CORPORATE SOCIAL RESPONSIBILITY:

OUR MODERN APPAREL INDUSTRY, HUMAN RIGHTS IMPACTS AND

THE PURCHASING POWER OF THE CONSUMER

A Thesis

Presented to the

Faculty of

California State University, Fullerton

In Partial Fulfillment

o f the Requirements for the Degree

Master o f Arts

Anthropology

By

Sarah Beck
Approved by:

/
s ic /ih
Dr. Robey Callahan, Committee Chair Date
Depa ' - ^ * '*

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Dr. Barbra Erickson, Member Date
Department of Anthropology

Dr. Tricia Gabany-Guerrero, Member Date

Department of Anthropology
 UMI Number: 1525886

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 ABSTRACT

Human rights abuses, often equivalent to contemporary slavery, are thriving in

today’s global apparel manufacturing world. This thesis examines corporate social

responsibility (CSR) in the apparel industry and consumer perspective on the social

impact o f buying clothing. The actions major apparel brands take to ensure access to fair

and healthy work conditions for outsourced labor are observed. Human rights, free and

fair trade, the supply chain, slavery and incidences o f poor working conditions in the

apparel industry are considered, while juxtaposed with an examination o f the

understanding and drive o f the consumer. Data in the form o f an online survey and

subsequent interviews was collected to answer the questions: if apparel companies are

taking action to prevent social issues in their supply chain, then why are major

inhumanities connected to the apparel industry and are consumers aware o f their

purchasing impact? This collected data was utilized to investigate consumer awareness of

the impact consumer choice has on human rights. This was examined using a theoretical

framework focused on capitalism, political economy, neoliberal economics, modernity,

and globalization. The consumer was considered through the lens of identity, image and

the notion o f the Self and the Other. Normative Stakeholder Theory, Development &

Underdevelopment Theory and World Systems Theory were employed to foundationally

understand the dilemma involved with the appalling work conditions involved with

manufacturing clothing to feed the consumer needs o f the Western world.

 TABLE OF CONTENTS

ABSTRACT............................................................................................................................. ii

LIST OF TABLES.................................................................................................................. v

LIST OF FIGURES................................................................................................................ vi

ACKNOWLEDGMENTS..................................................................................................... vii

Chapter
1. PROJECT DESCRIPTON.......................................................................................... 1

Introduction.................................................................................................................... 1
Goals, Hypothesis, and Intention................................................................................ 1
Literature R eview ......................................................................................................... 2
Theoretical Perspective................................................................................................ 5
Methods and Procedures.............................................................................................. 12
Literature and Online R esearch.................................................................................. 13
Surveys and Interviews................................................................................................ 14

2. CORPORATE SOCIAL RESPONSIBILITY......................................................... 24

Defining Corporate Social Responsibility................................................................ 24

Creating and Regulating Corporate Social Responsibility..................................... 27
Regulatory, Monitoring and Guideline Organizations ........................................... 32

3. HUMAN RIGHTS AND THE UNITED NATIONS............................................. 47

History of Human Rights............................................................................................. 47

The United Nations...................................................................................................... 49
The United Nations, Human Rights and Social Responsibility.............................. 51

4. FREE AND FAIR TRADE......................................................................................... 59

Free Trade...................................................................................................................... 59
Export Processing Zones, Special Economic Zones and Free Trade Zones 68

iii
 Fair Trade 72

5. THE SUPPLY CHAIN AND THE CSR PHILOSOPHY OF MAJOR

APPAREL CO M PANIES........................................................................................... 76

The Supply C hain......................................................................................................... 76

The CSR Philosophy o f Major Apparel Companies................................................ 87

6. SLAVERY, LABOR RIGHTS, CONTEMPORARY ATROCITIES AND

HUMAN RIGHTS IN THE APPAREL INDUSTRY............................................. 121

Slavery in Human H istory........................................................................................... 122

History of Labor Rights in U.S. Apparel Factories
And The Advent o f the Sweatshop.......................................................................... 131
The Apparel Industry: Negative Impacts, and Contemporary Atrocities............. 136

7. THE CONSUM ER......................................................................................................... 156

Survey Participant Dem ographics.............................................................................. 156

Consumer Attitudes and T rends................................................................................. 161

8. DISCUSSION AND CONCLUSION......................................................................... 178

Discussion...................................................................................................................... 178
Globalization and Capitalism....................................................................................... 179
CSR, Motives and Transparency................................................................................ 187
Consumerism................................................................................................................. 191
Transnationalism, Ideals and Solutions..................................................................... 197
Conclusion..................................................................................................................... 203

APPENDICES........................................................................................................................ 206

A. QUESTIONS FOR APPAREL COMPANIES................................................. 207

B. ONLINE SURVEY QUESTIONS..................................................................... 209
C. INTERVIEW CONSENT F O R M ...................................................................... 213

BIBLIOGRAPHY 214
 LIST OF TABLES

Table Page

1. Dimensions o f Corporate Social Responsibility....................................................... 26

2. Differences Between Traditional Slavery and Contemporary Slavery.................. 127

3. American Labels, Chinese Factories and Basic Working

Conditions Compared.................................................................................................. 158

4. Country o f Residence.................................................................................................... 159

5. Total Household Income.............................................................................................. 161

6. 2014 Poverty Guidelines For The United S tates...................................................... 160

7. Types o f Clothing Consumers Buy Most................................................................... 165

8. Determinants When Purchasing Clothing.................................................................. 168

9. Things That Would Make Consumers Care More About Human Rights And
International Labor Law When Purchase Clothing................................................. 171

10. Things That Would Motivate Consumers To Purchase Clothing From

Companies That Value International Human R ig h ts ............................................. 173

11. Things That Would Motivate Consumers To Purchase Clothing From

Companies That Value International Human Rights II........................................... 174

v
 LIST OF FIGURES

Figure Page

1. The Multi-Stakeholder Initiative................................................................................ 31

2. Break Down o f Retail Sales Distribution.................................................................. 80

3. Hale and Will’s Iceberg Model................................................................................... 84

4. Companies Involved with Alianza.............................................................................. 142

5. Age o f Participants........................................................................................................ 158

6. Level o f Education........................................................................................................ 161

7. Preferred Choices When Buying Clothing................................................................ 165

8. Consideration o f Social and Environmental Practices o f a

Clothing Company....................................................................................................... 166

vi
 ACKNOWLEDGMENTS

My journey in pursuit of a Masters of Arts degree in Anthropology has been both

challenging and fulfilling. I would not have completed this degree or this thesis without

the support, contributions, and assistance from family and friends.

I would like to acknowledge and dedicate this project to the millions o f people

who toil tirelessly at the whim o f consumerism. I also dedicate this project to my children

Layla June and Beau Henry; my hope is that this project might inspire you to help people.

Thank you to my incredible and supportive husband Jesse Beck. You inspired me

to leam more about CSR and consumerism. Without you this project would never have

happened. You supported me in countless ways. I could not be more proud to be your

wife and partner. Thank you to my mom Marsha for caring for my babies while I wrote.

Thank you Shannon Swan for your amazing support as my research assistant and Deanna

Moore for your friendship and support. Thank you Jessica Auck for your insight with

edits.

I would like to also acknowledge my cohort: Anika Hein, Maria Carillo, Jennifer

Cullen and Laura Cowie your friendships are the reason I was meant to attend California

State University Fullerton. Maria, thank you for being on speed dial in the final weeks!

Last, I would like to acknowledge my advisor Dr. Robey Callahan. Your support

and confidence in me was unwavering. Thank you.

 1

CHAPTER 1

PROJECT DESCRIPTON

Introduction

This study examines corporate social responsibility in the apparel industry and

consumer perspective on the social impact of choices when shopping for clothing. It

explores the ongoing dendrites that connect these topics, which are apparel, human rights,

contemporary slavery, free market and globalization. Corporate social responsibility in

the apparel industry is convoluted. The focus here is to define and understand corporate

social responsibility, discuss injustices that are a result of the apparel industry, and

consider the role o f the consumer in all of it. There is limited anthropological research on

consumerism impacts and corporate social responsibility; this project seeks to fill this

void.

Goals. Hypothesis, and Intention

The goal o f this project was to personally leam and understand how clothing can

be produced and sold for minimal cost without human exploitation. I hypothesize that

consumers are unaware o f the global social impact o f their consumer choices and that

transnational clothing companies are aware, but are focused more on producing and

selling a garment for a maximized profit than the negative social impacts that result from

their production choices. The intention of this project is to first explain corporate social

responsibility as it relates to human rights, discuss the human injustices that are a result
 2

o f the apparel industry, consider consumer awareness, and then explain from a theoretical

perspective how and why contemporary slavery is a result o f western consumer

addiction. Last I contemplate, through theory and analysis o f collected data if it is

possible to change the disconnection consumers have with clothing manufacturing

practices and effect change on human behavior related to western consumerism.

Literature Review

Multiple layers o f literature were needed to investigate the topics in this project.

The purpose of this literature section is to discuss some of the literature material

employed as a means to understand and explain the natural direction and points that the

sources in this study are meant to make. In order to properly understand the final

discussion in this study it is imperative that certain subjects are expounded upon to fully

grasp the purpose and need for corporate social responsibility, the role o f transnational

corporations, multi-stakeholder initiatives and the United Nations. Literature sources are

also used to explain the result of globalization, the apparel industry, and consumer impact

on major human injustices.

Several articles were pertinent to breaking down and understanding CSR. Donna

Wood’s 1991 journal article “The Academy of Management Review,” and Alexander

Dahlsrud’s 2008 journal article “How Corporate Social Responsibility is Defined: An

Analysis o f 37 Definitions” were both relevant for understanding the definition o f CSR as

they investigate the history and regulatory nature of CSR for corporations. These articles

aid in grasping the intricate nature o f corporate social responsibility and ultimately assist

in the genesis o f the CSR definition used for this thesis.

 Industry and business websites also play a significant role as information

resources within this project. CSR concepts, standards and codes of conduct are posted in

CSR sections o f clothing websites. Multi-stakeholder initiatives that set, maintain, and

regulate industry standards also provide information via their websites. The details

researched on these websites provide foundational information for this project.

A multitude o f United Nations (UN) documents are used within this thesis. The

UN plays a considerable role in CSR. There are several sectors within the UN that deal

with social responsibility and these sectors are investigated and discussed by examining

the UN website and corresponding sector web pages as literature sources. Documents

published by the UN, such as the 2004 article, “Corporate Social Responsibility and

Business Regulation’ are also insightful references.

Human rights are the cornerstone o f this project as a whole. The concept o f

human rights is considered, discussed and defined. The UN is naturally a source when

considering the idea of human rights, particularly, “The Universal Declaration o f Human

Rights” (2014). The article, “Do International Human Rights Treaties Improve Respect

for Human Rights?” written by Eric Neumayer in 2005 provides conceptual information

about CSR and human rights. Other sources related to human rights are utilized as well.

Free trade and fair trade are researched in this thesis to provide perspective on

how companies outsource labor and what this means for human rights and CSR. Adam

Smith’s classic The Wealth o f Nations (1774) is a key component in understanding the

basic concepts relating to free market. The work o f Karl Marx is also a factor when

looking at the negatives o f free trade. Several articles are relevant and informative in

relation to how free and fair trade function when it comes to transnational companies and
 4

CSR. The chapter “Free Trade,” written by Diane Parente from the Encyclopedia o f

Contemporary American Social Issues (2011) offers a basic break down as to how free

trade works. A 1997 article, “Will Fair Trade Diminish Free Trade?,” written by David

Gould discusses how free and fair trade function. Linda Delp’s 2004 article, “NAFTA’S

Labor Side Agreement: Fading into Oblivion? An Assessment of Workplace Health &

Safety Case” is useful in breaking down free trade agreements. “Fairtrade movement: Six

lessons for the organics sector, Proceedings of the Third Scientific Conference of

ISOFAR” (2011): by J. Pauli is a great source for discussing fair trade.

Understanding the supply chain when it comes to garment manufacturing is

essential to this project as a whole. Alper Sen’s 2008 article, “The U.S. apparel industry:

a supply chain review” is an excellent resource for breaking down and defining the

supply chain. An incredibly relevant source to this study is the 2012 dissertation o f

Megha Gupta, “Corporate Social Responsibility in the Global Apparel Industry: An

Exploration o f Indian Manufacturers’ Perceptions,” this dissertation and another 2012

article co-written by her, “Corporate Social Responsibility in the Apparel Industry” are

the closest studies I have found to my own work.

The work by Gupta is current and plays an important role to this project in its

entirety. Her study is a great help in my efforts to discuss the supply chain, apparel

manufacturing, CSR, factory audits and a solution for the human rights problems I

address. Hale and Wills provide an excellent example for why there are so many issues in

the supply chain in their 2005 article, “Threads o f labour: Garment industry supply chains

from the workers' perspective” in which they offer their iceberg model for displaying

corruption in the supply chain.

