Volume 15 | Issue 9
Thursday, October 1, 2015
Suppliers flouting labour laws, says NGO Oindrila Sarkar A textile workers' union has accused a major Indian clothingfirm with global contracts of violating labor laws at its Hosakote factory. Jayaram K.R, the Executive Committee member of The Garment and Textile Worker’s Union (GTWU) said it's the second time Arvind Lifestyle has been the subject of a complaint for abusing workers. In 2011, GTWU had registered a formal complaint with the Karnataka Labour Department concerning the company’s Ramnagar factory. It is India’s biggest licensed manufacturer of apparels for brands like Arrow, Gant, US Polo, Izod, Flying Machine, Lee, Wrangler and Tommy Hilfiger. Jayaram said that he heard about the situation from workers and then filed a complaint. GTWU claims that every rule in the book from Basic Minimum Wage, overtime dues and Interstate Migrant Worker’s Guidelines was being violated there. The Labour Department has still not taken any action
against Sanjay Lalbhai owned Hosakote unit. In the Ramnagar unit, people were being made to work 16 hours a day and the company had refused to provide food, tea or any sustenance. They had also failed to provide the stipulated bonuses. These activities along with keeping four labour contractors for one unit had to be discontinued in Ramanagara when GATWU and the Karnataka Labour Department intervened. This put Arvind under the scanner. Thereafter they were forced to reform. They now have unions as well. In August GTWU found out that the Hosekote unit was operating entirely with interstate migrant workers, breaching the Interstate Migrant Workmen Act 1979 and Payment of Wages Act 1936. Jayaram added: “Vandana enterprises (a sub contractor of Arvind) were contractors for the controversial Ramnagara unit when it was raided in 2011. The same company is now gunning for a contract for the Hoskote unit as well. The moment these people
Rajamma, a garment factory worker
are asked to stop production somewhere they try to restart it and they have found out a discreet manner of doing it and staying outside the radar of law enforcement.” He added: "Workers are not ready to approach the judiciary. There are hardly 30-40 cases in the Labour Court. None of the labourers in Arvind’s Hosekote unit speak a common language or understand kannada as they are migrant workers. This is the reason why they could not organize themselves properly and were being exploited. We are now going to take up the matter with the brands themselves and have contacted Arrow which has its office in USA. These companies take 70% of the profits and are responsible for whatever happens to our workers on the ground. They are answerable for any kind of oppression and flouting of laws. None of these billion dollar Ready Made Garment (RMG) companies who produce in India are doing any Corporate Social Responsibility (CSR) activities here or diverting even a margin of their profits. The Government of Karnataka is responsible for all welfare measures and insurance.” Rajamma, who works for Texport Industry which is Walmart’s biggest manufacturer and supplier in Bangalore, said: ”We haven't gotten a single holiday this month, not even on a Sunday. We are not being paid for our overtime work either.” She also said, “Different factory agents charge differently for food, travel allowance and rent. I bring home 7000 rupees but 2000 rupees is deducted every month by agents.” Madeena Taj, Treasurer of the Garment Karmikara Mahila Munnade, (GKMM) said:"The minimum wage notification for 2015 is rupees 272 per day but factories have started deducting money from the basic pay for housing, rent, food and travel allowance. This is a violation of worker’s rights under Section 9A of the Factories Act.
Arvind Lifestyle Brands Ltd Bangalore Picture courtesy: Wikimapia Major departments including the Labour Department are hesitant to take up the matter with the suppliers.” Asiya, who works as a seamstress for Textport Industry, said: "Last Saturday when Karnataka had the Kalasa Banduri bandh we could not go for work and so we were not paid anything. The garments we make are sold for exorbitant rates and are internationally the best clothing brands but here we live below the poverty line.” There are around 2000 textile units in Bangalore and it accounts for about 30% of the country’s apparel export pegged at more than $10 billion. Walmart’s sourcing facilities in Bangalore maintain operations worth $1 billion, Tesco $900 million and Marks and Spencer 200 million. They employ approximately two million workers cyclically and seasonally in the industry. Their suppliers in Bangalore are Arvind Mills, Arvind Lifestyle, Gokuldas Exports, Gokuldas Images, Sai Exports, Texport Overseas, Texport Syndicate and Texport Industry. Each has atleast 30 units in Bangalore . Rathna GM from GMKM said:” The piece workers in these sub contracted factories are hit hardest. They have no insurance or provident fund or an ESI (Employee’s state insurance). The sub contractors ask them to return back to their villages in months. In a word, they are devoid of every social security. Narayani who works for Arvind said: "They are making 60 of us stitch 150 shirts and 120 pants per hour. If we cannot meet the target we are not allowed to go for lunch. If someone is ill and cannot come for two days they are
going to be fired in all probability.”. The Labour Department refused to comment on what exactly is stopping them from taking action against Arvind Lifestyle for the illegal Hosakote unit. According to the Asia Floor Wage Alliance 58p an hour is the minimum living wage whereas Arvind is paying 22p26p an hour. Narayani added,"If we do not lie during audits then we will face the wrath of the factory owners later.” The International Labour Organization (ILO) lays down standards to ensure fair labour practices in the exporting countries. Delivery standards have to be ensured so that suppliers do not violate the laws of the land for personal gain. But Arvind, Texport, Gokuldas and Sai refused to even acknowledge the presence of such activities inside premises of their factories. The Union Textile Ministry had formulated a major plan to invest rupees three billion in modernisation and expansion in the 11th five year Plan which has still not come to fruition. Given the rapid rise in food prices, collapse of Public Distribution System (PDS), the workers are still living in poverty. They complain about lack of savings and the fact that they also have debts to repay. Jayaram KR of GATWU which works with the Workers Rights Consortium said, ”They make clothes for the biggest brands and are sold in USA and Europe but here they are facing shocking violations of norms and supplier standards. They earn so little that with their entire month’s wages they cannot buy a single item they produce.”