Tuesday, December 1, 2015

Giving Gifts that Give Back

Every year I look for unique and socially-conscious gifts that tell a story. I try to only buy items that contribute somehow to causes I care about. This way every gift is like two gifts and perhaps the recipients will be inspired to find out more about the causes I support. This year I compiled a list, which includes some longtime favorites and a few new discoveries.

David Sheldrick Wildlife Trust (DSWT)

The David Sheldrick Wildlife Trust is by far my favorite organization. Between family and friends, I believe we now foster about a dozen of DSWT's orphans each year and everyone has at least a little bit of elephant swag. It is the most successful orphan-elephant rescue and rehabilitation program in the world and one of the pioneering conservation organizations for wildlife and habitat protection in East Africa. The DSWT was founded in 1977 by Dr. Dame Daphne Sheldrick D.B.E, in honour of the memory of her late husband, famous naturalist and founding Warden of Tsavo East National Park, David Leslie William Sheldrick MBE. Chaired by Daphne Sheldrick, the DSWT is run by Angela Sheldrick, daughter of David and Daphne, who has been managing all of the Trust’s activities for over a decade. In addition to rescuing and rearing orphaned elephants and rhinos (and the occasional random other species), the DSWT runs nine full-time Anti-Poaching and Desnaring units, four mobile veterinary units, the Sky Vets, four aerial surveillance planes, a rapid response helicopter, and a variety of community outreach and conservation initiatives. There are several ways to support DSWT and here are my current favorites.

1. This cute t-shirt through J.Crew


100% of net proceeds go to DSWT.
(most sizes backordered with estimated ship date of December 14, 2015)

2. Bracelet and Pendants by artist Kathy Kamei


"Every cent from the sale" of bracelets (l) and necklaces (r) go to DSWT. Kathy Kamei's jewelry is created by hand in Bali.

3. Watercolor prints on... everything

You can get several Angela Sheldrick watercolors on a variety of products through CafePress.com, including t-shirts, mugs, baby bibs and onesies, and tote bags. This one is my favorite, but the others are equally adorable.


There are also more traditional giving option, such as a direct donation. For those in the U.S., you will want to use this link for tax deductible donations. That said, I prefer the fostering program which is not tax deductible in the U.S. but is substantially more satisfying.


World Wildlife Fund

For $55 you can gift an endangered animal adoption kit that includes a stuffed plush animal, adoption certificate, and species informational card. The stuffed animals are pretty cute and, in my experience, well made. They also have some non-conventional stuffed animal options for more unique gifts. If you are planning to buy a stuffed bear, bunny, or platypus for a kid in your life, why not also provide some knowledge?



The Lalela Project
Lalela provides after-school art and music education for at-risk youth and orphans in South Africa and former child soldiers and refugee children in Northern Uganda. They also have an after-school arts program in the South Bronx, in one of the highest at-risk communities in the United States.

Lalela has transformed some of their student artwork into gorgeous scarves, which can be purchased here.  Above ("Signature") and below (Trees) are just two examples.


For more information about Lalela, check out this video.



Raven + Lily

Raven + Lily clothing, jewelry, purses, scarves, and other accessories are made by at-risk women paid fair trade wages in a variety of countries, including in the United States. Materials used are eco-friendly and follow fair trade standards. Due to the wide range of countries, the styles vary beautifully for many tastes. For example, I love this bracelet, made in Ethiopia with recycled gold and silver.


I also want these arm warmers for myself - made in Kenya with organic cotton.




Uncommon Goods
Every item at Uncommon Goods has a story. Now, these items don't support a specific cause as much as showcase Uncommon Goods' commitment to artists and the environment. You will find things on this site that you will not find anywhere else and many are made from recycled materials.

I love these shot glasses made from Himalayan salt - beautiful and perfect for tequila!


You can also find quirky things, like these belts made out of bike treads.



(They also donate a portion of every order to your choice of one of four non-profit organizations)

Anyway, I am not finished with my shopping, so if I find more cool sites or products, I will update this post accordingly. Happy shopping!

Sunday, November 9, 2014

Three Takeaways from the BSR Conference

I plan to write-up a few in-depth posts this week but wanted to share some quick notes about the recurring themes I heard at the BSR Conference:

1. Long-term focus: across industries and professions, people spoke about the challenge of shifting market, media, and investor focus from short-term earnings to long-term financial sustainability. As social and environmental responsibility becomes less about initiatives and more integrated within business operations, meeting quarterly earnings projections becomes less pertinent to the corporate mission. We need stock analysts capable of looking beyond dollar per share, who understand and focus on social and environmental impact as a component of long-term financial stability, as well as a media willing to shift away from sensationalized ticker alarmism toward presenting a larger picture of corporate stability.

2. Collaboration: more than ever, companies are partnering together and with NGOs to answer the most difficult social and environmental challenges around the world. Look for more about collaboration in Myanmar/Burma, where companies are addressing the lack of legal and regulatory infrastructure together, with local and international NGOs, and with guidance from several arms of the UN. The challenges are too big and systemic, in Myanmar/Burma and throughout the world, to be solved by one company or NGO alone. Sustainability leaders spoke about the willingness of their companies to work together on these issues, understanding that competition and collaboration must coexist.

