Tuesday, 16 March 2004  
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High social compliance in apparel manufacture

During the last decade we have seen a growing concern among most buyers on social standards, codes of conduct and labour relations. Many American and European Buyers are facing consumer resistance with protests, exhorting consumers to refrain from buying from a particular store or Brand.

The reason given is that the stores are displaying goods produced in countries where the social values are not consistent with American or European standards. Issues such as slave labour and child labour have sparked major protests and organised campaigns to persuade consumers not to patronise these stores.

A cry that cannot be ignored has resulted in most buyers having separate Departments handling compliance issues and regular audits.

Today all major buyers are insisting on regular audits either annually or every two years to ensure compliance to their particular codes of conduct. These codes of conduct vary but there are many common areas. In the process most firms are over audited.

The Sri Lankan Garment industry, has been acutely aware of the challenges ahead as the end of the MFA is on the horizon. This enormous challenge can be turned into an opportunity and this is what the business community has chosen to do.

The vision is to build the competitiveness of the Sri Lankan industry by championing the area of compliance with national and international standards. The Government took the initiative recently to strengthen compliance with basic rights and principles so as to enable the industry to benefit from trade concessions.

The Sri Lanka Apparel Industry has decided that given the high labour compliance in the industry, it should be made a major marketing tool looking beyond the quota free era in 2005. There is concern and quite rightly, that the standards requested from Sri Lanka are much higher than that demanded from other supply sources or Sri Lanka's competitors.

In order to see how Sri Lanka's social compliance can be taken to a higher platform, an International Conference with Regional Managers was held on February 12 at the World Trade Centre in Colombo.

The conference was organised by the JAAF, in collaboration with the ILO and Employers Federation of Ceylon and was attended by representatives of Trade Unions, government officials and a large number of buyers. The workshop was inaugurated by Ms Claudia Coenjaerts, Director, ILO Office Colombo.

The meeting decided to set up a Committee to establish a mechanism to assist companies to be upgraded so that the industry can claim that firms in the apparel export industry are all socially compliant. It was also concluded that Multy - Stake Holder Audits, would add to the credibility of such a marketing tool.

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