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INTERNATIONAL TEXTILE, GARMENT AND LEATHER WORKERS' FEDERATION

FOR THE PRESS
FOR IMMEDIATE RELEASE

Friday, March 9 2001

Triumph accused of double-speak over refusal to quit Burma

Lingerie giant Triumph has been slammed over its refusal to pull out of Burma following a campaign by unions and rights organisations to urge the multinational to sever its links with the slave nation.

Neil Kearney, General Secretary of the Brussels-based International Textile, Garment and Leather Workers Federation, today dismissed as double-speak a statement issued by the multinational defending its position not to close its Rangoon factory. In a letter to the head of Triumph International Overseas, Gunther Spiesshofer, the ITGLWF rebutted the company s arguments, and warned that international pressure would continue to mount until Triumph pulls out of Burma.

"Triumph claims that it is not providing resources to members of the government, and is therefore not affected by the sanctions imposed by the Swiss government", says Kearney. "But in reality, the army s tentacles reach into all areas of foreign investment, and it is therefore virtually impossible for any foreign company to produce goods in Burma without providing direct or indirect support to the regime".

"In the case of Triumph, the factory is located on an Industrial Estate rented from the Mingaladon military brigade, just north of Rangoon's airport. The leasing arrangements are no doubt handled through the Union of Myanmar Economic Holdings (UMEH), a company which controls all investment in the industry, and whose major shareholder is the department of the Ministry of Defense responsible for purchasing arms for the junta. Then there is the 5% tax levied on exports. But the full extent of the army s control over the industry is not known. For instance, in 1997, a BBC report filmed with a hidden camera showed workers being forced to pay half their daily wages to the army in order to keep their jobs".

Kearney points out that in November, the International Labour Organisation (ILO) adopted a Resolution calling on other organisations, as well as on national governments and private companies, to review their relations with Burma, in order to ensure their relations do not serve to perpetuate or extend the widespread system of forced labour. "This Resolution affects Triumph", says Kearney. "The garment industry provides support to the military, mainly to its most senior members. And it is precisely these senior members who responsible for the massive forced labour problem affecting the civilian population. In addition, the garment industry relies on the country s infrastructure, which is being built with forced labour".

"And of course, as a member of EURATEX, Triumph subscribes to the code of conduct negotiated between EURATEX and the ETUC/TCL which prohibts the use of forced labour".

According to Triumph, the campaign is a purely a political one aimed at a private company. "This is disingenuous", counters the international labour leader: "Triumph is purposefully ignoring the fact that this effort is spearheaded by Burmese leader Aung San Suu Kyi, the leader of the National League for Democracy Party (NLD), who won 82% of the seats in 1990 elections".

Kearney scorns the company s claim that its sense of responsibility to the 1,000 workers it employs prevents it from closing the factory. "The company s concern for its workers is touching", he comments. "But what about the 13 million people living below subsistence levels and the 40% of children suffering from malnutrition as a result of the junta s misrule ? Or the two million men, women and children pressed into forced labour on construction projects or as porters in the army ? Or the 300,000 who have been forced to flee the country ? Or the 800,000 people displaced either by the government s relocation policy or because of fighting ? Or the 1,500 political prisoners held behind bars in horrendous conditions and routinely tortured ?

"The fate of a population of forty million people, condemned to live in poverty and fear by an odious regime, outweighs the limited benefits afforded by 1,000 low-paid jobs. While the 1,000 workers who lose their jobs might suffer in the short-term, by hastening the regime s demise the move would provide longer-term benefits for them and their families. Only a transition to democracy will give these workers the fundamental right to form independent unions and to engage in collective bargaining".

Kearney suggests that the company s refusal to close its Burmese factory probably has more to do with the total lack of freedom in the country than its concern for the workers it employs. Workers are denied sometimes at gunpoint - the right to organise and bargain collectively. Not surprisingly, conditions in the garment industry are appalling. Working hours in the industry are said to approach 60 hours a week. Average shopfloor wages, said to be about 8 US cents an hour, are among the lowest in the world.

According to Triumph, parts of the political opposition in Burma itself are against a boycott, and Tin Htun Maung, a former member of parliament and politician of the opposition, says that "sanctions are only damaging the people".

"This is the regime s propaganda", retorts Kearney. "The fact is the military fears the withdrawal of investment and has reacted to the ILO s sanctions with a campaign of disinformation, including a open letter from the workers of Myanmar warning that the ILO s decision has jeopardized the livelihood of 18 million workers . In reality, the people will not be hurt by sanctions, because they are not being helped by investment. Foreign investment only helps perpetuate the rule of a repressive, unelected junta".

Triumph also claims that dialogue, not economic sanctions, is the way to embarrass a government into changing its policies. "Forced labour has existed for many decades in Burma. The ILO has exhausted itself trying to persuade the regime to respect fundamental freedoms, but to no avail. The generals have simply become very good at making cosmetic gestures just before they are due to receive important foreign delegations".

Concludes Kearney: "An international trade union conference entitled "Democracy for Burma and the ILO Resolution: Trade Unions in support" held in Tokyo last week resolved to keep up the pressure on multinationals still trading or investing in Burma. That includes Triumph. The company should know that pressure will not abate as long as it continues to support the illegal, corrupt and undemocratic regime in Rangoon".

-end-

The International Textile, Garment and Leather Workers Federation is an International Trade Secretariat bringing together 220 affiliated organisations in 110 countries with a combined membership of 10 million workers.

For more information, contact:
Neil Kearney, General Secretary, Neil Kearney

(General Secretary) at 32/2/512.2606 (office) or 32/475932487 (cell)

The full text of the ITGLWF s four-page letter to Triumph International is available on request. -- Laura Carter Assistant to the General Secretary (Policy) International Textile, Garment and Leather Workers' Federation (ITGLWF) 708 3rd Street Nelson BC V1L2R2 Canada Tel/Fax: 1/250/354.2016 Brussels fax: 32/2/706.5423

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