90
edits
“The Low Price” of the textile discounter KiK – consequences for labour conditions in textile factories in Bangladesh: Difference between revisions
Jump to navigation
Jump to search
“The Low Price” of the textile discounter KiK – consequences for labour conditions in textile factories in Bangladesh (view source)
Revision as of 22:25, 22 January 2011
, 22:25, 22 January 2011no edit summary
No edit summary |
No edit summary |
||
| Line 51: | Line 51: | ||
“The phase-out of quotas led to price reductions and strong competition among the poor countries that export clothing and whose national income is heavily dependent on exports.” “The poor countries, competing to retain their clothing industry, try to offer the lowest wages. If, however, one looks at the various cost components from the viewpoint of the buyer/company, wages only account for 0.5-1 percent of the ultimate selling price of the product, as the following chart illustrates. In contrast, marketing and advertising, as well as the profit for the company in Germany/ Europe amount to about 25 percent of the endselling price. An increase in wages is, therefore “peanuts” in the eyes of the buyer.” <ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 13).</ref><br><br> <br> | “The phase-out of quotas led to price reductions and strong competition among the poor countries that export clothing and whose national income is heavily dependent on exports.” “The poor countries, competing to retain their clothing industry, try to offer the lowest wages. If, however, one looks at the various cost components from the viewpoint of the buyer/company, wages only account for 0.5-1 percent of the ultimate selling price of the product, as the following chart illustrates. In contrast, marketing and advertising, as well as the profit for the company in Germany/ Europe amount to about 25 percent of the endselling price. An increase in wages is, therefore “peanuts” in the eyes of the buyer.” <ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 13).</ref><br><br> <br> | ||
[[Image:Costs.jpg|frame|center|600x300px | [[Image:Costs.jpg|frame|center|600x300px]] | ||
This figure is adapted from the brochure of the CCC.<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 13).</ref> “Only around 14 percent (factory and wage costs) remain in the country of production, e.g. Bangladesh.” <ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 13).</ref> | This figure is adapted from the brochure of the CCC.<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 13).</ref> “Only around 14 percent (factory and wage costs) remain in the country of production, e.g. Bangladesh.” <ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 13).</ref> | ||
| Line 75: | Line 75: | ||
<br> | <br> | ||
==== Code of conduct - Usefulness? ==== | ==== Code of conduct - Usefulness? ==== | ||
The research study in 2008 by Khorshed Alam (AMRF, Alternative Movement for Resources an Freedom Society) shows that voluntary conducts aren’t useful. He was a second time interviewed by the journalist Christoph Lütgert („Panorama -- die Reporter" of the TV-channel ARD) in 2010 and he affirms his former statement that little has changed since the code of conduct has been proclaimed. Audits were made, but only at “good” factories or with well-prepared workers that were forced to say all is really nice in the factory. Sometimes auditors are even tricked. | The research study in 2008 by Khorshed Alam (AMRF, Alternative Movement for Resources an Freedom Society) shows that voluntary conducts aren’t useful. He was a second time interviewed by the journalist Christoph Lütgert („Panorama -- die Reporter" of the TV-channel ARD) in 2010 and he affirms his former statement that little has changed since the code of conduct has been proclaimed. Audits were made, but only at “good” factories or with well-prepared workers that were forced to say all is really nice in the factory. Sometimes auditors are even tricked. | ||
“The interviews with the workers established that there are massive violations against internationally accepted standards.“<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 37).</ref> | “The interviews with the workers established that there are massive violations against internationally accepted standards.“<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 37).</ref> | ||
“Nearly all the interviewed workers had never heard the term, Code of Conduct. However, they are aware that companies, buyers and auditors visit the factory and sometimes want to speak to the workers. During these visits, the factory owners put on a show. Toilets are cleaned. The workers are forced to declare that there is no child labour in their factory, that the working atmosphere is good and that their wages are paid on time. They should also say that they are entitled to take regular holidays, are not forced to work overtime and do not have to work at night. When questioned about their pay, they should say they earn more than they actually do. Workers who are very young or look too young are forced to stay away from work when buyers or auditors visit. In the case of unannounced visits, they are locked in the toilets. There are known cases of workers presenting the real situation to buyers and consequently being dismissed for doing so.” <ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 45).</ref> | “Nearly all the interviewed workers had never heard the term, Code of Conduct. However, they are aware that companies, buyers and auditors visit the factory and sometimes want to speak to the workers. During these visits, the factory owners put on a show. Toilets are cleaned. The workers are forced to declare that there is no child labour in their factory, that the working atmosphere is good and that their wages are paid on time. They should also say that they are entitled to take regular holidays, are not forced to work overtime and do not have to work at night. When questioned about their pay, they should say they earn more than they actually do. Workers who are very young or look too young are forced to stay away from work when buyers or auditors visit. In the case of unannounced visits, they are locked in the toilets. There are known cases of workers presenting the real situation to buyers and consequently being dismissed for doing so.” <ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 45).</ref> | ||
