended to apply to the entire supply chain and companies are liable in civil courts in the EU for damages caused by breaches of due diligence obligations.

Tazreen brand: Ten years ago, on November 24, 2012, 117 people died in the Tazreen factory fire. Exactly six months later, 1,135 people died in the rubble of Rana Plaza. The ‘Convention on Building Safety and Fire Protection in Bangladesh’ (Bangladesh Accord) was a reaction to these tragedies and has successfully helped to prevent such misfortunes in the clothing industry. Nevertheless, leading companies producing in Bangladesh have not signed the agreement to date, among them: Tom Tailor, Deichmann, IKEA and Amazon. FEMNET and ECCHR have therefore contacted the aforementioned companies together with other supporters and asked them to sign the Accord, in order to fulfil your duty of care in the field of occupational safety and health – as will be provided for in the German Supply Chain Act from 2023. They stated that they are convinced that the non-signature of the Accord is a breach of due diligence and announced that, therefore, with the implementation of the Supply Chain Act, all available legal means will be used to hold companies accountable (here Let's go to the summary reel. Instagram). Victims and survivors of the factory fire have not yet experienced justiceThe indictment process in Bangladesh has stalled.

World Cup & Adidas: In one joint research examined flip and The time the German National Jersey. Adidas states that the "performance version" shirt is particularly sustainable and advertises that the yarn of the shirt is half made of "recycled plastic waste, on remote islands, on beaches and in coastal regions of Parley for the Oceans It will be "collected." However, research reveals that much of the ocean plastic Adidas Uses, not collections, which Parley for the Oceans Organized and supervised, originated. The share that the environmental organization provides is according to flip and time Only about 20%. The remaining 80% comes from a second supply chain. Adidas self-organized. In the documents, they are referred to as "volume countries": Dominican Republic, Thailand and the Philippines. There are formal garbage collectors in the Philippines, but the majority of the collectors are informal and work under pitiful circumstances at insufficient wages. There are also many children who collect garbage to support their families. Internal mails from Adidas, the flip It is clear that two years ago a manger was already concerned about human rights violations against suppliers of ocean plastics, Adidas There are accusations of child labour. After Adidas When confronted with the results of the research, Adidas said the waste "is exclusively from beaches and coastal regions in Thailand." Parley However, it does not operate in Thailand, the proportion of ocean plastic produced by Parley So it's 0%, but still writes. Adidas in the neckline of the jersey: "Made with Parley Ocean Plastic". If the accusations are true, it would be label fraud. In one Article of New York Times It was discovered that workers from YangonMyanmar earns less than $3 a day Adidas Making shoes. The report also covers cases of union busting. Adidas-suppliers (see also the news update of KW 45 on Union Busting in Myanmar).

Countries of production

General update: The decline in demand continues to lead to factories being closed and workers being laid off in many countries. In Ludhiana (India) be the Demand drops to 40-50% in many industriesMany workers are asked to pause for up to two months. In Vietnam the low order situation affects about 630,000 workers (e.g. textile and electrical industry), about 570,000 working hours have been cut, about 34,000 have lost their jobs. In Ho Chi Minh City must be approx. 50,000 workers (mainly from the textile industry) get along with lower wages. In Chattogram (Bangladesh) have over 20 factories announced to pause production for 45 days. 170 of the 500 factories in Chattogram They have been temporarily closed in recent months. Also Due to the lack of gas, production has fallen by 40-50%..

China: The Fire in a factory in the central Chinese province Henanwhere 38 people died, according to media reports, was caused by electrical welding work in violation of the regulations. Many of the victims were women who made winter clothes and trousers from cotton in the factory. An initial investigation revealed that a welding process on the first floor, which was also used as a bearing, was responsible for the accident. In the process, cotton fibers ignited, which then set fire to large stacks of fabrics. Many of the victims on the second floor were suffocated..

Cambodia: The 97-page report, "Only 'Instant Noodle' Unions Survive: Union Busting in Cambodia's Garment and Tourism Sectors" of Human rights watchDocuments how the Cambodian government and some employers used various legal and administrative tactics during the pandemic in Cambodia to weaken the independent trade union movement in Cambodia and violate workers' rights. The measures taken to address the severe economic impact of the pandemic have: Punish independent unions while favoring employer-friendly unions that could quickly register with the government, such as "making instant noodles," to put it in the words of a prominent union leader. In Phnom Penh It happened at the beginning of November Protests by workers after a union leader was dismissed. After the protests, two more workers were dismissed who wanted to found a trade union. One worker said she would file a complaint with the Ministry of Labour to have the three workers reinstated. The factory had already laid off five workers in August, but a protest by around 800 workers led to their reinstatement.

Companies in the Textile Alliance

Eagles Received for the time being no higher state bridging aid. A corresponding lawsuit by the company was rejected by the Administrative Court of Würzburg in November. Eagles had applied for aid amounting to almost EUR 43.7 million. In December 2021, according to the IHK However, only EUR 14.7 million was disbursed. The IHK explained the decision in a statement: ‘In the view of the Court of First Instance, Eagles fail to demonstrate the period during which the retailer was in economic difficulties and which companies are attributable to the group’.

Gerry Weber confirms its annual forecasts and continues to expect a Turnover in the range of EUR 315-340 million off. From January to September, sales amounted to EUR 247.4 million, 30.2% higher than in the previous year. In all three sales channels Gerry Weber Growing strongly: Own brick-and-mortar retail trade EUR 116.0 million (+34.4%), e-commerce EUR 41.5 million (+35.6%), wholesale trade EUR 89.8 million (+23.0%).

Adidas: In the third quarter, Group sales of Adidas EUR 6.41 billion (+11.4%). However, the company had already lowered its annual targets in October due to the weaker general conditions (see news update of KW 45). Due to the Closed partnership with the controversial US rapper Kanye "Ye" West has Adidas the Revenue and margin forecast surprisingly lowered once again and now expects profits of EUR 250 million in the current year (instead of EUR 500 million as in mid-October).

Primark As expected, the 21/22 financial year ended with strong increases in sales and earnings. In the past financial year, sales therefore amounted to just under £7.7 billion (€8.8 billion). This exceeded the previous year's level by 38%. The company was largely satisfied with the business development in the UK, Ireland and the USA. In continental Europe, consumer confidence is currently weaker than before the pandemic (revenues are 16% lower than in 18/19). Special Concerns Primark The German market: Due to the decline in land productivity, the profitability of the sites in Germany has now fallen to an ‘unacceptable level’. Primark Also published the "Primark Sustainability and Ethics Progress Report 2021/22", which presents the results of the sustainability strategy. Concretely committed Primark to become more sustainable in four main areas: Use of more sustainable materials, design process design for recycling, use of less CO2 and single-use plastic, guarantee of living wages and fair working conditions. Working for the last point PrimarkAmong other things, with the Anker Research Institute and ACT together. A living wage for workers in PrimarkSupply chains (Bangladesh, Cambodia, Turkey and Vietnam) are not to be reached until 2030.