 5

This project also reviews apparel websites and discusses their CSR practices. The

majority o f research resources for this section involved company websites. A few other

articles were useful in investigating several companies with reputations for positive or

negative CSR.

The history o f slavery and labor rights are also investigated in this project. There

were several literature sources that were helpful for this portion of this project. Modern

Slavery: The Secret World o f 27 Million People a 2009 book (Bales et al 2009) is

extremely useful for the exploration of slavery and provided both historical background

and contemporary content for this project. Howard’s Zinn’s The People’s History o f the

United States (2005) and Ellen Israel Rosen’s 2002 Making Sweatshops: The

Globalization o f the U.S. Apparel Industry provide ample information about the history

o f sweatshops and labor rights history. The 2002 film Life and Debt by Stephanie Black

and various reports by the Institute for Global Labour and Human Rights provide

definitive information regarding serious problems with outsourcing and sweatshops

today.

The sources discussed in this literature review section are not exhaustive of the

sources used for this project. The intent of this literature section is to explain why certain

sources were relevant to this project at large.

Theoretical Perspective

The theoretical framework for this project is anthropologic by nature.

Anthropology itself must be looked at through historical particularism and the viewpoint

for this project is seen through such a lens. The perspective is foundationally based in
 6

cultural anthropology and considers the human rights problems set forth in this project

from both a post modem and an applied anthropologic concept.

Applied anthropology uses anthropological research in praxis. It involves the

researcher as an activist for the participating community of research and interest. The

applied practice connects research methods with the collection of data, utilizing data in

direct action, and/or acting within policy change (Kedia et al 2005:105). The focus of

this project is driven by this applied perspective; find the problem, analyze, and produce

notions of positive change.

One o f the major theories utilized for understanding corporate social

responsibility in this project is R.E. Freeman’s (1984, 2004) Normative Stakeholder

Theory (NST). This theory offers theoretical reasoning for my anthropological argument;

though it is important to note that the theory has not before been examined, to my

knowledge, relative to anthropology.

NST provides a good framework for which a corporation and its CSR can be

understood. The foundation o f NST implies that the responsibility of a corporation is

greater than simply maximizing its profits (Freeman 1984, 1994, 2004; Gupta 2013).

Business ethics are an inherent foundation to the running of a transnational corporation.

In the end, the largest goal o f a corporation is profit, but the management of a corporation

rests on more than simple profit. “The purpose of the firm is not only to make profit for

shareholders but also defend an image and values respecting all stakeholders” (Fontaine

et al 2006:33).

The NST asserts that a company’s decisions directly impacts it stakeholders,

because o f this, ethical principles and guidelines must be defined and followed in order
 7

for a company to be a successful business (Carroll 1979; Davis 1960). An individual or

group with the ability to affect or be affected by the choices, goals, and objectives o f a

corporation is a stakeholder (Freeman 2004). This involves anyone with a stake in the

survival and long-term success of a company (2004). Stakeholders are literally everyone

involved in a company; this includes employees, local communities, suppliers,

shareholders, government, managers, clients and customers (2006). The importance o f a

stakeholder rests in the impact that they have on a company. If a stakeholder begins to

have a negative perception o f a company and proceeds to turn against the company then

this could lead to an overall failure. Therefore the stakeholders of a corporation play a

significant role the decision-making process o f the company. The relationship between

the company and stakeholder reflects the image and core values of a company. NST

posits that the relationship between a company and its stakeholders needs to be based on

ethical and moral commitment (2006).

Corporate social responsibility follows the theoretical framework o f Normative

Stakeholder Theory, which is why this theory is essential to understanding the

relationship between the corporation, the consumer, and international manufacturing

employees. This theory aids in seeing how CSR is essential to the makeup o f a company.

Both NST and CSR are focused on the merging of ethical and moral guidelines within a

corporation’s business practices and its obligations to its stakeholders. Both ideas suggest

that corporations have a far-reaching responsibility to stakeholders and society (Freeman,

2004).

In our modem global world a corporation must go beyond the requirements of the

law when it comes to environment and social impact in order to compete. This is fully
 8

explored within the body of this thesis as it seeks to explain how CSR works in the

apparel industry. NST is used to contemplate both the interconnectedness o f the

consumer, corporation, and manufacturer/supplier and also the lack o f fusion, which

results in human injustices.

With the philosophy of Foucault and Bourdieu during the 1970s and 1980s came

the entry o f the postmodern movement. This wave o f thought had a dramatic impact on

anthropological theory. It is within such theory that concepts o f theoretical and ethical

issues arise. Post modernity deconstructs mental, cultural and social structures (Erickson

& Murphy 2008:181). This mode of conceptuality within this project is inherent.

Postmodernism embraces multiple principle concepts such as realism, power, relativism,

culture in peril, and self-reflexivity (Nugent 2002:442-444). “Post modernist thinking in

philosophy and the humanities argue against universal visions of science and systematic

approaches to knowledge” (Schweizer 2000:49). Cultural relativism is a postmodern

component utilized in this investigation particularly in the final discussion in chapter

eight. This final chapter considers both the problem o f human injustices brought forth by

consumers and the apparel industry and then uses cultural relativism to suggest possible

solutions.

Academic thought and interest in post modernity have come to be synonymous

with concern and interest in globalization. “While the two terms are often considered to

be divergent there is a continuity as theoretical discourse transfers from one to the other”

(Lizardo and Strand 2009: 38). Due to the transnational nature of the apparel industry,

company impacts and CSR are global concerns. Many o f the social issues that arise
within the apparel industry stem from globalization, thus globalization and concepts

surrounding it are essential to the conceptuality o f this.

A major concept for which this study is based is political economy. Political

economy looks at globalization and the study o f unequal access to global wealth and

power. It is directly relates to Development and Underdevelopment Theory (Frank 1966)

and World Systems Theory (Wallerstein 1974). Neoliberal economics are the foundation

for globalization today. Neoliberal economics can be defined as a political-economic

ideology where governments promote competition among businesses within a capitalist

market, ideally and in theory, free o f state oversight, i.e: free trade (there will be

extensive discussion on neoliberal economics and free trade in chapters four and eight).

While NST is used to understand the importance and function of CSR, these two political

economy theories are elemental in breaking down how and why human injustices are

perpetuated by the apparel industry. Capitalism and Marxism are natural components to

this project as well. Aihwa Ong confronts many different topics relating to the idea o f

globalization and its impact on human capital, her concepts o f global and flexible

citizenship explain fundamentally how human exploitation occur within the sphere of

globalization and capitalism.

Andre Gunder Frank’s Development and Underdevelopment Theory (1966) looks

at the systematic exploitation by developed nation-states and regions o f underdeveloped

nation-states and regions. Immanuel Wallerstein’s World Systems Theory (1975)

considers how core nation-states are engaged in a system o f exploitation o f peripheral

nation-states for both labor and natural resources. These two theories definitively explain
 10

how and why contemporary slavery, (exploitation o f human capital) or conditions

paralleling slavery are very real occurrences today.

Humans from western cultures are disconnected on a global level from the supply

chain that results from our clothing being available to us on websites and in stores..

Western cultural concern for the Other (those who produce our clothing-this idea will be

further explored later) is minimal and understanding o f transnationalism is minute.

Globalization, a central theoretical concept to this project, is germinating and increasing

within a global sphere. Kearney’s 1995 article “The Local And The Global: The

Anthropology o f Globalization and Transnationalism” provides ideas for the theoretical

foundation o f understanding this project, particularly when contemplating solutions.

Nations have become simple global regions (Keamey 1995:549) that share

cultural ties. Transnationalism is the combination o f multiple ethnic cultures fusing

together to create a hybrid that connects multiple mores and beliefs with ligatures that

reach far and wide. This provides for multilayered cultural complications and ethics. It is

difficult to determine what is ethical in the research o f the Other, and even who the Other

is, when the Other is becoming infused into the West through the inevitability o f

globalization. The discussion section o f this project will piece together the ideas and

information shared throughout this thesis and contemplates questions and solutions

surrounding CSR and consumers, by linking anthropological concepts o f globalization

and transnationalism. Some might argue that the ultimate product of globalization and

transnationalism is a homogeneous international society; globalization also imparts a

homogeny o f the subjugation of people. This is translucently seen when looking at the

living and work conditions o f the people who manufacture clothing for transnational
 11

clothing companies around the world. The idea of a homogenous human rights solution

will be explored more extensively in the solutions segment o f the final discussion.

Each stakeholder connects to the other in a domino effect but the important

contact points do not quite touch. The experience o f each o f these entities does not match,

and thus solutions lack connectivity. The experience and identity of the consumer and

that o f the international laborer making our clothing are worlds apart, yet by purchasing

clothing and wearing it, we do connect. Consumer choices hold the ultimate power in the

treatment o f those who producing it.

Empowerment can also transpire on the manufacturing end o f the supply chain.

This can be a bit more difficult due to the exploitative nature o f globalization. The idea of

empowerment for the manufacturers/suppliers can come with the use o f CSR on their

end. Author Aihwa Ong’s theoretical approach is postmodernist, she relies heavily on

Foucault and power dynamics, creating discourse about the transformation o f the notion

o f citizenship within a global context (2009). Ong uses postmodemity and self-reflexivity

to explain the power dynamics o f globalization. I borrow from her concepts to investigate

empowerment and agency in both the consumer and the worker.

The consumer is considered by borrowing concepts o f consumer need and

addiction. These ideas are gleaned from the Pereze-Esposito 2010 article “The Global

Addiction and Human Rights: Insatiable Consumerism, Neoliberalism, and Harm

Reduction” and the 1989 Luigi Zoja article “Drugs, Addiction and Initiation: The Modem

Search for Ritual.” Both o f these works provide theoretical understanding o f Western

consumers.
 Due to subject complexity and the goals and intentions of this project, multiple

theoretical foundations and concepts were necessary for the conclusive discussion. It

took several theoretical concepts to explain and consider both the information set forth in

this study and the data collected. Postmodemity, applied anthropology, political

economy, globalization and transnationalism are key positions used here. Normative

Stakeholder Theory, Development & Underdevelopment Theory and World Systems

Theory act as lenses for explaining and looking at this project in its entirety. The global

and flexible citizen, consumer addiction, image, identity, the Self and the Other are

essential to looking at the overall picture that this project presents. These theoretical

perspectives are specifically used to discuss the information presented and to explicate

the data collected.

Methods and Procedures

The components to this research project are layered, thus the information and

research methods meet on various levels. A mixed methodology was used to collect data.

The foundation for this study is centered on research based literature and investigative

online research. Converging data collected via an online survey along with subsequent

interviews, investigate the consumer’s perspective on the outsourcing o f clothing, the

human rights o f those who produce the clothing, and the general awareness demonstrated

by the consumer. The collected data is then aligned with literature and online research to

explain the social processes and relationship between the consumer psychology,

corporate choices in CSR, and the impact this has on (outsourcing) workers

manufacturing our clothes internationally.

 13

Literature and Online Research

The rationales behind the methods employed in this project were deliberate and

acute. In order to fully explain the information and the arguments behind the data

collected, an extensive research study o f CSR had to be conducted. The subject o f human

rights through the apparel supply chain is extraordinarily convoluted. For the reader o f

this study to fully understand the human rights dilemmas that are involved with clothing

manufacturing certain subjects had to be tackled.

Data was collected using online and literature research to understand how CSR is

practiced, managed, and regulated in the apparel industry. This study essentially works its

way down the supply chain to gain insight into human rights and CSR on a transnational

corporate level. Journal articles provide a filter for properly discerning the industry. This

investigative method is used to analyze the definition of CSR, how it is regulated in the

apparel industry, and what influences CSR choices and concepts. Slavery, sweatshops,

and labor rights were investigated using this method with the intention to consider human

injustices that result within the apparel industry. Intensive website reviews o f apparel

companies were also conducted in order to judge the CSR policies o f major clothing

labels and brands. Companies were chosen by popularity and reputation. Every garment

company whose website was reviewed was also contacted via email and phone; although

minimal data was collected using this method, as only one company was willing to

answer questions regarding company CSR policy and perspective. Excluding the

company that opted to conduct an interview, five companies responded saying they

would review the study queries, only one out of these five, continued communication to
 14

state that they were legally unable to participate after the questions had been reviewed.

Below are examples o f questions sent to companies:

Question 1. Does your company feel that their definition of Corporate Social
Responsibility (CSR) is unique or different from other apparel
companies? If yes, how so?

Question 2. Is consumer knowledge o f your company’s CSR practices

important? Why?

Question 8. Would your company consider their CSR practices a “branding

tool”?

Question 10. How much o f your CSR program is business strategy versus
accountability? Where do these two areas meet?

Question 12. Are transnational companies that claim to be practicing good CSR
(commitment to the environment and fair labor/human rights)
actually doing so?

