Corporate Social Responsibility
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Corporate Social Responsibility (IVOR nr. 77) 2010/10.2.1:10.2.1 The jeans manufacturer FFI/JKPL
Corporate Social Responsibility (IVOR nr. 77) 2010/10.2.1
10.2.1 The jeans manufacturer FFI/JKPL
Documentgegevens:
Mr. T.E. Lambooy, datum 17-11-2010
- Datum
17-11-2010
- Auteur
Mr. T.E. Lambooy
- JCDI
JCDI:ADS363403:1
- Vakgebied(en)
Ondernemingsrecht (V)
Deze functie is alleen te gebruiken als je bent ingelogd.
India is well known for its large textile industry. A major production area lies in and around Bangalore in the state of Karnataka. This region was booming and more than 600,000 people worked in the textile industry until the global financial crisis also reached India.
The companies Fibres and Fabric International Private Limited (FFI), its subsidiary Jeans Knit Private Limited (JKPL; hereinafter together referred to as FFI/JKPL), and its Italian affiliate Tintoria Astico s.r.l. (Tintoria) are led by a fabric designer and a software expert. Due to this combination, the company processes are progressive and innovative, not only by Indian standards, but also by European standards. They develop new fabrics and fashionable jeans, mainly designed for Western customers. Many of the fabrics used in the Bangalore production process are developed and produced by Tintoria in Italy. Consequently, retail prices are not targeted at the local market. Also, labour conditions for the Italian and Indian employees appear to follow the high standards required by FFI/JKPL's Western clients: salaries are above the legal minimum wage level, safety measures are prescribed and protective eyewear, gloves and shoes are provided to employees where necessary. Medical services are provided for by a full-time female doctor whocan be consulted by all employees and their family members. A free Indian lunch and bus services are offered to employees. There are also four grievance committees, made up of employee representatives, each on the basis of circulation: a committee to redress sexual harassment, a health and safety committee, a workers' grievance committee, and a canteen committee. Since 1994, the company has made use of a waste water cleaning installation; purified water is reused for washing activities and for watering the garden.
FFI/JKPL has four production units in Bangalore, adjacently located, which deal with (i) the cutting of materials, (ii) the sewing of trousers and other clothes, (iii) the washing and brushing of the jeans, and (iv) the packaging and dispatching of orders. Many of the 5,500 employees have been employed for several years. The majority of them come from rural areas in the state of Karnataka.1
For legal advice FFI/JKPL usually turns to Pramila Associates, a law firm based in Bangalore. Ms Pramila Nesargi is a qualified lawyer and for more than three decades she has been a Member of the Legislative Assembly of the State of Karnataka. She focuses on, among other things, women's rights and labour issues. Besides advising companies on their labour policies, she also assists individual women in their fight for equal treatment and against sexual harassment.
In the spring of 2006, after improving its internal performance and control standards and being submitted to an external SA 8000 audit, FFI/JKPL obtained an SA 8000 certification. FFI/JKPL established monthly checks, carried out by the employees and managers jointly. In addition to the regular external SA 8000 audits, over the past few years many other audits have been carried out at the request of FFI/JKPL's customers. Independent consultant agencies and multi-stakeholder-initiatives (MSI) thereby interviewed employees on as well as outside the factory premises and in their homes.2
Box 10.1 SA 8000
Social Accountability 8000 is an international standard for improving working conditions based on the principles of 13 international human rights conventions, covering child labour, discrimination, discipline, working hours, freedom of association and the right to collective bargaining, forced labour, wages, health and safety, and management systems. Assessment of compliance with the SA 8000 standard and the issuance of SA 8000 certifications are only available through independent organisations accredited by Social Accountability Accreditation Services. The SA 8000 certification scheme was initiated in 1999 by Social Accountability International, a non-governmental, international, multi-stakeholder organisation, dedicated to improving workplaces and communities by developing and implementing socially responsible standards. Social Accountability International partners with trade unions, local NGOs, multi-stakeholder initiatives and other relevant stakeholders to carry out research, training and capacity-building programs. Amnesty International is one of the partnering NGOs. For more information, please visit www.sa-intl.org .