In August 2008, workers at a small Indonesian factory that has been producing underwear for Pierre Cardin for over a decade, reported serious violations of their rights by the factory management. When they protested against the unfair dismissal of their union leader, 413 of them were sacked. Since then, they have been asking for their jobs back, but the conflict has gone from bad to worse. Pierre refuses to intervene.

Support PT Megariamas Sentosa workers today by sending a message to Pierre Cardin insisting that his underwear is made in dignity and with respect for basic human rights.

Since the establishment of his company in 1950, Pierre Cardin has been considered as one of the world’s greatest fashion designers. His brand is amongst the most well-known and successful internationally. With an annual turnover exceeding two billion dollars1, and 200,000 people working directly or indirectly for the brand, the firm’s commercial prosperity is undeniable. In 1960 he was the first to implement a licensing system for a brand. Today the company has some 900 licences in no fewer than 140 countries, from which it derives millions of euros in royalties annually. Yet he refuses to act and ensure that the products made under licence are manufactured in decent conditions?

Everything started in July 2008 with a relatively insignificant event when Mr Abidin, the leader of the shoe, textile and garment workers’ union (SBGTS) at the PT Megariamas Sentosa factory was invited to attend a four-day legal training course organized by the Federation of Independent Indonesian Trade Unions (GSBI), to which his union is affiliated. Although Indonesian law specifies that employers are to "give trade union leaders the opportunity to participate in trade union activities during their work time"2, the manager of the Megariamas factory refused to allow Abidin to attend the course. When Abidin, considering that he was fully entitled to attend, did so notwithstanding his boss' refusal, he was summarily dismissed.

413 unfairly dismissed

At Megariamas the announcement that the union leader had been sacked triggered strong reaction in the small factory where conditions are particularly harsh. Half of the 900 workers immediately went on strike to demand the reinstatement of their union leader. When attempts to negotiate with management failed, they announced a second strike for 4 August. But in the meantime the factory management had sent written warnings to various members of the SBGTS, with the trumped up pretext that production quotas had not been met. For the union it was clear that the aim of these letters was to intimidate workers and to dissuade them from participating in the forthcoming strike. Nine workers who refused to sign these letters because they contained false information were also sacked. No agreement was reached in the meetings held between the workers' representatives and the factory management, which refused to budge despite the second strike. From the first day of the strike the company refused to negotiate and even went so far as to reject any new proposal to meet. It furthermore prohibited striking workers from entering the factory premises. The union consequently referred the matter to the Department of Labour, which supported the workers and requested the factory management to agree to negotiate a solution to the crisis. However, not only did management maintain its ban on access to the factory, it also sacked 446 of its employees who had participated in the strike, on the pretext that there had would have supposedly been "no prior failure of negotiations"3 as required by law, where in fact, negotiations were not led in good faith by the management. Since then the workers unfairly dismissed have been demonstrating outside the factory to protest against their dismissal and demand recognition of their rights. The Department of Labour has issued a recommendation in their favour, requiring the factory to pay the wages due to them as well as the severance pay provided for by law, but to no avail.

On 25 November 2008 the conflict reached a climax when the police and Megariamas security guards violently dispersed the 447 workers – mostly women – demonstrating outside the factory to demand application of the Department of Labour's recommendation. Thirty demonstrators were injured and two had to be hospitalized.
Since their dismissal, the 413 workers have had much trouble trying to find new jobs: some of them have found temporary jobs, some others have accepted financial settlement proposed by the management (very inferior to what the legislation stipulates) because, having not been paid for months, they were experiencing severe financial hardship. In February 2009, the dismissed workers decided to take their case to the Court, and are now waiting for a decision, which can take months again.

Pierre Cardin refuses to intervene

In view of these workers' distress, and at their request, we contacted the French company Pierre Cardin, whose underwear has been produced in this factory for the past ten years. Informed of the serious violations of the rights of hundreds of workers who have been manufacturing its products for years, and of the appeals addressed to it, the company initially claimed that because there was no direct contractual relation between it and the factory, it has no responsibility towards those workers. After receiving thousands of protest massages from concerned French consumers and citizens though, Pierre Cardin eventually contacted its licensee in Singapour, and claimed that this latter had interceded with PT Megariamas on Pierre Cardin’s behalf, asking it to find a solution to the conflict in line with worker’s rights. However, almost two months later, no evolution has been noticed by the workers, and the factory keeps claiming there it has not been contacted by any of its buyers on that matter…

The Clean Clothes Campaign considers that the French company Pierre Cardin has a real responsibility towards the people who manufacture its products on the other side of the world. That responsibility is to ensure that the products whose manufacturing is sub-contracted directly or indirectly via its licensees, be produced in conditions that respect basic human rights and dignity.

Take action now!

In light of the deterioration of the situation at Megariamas, the Clean Clothes Campaign is launching an appeal for solidarity. Please write to Pierre Cardin, asking the company to contact the Megariamas factory and to demand recognition of the rights of the 413 workers who were unfairly dismissed last August and thus deprived of an income.

Use this form to send the following letter directly

Mr Edouard Saint Bris
Director: Licensing
Pierre Cardin
27 avenue Marigny
75008 Paris
France
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Dear Sir,
I have been informed by the Clean Clothes Campaign of the unfair dismissal of 447 workers at the PT Megariamas Sentosa factory in Indonesia which has been manufacturing underwear for Pierre Cardin for over ten years.

I am extremely concerned about the fate of these workers who have been deprived of all income since August 2008 and whose demonstrations to demand their rights were violently suppressed. I urge you to put pressure on this factory, which manufactures products bearing your brand name, and to demand that it:

• reinstates the workers unfairly dismissed in August 2008, including the leader of the SBGTS union. For those workers who choose not to be reinstated, full severance pay should be provided.
• pays the wages due to the 413 dismissed workers since August 2008 until today;
• respects its workers' right to organize.

Yours sincerely,