Femnet e.V.

11.11.2022: News from KW 45

Studies and Co.

Federal Office of Economics and Export Control (BAFA) "Supply Chain Due Diligence Act (LkSG) - Questionnaire for reporting pursuant to Section 10(2) LkSG" (PDF): All companies that fall under the scope of the LkSG must regularly publish a report on compliance with statutory due diligence obligations. The report is generated from the answers in a structured questionnaire. From January onwards, the BAFA an electronic portal for the reports is available. This BAFA publishes the questionnaire in advance so that companies can deal with the content of the subsequent questionnaire. This will allow them to check to what extent they already have all the information for a full report or whether further preparatory action is needed. By responding fully and truthfully to the subsequent questionnaire and publishing the report generated from it on the company's website, companies comply with their reporting obligations under the law.

Act on Living Wages (ACT) "ACT Accountability and Monitoring Report 2021" (PDF): The report gives an open view of the status quo of the ACT-Member brands in the implementation of the global ACT-Commitments to purchasing practice. In 2021, 1,831 brand employees and 1,338 suppliers participated in the survey to enable a consistent assessment of progress and identify areas to focus on. The internal employee survey consulted a wide range of teams at each ACT-Member brand, from design to procurement and purchasing. The supplier survey serves to consult manufacturers and to learn how they experience and evaluate the purchasing practices of the brands. The report covers the five ACT Global Purchasing Practices Commitments off, including single-item labour costs, responsible exit, fair payment terms, planning and forecasting, and training. loud ACT the participating brands and suppliers would consider the implementation and effectiveness of the ACT-Overall, confirm commitments.

Better work "Understanding impact: Research insights from Better Work 2017-2022" (PDF): In the context of impact analyses, the effects of Better work determines and quantifies the lives of workers inside and outside the workplace, as well as the productivity and profitability of companies. One of the positive influences is loud Better work e.g.: Workers in Better-work-factories would have better working conditions, better communication in the workplace and better conditions for social dialogue than their colleagues in non-participating factories; Workers in Better-work-factories reported higher wages and fewer working hours, which was due to better compliance with legal requirements; the measures taken by: Better work Contribute to curbing sexual harassment.

News

EU Supply Chain Act: Ethical trading initiative together with amfori, the Fair Wear Foundation, the Sustainable Apparel Coalition, the Transformers Foundation and producer groups of Sustainable Terms of Trade Initiative advocate for effective and binding human rights due diligence. For this purpose, the Alliance joint recommendations (PDF) from:

1. The implementation of human rights and environmental due diligence should be risk-based (criticism of the unclearly defined concept of "established relationships"),
2. Due diligence does not shift responsibility (checking purchasing practices must also be part of due diligence);
3. Due diligence legislation must provide certainty and clarity (there must be clear and uniform guidelines for the implementation of the Directive).

EU and UN Conventions: A group of civil society organisations (CIDSE, ECCHR, ECCJ, fidh, FIAN, Friends of the Earth Europe and SOMO) calls for the mutual complementarity of UN-Treaty and the EU Directive on corporate sustainability due diligence (CSDDD) and had a study carried out for this purpose, which analysed the division of legislative competences between the EU and the Member States, as well as three areas of overlap between the two instruments: corporate due diligence, civil liability and rules on access to justice. It highlights how the two texts could complement each other and where they need to be further aligned in order to achieve harmonisation of the rules. The organisations are committed to ensuring that the EU actively participates in the Eighth session for an UN-Treaty (24-28 October 2022) - but this has not happened.

Countries of production

Inflation and its consequences for the producing countries: FEMNET reported: Many people spend less on clothing due to the increased cost of food. In the producing countries, the negative trend in demand is already noticeable. Factories in Cambodia, #angladesh and Vietnam have to pause their production or instruct their employees to work less. Workers are already being laid off in the Philippines. In addition, Asian countries are also struggling with high energy prices and inflation rates. Turkey, Pakistan, Myanmar and Sri Lanka in particular suffer from high inflation rates of up to over 80%. Due to the increased cost of food, workers in the producing countries cannot feed themselves and their families in a balanced way. They buy less nutritious food and meals are skipped. For clothing workers, the cost of living is rising, but real wages are stagnating or shrinking. So the difference between what they need to live and what is available to them has just gotten even bigger! For many, the reward has not been enough before and now brings them into greatest distress. Fast fashion companies Boohoo Cancels and postpones orders.

Myanmar: During a global #PayYourWorkers Promotion Week From 24 to 30 October 2022, the Clean clothes campaign/Clean Clothes Campaign wage thefts and labour rights violations of Adidas attentively. Workers around the world organized and demonstrated for their rights, including in Myanmar. Workers of a factory in Yangon They went on strike and demanded a wage increase of about $2.30 per day. After the military was informed of the action, ten soldiers and policemen arrived on the scene. Reportedly, After the strike, 29 workers were laid off.. Adidas stated that they are now investigating. Trade unions have long called for the responsible withdrawal of all companies placing orders in Myanmar, as they have been unable to meet their due diligence obligations since the military coup. Also the Ethical trading initiative (ETI) urged companies to urgently review their presence in the country, whereupon e.g. Primark announced its withdrawal (see news update of KW 38).