3.Transparency: another major message was transparency, even when the picture isn't pretty. Companies are more willing to openly discuss challenges alongside victories, to give a complete picture of their social and environmental efforts. It's no longer important to project a perfect image of errorless operations but, rather, focus on management's ability to learn from and respond to challenges and mistakes. The discussion was less about "how transparent?" and more about "how does transparency spread through the corporate culture?" through messaging and reward structures, so that employees feel free to share successes and challenges in the spirit of corporate learning.

Some of my favorite moments came when speakers gently reminded their audience the people most impacted by the initiatives discussed at the conference probably did not even know about the conference, let alone attend it. This message was not lost on the people I spoke with, and there was a deep understanding of their responsibility to look beyond the inevitable elitism of a corporate gathering. As expected, the truly inspirational moments from the conference came during the sharing of stories, moments of understanding about shared challenges, and the acknowledgement that everyone there was doing something important, no matter how small or big, to make this world a better place for everyone.


Thursday, November 6, 2014

Preview: BSR Conference, Thursday

Today, the last day of the BSR Conference, is chock-full of interesting speakers. Here's a summary of some of the highlights:

Human Rights in the Technology Sector

Speakers:

Brad Smith, Executive Vice President and General Counsel, Legal and Corporate Affairs, Microsoft Corporation
Mark Chandler, Senior Vice President, General Counsel and Secretary, Chief Compliance Officer, Cisco Systems Inc.
Eileen Donahoe, Director, Global Affairs, Human Rights Watch

It will be interesting to hear lawyers speak on human rights. In my experience, corporate lawyers tend to be more concerned with protecting the company than protecting those affected by company operations, so I'll be curious to see if these two break that mold.

Eileen Donahoe's inclusion on this panel likely means the focus will be on internet freedom, rather than supply chain sustainability and conflict minerals.

Breakout Session: Can Voluntary Frameworks Ensure Companies Respect Human Rights?

Speakers:

Ursula Wynhoven, General Counsel and Chief, Governance and Social Sustainability, United Nations Global Compact
Chris Albin-Lackey, Senior Researcher, Business and Human Rights Program, Human Rights Watch
Melike Ann Yetken, Senior Advisor for Corporate Responsibility, U.S. Department of State

This debate has been going on since long before the UN Guiding Principles on Business and Human Rights were developed, so it will be interesting to hear if any of these players have shifted their opinion based on the progress and challenges in implementing a voluntary framework thus far.

Rona Starr

Rona Starr is the Director of Supplier Workplace Accountability at the McDonald's Corporation. Beyond a summary of McDonald's efforts to promote human rights throughout their supply chain, I'll be interested in the tone of her presentation. Specifically, I'll be looking for how much emphasis is placed on making a business case, as compared to a moral argument, to sell sustainability initiatives within the organization. As I'll explain in a future blogpost, I've noticed a trend during this conference and I'm curious if it will hold.

Darren Walker

Darren Walker is the President of the Ford Foundation, which provides grants and fellowships to individuals and organizations, focusing on eight social justice issues:

  • democratic and accountable government
  • economic fairness
  • educational opportunity and scholarship
  • freedom of expression
  • gender, sexuality, and reproductive justice
  • human rights
  • metropolitan opportunity
  • sustainable development

I wouldn't even dare to guess what Mr. Walker will focus on during his presentation but, if it's fantastic, I'll be sure to blog a bit about it and send a link to the video, when and if it becomes available.

Oh yeah and Bill Nye is closing the conference! If you want to see his presentation, check out the livestream at 6:40pm ET.

Note: I'm still deciding which afternoon breakout sessions to attend so, instead of previewing my options, I'll be sure to summarize the winners in a future blogpost.


The BSR Conference runs Tuesday through Thursday, in New York. The Agenda and link to livestream of selected events can be found here. Follow events at #BSR14 on twitter and stay tuned for more from me!

Wednesday, November 5, 2014

Preview: BSR Conference, Wednesday

Today, the first full day of the conference, is packed with cool panels and speakers. Here's a highlight of the events I will be attending.

Jeffrey Wright

Actor Jeffrey Wright is co-founder of the Ebola Survival Fund and is on the advisory board of the United Nations Democracy Fund. He tweets at @jfreewright about his efforts to #CrushEbolaNow.

Breakout Session: Responsible Business in Myanmar

Speakers:
Mai Oldgard, Vice President and Head of Sustainability, Telenor Group
Marcus Chung, Vice President, Social Responsibility and Vendor Compliance, The Children's Place
Fiona Sadler, Director, Ethical Sourcing, Marks & Spencer

It appears the discussion will focus on proactively engaging stakeholders to catalyze sustainable development. I will primarily be looking for any efforts by these companies to protect the Rohingya Muslim minority against human rights abuses. I will also be interested in how they address child labor and their approach to developing in conflict areas.

Additional information:

Nils S. Andersen

Nils Andersen is Group CEO of The Maersk Group, a global trade, shipping, and energy company, operating in 130 countries. Maersk's sustainability focuses on three areas:

  • Energy efficiency - increasing trade and economic opportunities while improving energy efficiency of their global transport supply chains and reducing carbon emissions from their containerized transport
  • Enabling trade - improving conditions for businesses and industries to participate in global trade by reducing external barriers to trade, providing transport and logistics to local farmers, and engage with governments regarding infrastructure improvements
  • Investing in education - training and education to build skills in growing markets, encouraging diversity in enrollment, targeting women and communities currently unable to access education opportunities

This is a broad strategy and I don't know where Mr. Andersen will focus, but I hope he spends some time discussing Maersk's anti-corruption efforts, as well as their progress toward integrating the UN Guiding Principles on Business and Human Rights throughout their operations.

