U.S. foreign policy and labor practices in Bangladeshi garment manufacturing

Foreign Policy Dealing With Clothing Manufacturing in Over Seas Third Countries Bangladesh

The objective of this study is to answer as to what the problem is in dealing with U.S. clothing manufacturers who have their clothing created in third world countries such as Bangladesh in the view a leader and specifically a president in the free world. Specifically this work will answer as to what can be legally done and what sanctions might be put in place. This work will identify stakeholders and makers of the program and who would be involved in providing input during the programs development stage and what problems with the cultural environment might exist in addressing this problem. Further, this work will answer as to what might assist or present as a barrier to the program and examine historical implications and treaties or amendments that might be enforced. This work will additionally address how the message might be best spread and how success would be measured. Finally, this work will address the implications of violation of the program and sanctions that might be imposed if the laws in place are violated.

Introduction

According to the Cultural Survival website, there is presently a debate "among feminists as to whether industrialization is good for women." (2010, p.1) Industrialization has presented the chance for women to "get out of the house, to break away from the stifling constrictions of domestic patriarchy." (Cultural Survival, 2010, p.1) The manufacturing countries in foreign countries such as Bangladesh hired women workers in those countries in an effort to reduce labor costs and it is reported that these labor practices were specifically adopted by manufacturers or textiles, garments, and footwear. Simultaneously, international lending and aid agencies including the International Monetary Fund is reported to have pushed the Third World country elites to focus on increases of foreign financed industrial goods for export which would serve to bring about an increase in the imbalance of payments that resulted from imported oil price increases, foreign luxury goods purchase by the private sector for local government and elites in weapons that were costly and used to support their regimes. (Cultural Survival, 2010, paraphrased)

II. The Apparel Industry Codes of Conduct

According to the U.S. Department of Labor the form that company policies on apparel industry codes of conduct are widely varied between companies since some companies have developed their own codes of conduct that sets out values, principles and guidelines relating to such as child labor or their intentions on how they will conduct business. However, some companies who were surveyed have no such formal code of conduct. It is reported that another method used by companies to state their code of conduct is the use of compliance certificates, which are reported to:

Generally require suppliers, buying agents, or contractors to certify in writing that they abide by the company's stated standards prohibiting the employment of children.

Still others state their child labor policies in formal documents such as purchase orders or letters of credit, making compliance with the policy a contractual obligation for suppliers.

Some companies have both formal codes of conduct and contractual clauses or a certification form. Others' policies on child labor are exclusively contained in contracts or certification forms rather than in a formal code of conduct. (U.S. Department of Labor, nd, p.1)

There are also differences among companies in how they have created their codes of conduct. Some of the pioneer companies in establishing codes of conduct designed their own codes independently, based on their needs and experiences and sometimes drawing on existing models such as multilateral codes of conduct (e.g., ILO and OECD), private sector initiatives (e.g., the maquiladora standards), and internationally-recognized labor standards set by the ILO. United States corporations that have adopted codes of conduct more recently have benefitted from the experiences of corporations that took this path earlier." (U.S. Department of Labor, nd, p.1) The responses to the survey reported by the U.S. Department of Labor include those stated as follow:

(1) Thirty-three out of 42 companies that provided reportable responses have corporate codes of conduct, statements of principles, or compliance certificates specifically addressing child labor in overseas production;

(2) Twelve respondents do the same through contract requirements contained in purchase orders, letters of credit, or buying agent agreements;

(3) Nine respondents use a combination of both type of policy; and (4) Six respondents have no policy on overseas child labor. (U.S. Department of Labor, nd, p.1)

Survey results indicate that the development of codes of conduct is not a static field but instead is quite dynamic and characterized by experimentation. Included in the results are the following findings:

(1) Some companies have policies that are applied to both domestic and international production, while others have policies that only refer to domestic production and have not yet developed a comparable policy for overseas manufacturing.

(2) Many of the companies have recently revised their codes of conduct or policies, usually expanding them to include new features, such as implementation strategies. These revisions reflect the fact that many companies are learning how to promote and implement a code as they go along.

