Global apparel brands pledge to improve conditions for workers

Updated 29 January 2016
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Global apparel brands pledge to improve conditions for workers

MUMBAI: Clothing companies H&M, Inditex, C&A and PVH have committed to improving the lives of workers in India’s southern city of Bengaluru, after a report said employees lived in appalling conditions and were denied decent wages and freedom of movement.
Gap Inc., which also sources apparel from Bengaluru, did not respond to the report by the India Committee of the Netherlands (ICN), according to a statement by the Dutch non-governmental group. A draft of the report, Unfree and Unfair, was presented to the companies last November.
The conditions of garment workers in South Asia have come under sharp scrutiny following the 2013 Rana Plaza disaster in Bangladesh, in which 1,135 workers were killed, many of them employed by suppliers to Western retailers.
The ICN report said hostels run by the Bengaluru factories lacked basic amenities such as beds and clean water, and that workers earned between 95 euros ($104) and 115 euros per month, just above the official minimum wage of 93 euros to 103 euros.
Bengaluru, a hub for apparel exporters, is also known as India’s Silicon Valley for its numerous information technology companies, and draws migrants seeking better economic prospects from its home Karnataka state, as well as from neighboring Andhra Pradesh and Tamil Nadu and the country’s north and east.
There are an estimated 1,200 garment factories in and around Bengaluru, making apparel for large global brands.
Many of the workers are women from poor backgrounds who do not know the local language and are unaware of their rights, making them more vulnerable to exploitation, according to the report based on interviews with 110 migrant workers at four garment factories in the city.
“Global companies have a responsibility to ensure better conditions for the workers, as they are directly benefiting from their labor,” Raphel Jose, vice president of supply-chain sustainability at the Center for Responsible Business in Bengaluru, told the Thomson Reuters Foundation.
“This is an area where the brands can come together and collaborate with a local agency and pressurise the industry to improve conditions.”
Dutch clothing retailer C&A, Swedish retailer H&M and Spain’s Inditex, which owns the Zara and Massimo Dutti brands, will work together and liaise with local trade unions to provide training and address workers’ grievances, ICN said.
Inditex will evaluate the state of workers at its suppliers and factories across India, while PVH Corp., which owns brands including Tommy Hilfiger and Calvin Klein, is developing new guidelines for its suppliers, ICN said.
“If the brands commit to these issues and their plan of action, we expect that considerable progress can be made in addressing the working and living conditions of young migrant garment workers in Bangalore,” ICN said in the statement.


Porsche first German carmaker to abandon diesel engines

Updated 23 September 2018
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Porsche first German carmaker to abandon diesel engines

  • The company would concentrate on its core strength, ‘powerful petrol, hybrid and, from 2019, purely electric vehicles’
  • But Porsche promised it would keep servicing diesel models on the road now

BERLIN: Sports car maker Porsche said Sunday it would become the first German auto giant to abandon the diesel engine, reacting to parent company Volkswagen’s emissions cheating scandal and resulting urban driving bans.
“There won’t be any Porsche diesels in the future,” CEO Oliver Blume told the newspaper Bild am Sonntag.
Instead, the company would concentrate on what he called its core strength, “powerful petrol, hybrid and, from 2019, purely electric vehicles.”
The Porsche chief conceded the step was a result of the three-year-old “dieselgate” scandal at auto giant Volkswagen, the group to which the luxury sports car brand belongs.
VW in 2015 admitted to US regulators to having installed so-called “defeat devices” in 11 million cars worldwide to dupe emissions tests.
It has so far paid out more than €27 billion in fines, vehicle buybacks, recalls and legal costs and remains mired in legal woes at home and abroad.
Diesel car sales have dropped sharply as several German cities have banned them to bring down air pollution — a trend that Chancellor Angela Merkel was due to discuss with car company chiefs in Berlin later Sunday.
Stuttgart-based Porsche in February stopped taking orders for diesel models, which it had sold for nearly a decade.
Blume said Porsche had “never developed and produced diesel engines,” having used Audi motors, yet the image of the brand had suffered.
“The diesel crisis has caused us a lot of trouble,” he said, months after Germany’s Federal Transport Authority ordered the recall of nearly 60,000 Porsche SUVs in Europe.
Blume promised that the company would keep servicing diesel models on the road now.
According to the paper, Porsche also faces claims of having manipulated engines to produce a more powerful sound with a technique that was deactivated during testing.
Blume acknowledged that German regulators had found irregularities in the 8-cylinder Cayenne EU5, affecting some 13,500 units.
Merkel, Transport Minister Andreas Scheuer and heads of German auto companies were due to meet in Berlin later Sunday to discuss steps to avoid more city driving bans.
The German government hopes to see one million fully electric and hybrid vehicles on the road by 2022, up from fewer than 100,000 at the start of this year.