Breakout Session: Innovative Approaches to Sustainable Supply Chains

Speakers:
Kelly Goodejohn, Director, Ethical Sourcing, Starbucks Coffee Company
Tu Rinsche, Manager, International Labor Standards, The Walt Disney Company
Greg Priest, Head of Sustainability Policy, IKEA Group
Deborah Kops, Managing Principal, Sourcing Change

As always, I'll be interested to hear if, and to what extent, Starbucks, Disney, and IKEA have integrated the UN Guiding Principles on Business and Human Rights in to their supply chains. I'll also be interested in if and how Sourcing Change prioritizes human rights through supply chain change management.

The BSR Conference runs Tuesday through Thursday, in New York. The Agenda and link to a livestream of selected events can be found here. Follow events at #BSR14 on twitter and stay tuned for more from me!


Tuesday, November 4, 2014

Preview: BSR Conference, Tuesday

I'll be at the BSR Conference this week and will be blogging about the presentations and discussions, with a particular focus on sustainable supply chains and business development in Myanmar/Burma. I imagine, after looking at the agenda, there will also be some interesting discussions about how business can contribute to the fight against Ebola.  Here's a preview of the two speakers opening the conference tonight.

Dame Ellen MacArthur

Dame Ellen MacArthur, founder of the Ellen MacArthur Foundation, will open the conference on Tuesday evening.

I imagine Dame MacArthur will speak about the work done by her Ellen MacArthur Foundation toward accelerating a transition to a regenerative circular economy.  A circular economy is one that is regenerative by design, less linear, more organic.

A regenerative circular economy uses biological materials, designed to re-enter the biosphere, and technical materials, designed to circulate with minimal loss of quality.

Go here for an interactive version of this diagram

A transition would require a systems level re-design to an economy that is restorative by intention, which aims to rely on renewable energy, and minimizes, tracks, and hopefully eliminates the use of toxic chemicals, while eradicating waste through careful design.

The circular economy shifts the focus from product ownership to "functional service," whereby manufacturers or retailers retain the ownership of their products, selling the use of their products instead of one-way consumption. Products are designed to be more durable and to be easily disassembled and refurbished for repeated use.

I will be interested to hear about progress and feedback from manufacturers, customers, and other stakeholders.

Sir Andrew Witty

Sir Andrew Witty is the CEO of GlaxoSmithKline, a global healthcare company that researches and develops vaccines, medicines, and consumer products. Previously, he has worked in GSK's International New Products groups, in respiratory and HIV and infectious disease fields.

GSK has several socially responsible initiatives in progress, including:

  • reinvesting 20% of profits made from sales in least developed countries back in to strengthening healthcare systems in those countries, partnering with NGOs to train frontline healthcare workers to reduce child and material mortality as well as meet wider community healthcare needs
  • developing the world's first malaria vaccine which, if approved and recommended for use, will be preferentially (affordably) priced in affected least developed countries, as well as working in partnership with other organizations to develop new tools and increase the use of existing tools (bed nets, spraying) to combat malaria
  • contributing to the United Nationals Millennium Development Goals by supplying medicines and vaccines and supporting development organizations which help women overcome poverty, among other commitments
These are all interesting, but I hope Sir Witty will spend some time discussing GSK's efforts to develop an Ebola vaccine.  Their Ebola vaccine has shown promising results in preclinical (non-human) studies and is in currently in phase 1 safety trials (human). Results are expected by the end of 2014. If successful, the vaccine will given to thousands of frontline healthcare workers in Sierra Leone, Guinea, and Liberia in early 2015. If the results of that phase show the vaccine successfully protects healthcare workers against Ebola without causing significant side effects, GSK intends to be prepared to accelerate production of the vaccine. Given the current situation in afflicted countries in West Africa, this is welcome news.

I will be interested to hear a status report and Sir Witty's response, if any, to recent comments by Dr. Margaret Chan, the director general of the World Health Organization.

The BSR Conference runs Tuesday through Thursday, in New York. Follow events at #BSR14 on twitter and stay tuned for more from me!

Sunday, September 14, 2014

Here we go again...

So I woke-up this morning to this op-ed written by Jonah Goldberg (@JonahNRO on twitter):
Let me focus attention on a few things written here:



Because don't we all demand our "moderate, decent" friends of various religions stand on soap boxes and condemn each and every offensive act perpetrated in the name of their religion?

No. No we don't.

I don't feel the need to call my "moderate, decent" Christian friends every single time Westboro Church protests a funeral, to ensure they demonstrate the appropriate level of disgust. Nor did I call them when Terry Jones threatened to and then did burn a Quran. "Why not?" you may ask. Because I consider them decent people and friends and I assume they are disgusted. Maybe they've expressed their agreement about the stupidity of these actions at some point in the past and, frankly, that is enough for me.

And while we are on the topic, who defines "moderate" here? I don't ask my Christian or Jewish friends if they are moderate Christians and Jews. I don't consider myself a "moderate Irish woman" or a "moderate atheist." Why do we feel Muslims must identify as moderate or not moderate, and who sets those guidelines?

Anyway, there's more:

Seriously? Every single Muslim must publicly and loudly express disgust or what? We label them an ISIS-sympathizer? Guilty until proven innocent? There's something in the Bill of Rights about that.