Question 19. What could make consumers care more about the environmental
and social impact o f their apparel purchasing choices?

Question 22. What opinion does your company maintain about tragedies
directly impacted by the apparel industry, for example: the fire in
the Tazreen Fashions factory in 2012, the Rana Plaza building
collapse in Bangladesh last year, and the Aswad garment factory
fire?

Question 24. What is your answer for the issue o f contemporary slavery and
clothing production?

Surveys and Interviews

To collect data for this study several methods of data collection were involved in

gathering anonymous information. The sources were: an online survey, participant

observation, and direct in-person unstructured interviews with a small sample of

participants. Participants were informed of the nature of research prior to taking the

survey and participating in interviews.

 15

The purpose o f the survey was to gain quantitative data in order identify

consumer patterns, concerns and understanding of CSR and human rights with regard to

their clothing and consumer habits. Potential interview subjects were then pursued in

order to gain further qualitative data. The individuals sampled for interviews were

contacted via email and/or over the phone. A secured email address was set up

specifically for data collection for this study and all electronic communication with

participants and companies were conducted through the use o f this account.

The survey included thirty-two brief demographic, multiple choice, and fill in

questions. Interviews were audio recorded and participants were given the option to

delete them after the completion of the project to ensure anonymity. Participant

observation was conducted during interviews and also during excursions to apparel retail

stores. Participant observation involved observing pertinent and informational behavior

for the project as a whole. For lack o f space these observations are not discussed with

great specificity, but are a subtle addition to theorizing consumer behavior.

Survey

Both quantitative and qualitative data was collected using the online survey,

which included 418 adult survey participants. All o f the participants who took part in the

study were over the age o f 18. They were recruited using a “snowball” sampling

technique.

Snowball sampling consists o f contacting individuals to take part in a study and

then asking them to pass the survey on to others who fit the criteria for the study. Trotter

and Schensul (2007) describe this method as identifying small subset groups within large

societies. Snowball sampling presents researchers with the ability to, “build a sample o f
 16

individuals with one or more common characteristics within a large known or unknown

universe o f individuals” (Trotter and Schensul 2007:705). The function o f snowball

sampling here was to snare a large range of participants through mostly the use o f social

media.

Efforts were made with the intention to include equal numbers o f male and female

participants; though a larger percentage of women made up the body o f survey takers,

however that coincidentally reflects stereotypical gender-ratios in apparel consumerism.

The demographic needs for this survey were wide-ranging; as long as an individual was

18 years old, they were welcome to participant in the study. The goal was to survey

consumers o f a wide variety in order to find patterns across a diverse population. An

initial trial o f the survey was placed online for a week and was available to only the

researcher and four reviewers in order to ensure that the survey was ready for a large

audience. After the first week o f beta-testing it was placed online for two months.

The first page o f the survey provided survey participants several bits of

information. Basic institutional review board (IRB) information was provided with a

simple description o f the project, a few key terms were offered, and contact information

was given. The survey was anonymous and participants were informed o f this here. The

first page included the initial survey question, which asked participants to agree to take

the survey.

The survey format included yes/no, ranking, multiple-choice and short-answer

fill-in questions. There was clear and intentional forethought in the structure and

organization o f the questions. The subject o f human rights and clothing is loaded. The

sequence o f the questions was thought out and worded to avoid potential swaying or
 17

influence on question answers. The questions were broken down into three sections: basic

shopping preference and reasoning behind clothing purchases, beliefs and views on the

environmental and social impact o f clothing companies and consumer choice, and finally

demographic information. Environmental sustainability was brought up in this survey

with the intention o f obscuring that the main objective of the survey was to understand

their views on human rights when it came to buying clothing. The point to the questions

was to first gain insight into how a consumer shops, then investigate if they are thinking

about the social impacts o f their purchases and last, to see if there were any demographic

patterns when it comes to apparel purchasing choices and understanding social and

human impact awareness.

Some questions asked for narrative responses in order to allow for participant

explanation and vocality, providing text box options for personal answers. This was

important, as buying clothing is a very personal action. This allowed survey takers to

discuss specific stores and brands and why they choose them. It also provided a forum for

survey participants to explain intention behind purchases. Demographic information

helped decipher if there were patterns in age, sex, education, etc. For reference, below are

examples o f questions asked within the survey:

Question 2. What determines your choices when buying clothing?

Question 4. Are you more likely to buy a specific brand o f clothing or buy
from a specific store?

Question 7. Do you think about the social and environmental practices o f a

clothing brand when you purchase your clothing?

Question 15. Do you feel a connection or ever think about the lives o f the people
and who make the clothing that you purchase?
 18

Question 17. Would you be more likely to buy from stores/companies that focus
on providing clothing that protect human rights/impact? (i.e: Major
department stores or popular companies that sell clothing in your
country)

Question 24. How old are you?

Question 31. What is the highest degree or level o f school you have completed?

During the two-month time frame in which the survey was conducted 418

individuals took part in the survey. Out o f the 418, 301 participants completed the survey

in full, which means nearly 28 percent did not complete the survey. Four did not make it

past the initial “Agree to participate,” question and 88 answered the “Agree to participate

question,” but failed to answer anything else. This left 28 actual partial respondents that

completed just part o f the survey. Interesting enough, 18 o f that 28 only made it past

question number six, and 8 o f the 28 only made it past question number five. It is worth

noting that consistent trends were observed in the incomplete responses.

An expansive amount of information was collected through this survey. Only the

information specific to relevant patterns and discussion will be utilized in the whole of

this project and conclusive discussion. All but two o f the respondents were from the

United States, so the idea o f “space” for this study is focused on the United States.

Interviews

fter completion o f the survey, participants were asked if they were interested in an

opportunity to be interviewed on the subject. Individuals who agreed to be interviewed

were contacted. Sixteen adults over the age o f 18 and living in the United States were

chosen as interview subjects. The interviews added a secondary dimension to the data and

provided a clearer sense o f individual traits, patterns, and social awareness when it came
 19

to shopping for clothing. The collected data was then coded and processed to inform

analysis on how consumers understand, relate, and shop in relation to how the clothing is

produced.

A means o f ethnographic research, the interviews were wholly reliant on

participants as informants. The study of individuals is an essential component o f adequate

social theory, person-centered interviewing and observation provides a forum for which

to attain such essential information and is a common methodological approach within the

discipline o f anthropology.

According to Russell Bernard (1998): person-centered interviews and

observations are respondent centered. Interviewing must be conducted in conjunction

with traditional community studies (i.e.,my consumer survey) that elucidate context,

determine the topics to be covered in the interview, and make the interview materials

intelligible. Bernard states that person-centered interviews must also be augmented by

special studies dictated by the investigator’s interests and developing sense o f significant

self (Bernard 1998:335). This form of interview engages the interviewee as an informant.

As essential as the survey conductor is to the study, person-centered interviews also

engage the interviewee as a respondent. This respondent functions as an object of

systematic study and observation (1998:335). Meaning that the interviewer is innately

biased, as is the informant, but that such a perspective can be useful within a study. These

components and principles set forth by Bernard are common tools utilized within

anthropological study and established the basis for my interviews.

As described by Bernard, the interviews were an informative supplementary

means o f information for this study. The interview process provided a forum to explore
 20

concepts, beliefs, life style choices, and experiences o f consumers. To understand

consumer thought process it was helpful to gain further perspective through interviewing.

In the interviews I analyzed the responses and behaviors of the interview subjects as he or

she reacted or responded to various probes set forth through questions and topics

(1998:335-336).

Just as narrative answers on the survey provided the ability to gain first-hand

responses, the interviews did as well. Out of the 301 complete surveys 98 individuals

responded with contact information for interviews. O f those, 88 offered means o f contact,

each were contacted, however 16 were interviewed. One other interview subject was

recruited outside o f the survey. Each contacted participant was then contacted either by

email or phone depending on individual request. Some were unavailable for interviews;

others were eliminated due to potentially skewed research results due to the personal

relationship o f the interviewer and participant or due to time constraints. In the end, 16

participants were interviewed with an additional participant recruited separate from the

survey. This individual was someone who had worked in the apparel industry and had

been recommended for the study after the survey can been already been completed.

Six interviews were conducted over the phone. The phone conversations were

recorded, those interviewed were informed before the interview began that the

conversation was being recorded and were offered the opportunity to delete the

conversation at the end o f the phone call and also at the end o f the project. Eight o f those

interviewed were met for in-person interviews. Those in face-to-face interviews signed a

consent form and were informed before the interview began that the conversation was

being recorded and were offered the opportunity to delete the conversation at the end o f
 21

the interview and also at the end of the project if they so desired. One individual

answered questions via email.

The goal was to interview 20 individuals; despite this goal only 16 were

interviewed. Some participants were unavailable, no longer interested, or did not respond

to initial contact. As previously mentioned others were not considered a good fit for an

interview due to the close relationship to the interviewer. Many interviews were not

conducted due to time constraints. All participants provided signed and/or verbal consent

to participate in the interview process prior to beginning the interview. Participants

interviewed over the phone and via email were asked to give consent to participate via

email.

The 16 participants included twelve women and four men, all between the ages

o f 19 and 70. Participants represented various areas o f the United States. Interviews were

unstructured with open-ended questions. Though unstructured, there were recurrent

themes discussed, thus questions naturally turned toward specific themes being observed

in this project and also incidences that have recently appeared in the media regarding

sweatshops and contemporary slavery. The questions below are a few examples of

questions posited during interviews, no particular order was framed for the questions

proffered:

Question. How often do you purchase new clothing?

Question. What is your main motivation when shopping for clothing?

Question. Do you understand how your clothing is produced throughout the

supply chain?

Question. Does being informed about some of the human rights issues that
are involved in clothing production change how you shop?
 22

Question. Are you aware that there is contemporary slavery?

Question. What makes you care or not care about the individuals producing
your clothing?

Question. If you could do something to change the human rights injustices

involved in how your clothing is produced, would you be willing
to make sacrifices to do so?

Question. Do you feel too far removed from those producing your clothing to
care or do anything about it?

All interviews were conducted in English. Each session lasted about an hour. The

participant mostly determined the interview length and the level of detail they were

interested in discussing. Only three participants were available for follow-up sessions,

which occurred when participants made contact because of something talked about in the

interview that needed further elaboration or when initial discussion required additional

detail. The in-person interviews were conducted in settings determined by the

participants, and such locations included restaurants, coffee shops, and private homes.

Anonymity was essential in all aspects o f data collection connected to the survey

and interviews. No identifying information was used in this thesis. All interview

recordings were downloaded onto a secure laptop and converted into MP3 files. The MP3

files were saved in a folder requiring a secure password for access. To ensure anonymity

all names o f participants were coded and changed during data collection. As previously

mentioned, interview participants were given the option to erase recordings after the

completion o f this project.

A final note on the interviews, an enormous amount o f information was gleaned

from these interviews, but there was limited space to discuss the responses here in the

thesis when combined with the data collected in the survey. The information collected
from the interviews was incredibly insightful and relevant, but only 10 quotes from

interview subjects were utilized for the purpose of this study, the reason for this is mostly

due to space and a desire to maintain clarity. While quotes are limited, they were selected

for having the best analysis o f the consumer with consideration from a theoretical

standpoint.
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CHAPTER 2

CORPORATE SOCIAL RESPONSIBILITY

Defining Corporate Social Responsibility

The central theme o f this research is based on corporate social responsibility

(CSR): and thus a definition o f corporate social responsibility (CSR) is paramount to the

thesis topic in its entirety. From an anthropological perspective CSR is a social construct.

It is defined and categorized by the corporations that practice it. CSR is a form of

corporate self-regulation that is integrated into a business model. It can be referred to by

many titles such as corporate conscience, corporate citizenship, social performance, or

sustainable responsible business (Wood 1991).

Many characteristics o f CSR make it complicated. One of the major complex

aspects o f CSR is that the entire notion is defined and self-regulated depending on the

industry and the company practicing it. “On a wide range o f issues corporations are

encouraged to behave socially responsibly” (Dahlsrud 2008; Engle 2006; Welford and

Frost 2006;). According to Alexander Dahlsrud, there is some uncertainty in both the

corporate and the academic world as to how CSR should be defined (2008:1). One could

argue that there are no definitions, but in reality there are a wealth of definitions that are

partial to particular situations and individual cases. Each company defines it themselves

depending on focus, intention and partnerships. A company’s image can easily be shaped

by how it chooses to define and practice CSR.

 25

The lack o f a cohesive definition can result in conflicts of interest because self-

definition and regulation create a self-serving bias within the CSR community. This

prevents the successful creation o f a specific and regulated definition (Dahlsrud 2008:1;

Jackson and Hawker, 2001; Van Marrewijk 2003). Depending on the CSR practices o f a

company, it often includes environmental, human rights, and philanthropic elements.

