Taking responsibility for social standards across global supply chains

“We are ALL responsible! We ALL have to help find the solution…” (participant’s comment)

A summary report on the JO-IN Turkey Project’s International Consultation,

held at Bosphorus University on May 15, 2007

When

The JO-IN International Consultation took place as the Implementation Phase in the 5-year JO-IN Project draws towards its conclusion, with the setting up of the “remediations processes” in the participating workplaces. The JO-IN Project ends in December 2007.

Who

JO-IN’s key emphasis during its implementation phase has been on the maximum inclusion of stakeholders. The May 15 consultation brought together

-                          JO-IN’s Turkish Local Working Group[1] (consisting of Turkish clothing manufacturers, trade unions, NGOs, Global “Brands” based in Turkey, and JO-IN’s Turkey-based staff),

-                           the JO-IN Steering Committee (the 6 member organizations, based in Western Europe and North America), and

-                          the JO-IN International Advisory Panel (comprising International Trade Unions and NGOs, and Brand Head Office representatives).

Why

The JO-IN Project is specifically Turkey-focused. But it is also a Pilot, for global reference. How the emerging lessons from the Project can be applied to the broader global context, is a frequently asked question. And how the global realities impact on progress with the Project in Turkey is of equal relevance. Thus, a Consultation bringing together local and global actors provided an essential broadening of perspective.

The Agenda

Carefully designed to maximize the opportunities for discussion and interaction, the Agenda for the Consultation covered

-                          an update on progress with the current JO-IN “remediations” phase

-                          a lengthy session on a core JO-IN focus: Freedom of Association, with presentations and breakaway group work

-                          a Turkish case study highlighting progress in JO-IN Code compliance, arguing the business case for enhanced social standards

-                          a second lengthy session on the other 2 JO-IN focus areas: Wages and Hours-of-work, again with presentations and breakaway group work.

                          

                           JO-IN Chairperson, Vic Thorpe speaks from the "top table" at the May 15 event at Bogaziçi University

Progress Report

JO-IN’s Turkey-based staff updated participants on progress with the “remediations” at the 6                

(1)   the basics such as legal minima

(2)   the Freedom of Association “climate” issue (e.g.. whether workers are genuinely free to express their workplace concerns without fear of negative consequences)

(3)   the “Big Picture” issues which underlie the current situation in Turkey e.g. :

-                          Industrial Relations policy, law, and practice;

-                          Production systems operating in the garment sector factories;

-                          the Sourcing, Pricing and Ordering practices of the international buyers (i.e. the “Brands” and Retailers.) 

The Freedom of Association (FoA) “climate” issue

Introductory presentations by JO-IN highlighted

(1)    the structural weaknesses in worker representation systems which are  evident in the Turkish workplaces participating in the JO-IN Project;  and

(2)    the failure of current Turkish legislation to meet ILO FoA standards, which is a major underlying cause for the problems which exist  at workplace level.

Developing the FoA theme, Nike presented its experiences in attempting to promote FoA with reference to different experiences in Thailand, Mexico and Bangladesh. Nike’s “lessons” from these global experiences were

(1)   the need for management and trade unions to learn to trust one another

(2)   the need for management to see the business advantage of “investment” in better workplace relationships

(3)   the need to resolve disputes between management and workers at the lowest possible level, and for workplace structures which would facilitate this.

                    Compliance Director, Caitlin A. Morris presents lessons from Nike's experience in promoting FoA globally

The Gap reported on its experiences in Cambodia and India, in collaboration with International Trade Unions, to develop better employer-employee relationships. The hope is that improved relationships will lead to better productivity, and there is indeed growing evidence that this is happening.

Reporting on the situation in Turkey, the DISK-affiliated Tekstil trade union presented on the need to look for an industry-wide and participative solution to a current problem which is actually based in Turkish social history. A framework collective bargaining arrangement for the industry is needed, which should involve, e.g.

-                          reforms in trade union structure and practice, to modernize unions and make them more representative, and closer to workers’ daily concerns;

-                          better access for workers to trade unions, and better access for trade unions to workers;

-                          audits of social standards at workplaces which work with trade unions instead of bypassing them. 