Wednesday, September 10, 2014

The Inevitable Failure of Dodd Frank 1502

Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank) requires all U.S. publicly traded companies to report sourcing details about conflict minerals in their supply chains to the SEC, if and when they source minerals from eastern Democratic Republic of the Congo (DRC) or neighboring countries. The underlying purpose was to cut off the flow of funds to violent actors in the region.  The unintended consequence was that many U.S. companies chose to stop sourcing from the region, due to the difficulty in meeting these requirements.  But this consequence was not unanticipated, and we began to see the fallout during the last week.

So what happened? Yesterday I began to see a slew of tweets indicating some major disclosures about Dodd-Frank's conflict mineral section were coming soon.  It started with this tweet:

So I started digging and found these tweets:



Tuesday, September 9, 2014

Sheets, Shirts, and Uzbekistan's Slave Labor Economy


In April 2014, the Uzbek government signed a framework agreement with the ILO for a three-year project aimed at improving labor rights to conform with international labor conventions. The Uzbek government recently claimed they have conducted seminars and workshops to educate government employees about these changes, which they say will improve the lives of ordinary citizens.

Evidence from the fields, however, shows these changes have yet to reach ordinary citizens. It appears the harvest is going forward this year as it has gone on in the past, treating farmers, doctors, nurses, teachers, students, and children as slave laborers in an industry that only benefits high-ranking government officials and a select elite. Recent press reports indicate that these ordinary citizens are not aware of these very big policy changes and are, thus, not aware of their newly granted rights.

The annual cotton harvest in Uzbekistan has begun.

Quotas

Government set quotas are strictly enforced and closely monitored at the local level. District khokims (similar to governors) commit to quota levels and use police and courts to enforce the quotas. Many farmers don’t actually own their land, they rent it from the government. These farmers can be kicked off their land for missing quotas too frequently or failure to repay debts incurred to ensure adequate harvest and support their families. Khokims and their enforcers use threats of eviction to intimidate any farmers who dare object to the annual cotton production.

If farmers don’t meet quotas, they can be sued for damages at about 25% of the purchasing price of the shortage These shortages are never officially recorded in the cotton registry, so those who oversee the cotton industry are never aware of actual production. Cotton packers manipulate the books then make money on the side from fines and selling excess cotton. Packers will only purchase 10% excess over quota from any individual farmer, thus farmers sell remaining excess to other farmers who are short of their quota. There are rumors of physical abuse perpetrated by khokims against farmers who don’t meet quotas, but nothing reliably documented.

Farmer Rights: Uzbek law states that farmers can use any unpurchased cotton for personal use. However, most farmers are unaware of this right and many have been accused by local officials of stealing from the government if they keep any cotton for personal use. As a result, anything that cannot be sold or bartered is left in the fields. Uzbek law also states that farmers must pay all workers, yet farmers typically only pay hired workers. All public sector employees and students work without pay, even though they are entitled to pay.

The Future: Farmers expect cotton-picking machines will finally be made available starting in 2016. Up until 2003, farmers had adequate farm equipment but the machines were not maintained properly and, at this point, there are virtually no cotton-picking machines in Uzbekistan. One farmer estimates that hand picking cotton costs five times more than using the machines. Farmers are not using fertilizers, meaning their harvests are a third to half of potential volume. Fertilizers are too expensive, given the prices farmers receive currently. If farmers could use cotton-picking machines, however, they would save enough money to use fertilizer and increase production. Farmers don’t make enough money to live on from the cotton harvest (in fact, many report losing money).

More about cotton production from the farmer's viewpoint here.



Forced Labor

Monday, March 10, 2014

Some of the things I read today

Busy day today so I missed/forgot a couple things I wanted to include, but here's what I put together:
  • Human Rights Watch Daily Brief
  • More about Thailand human trafficking
  • Vietnam and labor rights
  • Child labor and mineral make-up
  • A collection of articles about elephants, poaching and #bloodivory
  • #SyriasChildren of War - NBC News "live documentary"
  • Book Club: "The Evolution of a Corporate Idealist: When Girl Meets Oil"
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Human Rights Watch Daily Brief

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Thailand Human Trafficking (GlobalPost/NBC News)


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Vietnam and Labor Rights (Guardian Sustainable Business)


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Mineral Make-Up and Child Labor (Guardian Sustainable Business)




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Elephants, Poaching, and #BloodIvory


allAfrica.com - Tanzania: Vietnam Commits to Fight Poaching

The Cape Times/Conservation Action Trust - Measures to Curb Ivory Trade

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#SyriasChildren - 48-hour "live documentary" coverage on NBC platforms


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Book Club: The Evolution of a Corporate Idealist: When Girl Meets Oil by Christine Bader


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Friday, March 7, 2014

Some of the things I read today

For the foreseeable future, my twitter time is going to be restricted, so I'm gathering some things that I would normally tweet in one spot. Until my schedule frees up, I'll do this (when time permits), especially when directly RTing all of the links seems excessive.

Below, I've included links to:
  • reports on #CARcrisis
  • story about China's destruction of a Uigher Old City
  • plight of the Crimean Tatars
  • AFP video from Caracas, Venezuela
  • report on human trafficking in Thailand
  • annual report from the International Service for Human Rights
  • latest developments in Bangladesh Rana Plaza victim compensation efforts
  • and a couple articles on Beacon Reader (subscription required and recommended).