Since CSR programs are most commonly self-defined and self-regulated, the fabrication

becomes whim to the program, and thus CSR choices and actions are direct reflections of

a company’s needs.

Corporate social responsibility is defined for this project as a perceptual concept

influenced through research o f definitions and the CSR practices of corporate businesses

along with the outside companies they hire to aid them in defining and regulating CSR

practices. The definition utilized for this study is then considered and compared with the

concepts and definitions o f select apparel companies and how consumers understand and

view the social impact o f companies.

A revealing article written by Alexander Dahlshud (2008): “How Corporate

Social Responsibility is Defined: an Analysis of 37 Definitions” reviews various

definitions o f CSR and then uses several methodologies to narrow down the definitions.

Through coding, the author breaks CSR into five dimensions. These five dimensions are

salient perspectives for defining CSR for this project. The information in Table 1 on the

following page is borrowed from the 2008 Dahlshud article.

 26

Table 1: Dimensions o f Corporate Social Responsibility

Dimensions
The environmental dimension
The definition is coded to the
dimension if it refers to
The natural environment
Example phrases
“a cleaner environment”
“environmental stewardship”
“environmental concerns in
business operation”

The social dimension The relationship between “contribute to a better society”

business and society “integrate social concern in their
business operations”
“consider the full scope o f their
impact on comm unities”

The economic dimension Socio-econom ic or financial “contribute to economic

aspects, including describing development”
CSR in terms o f a business “preserving the profitability”
operation “business operations”

The stakeholder dimension Stakeholders or stakeholders “interaction with the stakeholders”

groups “how organizations interact with
employees,suppliers, customers,
and communities”
“treating the stakeholders o f the
firm”

The voluntariness dimension
Actions not prescribed by law
“treating the stakeholders o f the
firm”
“based on ethical values”
“beyond legal obligations”
“voluntary”

It should be acknowledged that the five dimensions mentioned in the Table 1 all

play equal roles in corporate social responsibility depending on where the definition is

coming from. Dahlshud determined these dimensions through extensive analysis o f the

concept o f CSR from 37 different definitions. The components in the above table

belonged to every definition. Since it has been established that CSR is a cultural construct

and the focus of this project is to understand empathy, human rights and human

connectivity through the process of consumerism, the definition for this study focuses

explicitly on the social dimension o f CSR. Given this acknowledgment the following

definition is the description o f CSR for this paper:

 27

Corporate social responsibility (CSR) can be defined as a general principle

stating how a corporation believes they should be accountable for all o f the
positive and negative, social, economic, and environmental effects and actions it
has on society. The means that a corporation honors ethical values and respects
people, communities and the natural environment determine how an apparel
company perceives CSR.

It is important to acknowledge that while I have defined CSR here in this section.

CSR definitions for select companies will be explored. The definition o f CSR ties into

free and fair trade, which will also be explored further in chapter four.

Creating and Regulating Corporate Social Responsibility

There are organizations that specifically research how development and

globalization are impacting and creating social situations and issues in our current world.

The United Nations Research for Social Development (UNRISD) is an autonomous

United Nations agency that conducts social research on contemporary global issues. This

and other research organizations such as Public Affairs Council (PAC) conduct research

regarding CSR. The United Nations (UN) also has charters dedicated to business and

human rights. The United Nations Human Rights Council (UNHRC) recently endorsed

the guiding principles in business and human rights. The guiding principles outline steps

companies can take to respect human rights and to ensure that victims o f human rights

abuses have access to effective remedies. The UN’s endorsement of these principles

created a global standard for business and human rights (United Nations 2010). These

standards are not enforced but utilized as influential ideals during the creation of

company codes o f conduct.

These types o f research entities are contributors and influence the world of CSR.

The fad o f being deliberate with green branding, using environmentalism and corporate
 28

environmental impact, “The Greening of Business” so to speak, was inspired by the

research UNRISD conducted regarding business, globalization and the environment

during the 1990s. This style o f “green” branding and “green” consumer ideals and

demand can be seen in the appearance of a larger availability o f organic and

environmentally friendly products and the political focus of GMO labeling. In 2000,

UNRISD continued influencing the CSR industry by conducting a three-year analysis o f

the pros and cons involved with initiatives intending to improve both environmental and

social performances o f business (Utting 2004:1).

It was during the 1970s that thinking and policy on corporate regulation came into

popularity. The general point o f view has evolved over the decades. During the 1980s

dialog regarding CSR had a neoliberal perspective with an emphasis on corporate rights

and deregulation. By the 1990s the CSR agenda switched focus, placing more stress on

corporate self-regulation and voluntary initiatives. Such initiatives involved “codes of

conduct, improvements in occupational health and safety, environmental management

systems, social and environmental reporting, support for community projects and

philanthropy” (Utting 2004:1-4). Over the years the limits o f corporate self-regulation

have continually become more discemable, and thus alternative approaches such as co­

regulation emerged as the readiness o f international bodies, developing country

governments, and trade unions declined (2004:1).

Co-regulation is a combination of multiple entities that work with corporations to

create codes o f conduct and systems for regulations. Businesses partner and co-regulate

with multilateral, government, and civil society creating multi-stakeholder initiatives

(MSIs) and public-private partnerships (PPPs) which set standards, monitor, report, and
 29

certify a business in order to meet CSR needs (2004:1). In recent years, pressure has

increasingly been put on corporate accountability, which intensified focus on the

international regulation o f transnational corporations (2004:1).

Company codes o f conduct play an important role in CSR self-regulation in the

apparel industry. Like CSR, codes of conduct have no standard definition. Many codes of

conduct definitions can include terms such as “self-regulatory or voluntary in nature,

used to influence behavior o f specified group(s): purpose is to define intentions/actions

regarding a set o f issues or towards certain group(s): sometimes from a market-based

perspective” (Bondy 2008:295). They are often associated with retail, footwear, garment,

and sporting goods. Brand reputation and export orientation are two ample sectors in

business that are influenced by company codes of conduct (2008:295). While o f a limited

scope these codes often focus on labor issues/rights, working conditions, sweat shops,

rights and responsibilities o f suppliers and independent monitoring o f transnational

companies (2004:1).

Codes o f conduct provide benefits for stakeholders while broadening the concept

o f CSR leaving compliance and regulation to the company. They provide concentration

on how products are produced. Codes of conduct have the power to become branding

tools as they pique and increase consumer interest beyond quality and price, instead

placing focus on both the social and environmental consequences of their purchasing

choices (2004:1). These codes of conduct can have limitations and these limitations are

often addressed through multi-stakeholder initiatives (MSIs). Such initiatives promote

discussion, reporting, monitoring, auditing, and certification on matters concerning

social, human rights, and environmental issues (2004:1-2). A multi-stakeholder initiative

 30

is a group that the apparel company chooses to partner with to aid in CSR management.

Usually different MSIs are hired to deal with different dimensions o f CSR within the

supply chain, i.e: social and environmental dimensions. Depending on the size and CSR

goals o f a company multiple MSIs can be hired for each dimension to deal with specific

concerns.

MSIs provide levels o f success when dealing with ineffectuality that can surface

from CSR self-regulation and act as a means to provide coherency to company codes

(2004:2). They bring to CSR a larger span of players to aid in decision-making, which

can be beneficial in terms o f corporations and global democratic governing. Like

individual CSR definitions, MSIs integrate their CSR practices differently. While M SI’s

streamline CSR definitions and practices in order to incorporate all the companies an

MSI might work with, it still leaves variability in how a corporation handles organization

and codes pertaining to labor rights, independent monitoring international labor,

transnational company value chains, environmental and human rights laws (2004:3).

There exists no formal compliance measurement methods for tracking compliance with

labor laws (only those set forth by various MSIs): since corporations are functioning on a

transnational level laws vary, thus homogeny is difficult to achieve in terms o f regulation

and compliance. MSIs seek to streamline this. MSIs can be many things, non-profits,

non-govemmental agencies, government, activist groups, and for profit businesses.

Figure 1 illustrates the job o f an MSI as it partners with the apparel company:
 31

MSI Partnership Apparal

(multi-stakeholder iniative) company

Figure 1: The Multi-Stakeholder Initiative (MSI)

A problem that arrives with the use o f MSIs is the accountability o f using a third-

party coordinator. For clarity, MSIs are third-party coordinators. Questions have arisen

about legitimacy and credibility o f some MSIs and non-governmental organizations

(NGO) that play dominant regulatory roles representing the interests o f workers and their

relationships with the companies that hire them (2004:3). Another drawback to MSIs

arises with the question o f whether the small impact they make is effective. With the

question o f effectiveness one must ask why even practice CSR when most large

corporations remain reasonably immune to pressures that might lead to the need for CSR

and an MSI relationship? If CSR is not being used as a branding tool or as a public

relations reputation-repair maneuver then is there a point to MSIs and CSR in the first

place? Quality and scale are another issue, the procedural costs and scale o f TNCs can be

limiting when it comes to using MSIs to manage CSR.

According to UNRISD, there appear to be notable trade-offs when it comes to

quality and scale. Some MSIs work with just a small number o f companies allowing them

to utilize comprehensive monitoring and verification approaches (2004:2). While more

extensive certification programs rely on large auditing and accounting firms. The costs
 32

for such firms tend to be higher and working with a larger number of companies makes it

more difficult for both objectively and to accurately assess “workplace conditions; labor,

gender and community relations; and environmental impacts” (2004:2),

Regulatory, Monitoring and Guideline Organizations:

There are many organizations (MSIs) that are hired out by corporations to

regulate the CSR goals of a company. Many organizations are discussed and evaluated

here. Their methods o f handling CSR in relation to the apparel industry are important in

understanding the supply chain and corporate CSR practices as a whole. While key

partnering multi-stakeholders are discussed here there are many more that are not

mentioned. There are different types o f multi-stakeholder initiatives, which include:

certification schemes, “anti-sweatshop” initiatives, United Nations Global Compact,

Global framework agreements between transnational companies, and international trade

union organizations. Some examples o f prominent multi-stakeholder initiatives are the

Sustainable Apparel Coalition, SA8000, Fair Labor Association, The Business of a Better

World, Workers Rights Consortium, Clean Clothes Campaign, Worldwide Responsible

Apparel Production, Global Reporting initiative, Ethical Trading Initiative, and AA1000.

Sustainable Apparel Coalition

The Sustainable Apparel Coalition (SAC) is a leading multi-stakeholder and trade

organization that works toward the reduction of the environmental and social impacts

brought about by the apparel and footwear market on a global scale (Sustainable Apparel

Coalition 2014). It was founded in 2011 by industry leaders and is a not-for-profit

organization. The coalition is comprised of brands, retailers, manufacturers, government,

and non-governmental organizations and academic experts that represents over a third of
 33

the global apparel and footwear industry (2014). SAC’s focus is the reduction o f both the

environmental and social impacts o f apparel and footwear products around the world.

The Sustainable Apparel Coalition created the Higg Index in 2012, which has

been utilized by hundreds o f organization since its creation. The Higg Index provides

assessment tools to measure the environmental and social impacts of apparel and

footwear products across the value chain and through the product lifecycle (2014). The

Higg Index 2.0 was released in December 2012 and is essentially a revamping o f the

original assessment tool. It focuses on the span of apparel life cycle (materials,

manufacturing, packaging, transportation, use, and end-of-life) (2014). Through the use

o f The Higg Index a business member is scored on their environmental and social impact.

The coalition uses the materials sustainability index. A result o f more than eight years of

materials research and analysis, this index was developed originally by Nike and was

adapted by the Sustainable Apparel Coalition and incorporated into the Higg Index

(2014). The creation o f the Higg Index was also largely influenced by other Multi­

stakeholder initiatives developed by Social Accountability and the Fair Labor Association

(both discussed below) (2014). It is the major tool utilized by SAC.

The Sustainable Apparel Coalition essentially functions as a checks and balance

system for members. The Higg Index is a “self-assessment” tool that works as a guideline

with scores to determine and evaluate improvement o f environmental and social

performance. The scores remain internal, but there are intentions to create a future

version of the index that will include a scoring scale designed to provide consumers and

other shareholders with a product's sustainability impact (2014).

 34

Members include all areas of the supply chain: brands, retailers, distributors,

manufacturers, consumer service companies, and industry affiliates, and non-profit,

government, & education. SAC works with some major household companies including:

Adidas, Asics, Burberry, The CocaCola Company, Columbia, Desigual, Ecco, Eileen

Fisher, Espirit, Fenix Outdoor Group, Hanes, Levi Strauss & Co., Lululemon Athletica,

Marmot, New Balance, Nike, Patagonia, Puma, Gap Inc., H&M, JCPenney, Kohls,

L.L.Bean, Nordstrom’s, REI, Target, Walmart, Avery Dennison, Bayer, Dupont, Gore,

the American Apparel & Footwear Association, Cotton Incorporated, Fairtrade

International, along with many others (2014).

