ILO Global Business Network on Forced Labour’s Post

During the COVID-19 pandemic, global demand for rubber gloves soared, prompting the Malaysian rubber industry to increase production in the face of labour shortages. Forced labour reports led, among other things, to the United States seizing and holding the goods of seven Malaysian companies. In response, the sector adopted a zero recruitment fee model and reimbursed #migrant workers, making significant progress in combating forced labour.    This new podcast episode from the ILO Global Business Network on Forced Labour takes an in-depth look at how Malaysian rubber businesses managed to change things for the better and shares tips, tools, and resources for businesses. The podcast episode features interviews with three business experts involved with the ILO and European Commission's “Supply chains for a sustainable future of work project: Decent work in the rubber glove supply chain“, which has been active in Malaysia since 2021. 🎙 https://lnkd.in/eyW-YJN7

The global demand for rubber gloves soared during the COVID-19 pandemic, prompting the Malaysian rubber industry to boost production despite labour shortages and reports of forced labour. In response, Malaysian glove manufacturers implemented a zero-recruitment fee policy, reimbursing millions of US dollars in fees for migrant workers. This proactive approach has led to significant progress in combating forced labour within the industry, with six out of seven companies now able to resume exports to the United States. This highlights a successful business-led initiative to improve labour practices within the industry. Know more about this on International Labour Organization’s Global Business Network on Forced Labour podcast titled ‘Malaysia’s rubber industry takes on forced labour’ featuring MEF Executive Director, Y Bhg. Datuk Hj. Shamsuddin Bardan, alongside The Malaysian Rubber Council’s (MRC) Senior Director of Sustainability, Mr. Mohd Fauzi Mohd Ghazali, and Harps Global/Central Medicare’s Group Chief Strategy Officer, Dr. Ng Thian Hong. The podcast was lead by Mariska van der Linden. 🎧 Listen to the podcast on spotify: https://spoti.fi/49HmGg8 🧾Read more about it: 𝙎𝙥𝙚𝙘𝙞𝙖𝙡 𝙥𝙤𝙙𝙘𝙖𝙨𝙩 𝙚𝙥𝙞𝙨𝙤𝙙𝙚: 𝙈𝙖𝙡𝙖𝙮𝙨𝙞𝙖'𝙨 𝙧𝙪𝙗𝙗𝙚𝙧 𝙞𝙣𝙙𝙪𝙨𝙩𝙧𝙮 𝙩𝙖𝙠𝙚𝙨 𝙤𝙣 𝙛𝙤𝙧𝙘𝙚𝙙 𝙡𝙖𝙗𝙤𝙪𝙧. - 𝙄𝙇𝙊 𝙂𝙡𝙤𝙗𝙖𝙡 𝘽𝙪𝙨𝙞𝙣𝙚𝙨𝙨 𝙉𝙚𝙩𝙬𝙤𝙧𝙠 𝙤𝙣 𝙁𝙤𝙧𝙘𝙚𝙙 𝙇𝙖𝙗𝙤𝙪𝙧 (https://lnkd.in/gGPW5cmC) #ILO #GlobalBusinessNetwork #ForcedLabour #podcast #MalaysianEmployersFederation

This is an incredibly important initiative. In the broader context of today’s global conflicts and challenges, responsible sourcing must go beyond isolated events. Companies need to implement comprehensive, ongoing strategies that prioritize worker protection. Such strategies should be holistic, encompassing the rights and needs of all stakeholders in the supply chain. It is essential that businesses commit to responsible practices in a genuine and sustained manner, ensuring that the well-being of workers remains central to their sourcing efforts.