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  • #CARcrisis (Amnesty International story map and HRW backgrounder)


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  • China - destruction of Uigher Old City (New York Times article)

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  • Ukraine - Crimean Tatars (New Yorker article)

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  • Venezuela Protests - Caracas (AFP video - click the link to watch it on youtube)



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  • Human Trafficking - Thailand/Myanmar (Burma) (CNN Freedom Project)

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  • International Service for Human Rights - annual report

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  • Bangladesh - developments re: Rana Plaza victim compensation

Statement from the Accord on Fire and Building Safety in Bangladesh (Accord) regarding the Rana Plaza Arrangement
Posted on March 7, 2014 by Bangladesh Accord

“The Accord welcomes and supports the Rana Plaza Arrangement, a comprehensive and independent framework, consistent with international labour standards, which will provide the much-needed support for loss of income and medical expenses to the victims and dependents of the tragic collapse of the Rana Plaza building. Compensation falls out of the scope of the Accord, which is why we are very pleased that a common framework, the “Rana Plaza Arrangement”, has been agreed by all relevant stakeholders nationally and internationally, with the ILO acting as a neutral chair.

Full statement: http://www.bangladeshaccord.org/2014/03/rana-plaza-arrangement/

Rana Plaza Arrangement site: http://www.ranaplaza-arrangement.org/

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  • Stuff on Beacon (subscription required and recommended)

By the way, if you are thinking about subscribing to Beacon but don't know which journalist to sponsor, I can help with some recommendations.  Regardless of who you sponsor, you get access to all work posted by all of their journalists.

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Friday, November 22, 2013

Update: Baby Steps in Bangladesh

Nearly a year after the deadly fire at Tazreen Fashions factory, and nearly seven months after the devastating collapse of the Rana Plaza building, a group of labor rights activists, advocates, and professionals gathered to discuss progress made toward worker rights and workplace safety in Bangladesh's enormous garment industry.

I'm not going to summarize all that was said - if you are interested in the details, I suggest you check out the tweets from the event #TazreenRanaPlaza and read the report "Still Waiting", which was published by Clean Clothes Campaign and ILRF. (Video in 3 parts here)

Instead, I've summarized my "take-aways" from the panel discussion and recent media coverage.  I've also listed some actions we can take in support of workers' rights and to send a message to brands and retailers that we expect them to take responsibility for their supply chain and that they should better protect human and labor rights throughout their operations.

The Workers

In short, Bangladeshi workers are still fighting for their rights.  Despite all the talk and all the attention, workers are not earning a living wage and continue to work in unsafe conditions.  There are positive developments, but they have been slow coming.  Just this week, we've seen an apparent deal between government officials and factory owners regarding wage increases and an agreement between Accord and Alliance brands that will allow factory safety inspections to begin.  However, labor unions do not have the right to collectively bargain, in fact they are still not allowed a seat at the table during discussions between government officials, factory owners, and multinational brands.  The pervasive attitude that workers are commodities, are easily replaced, presents a problem.  Union leaders face intimidation without protections and without the right to freedom of association. Thus, any immediate gains in labor rights will be gradually chipped away if that attitude and philosophy is allowed to persist.

Despite recent wage gains, there is still far to go. When workers receive higher wages, the surrounding supporting businesses, including housing, see it as a sign they can increase their prices.  As a result, the economy improves but workers experience little tangible gain.  Many workers support elderly or infirm family members and pay for education for their children.  Very few have savings.  Thus, if unable to work, due to illness or injury, the worker's entire family suffers.

While the above applies, generally, to the current workforce, we shouldn't forget those who cannot work, whether due to factory fire, building collapse, or other tragic event in the workplace (and there are many that never receive media attention).  The Tazreen fire and Rana Plaza collapse focused attention and resources.  A victim compensation fund has been established, but those funds are not yet sufficient to cover the losses and they have not been adequately allocated to the victims. Some victims are permanently disabled, no longer able to work. Others might be able to return to work if they receive proper health care, rehabilitation, and, in some cases, prosthetics.  However, few have received the care they need in order to return as productive members of society.  Even if they received compensation, it has since run-out.  Without savings, the injured cannot pay for additional necessary care.  They become a financial burden on their families.  Some families are forced to take the children out of schools and put them to work in factories, so to replace lost wages, perpetuating the cycle of poverty.  In the meantime, the Bangladeshi garment sector has flourished.

The Government

Two Bangladeshi government officials were present at the panel discussion and were given a chance to speak.  The following comments are based on my personal interpretation of their comments and behavior.  When confronted with the lack of progress regarding labor rights and factory safety, the reaction was defensive.  It appears the government is feeling the pressure from worldwide media attention.  They also believe they should be in control of the process of Accord (and Alliance) implementation, specifically as related to how funds for improvements and maintenance are allocated to the garment factories and how victims are compensated.  This may explain why change has been so slow.  This also presents a problem, because about 10% of the Parliament is made-up of factory owners. Corruption is already rampant, and desire to control the allocation of millions of dollars should raise red flags.  However, the officials made some good points, especially related to our responsibility to pick up the bill, likely through higher product prices.  This is valid and we should expect it.  In fact, if we aren't paying higher prices for garments purchased from Bangladesh, then we should investigate whether the companies are doing their part to improve working conditions.  Either consumers will pay higher prices or the brands and retailers will take a hit.  That said, since the Bangladesh garment sector is growing, we should expect the government and factory owners to do their part as well.