Social Accountability International

As a multi-stakeholder organization, Social Accountability International (SAI) is

a non-governmental organization with a goal to create human rights progress for workers

on an international level. SAI specifically partners with corporations with the goal to

further improve human rights for workers through working with corporate CSR

programs. SAI maintains goals o f eliminating sweatshops through the promotion o f fair

labor rights, ethical working conditions, social dialog, and corporate social responsibility.

They maintain a vision o f promoting “decent work everywhere—sustained by widespread

understanding that decent work can secure basic human rights while benefiting business”

(Social Accountability International 2013).

In 1997 SAI became responsible for establishing one o f the world's leading social

standards which is known as the SA8000®standard. The aim of this standard is to

establish and maintain decent work standards. SAI utilizes the SA8000®standard by

participating with over 3,000 factories, across 66 countries and 65 industrial sectors and
 35

implementing international labor standards. Many other companies that do not

necessarily work with SAI utilize their SA8000 and other SAI programs as guides for

improvement. Outside o f their personal management SAI provides social compliance

training. They have provided training programs for thousands o f people including

auditors, brand compliance officers, labor inspectors, factory and farm managers, trade

union representatives and other worker rights advocates (2013).

A goal o f SAI is to raise labor law compliance around the world. They aim to

pull their capabilities together to create comprehensive programs. These programs

include Global Training and Capacity Building Programs, Social Fingerprint®, Corporate

Programs, and Guidance and Standard Interpretation (2013). Corporate compliance

programs are one o f the main elements of SAI’s work. SAI helps focus and maintain

corporate CSR programs through control and management o f working conditions along

with commitment to human rights throughout the supply chain. These programs also

furnish complaint management systems with a goal o f early detection and effective

resolutions. Some o f the apparel corporations that work with SAI include Eileen Fisher,

Gap Inc., Timberland, Walt Disney Company, Billabong, and Garnet Hill (2013).

Fair Labor Association

The Fair Labor Association’s (FLA) main mission is to improve working

conditions globally via compliance with international standards. They strive to promote

and protect workers’ rights and to fuse the goals o f corporate business, civil society

organizations, as well as educational institutions (Fair Labor Association 2013). Like SAI

the FLA does not define CSR, but they do essentially regulate it, or rather regulate it for

the companies that choose to work with them. The FLA aids in chartering the mission,
 36

structure, and content o f a partner company’s CSR programs. This charter outlines

participation criteria for companies; affiliation criteria for colleges and universities;

accreditation criteria for independent external monitors; workplace code o f conduct; and

principles o f monitoring (2013). As cited on Patagonia.com (2013): “The Fair Labor

Association is a nonprofit organization comprised o f US brands, non-governmental

organizations, US universities, and factories that come together for one cause, to improve

the working conditions in factories worldwide.” Similar to SAI, the FLA act as a

credibility mechanism for the CSR programs that they work with by auditing the supply

chain o f these companies each year. They then post their results to their website as a

source for public access. FLA audits factories and accredits the companies that they

partner with providing their seal of approval when the companies function within

compliance. They audit the companies they work with every three years for

reaccreditation. In operation since the 1990s, the FLA works with forty some companies

including Apple, Patagonia, Puma, H&M, Adidas, Nike, and PrAna.

The Business o f a Better World

The Business o f a Better World (BSR) provides similar services as the other MSIs

we have discussed. It is one of the larger MSIs as it works with over 250 global

companies (BSR 2013). BSR essentially functions like FLA. It is an organization for

companies committed to socially responsible business practices. A front-runner in

corporate responsibility for over twenty years, BSR has developed sustainable business

formulas and solutions through cross-sector collaboration with a network of over 250

companies with which they consult and practice research. An international company,

BSR has offices in Asia, Europe, and North America. They are experts in human rights,
 37

economic development, the environment, as well as governance and accountability. BSR

guides international companies in accomplishing their goals to create sustainability and

fairness in the global market (BSR 2013).

Consulting is one o f BSR’s main agendas. They are hired as experts for the

management of a business’ chief human rights risks; they then maximize opportunities in

order to assist in the development o f strategies. Like the previous MSIs discussed, BSR

works with companies to create a strong human rights strategy that mixes with the efforts

o f a business. They inspect corporate, market, product, and then cite, identify and assess

the individual company’s impacts, risks, and opportunities. BSR creates policies and

processes for creating codes to aid in expressing a business’ commitment to human rights

and they provide tools to monitor and communicate performance and development in

human rights (BSR 2013).

BSR focuses their work to ensure that the companies that they work with stay in

accordance to the UN guiding principles for business and human rights. They do this by

following four steps: adopt a human rights policy, access the company’s human rights

impact, integration o f human rights throughout the business, and measure, track and

report performance. Some apparel companies that use the organization BSR to assist in

monitoring their CSR goals include J.Crew, JCPenney, Abercrombie & Fitch, American

Eagle Outfitters, Fossil, Ralph Lauren, H&M, Belk, Kohls, Children’s Place, Limited,

New Balance, Walmart, Nike, and Nordstroms (BSR 2014).

Workers Rights Consortium:

The Worker Rights Consortium (WRC) is also a player in CSR regulation. The

WRC is an organization that independently monitors labor rights. They investigate

 38

factory-working conditions on an international level. Students, university administrators

and international labor rights experts established WRC in 2000 with a focus to assist in

the adoption and enforcement of labor rights and codes of conduct for the production o f

apparel bearing university logos and names. The main goal o f WRC is to protect the

rights o f apparel workers and fight against sweatshops. WRC performs comprehensive

independent investigations and issues reports on international factories that produce

apparel for major brands. They work with employees o f such factories to defend workers

rights and end labor abuses. They also work with nearly 200 university and college

affiliates to ensure that university apparel is produced in factories that maintain positive

human rights guidelines (Worker Rights Consortium 2013).

Along with factory investigations, WRC conducts training through local NGOs to

educate workers at collegiate apparel factories on their rights under the codes and

conducts o f universities. The goals of these efforts are to create legitimate knowledge and

a space to initiate complaints when a worker believes that they have been exposed to

violations in the workplace (discussion and clarity on violations in the workplace will be

address later). The WRC also conducts human rights research relating to apparel

production and maintains a public factory disclosure database. California State

University, Fullerton is one of the schools that work with WRC (Worker Rights

Consortium 2013).

Clean Clothes Campaign

Established in 1989, the Clean Clothes Campaign (CCC) has been a forerunner in

maintaining fundamental human rights for factory workers on a global scale. They

provide education, foundational support, and fight for better working conditions. They
 39

lobby both governments and companies as a means for maintaining their goals. Their

focus is to fight for a more fair and empowering workplace on a global level (Clean

Clothes Campaign 2013).

The Clean Clothes Campaign works with organizations based out o f 15 European

countries as well as campaigns and organizations in the United States, Canada, and

Australia. Members o f the CCC include NGOs and trade unions. Their goals are to

maintain human rights perspectives and interests, which include women’s rights,

consumer advocacy and poverty reduction. Working with over 200 unions and

organizations in garment producing countries, a main intention of the CCC is to identify

local problems and objectives and then develop strategies to support workers in achieving

labor and human rights goals. They maintain their standards by following a set of

principals listed on their website. Empowerment o f the worker is very important to the

CCC. They stand by the standards developed through the United Nation’s International

Labor Organization and the Universal Declaration o f Human Rights. They are focused on

providing workers with a foundation of knowledge regarding their rights as well as

providing public access to how and where garments are made. The CCC has a model

code that outlines standard expectations for name brands. This is part o f their

commitment toward implementing standards through the garment production subtracting

chain and participating in clear, credible and participatory multi-stakeholder verification

initiatives in developing codes and the implementation o f positive corporate activity

(Clean Clothes Campaign 2013).

The four main goals of the CCC are fairly basic they place pressure on

companies, offer support in critical human rights violation situations, develop public
 40

awareness and investigate legal strategies and legislation change for improving working

conditions (Clean Clothes Campaign 2013).

Worldwide Responsible Accredited Production

Worldwide Responsible Accredited Production (WRAP) is an independent non­

profit that focuses on global social compliance. They are a standard setting and

certification entity. They promote safe, lawful, humane, and ethical international

manufacturing education and certification (WRAP 2013).

WRAP was founded in 1996 after members o f American Apparel Manufacturers

Association, consultants, NGOs and other stakeholders came together on the basis o f

reports informing o f improper working conditions. Such reports and a desire to create

change in the industry spurred a three-year research project at the company’s genesis on

the labor and environmental conditions o f sewing factories in developing countries. This

research led to the founding o f WRAP in 2000, which was constructed through meetings

with international governments, NGOs, trade unions, retailers, trade associations, trade

unions, and suppliers. It is now one of the largest labor and environmental certification

programs for the processing and manufacturing o f consumer products. They represent

over 150,000 individual companies (WRAP 2013).

WRAP maintains a “management systems” strategy toward compliance and bases

their certification program on 12 principles. These principles are focused and include

concentration on local workplace regulations and laws, commonly recognized

international workplace standards, and environmental impact. They concentrate on

certifying individual facilities and not the parent company or brand. They require that

every facility “assign specific personnel to each principle, conduct training for the
 41

workers on the requirements of WRAP and communicate the WRAP principles, in

writing and in the local language, conduct its own audits to ensure on-going compliance,

and have a mechanism to fix problems found during those internal audits” (WRAP 2013).

WRAP then conducts all o f their audits on an unannounced basis; these audits ensure and

verify that written policies and procedures, the proper systems, and internal controls are

established and maintained in order for the facility to maintain ongoing compliance

(WRAP 2013).

As a company they maintain an apolitical perspective. They neither advocate nor

lobby for the rights o f the people in any country but rather respect the unique culture of

each country and strive to create and follow certification standards and regulations that

are equal and fair. Specifically they state that their mission is to sustain “better working

conditions for employees, environmental programs designed to protect the environment,

and a sustainable platform to provide for future generations” (WRAP 2013). What this

means in terms o f relativity will be addressed at a later point.

Global Reporting Initiative

Like the other companies previously discussed, the Global Reporting Initiative

(GRI) is a non-profit organization that provides sustainability reporting guidance in an

effort to create a sustainable global economy. GRI developed a detailed sustainability

framework that is used globally. The framework measures and reports four key areas o f

sustainability, economic, environmental, social and governance performance o f a

company. Their framework includes reporting guidelines and sector guidelines. The

main focus o f this major non-profit is not apparel, though GRI did develop and create a
 42

pilot clothing and footwear sector supplement in 2008 and intend to continue focusing on

this sector o f the supply chain (Global Reporting Initiative 2013).

The pilot version o f the Apparel and Footwear Sector Supplement was organized

and created by a multi-stakeholder, geographically diverse Working Group, formed by

individuals from apparel and footwear companies, civil society organizations and labor

(2013). This pilot offers organizations in the sector a modified version o f GRI’s G3

Sustainability Reporting Guidelines. The supplement includes investigation and handling

o f these serious and poignant CSR issues for the sector: supply chain standards, use o f

materials and energy, wages and hours o f employees, labor and management relations,

and community investment strategy (Global Reporting Initiative 2013).

Gap Inc., H&M Hennes & Mauritz AB, Levi Strauss & Co., and Nike, Inc. are

just a few o f the major apparel companies involved in the writing o f the sector. Like with

the other reporting and guidance organizations mentioned, a corporation’s self­

declarations o f the practice and use o f guidelines and codes help determine and maintain

their CSR goals and needs.

Ethical Trading Initiative

The Ethical Trading Initiative (ETI) is another major player in CSR. Established

in 1998, their main focus is human rights. Their self-proclaimed vision “is a world where

all workers are free from exploitation and discrimination, and work in conditions of

freedom, security and equity” (Ethical Trading Initiative 2013). Ethical trade is as their

name asserts, the nucleus o f ETI’s work. Ethical trade is CSR in practice. It means that

retailers, brands and suppliers take the responsibility for improvement o f working

conditions. ETI works to create better working conditions for workers in poor countries
 43

where the “laws designed to protect workers’ rights are inadequate or not enforced”

(2013). ETI’s focus is that o f the other MSIs that have been discussed, they work to bring

corporate, trade union and voluntary sector members together in alliance to take on

human rights issues that cannot be individually dealt with by a corporation alone (Ethical

Trading Initiative 2013).

Each o f their members must adhere to ETI’s base code labor practice, based on

the International Labour Organization (ILO): this code includes focus on free labor,

freedom o f association and collective bargaining, safe working conditions, anti-child

labor stance, paid living wages, fair working hours, non-discrimination, regular

employment, and no harsh or inhumane treatment (Ethical Trading Initiative 2013).