Breakaway groups, based on different interests, then discussed how best to make progress with the FoA challenges in Turkey.

Group report backs highlighted:

From clothing manufacturers, the need to develop an industry-wide solution. This would require employers to group together more effectively, in an association for collective bargaining and lobbying purposes. Trade unions should be challenged to either represent workers concerns effectively, or to concede that workers will choose other structures that will do the representation job better.

From Turkish local  representatives of brands came a call for FoA training for both management and workers. This training must demonstrate clear gains for both sides.

From the International Brands , the need for a system of grievance-handling that is locally based. Problems should be solved quickly and effectively at the lowest possible level (e.g. within workplaces themselves) and not escalated to International level.

From the Labour/NGO group came a call for employers and Brands to apply pressure to government for a fair legal framework for FoA.  Codes of Conduct would never become more than token until workers were given access to structures outside the workplace to help address grievances. Trade unions should be accredited to follow up on complaints, and be given access rights to complainants, and to other workers to carry out cross-checks

A Turkish case study: Progress towards better social standards at Yesim Tekstil and its sub-contractors.

Yesim Tekstil,  one of the 6 Turkish manufacturers participating in the JO-IN Project, presented on progress made in compliance with the JO-IN Code of Conduct. Yesim argued that a thorough approach to Quality will always include a serious approach to Social Compliances, i.e. good business practice and social compliance go hand in hand.Based on earlier progress in terms of the SA8000 Code, Yesim reported on how it had  succeeded in raising a number of its sub-contractors to a better level of compliance.

The Wages and Hours-of-work issues

JO-IN-member organization, the Workers’ Rights Consortium presented on the mutual responsibilities on stakeholders up and down the clothing industry’s global supply chain.

It was a mistake to pin all blame for low wages and excessive working hours onto suppliers, if Brands’ and Retailers’ pricing, sourcing and ordering practices impacted adversely on suppliers’ capacity to pay decent wages and to manage production schedules rationally.

The Gap expanded on this issue, by reference to a 3-year research into the impact of brand sourcing and pricing practices on supplier capacity to deliver on compliance. As a result of the study, The Gap now ensured compliance staff attended the meetings of their sourcing and pricing staff, so that the domino effects along the supply chain of problematic sourcing practices were clearly understood.

Mixed-interest breakaway groups then convened to discuss a strategy for Wages/Hours compliance in Turkey, and also to consider the future existence of the Turkish Local Working Group once the JO-IN Project winds up in December 2007.

Group report backs highlighted the participants’ major concerns, for example:

• The connections/impacts along the global supply chain are real, and impact social compliance unavoidably. Placing sole blame onto one or other point along the chain is not fair, and will not lead to solutions
• Suppliers and Brands have to work in stronger partnerships, and suppliers have to increase their efficiencies and compliances through better-trained managers
• NGOs will need to help unions – who are currently weak on-the-ground in Turkey -  with compliances training
• The failure of the Turkish State to deliver on workers’ rights  (in law, and in practice via the inspectorate) places additional burdens on civil society
• Codes of Conduct must be taken seriously, and not used as smokescreens: elements to Codes which no-one intends to implement should be taken out, so that Code compliance becomes a serious matter, and not just a PR exercise
• A “mature” industrial relations system must be the goal in Turkey. In such a system, “standards of representation quality” must be expected of unions too, and if they meet such standards they must have rights of access to workers to help deal with workers’ concerns
• Bodies such as the JO-IN member organizations must help by developing localized avenues for workers to bring forward their complaints e.g. workers must be able to complain in their own language, to local monitors who can be trusted by workers to maintain confidentiality.   

Some comments on the day

“The setting? 10 out of 10!  And really important issues were raised.”

 (ex-student of Bosphorus University, now a leading manufacturers’ representative)

“I give the program and discussions 8 out of 10.”

 (Brand Head Office representative)

“We need more of these discussions. It does help.”

 (Low-volume Turkish clothing manufacturer)

“We’ll judge it by the results. So we wait and see.  What will happen after JO-IN closes down in December 2007?.”

 (Turkish trade union representative.)