The Multinationals - Brands and Retailers

The biggest difference between the Accord and the Alliance is also the most revealing about U.S. corporate philosophy related to their overseas suppliers.  Where the Accord is binding, the Alliance is not.  Alliance members, including Walmart and Gap, refused to join the Accord because the terms were too restrictive.  U.S. corporations who have signed on to the Accord don't seem to have that concern.  The grievance and remediation process under the Accord takes work and requires trust, and it appears the Alliance members aren't willing to take that leap.  There is also no requirement for the Alliance to fund improvements to safety and operations in the factory and, although the applicable organizations have established a fund, there has been no formal method to allocate funds to the applicable factories (see "The Government" above re: allocating funds to factories).  What should be obvious, and hopefully multinational corporations in all sectors are beginning to see the light, is that the traditional audit and remediation process no longer works (if it ever truly did, and that is a matter of debate).  Purchasing corporations need to start taking ownership for their entire supply chain, and that means establishing closer relationships and continuous involvement.  Hopefully, financial commitments toward improving factory conditions and increasing wages in Bangladesh will create this sense of ownership in the sustainability of operations, which includes integrated relations with labor unions.  The unique opportunity for corporations to work cooperatively toward these collective goals in Bangladesh, as they are through the Accord (and, to a lesser extent, the Alliance), bodes well for inevitable necessary improvements in other countries.

The successes and failures resulting from implementation of the Accord and Alliance will dictate changes throughout the region and industry.  We must not wait for another fire, another collapse, to act in Pakistan, India, Burma/Myanmar, or elsewhere around the world.

What You Can Do

Use your voice and use your purchasing power to tell brands and retailers you haven't forgotten about labor rights and workplace safety. 
  • Tweet, Facebook, send emails, make phone calls, tell your friends and family, do whatever you do to spread the word about differences between the Accord and the Alliance, and why Alliance members should continue to be pressured to take responsibility.  It's not too late for Alliance members to formally join the Accord and they should do so, to formalize their commitment and to reduce confusion in implementation of improvements. 
  • Tell Alliance members you expect them to contribute to health care, rehabilitation, and long-term care of victims of all factory disasters. 
  • Above all, continue to buy products made in Bangladesh, favor the Accord members when possible.  The workers are counting on us to keep demand up so their industry continues to grow. 


Sunday, June 2, 2013

Five Things You Should Remember About the Bangladesh Tragedy

Background: On April 24, 2013, the eight-story Rana Plaza building in Savar, Bangladesh, collapsed. The building housed five garment factories, which reportedly manufactured and supplied clothing to several major western brands including Benetton, Dress Barn, KiK, Mango, The Children’s Place, Primark, and Wal-Mart. The current official death toll is reported to be 1,130, but local activists suspect it is actually much higher. Compensation will only be distributed to families who can provide official proof, through a DNA match of a family member to a body; therefore, a lower official death toll count is viewed as a way to reduce the government's compensation costs. Regardless, at this official death toll, the Rana Plaza collapse is the world’s second deadliest industrial disaster on record, after the India Bhopal gas leak

Relevant facts:
  • The Bangladesh garment manufacturing sector brings in about $15.6 million annually and makes up about 80% of the country’s total exports. Sixty percent of these goods are shipped to Europe, 23% to the U.S., and 5% to Canada. Bangladesh is the 2nd largest apparel exporter after China, and has the lowest comparable minimum wage, $37 month. 
  • In November, a Bangladesh garment factory fire killed 112. Products for Wal-Mart, Disney, and Sears were produced in the Tazreen Fashions factory although, allegedly, through unauthorized subcontracting arrangements (which are disturbingly common in developing nations with large garment manufacturing sectors). 
  • Workers at the Tazreen Fashions factory claimed their bosses ordered them to stay at their sewing machines, even as the rumor of the blaze spread. When workers did try to escape, they found “women’s exits” were padlocked and the “male” stairwell was filled with smoke and bodies. 
  • The WRC (Workers Rights Consortium) estimates it would cost $3 Billion over five years to bring approximately 4,500 Bangladesh factories up to standards, or about 10 cents per garment produced.
  1. How did it happen? Pervasive corruption, poor construction, and a workforce without rights.

  2. The long answer to this involves delving in to the long and torrid history of multinational exploitation of cheap labor in developing nations. We’ll save that for another day. For now, here are some of the more important pertinent factors that led to the factory collapse:

    • Building and factory owners use substandard construction materials and frequently neglect to obtain proper building permits. (Update 06/03/13: a survey of garment factories done by the Bangladesh University of Engineering and Technology found 3/5th of the country's garment factories are "vulnerable to collapse")
    • When permits are obtained, there is little follow-through or supervision, leaving building owners to operate unregulated, to the extent they may build additional unauthorized stories.
    • Within the factory, building and factory owners and management frequently use unauthorized generators and machinery, which cause vibrations that impact structural stability.
    • Bangladesh suffers from a shortage of trained inspectors and systemic corruption, especially at the local level.
    • Government officials are allegedly “scared” to enforce the meager existing regulations (video) because of the economic power of the garment industry in Bangladesh.
    • Labor activists and union organizers report being intimidated by government officials, many of which have a vested financial interest in the garment industry. A year ago, a popular and vocal labor activist was found murdered, his body showing signs of torture. Despite pressure from international groups and governments, the murder investigation is stalled.