ETI works to create alliances between companies, suppliers, trade unions, non­

profits, NGOs and governments. These alliances are built in central sourcing countries

and work to address issues that arise in not just individual workplaces but also the

countries and industries in which the workplaces are located. A major focus for ETI is to

build awareness for the protection o f workers’ rights. While some of the MSIs discussed

maintain a neutral stance when it comes to policy, ETI works closely with international

labor agencies and governments to guide policy and legislation. Through annual audits

and reports ETI tracks the behavior o f a company’s ethical trade performance. If codes

are not being followed, maintained and improved then disciplinary measures are issued.

These procedures include an improvement letter, review o f compliance o f the letter,

compliance with a letter o f improvement, potential suspension, appeal to a disciplinary

committee, review o f compliance with an expected improvement letter, and potential

removal if corrective action is not taken or maintained. Some of the major apparel
 44

companies involved with ETI are DAKS, Eileen Fisher, ASOS, Gap Inc., Regatta, The

White Company, and Stella McCartney (Ethical Trading Initiative 2013).

AA1000

AccountAbility is a standard setting not-for-profit organization that challenges

and provides solutions for corporate responsibility and sustainable development. Based in

the UK and founded in 1995, they aid corporations, non-profits, and governments to

implement foundations and structure for ethical, environmental, social, and governance

accountability. They are an international company with offices in London, New York,

Sao Paulo, Washington D.C., Johannesburg, Dubai, Zurich, and Riyadh. Their company

vision “is o f a world where people have a say in the decisions that have an impact on

them, and where organizations act on and are transparent about the issues that matter”

(AA1000 2013).

AccountAbility are known for their reputation in innovative CSR research and are

recognized for their standards and strategic advisory services. One o f their main goals is

to assist organizations transition out of compliance and crisis-driven approaches to a

more systematic, innovative and integrated involvement. Their main focus involves

stakeholder engagement, responsible competitiveness, collaborative governance

strategies, and setting and influencing standards (AA1000 2013).

AccountAbility has a series o f standards called AA1000 which are based on the

principles o f “inclusivity, meaning that people (workers) should have a say in the

decisions that impact them; materiality, decision makers should identify and be clear

about the issues that matter; and responsiveness, organizations should be transparent

about their actions” (AA1000 2013). The AA1000 standards are established through a
 45

multi-stakeholder consultation process. This process safeguards that the standards are

written for those they impact, not those who intend to profit from them. These standards

are based on a wide range o f structures that include multinational businesses, small and

medium enterprises, governments and civil societies (AA1000 2013).

Like the standards created by some o f the other regulatory organizations

discussed AA1000 provides a framework for identifying, prioritizing, and responding to

sustainability issues. These standards also function as evaluation methodologies and

provide structure to ensure stakeholder engagement in the CSR process. Along with

standards AccountAbility is also known for their practice in guidance and research,

governance structure, training, licensing, and certification (AA1000 2013).

It is important to understand the roles and recognize the regulatory organizations

that have been discussed. These companies are enormous power players in the way that a

corporation defines, practices, and regulates CSR. These companies are the leaders and

rule makers when it comes to human rights within the apparel industry. The descriptions

provided here o f these MSI organizations came from information described via their

websites. With that being noted it is important to make an observation from a purely

anthropological and post modem perspective. The idea of cultural relativity in terms of

inhumane treatment is something to question here, each of these MSI’s has a goal to

create social equality in the international workplace, each discusses what that means on

their websites and company descriptions. Yet, the level, degree, and understanding o f fair

working conditions and expectations for what is fair are relative to said culture and

community. Numerous cultural and legal obligations affect the agency and placement o f

workers within their individualized cultural realm. What makes it fair or right that an
 46

MSI from the West has the power and authority to determine what is fair and right

internationally? In defense o f CSR and the MSIs that work to ensure that international

workers are treated fairly and who are determining what is fair; we live in global world.

When an apparel company outsources work and hires out factories on a transnational

level, the rights of workers become a global issue. As modernity, capitalism, and

globalization are found in every comer o f the world the problems that come with such

phenomena are inherently Western ones. This makes those who work in global Westerns

conditions subject to Western ideals about fair working conditions.

This chapter has defined and discussed the definition o f CSR, the codes that

support a company’s CSR philosophy and process, and the organizations that help create

those codes, develop standards, regulate, and audit the practice of CSR. The reviews o f

MSI organizational and regulatory entities here were not extensive. There are many other

organizations that partner with apparel companies to ensure fair labor rights. The next

chapter will discuss human rights, the United Nations and corporate responsibility.
 47

CHAPTER 3

HUMAN RIGHTS AND THE UNITED NATIONS

Human rights are the most important topic in this project. The rights and working

conditions o f apparel factory workers are issues that are rarely acknowledged by the

average consumer. The collected data reviewed later will reveal that most consumers

maintain an “ostrich with their head in the sand” type o f awareness when it comes to the

people who produce the clothing for the Western world. This chapter investigates the

history, meaning and definition of international human rights and examines the

relationship between the United Nations (UN) and CSR. The information examined in

this chapter is central to understanding the intricacies of CSR.

History of Human Rights

In order to understand what human rights are, they must be defined. A historical

observation of human rights provides significant insight into how human rights and CSR

are perceived today.

The genesis of human rights is bom o f a largely Western perspective. Historically

human rights can be broken down into multiple perceptional chapters. In 539 B.C., the

first king o f Persia, Cyrus the Great, conquered the city of Babylon (Shuttleworth

2008:19). When Cyrus took the city he freed the slaves, and declared racial equality and

religious freedom. These decrees were preserved on a baked-clay cylinder that is known
 48

today as the Cyrus Cylinder. This cylinder is recognized as the world’s first charter o f

human rights (2008:19).

Eventually the concept of rights spread to Rome. There the idea o f “natural law”

arose. This concept was observed and contemplated by many o f history’s great

philosophers. Plato discussed universal standards of rights in The Republic (400

B.C.E)(2008:19). Natural law asserts that humans follow unwritten laws in the course o f

life. The foundation o f Roman law is based on beliefs derived from the rational nature of

humanity (2008:19).

While rights and freedom were certainly considered and decreed during the

middle ages in documents such as the The Magna Carta, or Great Charter (1215) and

Petition o f Right (1628): civil and political rights didn’t become concepts of serious

contemplation until the Enlightenment (Ishay 2008; Shuttleworth 2008:19). The era o f

Enlightenment can be marked by the English, American, and French revolutions. Human

rights during this era focused on freedom o f speech and worship, as well as the rights to

life and liberty. Rights were fought for and defined in documents like “the Declaration of

Independence” (1776): “Constitution of the United States “(1787): “the Bill o f Rights”

(1791): “Declaration o f the Rights of Man and of the Citizen” (1789): and “The First

Geneva Convention44(1864)(Ishay 2008; Shuttleworth 2008:19-27). Political

philosophers like John Locke, John Stuart Mill, William Pitt, and Benjamin Franklin

were major contributors to the thought processes and movements that set forth in the era

(Ishay 2008; Shuttleworth 2008:19-27).

As perception changed the next chapter of human rights drove revolts against

unregulated capitalism and put focus on and involved economic, social, and cultural
 49

rights. This era also considered the rights to work and the rights involving education.

Labor movements and unions were pivotal in considering and changing human rights

during this era (Ishay 2008).

Solidarity rights connected with the political and economic goals o f newly

decolonized and developing countries after World War II were the next convergence on

human rights. This included a focus on collective rights to political self-determination

and economic development (Ishay 2008; Shuttleworth 2008). The use o f historical

particularism has set the stage and for perceiving human rights; the direction o f

discussion now moves to the role of the United Nations and the “Universal Declaration

o f Human Rights” (UDHR) (1948). This next section considers the United Nation and

how the organization relates and influences modem concepts o f human rights,

international human rights, and most importantly corporate social responsibility (CSR).

The United Nations

Inspired by the atrocities of World War II, the United Nations (UN) drafted and

signed into existence the “Universal Declaration of Human Rights” (UDHR) in 1948

(Ishay 2008; Shuttleworth 2008; United Nations 2014). With the end o f the war and

development of the UN came a global community that was built to support human rights

and defend the world against inhumanities. Interestingly, “the Cyrus Cylinder has been

translated into all six official languages of the United Nations and its provisions parallel

the first four Articles o f the Universal Declaration of Human Rights”(Humanrights 2013).

The UDHR is considered to be the fundamental footing of international human rights

law. It has been the inspiration for countless legally binding international human rights

treaties and continues to be an inspiration for addressing injustices, in times o f conflicts,

 50

in societies suffering repression, and in building company codes for CSR (UN 2014 &

Lewis 2003).

The “Universal Declaration o f Human Rights” was drafted by 18 members, which

included Eleanor Roosevelt who chaired the Human Rights Commission o f the United

Nations in 1945 (Beasley et al 2001: 496). While all 18 members acted as important and

pinnacle contributors, Eleanor Roosevelt insisted that education, housing, employment,

and voting were basic human rights that society was morally and politically obligated to

provide all o f its citizens (Beasley et al 2001: 496). Her influence as chair played an

extensive role in the structure o f the charter and she is recognized as a primary architect

for its adoption (Ishay 2008; Shuttleworth 2008; United Nations 2014).

There are 30 articles in the “Universal Declaration o f Human Rights”; the initial

21 are principally civil/ political, they prohibit torture and arbitrary arrest and guarantee

freedom o f assembly, religion, speech, and emigration and the right to vote by secret

ballot (Barash 208: 383). The remaining articles focus on socioeconomic and cultural

rights, this includes the right to an adequate standard o f living, to work, and to education

(2008: 383).

According to the United Nations website, the UDHR,

Represents the universal recognition that basic rights and fundamental freedoms
are inherent to all human beings, inalienable and equally applicable to everyone,
and that every one o f us is bom free and equal in dignity and rights. Whatever our
nationality, place o f residence, gender, national or ethnic origin, colour, religion,
language, or any other status, the international community on December 10, 1948
made a commitment to upholding dignity and justice for all. [2014]

Merriam-Webster dictionary defines human rights as: “rights (as freedom from

unlawful imprisonment, torture, and execution) regarded as belonging fundamentally to

 51

all persons” (2013). The definition is basic. All people are equal and should be subjected

to the same rights. From a perspective of cultural relativity, a reoccurring question that

can be examined but certainly not fully answered is whether or not all humans are in fact

equal and subject to the same rights? This is something that will be theoretically explored

later discussion. For now, the relationship between CSR and United Nations will be

explored.

The United Nations. Human Rights, and Corporate Social Responsibility

CSR as a movement reflects the rising alignment connecting the objectives of the

international community and those o f the private sector. The United Nations (UN) plays a

decisive role in how CSR is understood, defined, practiced and designed. The UN and its

many subsidiaries are the leaders when it comes to principles, guidelines, and innovations

in CSR. The UN relies on business collaboration to attack shared goals, such as building

stable markets, combating corruption, safeguarding the environment and ensuring social

inclusion.

There are multiple sections of the UN that contribute to Corporate Social

Responsibility (CSR). The Office of the High Commissioner for Human Rights, multiple

charter based and treaty based UN commissions, which include the United Nations

Human Rights Council, and the UN Global Compact. These are all direct sources used

for developing, implementing, and following codes o f conduct. There is also the

International Labor Organization (ILO) that focuses less specifically on human rights and

more on labor concerns.

Headquartered in Geneva, the office o f the High Commissioner for Human Rights

is the main organizer o f global human rights and is the principal human rights official o f
 52

the United Nations. This office is the center o f the United Nations’ human rights efforts

and maintains an objective to assist States in upholding human rights by providing

leadership, education, and empowerment (OHCHR 2014). It is within this office that all

human rights related matters are handled within the United Nations.

The mission o f the Office o f the United Nations High Commissioner for Human
Rights is to work for the protection o f all human rights for all people; to help
empower people to realize their rights; and to assist those responsible for
upholding such rights in ensuring that they are implemented. [OHCHR 2014]

Separate, but endorsed by the Office o f the High Commissioner for Human

Rights, are both charter and treaty-based bodies. The Office o f the High Commissioner

for Human Rights,

Works to offer the best expertise and support to the different human rights
monitoring mechanisms in the United Nations system: UN Charter-based bodies,
including the Human Rights Council, and bodies created under the international
human rights treaties and made up o f independent experts mandated to monitor
State parties' compliance with their treaty obligations. Most o f these bodies
receive secretariat support from the Human Rights Council and Treaties Division
o f the Office o f the High Commissioner for Human Rights. [OHCHR 2014]

A charter-based body; the United Nations Commissioner on Human Rights was

founded in 1946 with the intention to protect fundamental rights and freedoms. Set as a

means to govern global human rights conduct, the commission acted as a forum where

countries, non-governmental groups and human rights defenders voiced their concerns

(UN 2014). The United Nations Human Rights Council replaced the former United

Nations Commissioner on Human Rights in 2006 (UN 2014).