🌐 UzTextile is poised to strengthen its partnerships with UK counterparts, highlighting the emerging prospects in Uzbekistan's textile sector. 🗺 The association emphasizes that the nation's textile industry boasts several structural competitive edges. Not least, a 70% reimbursement on delivery costs to Europe and a 0% import tax for Uzbek textiles entering the UK. At an industry meeting held in early December, the parties discussed possible ways of cooperation, which could potentially result in large-scale changes in the textile industry for Uzbekistan. Since 2017, the sector has witnessed considerable transformation, with investments funnelled into skill development and technology, while aligning with international best practices in labour standards. The head of the textile industry Mirmukhsin Sultanov added, “Uzbekistan is in full compliance with international labour standards. In 2022, our country’s textile industry was confirmed to be free of any form of unsustainable work practice.” The International Labour Organization (ILO) corroborates these observations, engaging in ongoing monitoring of Uzbekistan's labor market. This consistent oversight signals systematic improvements in legal labor standards in the country. The ILO's involvement highlights a positive shift towards better labor practices, reflecting Uzbekistan's commitment to aligning with international labor norms. This collaboration is set to markedly expand Uzbekistan’s footprint in the worldwide clothing market.

Together with Ethical Trading Initiative, amfori - Trade with Purpose, Cascale, Etisk Handel Danmark, ETI Sverige - Hållbara leverantörsled, Etisk handel Norge - Ethical Trade Norway, Fair Labor Association, and Mondiaal FNV, we urge companies operating in and sourcing from Bangladesh to conduct business responsibly. As our Executive Director, Alexander Kohnstamm, shares: “In times of social crisis, brands need to carry out heightened human rights due diligence. We are in continuous close contact with our experienced country team and our local stakeholder network on the implications for garment workers in Bangladesh. This includes monitoring issues like unpaid salaries or excessive overtime due to production delays. There is room for optimism but things are still rapidly changing. Sector alignment is crucial to help brands navigate uncertainty. That is why we have joined together with eight other organisations to provide concrete recommendations for responsible business practices and heightened due diligence in particular." Responsible business conduct includes: ✅ Ensuring respect for human rights laws & standards, including the core conventions laid out by the International Labour Organization (ILO). ✅ Conducting enhanced human rights due diligence in line with the #UNGPs & in consultation with workers & their representatives. ✅ Implementing responsible purchasing practices, in line with the Common Framework for Repsonsible Purchasing Practices. ✅ Honouring commitments to suppliers. Read our joint recommendations in full, which you can find on our website here: https://lnkd.in/eW8CfEbB #Bangladesh #HRDD #ESG #RBC #BizHumanRights #ResponsibleBusiness #CSR

Good proposal from someone who knows the Bangladesh garment industry. Many thanks, David. One point I would emphasize: Guarantee the right of workers to organize trade unions, including in the Export Processing Zones, and to bargain collectively for better wages and working conditions. Preferably unions would form federations across industry segments or geographic areas, and bargain multi-employer agreements to take wages out of competition. Brands can and should promote this model as part of their due diligence responsibilities.

🇩🇪🇺🇿The joint meeting between the Delegation of German Economy for Central Asia, the Confederation of the German Knitting Industry (Gesamtmasche E.V.), and the Uzbekistan Textile Garment Industry Association (UZTEXTILEPROM) highlights the shared challenge of a skilled labor shortage faced by both Germany and Uzbekistan. As a response, the stakeholders are exploring avenues for closer co-operation, particularly through vocational training and migration projects. Key actions identified: 🛠️Skills Expert Program: Recently launched by the Delegation of German Economy for Central Asia, this program aims to coordinate training activities for selected companies in Uzbekistan, addressing the local demand for skilled labor. 🆕German Interest in Skilled Workers: Gesamtmasche E.V. is seeking skilled workers for its German member companies and is interested in migration projects, potentially creating a pathway for Uzbek workers to work in Germany. 🔁Vocational Training Cooperation: One of the critical points discussed is the need for Uzbek companies to invest in dual vocational training systems. The curriculum for these programs would be developed in collaboration with AHK (Delegation of German Economy for Central Asia), aligning with both Uzbek and German industry standards. 🧩The primary challenge lies in identifying Uzbek companies willing to commit to dual vocational training programs and collaborating on curriculum development, which will be essential to bridge the skills gap and foster stronger economic ties. Contact Uzbekistan Textile and Garment Industry Association 💪🌏#Sustainability #GoodWork #GlobalProgress #EnvironmentalStandards #CorporateSocialResponsibility #SupplyChains #TextileIndustry #Finance #FemaleEmpowerment #GreenDeal #mergers #acquisitions #foreigndirectinvestments