    Even though workers reported the cracks in the walls, and an inspector advised building and factory owners to evacuate the building, workers were told to return to work or face punishment, which could include docking of pay, reduced hours, or firing. As a result, many workers were in the building when it collapsed, despite the obvious signs something was wrong.

  3. What are multinationals doing? Depends on the company, but something potentially groundbreaking.

  4. The official accord (pdf), signed by 40 companies to date, requires a 5-year commitment, and includes the following key components:

    • Legally enforceable contract 
    • Independent, thorough, and credible factory safety inspections with publicly available reports
    • Mandatory repairs and renovations underwritten by Western retailers (funding options are negotiable)
    • Signatory companies must stop doing business with any factory that refuses to make improvements, after a notice and warning process 
    • Workers and unions have a substantial voice in factory safety, including development of a complaint mechanism and reporting process 

    H&M, the largest purchaser of garments from Bangladesh, has signed on to this accord, as have three U.S.-based corporations: PVH (parent company of Calvin Klein, Tommy Hilfiger, and Izod), Abercrombie & Fitch,and Sean John.

    Gap and Wal-Mart declined to sign on to the accord due to the legally binding component, which they claimed opened them up to frivolous lawsuits. Instead, they have put together their own agreement, along with members of the National Retail Federation, which will not be legally binding and does not discuss financing factory improvements. The lack of financing arrangements presents the biggest hurdle for success, as most factory owners don’t have the funds available to make necessary improvements without increasing the cost of products sold or reducing wages.

    Wal-Mart’s efforts to avoid responsibility should come as no surprise given recent actions regarding their Bangladesh operations.  After the Tazreen fire, Wal-Mart shareholders rejected a proposal to require suppliers to report annually on safety issues at their factories by a 50-to-1 margin and they have rejected a proposal to readdress the issue at the upcoming June 7th shareholder meeting; however, Wal-Mart said it would donate $1.6million to help start a new Bangladesh fire and safety training academy and claim they are working with other stakeholders and lobbying the Bangladeshi government to improve worker safety standards.

    The terms and implementation of the accord (and any other agreements) are important for the obvious reasons of making tangible and sustainable improvements for the lives of workers in Bangladesh. They are also important because, due to the attention currently focused on Bangladesh, multinational organizations will be watching the degree of follow-through and the amount of continued attention from consumers, media, investors, and NGOs. This type of multi-stakeholder cooperation is, in many ways, groundbreaking, in that it is international and has commitment from high-ranking government officials. As such, it will be seen as a template for future agreements in other countries and industries.  Any deviations and failures will be viewed as justification for reducing commitments in future arrangements. Thus, participating companies must be held to the standards they have set and held responsible for any deviations or failures to achieve promises. In the same respect, successes can be built-upon and we should applaud companies as they achieve their goals.

  5. What are labor rights and other organizations doing? What they have always done: making sure companies are held responsible for labor right violations.

  6. There are several organizations working on tracking labor rights issues in Bangladesh and other developing nations. These are some of the best resources:


    Advocacy groups and research centers are important resources for evaluating important developments, such as the new Bangladesh accord, as well as learning about and staying up to date on major issues in various industries and countries.

  7. What is the Bangladesh government doing? We’ll see…

  8. The Bangladeshi government claims it has taken a more forceful stance on workers’ rights. After the Tazeen fire, the government assigned a special task force and stepped up factory inspections, whereby 700 garment factories were found to have faulty safety standards out of the 2400 factories examined since February 7th. However, there was no indication efforts were made to address these problems. After a series of worker protests, the cabinet approved an amendment to the labor law, giving workers greater freedom to form trade unions and government agreed to raise the minimum wage.

    Additionally, the six-member committee investigating the Rana Plaza collapse announced it would seek life sentences for nine people, including the building and factory owners, engineers, and officials who approved building permits. Their rationale for this recommendation indicated that the collapse was due to shoddy construction, improper issue of building permits, and gross negligence of responsibilities to workers.

  9. What can you do?

    • Don’t stop buying products from Bangladesh. While boycotts are emotionally satisfying, the reduced demand has unintended consequences on the workforce we are intending to help. As demand decreases, multinationals reduce orders and factories have less money to distribute to their workforce, let alone address safety improvements. Poverty and overpopulation in many developing nations ensure factories will find workers, regardless of the factory conditions. Instead of boycotting, buy from the companies that have committed to legally binding improvement programs. 
    • Don’t encourage the U.S. government to remove Bangladesh’s favored trade status. Even though it does send a strong signal to the Bangladeshi government, the related increase in costs will influence multinational buying decisions, and they will likely take their orders to other countries. 
    • Don’t forget about the other countries with their own labor and human rights issues. Bangladesh has the world’s attention right now, and rightly so, but there are a plethora of problems in the worldwide garment manufacturing industry and each developing nation has their own unique set of challenges. Websites for BHRRC, BSR, and IHRB are fabulous resources for educating yourself about these issues and issues in other industries. 
    • Do pressure Wal-Mart, Gap etc to join the accord by posting a comment on their facebook pages (Wal-Mart and Gap) and signing the petition.
As a final personal note, I believe factory audits and monitoring programs are not a long-term solution. It is way too easy for factory management to cheat the system: keeping multiple sets of books, bribing or threatening workers to comply, and making quick physical changes to factory layouts, in order to meet standards for the duration of the inspection. For long-term and sustainable change, we must:

  • encourage governments to improve their regulations,
  • provide financial incentive for factories to improve their conditions,
  • ensure protections for workers to unionize, to educate themselves, and to exercise their rights, and
  • pressure western companies to guarantee they only work with factories that adhere to higher labor and human rights standards.

