|
Gildan
Gets Mixed Reviews in latest report
********************************************************************
September
27, 2006
Re:
MSN, WRC, EMIH report on Gildan Activewear (Honduras)
Dear
Friends,
Today
the Worker Rights Consortium (WRC), the Honduran Independent Monitoring
Team (EMIH), and the Maquila Solidarity Network (MSN) released the second
and final update on the verification of Canadian T-shirt manufacturer
Gildan Activewear's compliance with a January 2005 agreement to give
priority hiring opportunities to approximately 1,800 former employees of
the company's Gildan El Progreso factory in Honduras. MSN is not
requesting any action as follow up to the final update.
The
company closed the factory in August of 2004. The surprise announcement of
the company's decision to closure the factory was made in the midst of
joint discussions between Gildan, the WRC and the Fair Labor Association (FLA)
about a corrective action plan to remedy the unjust firings of some 80
union supporters.
The
verification of compliance with the priority hiring agreement was carried
out by EMIH. It found that in the first full month of the agreement,
Gildan hired only 20% of the 171 former El Progreso workers who filled out
applications, but during the same month hired 145 workers who had never
previously worked for Gildan. However, EMIH found that following the
initial stage, compliance with the agreement seemed to improve with an
increasing proportion of former El Progeso job applicants being hired each
month.
The
update concludes that Gildan's remedial response would have been much more
effective had the first hire policy been adopted and implemented
immediately following the factory closure before workers were forced to
make decisions about whether or not to stay in the region. It goes on to
say that it would have been preferable if Gildan had opened a new facility
in the El Progreso area, rather than 90 minutes by bus from the town where
most of the former Gildan El Progreso workers lived.
The
release of the update comes on the same day as an announcement by Gildan
that in December 2006 it will be closing its textile manufacturing
facility in Valleyfield, Quebec and downsizing its knitting facility in
Montreal, Quebec. Approximately 200 workers will be out of a job as a
result. Gildan also announced that in three or four months, it will be
closing and downsizing its sock manufacturing facilities in Mount Airy,
North Carolina and Hillsville, Virginia. As a result, approximately 335
positions in the US will be eliminated. According to Gildan, "[t]he
Company will treat all employees fairly and will make every effort to
alleviate the impact of this transition for the employees whose positions
are eliminated."
The
update on Gildan's compliance with the January 2005 priority hiring
agreement includes a series of recommendations to Gildan based on the El
Progreso experience.
To
access the full report and recommendations, go to: http://www.maquilasolidarity.org/campaigns/gildan/index.htm
********************************************************
Maquila
Solidarity Network / Ethical Trading Action Group
606
Shaw Street, Toronto, Ontario, Canada M6G 3L6
416-532-8584
(phone)
416-532-7688
(fax)
info@maquilasolidarity.org
www.maquilasolidarity.org
|