• Importers will now be responsible for compliance within the supply chain.This is intriguing now. • While Bangladesh has green factories, it must ratify UN conventions and transition to renewable energy.This will reduce country's dependency on fossil fuel and increase the privatisation of solar panel usage. • The CSDDD will gradually take effect by 2030, pending ministerial approval in May. • Fair pricing from buyers is crucial for effective implementation. • The law emphasizes due diligence and commemorates the Rana Plaza tragedy. • The European Parliament’s CSDDD aims to improve labor and environmental standards in the garment industry, particularly impacting Bangladesh’s apparel exports to the EU. #EuropeanParliament #CSDD #RMG #Bangladesh

Turkish Textile Industry Faces Severe Export Challenges Despite hopes for a turnaround, Turkey's textile sector continues to struggle, with exports to the EU dropping by 17.6% to $4.6 billion in 2023. Key issues impacting the industry include: Regulatory Pressures: New EU environmental and social regulations may pose further hurdles. Union and Labor Issues: Turkey remains low in the Global Rights Index with ongoing union challenges. Soaring inflation (70% in June) and insufficient wage increases are pressing exporters. Bankruptcies and Job Losses: The sector has seen significant bankruptcies and layoffs, with Armes Home recently filing for bankruptcy and 200,000 jobs lost in the past year. Child Labor Concerns: Reports of child labor and the tragic death of a young worker underscore serious ethical issues. Health and Safety: 12 worker deaths in the first half of 2024 highlight critical safety concerns. Discrimination and Disruptions: Tensions related to discrimination against Syrian workers have led to production disruptions in Kayseri. For Turkey to reclaim its position as a preferred textile sourcing partner for European buyers, addressing these pressing challenges is crucial. The industry must prioritize improvements in labor conditions, regulatory compliance, and ethical practices.

The US is cracking down on companies linked to forced labour in China's Xinjiang region. Three more firms have been banned, bringing the total to 68! This is a stark reminder of the importance of due diligence before entering into any business relationship. We need to ensure our supply chains are ethical and don't profit from forced labour, especially because the U.S. is not alone in its stance against modern slavery. Several other nations and the European Union (EU) have also taken significant steps to address these concerns: 1. European Union: The EU has called for an import ban on products made with forced labour and has sanctioned Chinese officials and entities involved in human rights abuses in Xinjiang. 2. United Kingdom: The UK has introduced measures to prevent companies from profiting from forced labour, including fines and modern slavery reporting requirements. Sanctions have also been imposed on Chinese officials. 3. Canada: Canada has banned the import of goods produced with forced labor and sanctioned Chinese officials linked to human rights abuses. 4. Australia: The Modern Slavery Act mandates large businesses to report on the risks of modern slavery in their operations and supply chains. 5. Japan: Japan’s guidelines encourage companies to conduct due diligence to ensure their supply chains are free from human rights abuses. What does this mean for your business? Due diligence is no longer optional. Companies need to be proactive in vetting their supply chains to avoid forced labour and ensure ethical practices throughout. Here's why: - Compliance: Meeting legal requirements in various markets is becoming essential. - Reputation: Consumers are increasingly conscious of ethical sourcing. A tainted supply chain can damage your brand image. - Sustainability: Forced labour is unsustainable and disrupts entire industries. Rubix Due Diligence Reports provide you with the insights you need to make informed decisions about your business partners. Their comprehensive reports help identify potential risks associated with forced labour and other ethical concerns in your supply chain. Together, through collective action, responsible business practices, and leveraging tools like Rubix Due Diligence Reports, we can help eradicate forced labour and promote a more just and equitable global supply chain. . . . . #SupplyChain #DueDiligence #Compliance #Reports