An inter-governmental body within the system of the United Nations, the United

Nations Human Rights Council is made up o f 47 United Nations Member States that are

elected by the UN General Assembly. Responsible for promoting and protecting human
 53

rights on a global scale, the focus of this assembly is to address situations o f human rights

violations and make recommendations on the amelioration o f such concerns (UN 2014).

Regulating international human rights was once a concern of individual

governments, but through the process o f globalization and subsequent global endeavors

the causation of transnational corporations as role players in the debate o f human rights

has become a solidified issue (2014). In recent years the UN has deliberated the breadth

o f business’ human rights responsibilities and considered ways to create accountability

for corporate actors to act more responsibly for the impact o f their activities on human

rights. Thus the Human Rights Council is influential to CSR because the assembly

recently took steps to endorse a guiding principals framework for corporations (UN

2014).

June 16, 2011,

The UN Human Rights Council endorsed the document “Guiding Principles on

Business and Human Rights” for implementing the UN “Protect, Respect and
Remedy” Framework,” providing - for the first time - a global standard for
preventing and addressing the risk o f adverse impacts on human rights linked to
business activity. [UN 2014]

This document functions as a global standard for addressing and preventing the

risk o f negative human rights impacts that have been linked to business activity. The

framework is the first and only of its kind to be endorsed by the United Nations to which

corporate human rights responsibility initiatives are addressed (Deva 2012: 102). This

document encompasses three main pillars that outline how both businesses and

governments should utilize the framework. These pillars are, the duty o f the country’s

government to protect human rights, the corporation’s responsibility to respect human

 54

right, and access for both to remedy for victims of business-related abuses (2012:101-

109).

There are specific human rights charters and treaty based bodies o f the UN under

the United Nations Office o f the Commissioner for Human Rights that aid in CSR

development in one way or another but are not necessarily specific influences to the

industry as a whole. The Office of the High Commissioner for Human Rights strives to

provide the best support and expertise to the various human rights monitoring

mechanisms within the United Nations system.

UN Charter-based bodies, including the Human Rights Council, and bodies

created under the international human rights treaties and made up o f independent
experts mandated to monitor State parties' compliance with their treaty
obligations. Most o f these bodies receive secretariat support from the Human
Rights Council and Treaties Division o f the Office o f the High Commissioner for
Human Rights. [UN 2014]

The charter-based bodies include the Human Rights Council, Universal Periodic

Review, Commission on Human Rights (replaced by the Human Rights Council): Special

Procedures o f the Human Rights Council, and Human Rights Council Complaint

Procedure (UN 2014). The treaty based bodies are: Human Rights Committee,

Committee on Economic, Social and Cultural Rights, Committee on the Elimination o f

Racial Discrimination, Committee on the Elimination of Discrimination against Women,

Committee against Torture, Subcommittee on Prevention o f Torture, Committee on the

Rights o f the Child, Committee on Migrant Workers, Committee on the Rights o f Persons

with Disabilities, and the Committee on Enforced Disappearances (UN 2014).

The main United Nations contributor to CSR is the United Nations Global

Compact (UNGC). The relatively new relationship between the UN and international
 55

business is rooted in the notion that TNCs must contribute to the solution o f global

challenges. The UN has started calling on global businesses to safeguard their operations

and present strategies that align with universal values in an attempt to marginalize the

negative social impacts o f international business. It was with this intention the United

Nations Global Compact was created in 2000 (UNGC 2014).

The Global Compact is a voluntary platform for discussion and learning that is

specific for businesses. It commits businesses to follow ten universally accepted

principles created by the Global Compact in the areas o f human rights, labor,

environment and anti-corruption (UNGC 2014).

Borrowing from “The Universal Declaration o f Human Rights,” The International

Labour Organization's Declaration on Fundamental Principles and Rights at Work, The

Rio Declaration on Environment and Development and The United Nations Convention

Against Corruption; the Global Compact offers a list o f 10 principals and asks companies

to support, embrace and enact these core values in human rights, labor standards, the

environment, and anti-corruption into their CSR models (UNGC 2014).

These principles are:

1. Businesses should support and respect the protection o f internationally

proclaimed human rights

2. Make sure that they are not complicit in human rights abuses

3. Businesses should uphold the freedom of association and the effective

recognition of the right to collective bargaining

4. The elimination o f all forms o f forced and compulsory labour

5. The effective abolition o f child labour

 56

6. The elimination o f discrimination in respect o f employment and

occupation

7. Businesses should support a precautionary approach to environmental

challenges

8. Undertake initiatives to promote greater environmental responsibility

9. Encourage the development and diffusion o f environmentally friendly

technologies

10. Businesses should work against corruption in all its forms, including
extortion and bribery (UNGC 2014)

Like the other initiatives discussed in chapter one, the UN Global Compact is a

strategic policy initiative for businesses. The businesses that work with the Global

Compact must commit to aligning their strategies and operations using the ten universal

principles set forth by the Global Compact. It is with optimism that the Global Compact

hopes that the primary driver o f globalization, transnational companies can help, “ensure

that markets, commerce, technology and finance advance in ways that benefit economies

and societies everywhere” (UNGC2014). Utilizing the moral authority and convening

power o f the UN, the Global Compact provides a forum for combining private sector’s

strength with stakeholder expertise and capacities (UNGC 2014).

The United Nations Global Compact is literally the largest initiative o f its kind.

With “ 10,000 participants, including over 7,000 businesses in 145 countries around the

world” (2014): the Global Compact partners with 519 participants from the United States

alone. Gap Inc. and Nike are just two o f the big name companies that are in partnership

with the Global Compact.

The Global Compact does not function as a regulatory instrument, but rather a

forum for deliberation and a system for communication. The Global Compact does not
 57

recognize or certify that a participating company has fulfilled the Compact’s principles,

but provides intentionally flexible goals; offering channels through which it facilitates

and encourages dialogue concerning policy, learning, local networks, and varying

projects. The fact that the Global Compact provides more a set of guidelines rather then a

means o f governance and accountability is something that has been questioned about the

initiative (UNGC 2014).

The International Labor Organization is a specialized agency o f the UN that

focuses on the, “promotion o f social justice and internationally recognized human and

labor rights” (ILO 2014). Founded in 1919, it became the first specialized agency o f the

UN in 1946. The intent o f the ILO is to promote jobs and protect people. It works to

foster social and economic progress and accomplishes its goals through three main

bodies: governments, employers’, and workers’ organizations (ILO 2014).

The ILO plays an important role in CSR because labor standards and social

dialogue are key components of CSR, which is the core business of the ILO. Most CSR

initiatives, including codes of conduct, refer to the principles derived from international

labor standards, developed by the ILO. Through the cooperation and ratification of

countries, governments create binding agreements to adopt legislation implementing

standards drawn up by the ILO. These principles are not binding to corporations but act

as guides for the implementation of CSR. The ILO’s role is to promote discourse between

workers, employers’ organizations, and governments by offering aid and tools for better

understanding the labor dimension of CSR (ILO 2014).

There are two main points o f reference via the ILO specifically on CSR, they are:

the ILO Declaration on Fundamental Principles and Rights at Work and secondly the
 58

Tripartite Declaration o f Principles Concerning Multinational Enterprises & Social

Policy. The Declaration on Fundamental Principles and Rights at Work provides

requirements for governments to implement the ILO’s core labor standards as principles.

The Tripartite Declaration o f principles Concerning Multinational Enterprises & Social

Policy (known as the MNE Declaration) is a guideline on enterprise conduct for

enterprises, ILO constituents, and governments (ILO 2014).

The ILO continually functions as a contributor to CSR programs and is a direct

participant o f the UN Global Compact. It implemented a CSR In-Focus Initiative, which

promotes foundational principles outlined in the MNE declaration for good CSR practice

and policy. The ILO also provides an online help desk that provides assistance

information; advice and referrals regarding labor standards and CSR practice (ILO 2014).

The mission of the ILO is resoundingly similar to the many leading initiatives,

stakeholders, and organizations involved in CSR; “the main aims of the ILO are to

promote rights at work, encourage decent employment opportunities, enhance social

protection and strengthen dialogue on work-related issues” (ILO 2014).

Chapter three has offered a brief history of human rights, and focused on the role

o f the United Nations when it comes to human rights. It investigated the UN through a

lens with CSR in mind. Since the UN plays such a decisive role in how human rights are

defined, considered, and regulated on an international level, as a whole, it is imperative to

this study to consider the bodies o f the UN that relate to human rights and how and why

they influence CSR.

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CHAPTER 4

FREE AND FAIR TRADE

Outsourcing, human rights, and CSR all tie into free trade. Without free trade

transnational companies would not exist. Fair trade and labor movements are on the rise

within the apparel industry and play a role in CSR. Free trade is a product o f capitalism

and neoliberal politics. This chapter is dedicated to the examination o f free trade, how

free trade works for transnational companies, and then how this impacts human rights and

CSR. Fair trade is also discussed in this chapter; particularly with regard to how effective

it is and if it is helpful to human rights and applicable within CSR movements.

Free Trade

The word “outsource” has been used multiple times. A definition is helpful for

clarity. Outsourcing is a direct result o f global transnational business and free trade.

Merriam-Webster dictionary describes the word outsource as,

To send away (some o f a company's work) to be done by people outside the

company: to procure (as some goods or services needed by a business or
organization) under contract with an outside supplier decided to outsource some
back-office operations. [Merriam-Webster 2014]

Outsourcing is what CSR is based on. Companies capitalize on cheap labor by

outsourcing to countries where human capital is inexpensive. Globalization has made

outsourcing a simple reality in today’s world. Companies cannot compete without

outsourcing. Outsourcing would not be possible without free trade.

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According to Merriam-Webster dictionary, free trade is government policy that

involves non-discrimination o f imports or interference with exports. This means that

government does not abandon control o f taxation of imports and exports but follows

policy that refrains from taking action against hindering international trade. Examples

include tariff barriers, currency restrictions, and import quotas. Free trade is based on an

argument created by philosopher and economist Adam Smith (1723-1790)(Merriam-

Webster 2014). The concept is simple, “do not make at home what you can make cheaper

elsewhere” (Parente 2011:114).

It is Smith’s book, The Wealth o f Nations (1776) that sustains the idea o f laissez-

faire capitalism and free market economies. Laissez-faire is policy that supports minimal

governmental interference involving the economic affairs o f individuals and society

(Merriam-Webster 2014). John Stuart Mill was also a supporter of the idea o f free market

(1889). Published in 1776, the concepts in Smith’s The Wealth o f Nations became widely

accepted and employed during 19th century. The idea of laissez-faire assumes that the

duty of the state is to maintain order and avoid interference with individual ingenuity,

while the desires o f an individual are to contribute most successfully to society as a

whole (Smith 2003). According to Smith’s theory, “the division of labor among countries

leads to specialization, greater efficiency, and higher aggregate production” (Merriam-

Webster 2014). Smith determines that the means to the cultivation o f such a division o f

labor within an international market is to provide nations with the ability to make and sell

whatever products can compete successfully (2003).

Free market is simple. It is “an economic market or system in which prices are

based on competition among private businesses and not controlled by a government”

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(Merriam-Webster 2014). It is the definition o f capitalism, in which, the economic

system is characterized by corporate/private ownership of capital goods.

There are two basic factors that cause nations to engage in free trade. The first is

buying power and/or selling power, and the second is cost. The more a product can be

produced at a low cost, the more opportunities it will have to trade. Without trade

barriers, the movement o f goods and services is free flowing (2011:118). Trading power

is enhanced in a free trade environment; with free trade the consumer does not have

artificial pricing increased by taxes. Cost is the other benefit. Taxing costs time and

money; with free trade these obstructions are eliminated.

Supporters o f free trade maintain that within a free market economy the individual

pays less as a whole for goods and services and that it provides the consumer with higher-

quality products at lower prices than without free trade (2011: 119). Countries that lower

trade barriers or outright practice free trade maintain higher standards o f living because

trade provides higher productivity and higher returns. This, in theory, should provide

more job opportunities at higher wages (2011:119-120).

Non-free trade is called protectionism and is essentially the opposite o f free trade.

For example, in the case o f protectionism “tariffs or taxes, trade restrictions, or quotas

may be placed on the import o f goods and services into a country” (2011: 113).

Naysayers o f free trade perceive protectionism as a form of fair trade and view the

practice as a means to protect enterprise in a home country from competitors (2011:114).

Arguments against free trade imply that free trade eliminates jobs, creates lower quality

products, destroys new industries, undermines long-run economic development, creates

income inequality, leads to environmental degradation, supports child labor, sweatshops,

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and wage slavery. It ultimately accentuates poverty in poor countries, harming national

defense, and forcing cultural change, racism, and inequality (Boudreaux 2008: 51-69).

