Retailers to inspect garment factories in Bangladesh
DHAKA, JULY 8: The European Union (EU) has made it clear that Bangladesh cannot take the trade preferences to the EU market for granted and that appropriate action will be considered if there is
insufficient progress for the workers. “I want to make it clear that Bangladesh – or for that matter any other Least Developed Country – cannot take for granted the trade preferences it currently enjoys,” EU Trade Commissioner Karel De Gucht told a press conference in Geneva on Monday after hosting a high-level meeting in response to tragedies in workplaces in Bangladesh.
“Under the “Everything But Arms” scheme, the EU may consider appropriate action should there be no, or insufficient progress for Bangladeshi workers,” he said.
Representatives of the Bangladesh government, US government, International Labour Organisation (ILO), employees, industry, employers and key stakeholders took part in the meeting titled “Staying Engaged – A Sustainability Compact with Bangladesh”.
“Bangladesh enjoys an extremely favourable trade regime under the EU’s “Everything But Arms” initiative. This is of particular importance for ready-made garments, which represent about 90 per cent of Bangladesh’s exports to the EU. These enter the EU market with no restriction: duty-free and quota-free. These exports to the EU account for about 2.5 million jobs – mostly for women. “Everything But Arms” is therefore a major contributor to job and income generation for millions of people in Bangladesh,” said the Commissioner.
He, however, assured EU assistance for Bangladesh in addressing the issues relating to labour rights and safe working.
About the initiative, De Gucht said, “As you are aware, I took the initiative of convening this high-level meeting in Geneva today to reduce the risks of another Rana Plaza-type tragedy happening again in Bangladesh. All of us here today are committed to doing our utmost to prevent such a terrible loss of life in the future.”
“Let me be clear: this is the start of a journey together and one that is not going to be easy,” he said.
“I am pleased that we are able to launch today a major multi-stakeholder “Compact” or agreement to improve labour rights, working conditions and factory safety in the Ready-Made Garment industry in Bangladesh. The Compact commits us – the Government of Bangladesh, the European Union, and the International Labour Organisation (ILO) – to a number of time-bound actions,” he said.
“Today´s “Compact” is a key step and we expect the Bangladesh government to continue working closely with ILO, industry and trade unions to improve the day-to-day life for workers,” he added.
The EU Trade Commissioner outlined few issues with regards to labour rights and working conditions in Bangladesh such as reform of the Bangladesh Labour Law to strengthen workers’ rights – in particular regarding freedom of association and the right to collective bargaining, and to improve occupational health and safety.
“New rules must be in place by as soon as possible after the adoption of the new labour law. The ILO will monitor the effective enforcement of the new legislation,” he said.
De Gucht also talked of improving building and fire safety, especially structural safety of buildings and fire safety in ready-made garment factories, by June 2014. The ILO will help to coordinate efforts and mobilise technical resources.
He mentioned recruiting 200 additional inspectors by the end of 2013, as part of the efforts to ensure regular visits to factories and assess them in terms of working conditions, including occupational safety and health, and compliance with labour laws.
“What happened in Bangladesh just over 2 months ago is simply unacceptable. It is our duty to change this situation and quickly,” noted the Commissioner, adding, “EU lawmakers and European consumers expect reassurances that Bangladesh is moving in the right direction.”
De Gucht further said, “The first true test of Bangladesh’s commitment will of course be the adoption by its parliament of a revised Labour Law at the end of this week or early next week. The objective is to beef up crucial aspects of the Labour Law – notably freedom of association, the right to collective bargaining as well as improved occupational safety and health.”
“I expect this revised Labour Law to apply to all workers, including those in Export Processing Zones. It is essential that the workers in such zones enjoy the same rights and working conditions as workers in other parts of Bangladesh,” he said. The Commissioner, however, said, “I realise that this will be a challenging task for Bangladesh. I am fully aware of the need for Bangladesh to receive support.”
“Let me be clear: The EU is ready to help,” he said.
“We have also discussed this “Compact” with our American partners. They are still in the decision-making process on joining the initiative,” he added.
Meanwhile, a group of 70 retailers have agreed to a plan to conduct inspections of garment factories in Bangladesh in an attempt to improve safety standards.
They will provide details of factories they source goods from, which will be inspected within the next nine months.
Funds will be made available for any safety upgrades needed at the units.
The legally-binding code was announced earlier this year after the collapse of a garment factory in Bangladesh in April killed more than 1,100 people.
The eight-storey Rana Plaza building came crashing down on 24 April, a day after cracks had been spotted in the building. It was the deadliest in a series of accidents that have resulted in global attention being focussed on safety standards in Bangladesh’s garments export industry, the second biggest in the world after China’s.
‘Strong coalition’
Several big names, including Sweden’s H&M, the biggest buyer of Bangladeshi-made clothes, signed up to the code after the incident.
It requires them not just to meet minimum fire and building safety standards, but also to pay for them.
Other signatories include Inditex, which owns Zara, Benetton, Metro, Carrefour, Marks and Spencer, Tesco, Esprit and Abercrombie & Fitch.
“This historic, legally binding accord will effect tangible change on the ground and help make the Bangladeshi garment industry safe and sustainable,” said Jyrki Raina, general secretary of IndustriALL, a labour group which played a key role in creating the pact.
Mr Raina added that the factory fires and collapses in Bangladesh over the past few years indicated that efforts by individual retailers had “proved insufficient” in addressing the issue.
“A profound change is possible only with a strong coalition between trade unions, international brands and retailers, Bangladeshi authorities and employers, and with worker involvement in the workplace with guaranteed freedom of association.”
The International Development Secretary, Justine Greening, said UK companies needed to play their part in helping raise standards: “British business must be a force for good in the developing world too, so that together we can help end aid dependency through jobs.”
-With The Independent input