(3) Several companies indicated that they are in the process of reviewing their existing code or considering the introduction of a code. U.S. Department of Labor, nd, p.1)

Reported as basic elements and standards of codes of conduct are those with the following elements:

( 1) prohibitions on child labor;

( 2) prohibitions on forced labor;

( 3) prohibitions on discrimination based on race, religion, or ethnic origin;

( 4) requirements to ensure the health and safety of the workplace environment;

( 5) provisions on wages, usually based on local laws regarding minimum wage or prevailing level in the local industry;

( 6) provisions regarding limits on working hours, including forced overtime, in accordance with local laws; and ( 7) Support for freedom of association and the right to organize and bargain collectively. (U.S. Department of Labor, nd, p.1)

It is reported that while many of the corporate codes of conduct serve to address the same set of labor standards that there are differences of a significant nature on the definitions of these standards with corporate codes often following international definitions of labor standards. In other cases, the corporate conduct codes define the standard. The majority of companies responding to the survey have a policy that in general requires that their business partners are in compliance with the applicable laws and standards of the host country and industry. Many respondents in the U.S. Department of Labor study reported a requirement that their suppliers, buying agents and contractors abide by their policies on labor through contractual agreements or certification processes.

It is reported in the U.S. Department of Labor report that on-site evaluations or inspections have been used to verify the capacity of the facility to meet specifications of quality and quantity. As well, working conditions and employment practices of prospective contractors are examined and companies screened out that are in violation of such practices. Reported is the following stated information:

(1) Several of the companies that conduct such evaluations indicated that compliance with their policies on working conditions is an important factor in the decision to place a production program with a contractor. These evaluations, according to many, enable them to screen out contractors who do not comply with applicable legal standards or who do not meet a company's own standards.

(2) A few respondents indicated that such pre-contract inspections had enabled them to avoid doing business with a facility that appeared to employ under-age children, but most reported that when facilities are rejected, it is usually for other reasons. (U.S. Department of Labor, nd, p.1)

The report entitled "The Apparel Global Value Chain: Economic Upgrading and Workforce Development" reports that in the value chain segments focused on production, that the private sector has held a "…leading role in workforce development and most firms offer internal training of entry level employees. While there have been a number of attempts by both the public sector and donor agencies to engage TVET training schools in the industry, such as in Bangladesh which doubled its available trained workforce for the industry through the expansion of TVET institution after the end of quotas in 2005, there are few examples of significant success. Indeed, in several cases, such as the 2007 DFID-funded program in Bangladesh and DFID's training institution in Lesotho, programs were closed after a short period and graduates of the training program did not necessarily enter the sector's workforce. Private training institutions established by industry associations or by private firms appear to have had greater success in this stage of the value chain." (Duke Center on Globalization, Governance & Competitiveness, 2011) Also reported in the study is that in Turkey and Sri Lanka, that the industry has "upgraded to higher stages of the apparel value chain" observed was the stakeholder coordination along with public private partnerships that support development of the workforce and that characterizes an alliance "established to cover skill shortages in the country and to improve the quality of those skills. For instance, in Sri Lanka, JAAF, a collaboration between the private sector and the government, engaged with several different educational institutions to improve the curriculum at the state Sri Lankan Clothing Industry Training Institute and the Textile Training & Service Center. In Turkey, the Istanbul Fashion Academy was established in collaboration with the EU and the Istanbul industry association, IKTIB, as part of the Fashion and Textile Cluster in 2005. The academy trains students on the use of the latest technology, fashion, design, fashion product development, as well as fashion photography, media, management, and marketing." (Duke Center on Globalization, Governance & Competitiveness, 2011) It is reported that Bangladesh, Sri Lanka, and Turkey have all have "established relationships with universities in developed countries. The London College of Fashion has relationships with institutions in all three countries, while others include institutes and universities in both textiles and fashion in France, Germany, Italy, and the United States. Fostering collaboration with successful training institutions in the developed world can speed firm level learning for upgrading, rather than the more timely process of learning through experience." (Duke Center on Globalization, Governance & Competitiveness, 2011)

III. Solutions

It is clear that lack of standardization is a problem with codes of conduct and employment practices in foreign country textile and garment manufacturing locations. It is clear that vital aspects of bringing about improved working conditions in these industries is reliant on the development of public-private partnerships, government and educational initiatives, provision of knowledge to workers in these industries regarding their rights and opportunities, and regulation of this industry that is standardized on a global basis.

The best method of spreading this information to workers across the globe is typically through online initiatives however, in many developing countries the workers do not yet have access to the Internet therefore, news of educational and development for workers in the textile industry should be funneled through local agencies in partnership with initiatives for development of worker skills in developing countries.

There is not one solution that will in and of itself serve to reduce violations related to worker rights or that will serve to increase skill development and advancement potential for workers in the textile industry in countries such as Bangladesh. Instead, a myriad of methods will be necessary to implement this initiative and as such, the initiative will necessarily require the backing of both public and private funding so that the information can be dispersed and disseminated among textile industry workers in foreign countries such as Bangladesh.