All of these improvements can and should be part of a comprehensive approach or they will not stick. This seems like an enormous task, and it is, because a fundamental change in philosophy is needed, on top of changes in policies and practices. Companies and governments will need to stop viewing workers as commodities, useful only for the amount of product they can produce per hour, and start treating them as equal human beings; worthy of the rights ascribed to them by the international community. Only then will we see tangible and sustainable improvements throughout the garment manufacturing industry and beyond.

As always, I look forward to your comments and questions.

Wednesday, January 16, 2013

Happy 2013!

Sorry I've been MIA on the blog - I have several posts in draft format that need some attention, however, I am neck deep working on my literature review for school right now so those posts will have to wait. Until then, I hope you all are well and enjoying the beginning of this new year. See you soon!

Wednesday, November 28, 2012

Being "in the sweatshop business"

Earlier today, I read an interesting article about the ethical dilemma ABC faces reporting about recent factory fires in Bangladesh, specifically because Disney products are produced in at least one of the factories and The Walt Disney Company is ABC's parent company. This dilemma is worthy of exploration. My primary objection is with the title "Reporting on Sweatshops When Your Boss is in the Sweatshop Business," because classifying any company as being "in the sweatshop business" makes assumptions about a company's business model and approach to overseas production and labor rights (none of which were discussed in the article).

Subsequent I had this twitter exchange with @AntDeRosa which, upon reflection, illustrates some of the issues I have been hearing from CSR and sustainability practitioners (@peterfhart is the author of the article).

Disney

(Full Disclosure: I spent a year working in Disney's International Labor Standards group, the group specifically tasked with defining, implementing, monitoring, and remediating labor conditions in factories producing Disney products. As a result, I know more about their specific operations than I am allowed to discuss on an open forum and I also have a soft spot for the people I worked with. Keep this in mind as you read.)

As with many companies that have a complex supply chain, Disney's ILS program has practical limitations.  As I tweeted and stated in an earlier post, it is impractical to audit 100% of the factories in a complex, global supply chain and it is nearly impossible to ensure desired conditions exists year-round, even after a successful remediation program. This is not an excuse for problems that exist, just a statement of reality. There are definitely shortcomings to Disney's approach to factory monitoring and remediation, none of which I would feel comfortable detailing here. I would also like to see Disney adopt a Human Rights Policy. That said, Disney does deserve credit for actions they have taken, for initiatives they participate in freely, and for a policy of pushing for improvement over "cutting and running". I won't defend Disney, specifically, any further. Everyone needs to make up their own mind as to whether a company is adequately addressing human rights and labor rights in their supply chain. My only hope is that you come to your conclusion based on evidence rather than inflammatory headlines.

Sweatshop, "Defined"

Another issue I have is the use of the word "sweatshop". Factory conditions overseas vary considerably, some are deplorable, others are disagreeable, and the rest fall somewhere in-between. To call them all "sweatshops" ignores the variation in conditions and the efforts made by companies, NGOs, trade organizations, and governments. The underlying truth is companies are cleaning up messes they made 25-30 years ago, when nobody cared about sweatshops or labor rights. Progress is slow, too slow, but progress is being made due largely to corporate sustainability initiatives, stakeholder focus on transparency, corporate-NGO-government partnerships/alliances, and responsible media reporting. If the goal is to fight for continuous improvement of labor conditions (and to move toward a human rights platform), we must also acknowledge that economic conditions in developing countries would be much worse if these factories disappeared. I don't expect people to stop using the word "sweatshop," but it should be used more responsibly.

Practitioner Concerns

The twitter conversation above also illustrates so many of the concerns I heard at the recent BSR Conference. Among them:
  • What do our stakeholders value more: transparency or results? 
  • What is the point of being transparent if it opens us up to attacks? 
  • Should we only publish our successes and keep our failures and lessons learned to ourselves to avoid attack and exploitation?
  • If we keep failures and lessons learned to ourselves, how do we then share them with competitors (and they with us)?
  • If we only publish our successes, then will our initiatives only be viewed through a PR lens? (specifically noted in one of @AntDeRosa's tweet above)
  • Doesn't this mean we need to also publish our failures and lessons learned - so we aren't accused of only seeking positive PR?
These are just a few of the questions asked and they illustrate the disconnect between the "world" of CSR and sustainability practitioners and the "outside world".  There is much work to be done here, by practitioners (to start, by better explaining their mission) and by the outside world (to start, by listening with a less cynical ear). Focus should be directed upon the companies that refuse to be transparent, refuse to acknowledge mistakes, refuse to commit to improvements. Also, when a company commits to transparency, to fixing mistakes, to improving conditions, they should be held to account. Name and shame the companies that cut and run, leaving others to clean up their messes.

"in the sweatshop business"

"If your products are made in a sweatshop, you are in the sweatshop business" as Anthony DeRosa tweeted to me... is this true? To be "in the sweatshop business" implies a company intentionally seeks factories with poor labor conditions, purposely keeps conditions at that level so to profit, and ignores any pleas for improvements. It also implies that this is a part of the company business model. If this were the case for Disney, perhaps I would not object. There are certainly companies out there that deserve this designation. Disney is not one of them.

As always, if you have any questions, concerns, or corrections to the above, please let me know.