Panorama, Primark and Labour Standards

Saturday, June 21st, 2008 | Martin Buttle

Following the news stories last week and speculation in the Ethical Trading community, the BBC is set to show its investigation into the ethical standards of Primark’s supply chain this Monday at 9pm. A potentially controversial trailer is available on YouTube:

You need to a flashplayer enabled browser to view this YouTube video

The footage shows outsourced finishing in the backstreet slums of India and child labour in Tamil refugee camps usually closed to outsiders. The programme uncovers organised middlemen running off-the-record order books for a factory supplying Primark and distributing finishing work amongst slum-workers.

The documentary raises important questions about low-cost fashion and how it is produced; but we wonder whether it is just low-cost fashion retailers who are vulnerable to these practices. This depiction is reminiscent of the Gap exposé last October which revealed child labour in unknown subcontracted factories. As we commented last year, if Gap could be caught in a situation like that, after developing arguably one of the most comprehensive ethical trading programmes in the industry, any company sourcing from India could be caught out. Clearly controlling supply chains is well-nigh impossible.  We at Impactt think that it is time for another approach.  The need is to identify these informal supply chains, which after all provide some income for very poor people, to develop ways to keep adults in the supply chain, but working under better conditions and to support working children back to school, whilst maintaining the family’s income.

Primark’s response to the allegations has been to drop three suppliers for using undeclared subcontractors. Primark have a point here, since the suppliers are in breach of their agreement - however, walking away is never going to solve the problem.  This type of action will leave adults without jobs and the children caught in the media glare in an even more vulnerable position.  To be fair, Primark has announced its intention to establish the ‘Primark Better Lives Foundation’, which will provide financial assistance to organisations devoted to improving the lives of young people; whether or not this will address the needs of the children found in their subcontracted factories remains to be seen.

| More about , , , , , , , , , and

6 Comments

Geoff Lancaster says:(June 22nd, 2008)

Hi Martin
We do agree that working with suppliers must be the priority if the value of out investment in the developing world as a supply source (£700 million) is to benefit those who put in the effort. The three suppliers we sacked had all been audited at least once recently were all apparently complying with a remediation/improvement programme we had given them and were all deceiving us by using unauthorised subcontracting. Trust and transparency had broken down. Enough was enough.We will continue working in Tamil Nadu and have announced a range of measures to both tighten up our inspection procedures and to help the local people as grass roots level
Geoff

Sponsor a Child India says:(June 23rd, 2008)

Hi Martin

Thank you for commenting on our charity’s blog.

Having spent quite a bit of time in India it is clear that child labour is commonplace, from simply running errands, to working in the fields, to hard labour in quarries.

We feel that by encouraging parents to allow their children to go to school is the only long term solution to the problem. Our charity (http://www.heal.co.uk/)is actively trying to address this through it’s poverty trap project.

Thank You.

Matthew

Andrew says:(June 24th, 2008)

If you are concerned by the ethical standards with which clothes are produced try www.ethicaltradingcompany.com

MartinButtle says:(June 25th, 2008)

Thanks all for your comments

dara yazdani says:(June 30th, 2008)

Hi

Interesting thoughts. I sure most international retailers are involved in the murky world of child labour. Deadlines are tight and margins are even tighter. There will always be low paid workers willing to fill the demands of the multi-nationals as long as we have skewed market the favours the West.

I have blogged about this on my website www.myspace.com/darayazdani.

Please come check it out and leave a comment.

Regards

Dara

shahriar says:(October 11th, 2008)

I never support child labour. But we should have a look some background, why a child is a labour in India? Why s/he come to a factory instead going in school. I got the answer as well. Because their family is not capable to funding them for study…I think study is a very irrelevant matter in this case, they even don’t get their basic needs. And their government also not capable to funding them for food, accommodation. That why, they are getting involve with these kind of clothing production job. Media just do some coverage and insist the factory authority to fired them, But they don’t do any follow up about these children. Most of the cases these children take illegal way to earning and girls go for prostitution. That is more shocking and sad.

Shahriar
3rd Year Marketing student

Tell Us What You Think