Dec 1998, Unstitching the child labour debate

Appendix: CODES OF CONDUCT (1)

Contents

Some companies have reacted by producing codes of conduct when their brand names came under fire from campaign groups concerned about working conditions and labour rights. These codes of conduct include clauses regarding working conditions. In the garment industry, American companies were the first to adopt such codes of conduct. At present almost every large American garment company has its own code. In Europe too, this trend has picked up in recent years.

All these codes of conduct adopted by companies are different in content. Most of them include clauses regarding child labour (cf. the code of the Dutch VGT) or bonded labour. Some even refer to ILO conventions.

However, according to the Clean Clothes Campaign, there are four points of critic on these codes of conduct:

None of the company's codes of conduct comprise all of the following basic rights, but just a few of them:
freedom of organisation and collective bargaining
no forced labour
no child labour
no discrimination
hours of work are not excessive
safe and healthy working conditions
payment of a living wage
establishment of an employment relationship
The text of the codes of conduct are often very vague and hard to interprete, so it is hard to prove whether a company violates its own code. Good codes are clearly circumscribed and by preference refer to ILO Conventions or other international agreements.
It is often not clear how far the responsibility of a company extends. It should be recognised that manufacturers and retailers are responsible for practices in the whole production chain of their products. A good code of conduct refers to all the people producing the products for that company and should extend throughout the whole subcontracting chain.
As long as the transnational companies refuse to submit their codes of conduct to an independent monitoring, it is then not guaranteed that human rights on the work floor are really respected.

Code of Conduct of the VGT

The Association of Retail Trading Companies in the Textile Brands of the Netherlands (VGT) and the Social Democratic Trade Union Federation (FNV) in 1995 adopted a code of conduct for the apparel industry that, when signed, obliges the VGT members companies only to sell garments that is produced in a social justified manner. On reflection, this code of conduct only refers to child labour. For a code of conduct to promote social justice, it needs more than clausules about child labour. Companies should take responsibility to improve the working conditions in the subcontracting chain, rather than to break contracts with subcontractors. In practice, codes of conduct are often adopted by companies to polish their image. There is hardly control on the fulfillment, independent monitoring is lacking. A code of conduct against child labour doesn't suffice to remove all the structural abuses existing in the garment sector in countries of low wages and cheap labour. Improvement of working conditions requires an approach that consists of an independent monitoring, and not just highlighting a theme that publicitly scores high, such as a ban on child labour .

INDEPENDENT MONITORING
Independent monitoring on codes of conduct and their application forms an important aspect in initiatives such as the Clean Clothes Campaign. According to the Clean Clothes Campaign, independent monitoring means that trade unions and NGO's are involved at the highest decision making level.

FAIR TRADE CHARTER &
CODE OF LABOUR PRACTICES FOR THE APPAREL INDUSTRY INCLUDING SPORTSWEAR
In the Netherlands, the Clean Clothes Campaign developed in collaboration with the FNV and Novib a code of conduct that incorporates the minimum demands as described above. This so-called Fair Trade Charter encompasses all basic rights, extents through the whole subcontracting chain, refers to ILO Conventions and is proposed to be controlled independently. If a company has signed the Fair Trade Charter, it has the right to carry a trade mark on its shops. At the beginning of 1998, as a result of negotiations between the European Clean Clothes Campaign and the International Centre of Social Democratic trade unions (ICFTU), an agreement was reached about a code of conduct on European level: the Code of Labour Practices for the Apparel Industry including Sportswear. As regards to the content and the monitoring system, the Code of Labour Practices is practically identical to the dutch Fair Trade Charter.

In Belgium, France, Spain, Great-Brittain, Germany, Austria, Switzerland, Italy and Sweden, Clean Clothes Campaigns negotiate with companies about the implementation and monitoring of a code of conduct. Also in the US, Canada and Australia, coalitions of trade unions and NGO's pressure companies to take responsibility for the working conditions under which their products are made.

Code of Labour Practices for the Apparel Industry including Sportswear
"This Code of Labour Practices sets forth minimum standards for wages, working time and working conditions and provides for observance of all of the core standards of the ILO. These are minimum standards that are meant to apply throughout the industry and in all countries. The code is not a trade protectionist measure. It is not meant to be used as a means to close the markets of some countries at the expense of workers in other countries."

Regarding child labour, the Code of Labour Practices states that "there shall be no further engagement of children. Only workers above the age of 15 years or above the compulsory school-leaving age shall be engaged (ILO Convention No. 138). Temporary measures to assist child workers such as the reduction of working time, the provision of educational opportunities and transitional economic support shall be instituted. In the end, child workers must be replaced by adults and, where possible, from the same family."