==== <br>Outlook ==== | ==== <br>Outlook ==== | ||
In this final part I like to show what can be possible strategies for the future, for example powerful conducts. | In this final part I like to show what can be possible strategies for the future, for example powerful conducts. | ||
===== Labour conducts ===== | ===== Labour conducts ===== | ||
A possibility is the proposed code of conduct of the clean clothes campaign (CCC), that orientates at the core labour standards of the ILO: “The following social standards are based on the conventions adopted by the International Labour Organisation (ILO) (the first four belong to the so-called core labour standards) and the universal declaration of human rights: the prohibition of forced labour, discrimination, the employment of children under 15 years of age, freedom of association, restriction on the number of working hours per week to 48 hours and a maximum of 12 hours of voluntary overtime, the right to a living wage, the employment relationship is stable and contractually regulated and best possible occupational safety and health protection.”<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 77).</ref> | A possibility is the proposed code of conduct of the clean clothes campaign (CCC), that orientates at the core labour standards of the ILO: “The following social standards are based on the conventions adopted by the International Labour Organisation (ILO) (the first four belong to the so-called core labour standards) and the universal declaration of human rights: the prohibition of forced labour, discrimination, the employment of children under 15 years of age, freedom of association, restriction on the number of working hours per week to 48 hours and a maximum of 12 hours of voluntary overtime, the right to a living wage, the employment relationship is stable and contractually regulated and best possible occupational safety and health protection.”<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 77).</ref> | ||
| Line 95: | Line 95: | ||
“For a globally effective programme framework, we need a strong international community of democratic states with the ability to take action. The impact of binding regulations with respect to transnationally operating companies can develop better, when as many states as possible – e.g. in the EU, OECD and the United Nations – take co-ordinated action to achieve these goals.”<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 68)</ref> | “For a globally effective programme framework, we need a strong international community of democratic states with the ability to take action. The impact of binding regulations with respect to transnationally operating companies can develop better, when as many states as possible – e.g. in the EU, OECD and the United Nations – take co-ordinated action to achieve these goals.”<ref>Who pays for our clothing from Lidl and KIK? Published at Kampagne für Saubere-Kleidung (Clean Clothes Campaign; CCC). Published as brochure at January 1st, 2008: http://www.saubere-kleidung.de/downloads/publikationen/2008-01_Brosch-Lidl-KiK_en.pdf (p. 68)</ref> | ||
<br> | |||
==== Potential research questions ==== | |||
- “The little price” of the textile discounter KIK - consequences for labour conditions at textile factories in Bangladesh. (Who is paying for it at last?; How KIK manages to sell clothes very cheap?)<br>- Which influences has the market power of a discounter on the prices of production in a global market?<br>- Are voluntary negotiated agreements useful? | |||
- “The little price” of the textile discounter KIK - consequences for labour conditions at textile factories in Bangladesh. (Who is paying for it at last?; How KIK manages to sell clothes very cheap?)<br>- Which influences has the market power of a discounter on the prices of production in a global market?<br>- Are voluntary negotiated agreements useful? | |||
<br> | |||
==== My next steps for developing the case study to a final version ==== | ==== My next steps for developing the case study to a final version ==== | ||
I have to rewrite the case study and show my own arguments that can be supported by some quotes. I need to include other resources on this subject that support the already mentioned ones and give some theoretical background information. | I have to rewrite the case study and show my own arguments that can be supported by some quotes. I need to include other resources on this subject that support the already mentioned ones and give some theoretical background information. | ||
<br> | <br> | ||
=== References<br> === | ==== References<br> ==== | ||
<references /><br> | <references /><br> | ||
<br> | |||
=== Literature review<br> === | === Literature review<br> === | ||