H&M is investigating alleged factory abuses in Myanmar as pressure mounts
LONDON (Reuters) - H&M is investigating 20 alleged cases of labor abuse at Myanmar garment factories that supply the world's second-biggest fashion retailer, it told Reuters, just weeks after biggest rival Zara, owner of Inditex, said it was phasing out purchases from the southeast. Asian country.
A British human rights group tracked 156 cases of alleged abuse of workers in Myanmar's garment factories from February 2022 to February 2023, up from 56 the previous year, showing a deterioration in workers' rights since a military coup in February 2021.
Wage reduction and wage theft were the most commonly reported allegations, followed by unfair dismissal, inhumane work and forced overtime, according to a report by the NGO Business and Human Rights Resource Center (BHRRC).
"All cases identified in the BHRRC report are followed up and, if necessary, remedied through our local on-site team and in close cooperation with the relevant stakeholders," H&M said in a statement.
"We are deeply concerned by the latest developments in Myanmar and see increasing challenges to manage our operations in accordance with our standards and requirements," the Swedish retailer said.
The BHRRC has been monitoring allegations of worker rights abuses in Myanmar's garment factories since the military junta took power and plunged the country into a political and humanitarian crisis. The tracker includes cases of abuse at 124 separate factories.
The BHRRC said it is monitoring cases of alleged abuse through sources including union leaders, international media and local media such as Myanmar Labor News, and is trying to verify reports by checking with signs and interviewing workers. Reuters has not independently verified its findings.
According to the report, there were 21 cases of alleged abuse involving Inditex suppliers and 20 involving H&M suppliers over a two-year period. Inditex declined to comment on the report.
A spokesman for Myanmar's military government did not respond to a request for comment on the findings. The Myanmar Garment Manufacturing Association did not respond to a request for comment.
MADE IN MYANMAR
Inditex's decision to cut ties with suppliers in Myanmar comes after Primark and Marks & Spencer announced plans to exit last year, a trend some say could ultimately leave garment workers worse off.
Spanish fashion retailer Tendam also plans to stop buying goods from Myanmar, it said in its response to a BHRRC survey of brands published alongside the report.
"We have a plan to leave the country, but [it] has not been announced yet," Tendam wrote, without elaborating on the reasons. Tendam did not immediately respond to a request for comment.
Primark told Reuters it expected its final orders from Myanmar suppliers to be shipped by the end of this year, but it had also increased its presence on the ground.
"As we work towards our exit, we have doubled the size of our Ethical Trading team in the field, which allows us to visit the factories we still work with more regularly and gives us greater visibility," Primark said in an email on Wednesday.
Some brands that continue to source from Myanmar have also stepped up monitoring of suppliers.
Danish fashion company Bestseller has increased the number of staff in its Myanmar office from three to 11 since the coup, it said in its survey response.
H&M, Bestseller and Tendam are among 18 brands that are part of the European Union-funded MADE project aimed at improving working conditions in Myanmar's garment factories.
The EU's position is that companies should continue to buy from Myanmar, where the garment industry is a key employer with more than 500 factories producing clothes and shoes for big brands.
"If you as a company engage in discussions with local workers' rights groups and unions about wages and working conditions, you can have an impact," said Karina Ufert, CEO of the European Chamber of Commerce in Myanmar. "By leaving the country, it's hard to see how you can affect local conditions."
Vicky Bowman, former British ambassador to Myanmar and director of the Myanmar Center for Responsible Business, said international brands under pressure to stop buying from Myanmar were also most likely to provide stable jobs and take additional steps to protect against rights abuses.
"If they leave, the jobs will either disappear entirely, or the factories will try to get orders from reluctant purchasing agents who only care about cheap labor and don't care about factory conditions," Bowman told Reuters.In a BHRRC survey, some of the world's biggest clothing brands detailed their approach to this dilemma.
In its response, sports giant Adidas wrote: "Despite the identified human rights and labor rights risks, we believe that through strengthened human rights due diligence measures, we can continue to do business in Myanmar in a responsible manner and in accordance with the core conventions of the ILO (International Labor Organization ), UN Guiding Principles and OECD Guidelines.'
Britain's Next newspaper wrote that it had considered pulling out of Myanmar, but "while it may send a clear signal to the local government that its policies and practices are unacceptable, it could cause huge damage to local communities and workers, depriving them of desperately needed investment and wages."
Reporting by Helen Reid, Additional reporting by Corina Pons, Editing by Emelia Sithole-Matarise, Alexandra Hudson and Mark Potter)
In an effort to uphold its commitment to ethical sourcing and labor standards, global fashion giant H&M has announced a comprehensive investigation into alleged abuses at its factories in Myanmar. The move comes as international pressure mounts on companies to ensure fair treatment of workers and align their operations with human rights principles. This article delves into H&M's proactive response to the allegations and the broader context of ethical labor practices in the fashion industry.
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H&M Quick Deal:
H&M's decision to launch an investigation demonstrates their commitment to maintaining transparency and accountability in their supply chain. Reports of labor abuses in various industries have intensified scrutiny of corporations and prompted them to take proactive steps. With allegations of poor working conditions, insufficient wages and inadequate safety measures at its factories in Myanmar, H&M's response signifies their determination to address these concerns head on.
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Ethical sourcing and labor standards:
The fashion industry has long grappled with the challenge of ensuring ethical sourcing and labor standards. The recent focus on Myanmar highlights the global need for corporations to engage in responsible business practices. By investigating alleged abuse, H&M is taking a critical step to ensure the well-being of workers and prevent exploitation.
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Mounting international pressure:
The increased attention paid to H&M's Myanmar factories is part of a wider trend of consumers, interest groups and international organizations demanding accountability from corporations. The power of social media and online activism has fueled this movement and pushed brands to prioritize their reputation and ethical commitments. H&M's investigation is a strategic response to not only correct any existing problems, but also demonstrate their willingness to adapt and improve.
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Respect for human rights:
Respect for human rights is a fundamental principle that no business can afford to ignore. H&M's investigation is in line with global efforts to uphold these rights and promote fair treatment for all workers. The company's willingness to confront potential abuse underscores its commitment to fostering a culture of respect and dignity in its operations.
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H&M's decision to investigate alleged abuses at their Myanmar factories is a significant step towards ensuring ethical working practices in the fashion industry. As international pressure mounts, corporations must remain vigilant and respond to allegations of labor abuses, working conditions and human rights abuses. H&M's proactive approach not only reflects their commitment to transparency, but also sends a strong signal that ethical considerations will continue to shape the future of business.
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