The concepts cultivated by Adam Smith are in direct opposition to those o f Karl

Marx. From the perspective of a socialist, free trade allows maximum exploitation of

workers by capital. Karl Marx wrote in The Communist Manifesto, "The bourgeoisie...

has set up that single, unconscionable freedom - free trade. In one word, for exploitation,

veiled by religious and political illusions, it has substituted naked, shameless, direct,

brutal exploitation” (Marx 2008:11).

Free trade: what does this concept mean today in our globalized world and how

does it affect transnational companies, human rights, and CSR? A garment industry and

labor rights expert, Sujana Krishnamoorthy defines globalization as “the increasing

interaction o f domestic economies with the world economy” (2006:23). Ultimately the

foundation o f globalization is established and promoted through both producer-driven

and buyer-driven global commodity/supply chains (Krishnamoorthy 2006:26). Free trade

is something that feels natural and normal to the average person living in the United

States or Europe. Western societies are led by consumerism and the bottom-line. The

world is driven by this concept o f globalization. Make the most money and save the most

money are standards that are built on a capitalistic foundation that is based on free

markets, trade, and in 2014, globalization.

Globalization divides the supply chain production process into geographically

separate steps. In general the steps involving production are the more labor-intensive

stages, this type o f production is done in developing countries where there is an

availability o f inexpensive labor and production costs (2006:26). Developing countries do

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benefit from this; it supports the country’s economy by bringing foreign investment into

the country (Gupta 2012:2). From the perspective o f an economist free trade in the

abstract makes perfect sense (Parente 2011:113). Though, free trade and foreign

investment can be healthy for developing countries because it provides jobs, the working

conditions are often unsavory (2012:2).

The World Trade Organization (WTO) and General Agreement on Tariffs and

Trade (GATT) are important elements in understanding global free trade today. GATT

was a multilateral agreement that was created to regulate international trade. GATT was

founded in 1948 and spanned to 1994 and regulated trade among 153 countries. In 1995

GATT transitioned into the World Trade Organization (WTO 2014). The purpose of

GATT was to substantiate the reduction o f trade barriers and tariffs and eliminate

preferences, on a foundation that was reciprocal and mutually advantageous basis to the

countries involved. Once the WTO was created the original GATT became a component

o f the WTO. It remains in effect within the WTO framework. As described on the WTO

webpage:

The original intention of GATT was to create a third institution to handle the trade
side o f international economic cooperation, joining the two “Bretton Woods”
institutions, the World Bank and the International Monetary Fund. Over 50
countries participated in negotiations to create an International Trade
Organization (ITO) as a specialized agency o f the United Nations. The draft ITO
Charter was ambitious. It extended beyond world trade disciplines, to include
rules on employment, commodity agreements, restrictive business practices,
international investment, and services. [WTO 2014]

In 1995 GATT was replaced by the WTO. The WTO, in short, acts as a space for

member governments to negotiate the trade problems they face with one another (WTO

2014). The center o f the WTO is its agreements, which are negotiated and signed by the
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majority o f the world’s trading nations. The WTO is the implementation o f agreements;

it is a symposium for enforcing trade regulations, settling policy disputes, and the

negotiation o f any additional reductions o f trade barriers (WTO 2014).

Fundamental changes have transpired in the international textiles and clothing

trade since the creation o f the WTO in 1995. The WTO created a 10-year transitional

program called the Agreement on Textiles and Clothing (ATC). “Before this agreement

took effect, a large portion o f textiles and clothing exports from developing countries to

the industrial countries was subject to quotas under a special regime outside normal

GATT rules” (WTO 2014).

GATT went through a final process o f multilateral trade negotiations called the

“Uruguay Round” before it was enveloped into the WTO. Under this negotiation “textile

and clothing quotas were negotiated bilaterally and governed by the rules o f the

Multifibre Arrangement (MFA)” (WTO 2014). The MFA allowed for selective

quantitative restrictions to be applied during surges in imports of products that could

threaten or potentially cause significant damage to an importing country’s industry. This

arrangement was a major change from the original fundamentals of GATT rules (WTO

2014). Once the WTO replaced GATT, the WTO Agreement on Textiles and Clothing

(ATC) replaced MFA.

The goal o f the ATC set out to transitionally, over a 10-year period, remove

quotas that were once set in place. All restrictions under ATC were terminated on

January 1, 2005. “The expiry o f the ten-year transition period of ATC implementation

means that trade in textile and clothing products is no longer subject to quotas under a

special regime outside normal WTO/GATT rules” (WTO 2014). Textile trade is now
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processed and regulated through the disciplines and rules encompassed in the multilateral

trading system (WTO 2014).

The WTO is the multilateral trading system; meaning it embodies the ideals o f the

system, which are:

1. Trade: trade without discrimination

2. National treatment: treating foreigners and locals equally

3. Free trade: gradually, through negotiation

4. Predictability: through binding and transparency

5. Promoting fair competition

6. Encouraging development and economic reform (WTO 2014)

The WTO acts as the primary international body for the promotion and regulation

of free trade. With that, the WTO has a reputation muddled in controversy. It is argued to

cater to interests o f wealthy countries, ultimately creating unfair standards o f living for

the poor. It has invited much protest and intense criticism over the decades since its

inception (Hale & Wills 2005). Problems perpetuated by the WTO are global and many

feel unjust. Those who argue against the organization deem that the rules o f the WTO are

written by and for corporations who have access to inside negotiations. Input by citizens

such as consumer, environmental, human rights and labor organizations are consistently

ignored. The WTO is often subject of global protest (Global Exchange 2014).

There are many opponents to free trade who blame the system for the poor work

conditions set forth by globalization and outsourcing. Both free trade and globalization

have led to the saying, “race-to-the-bottom,” which refers to transnational corporations

outsourcing around the world with the intent to find the cheapest labor and lowest
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regulations, this thus increases the global sweatshops and atrocious work conditions. Free

trade agreements such as NAFTA have a reputation for exacerbating this race-to-the-

bottom concept. Those who oppose NAFTA and other recent trade agreements, call it the

“investors rights” treaty. In essence, it offers opportunities to investors to move

production facilities, finished goods, and services across international borders while at

the same time bestowing investors with promises that governments w on’t interfere in the

corporation’s business (Global Exchange 2014).

In 1994 NAFTA was formed and launched as the world’s largest free trade area.

NAFTA stands for the North American Free Trade Agreement and includes Canada,

Mexico, and the United States (2011:116-117). The agreement functioned as a means o f

protecting intellectual property and included discourse on investment restrictions within

the three countries (2011:117). Specifically it called for a gradual removal o f tariffs over

a 14-year period and for the removal o f duties on half of all U.S. products shipped

between Canada and Mexico (2011:117).

There were two supplemental agreements included in NAFTA, the North

American Agreement on Labor Cooperation (NAALC) and the North American

Agreement on Environmental Cooperation (NAAEC) (Delp 2004:iv). The NAALC

focuses entirely on labor health and rights. At its inception (1993) it was the first and

only international agreement on labor that was directly affiliated with an international

trade agreement. The intent o f NAALC is to offer a channel for member countries to

instill effective enforcement o f both established and future domestic labor laws and

standards while avoiding any interference within the various national labor systems of

member countries (2004). Under NAALC, the Commission for Labor Cooperation
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functions as the only international body since the founding o f the International Labor

Organization (ILO) to be devoted exclusively to labor rights and labor-related matters

(2004).

NAALC functions through a structure that includes both national and

international commissions. These councils act as a checks and balances system keeping

each country in line. NAALC also functions as a system in which the public is able to

submit complaints on any ostensible failure possibly practiced by the countries involved

in NAFTA, thus enforcing labor standards (2004:6-7). Its intent was not to improve or

create standards or enforce them, but more to act as a mechanism to ensure the promotion

o f principle (2004:6). According to a study done at the UCLA labor center, NAALC is

effective at addressing violations of workers’ rights to organize. Through its process, the

NAALC allows individual cases to proceed only through the level of govemment-to-

govemment consultations, but provides fines and trade sanctions to violators of worker

health and safety, child labor, and minimum wage standards (2004:iv). Through NAFTA

and NAACL, each country was recognized as sovereign, but each agreed to focus on the

improvement o f living standards and working conditions, cooperative activities, and to

promote basic labor principles through the establishment o f their own laws and

regulations (2004:6). The question that arises is whether or not this system is effective.

During the 1970s, the garment industry grew significantly for India and other

developing countries (Krishnamoorthy 2006). Clothing multinationals from developed

countries that were sourcing from Korea and Hong Kong soon realized the advantages of

sourcing from India, but at that time there were restrictions on imports from developing

counties in the form o f quotas imposed under the Multi-Fiber Agreement (MFA)
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(Mezzadri 2008). The MFA prevented imports of apparel in large quantities. The MFA

has since been terminated and now there are no restrictions on imports from India to the

U.S. (Krishnamoorthy 2006). Obviously this has resulted in a significant amount o f

growth in India’s apparel industry, which has also resulted in the growth o f its apparel

sector employment.

Export Processing Zones. Special Economic Zones and Free Trade Zones

There are export processing zones (EPZ) or special economic zones (SEZ) which

are geographical regions adapted for providing employment and exporting goods. These

zones are exempt from federal laws; meaning that foreign direct investments are

welcomed, and labor laws along with other restrictive laws are withdrawn in order to

ensure that products manufactured in the SEZ are fiscally and globally competitive

(Murray 2010). Different areas/agreements fall under this term SEZ which include: free

trade zones, export processing zones, free zones, free ports, free economic zones, and

urban enterprise zones (2010). Additionally, depending on the process and location o f

garment production, clothing with the “Made in the USA” label can be assembled in free

zones (Black 2001). According to Merriam-Webster dictionary the definition o f a free

trade zone is an:

Area within which goods may be landed, handled, and re-exported freely. The
purpose is to remove obstacles to trade and to permit quick turnaround o f ships
and planes. Only when the goods are moved to consumers within the country in
which the zone is located do they become subject to tariffs and customs
regulation. Free-trade zones are found around major seaports, international
airports, and national frontiers; there are more than 200 such zones in the U.S.
alone. [Merriam-Webster 2014]

Free trade zones have existed for several decades now, but international trade

agreements changed quite a bit in the 1990s. Old trade barriers all over the world were
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eliminated and replaced. Lifting import and export taxes and regulations this theft the

zones as optimal locations to build factories and create global assembly lines

(2008:2004). The ILO website states:

An important feature o f globalization has been the rapid expansion o f Export

Processing Zones throughout the world. These zones have been defined by the
ILO as industrial zones with special incentives set up to attract foreign investors,
in which imported materials undergo some degree o f processing before being
(re)exported again. [ILO 2014]

The most recent ILO report on EPZs was published in 2007 and reported that

there were 130 counties in the world with EPZs and 3500 EPZs or similar trade zones

globally. These zones were reported to employ 66 million people (Boyenge 2007:1).

Free trade zones provide work at low wages in developing countries; they often

employ women for the factory work. The argued benefits for these free zones are that

they provide jobs in impoverished areas around the globe. Supporters claim that the

“trickle down” effect will aid developing nations and their economies. Opponents o f free

trade zones argue that they exacerbate inequalities on a global scale. The uglier side o f

free zones is that they provide ample opportunity for apparel corporations to avoid

taxation, labor laws and even labeling regulations. These zones exploit women workers

and maintain the “drive to the bottom” in labor practices (Lind and Brzuzy 2008:203).

Criticisms o f Free Trade

Since the creation o f NAFTA in 1994 many global trade agreements have

followed. There are also many more agreements proposed for the next twenty years.

There are serious criticisms that accompany labor and free trade. As discussed earlier,

free market trade is in direct opposition to the concepts of Karl Marx and the freedoms of

people.
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Anti-globalization groups are particularly opposed to free trade based on the

belief that, as a whole, free trade agreements do not contribute to the economic freedom

o f the working class and the poor. In fact, actions o f global market can often increase

poverty. This is true for the working class in the United States and outsourced laborers.

The exploitative nature o f capitalism combined with globalization removes domestic jobs

leaving people without work and creates negative work conditions for the work that is

outsourced. While foreign suppliers can exploit labor, domestic labor can also feel

negative results from free trade (2011:117). A major argument against modem free trade

agreements is that the common man is not able to inject their input on the decree o f the

agreements. Most citizens o f participating countries o f free trade agreements are not

educated on the details o f trade agreements; it is argued that lawmakers and corporations

are the ones who determine the details o f the agreements. It is also argued that those with

domestic jobs can be forced into competing with outsourced labor. Some contend that

free trade is nothing more than a means around laws that protect individual liberties such

as the outlawing o f slavery and indentured servitude (2011:117). Child labor, fair wages,

and safe working environments are concerns that appear with free trade and the

outsourcing o f jobs. In essence suppliers and corporations ultimately feel the greatest

benefits o f free trade, while the common man suffers.

Corporations and supplier companies in the end gain from free trade, the average

consumer also gains through the availability o f a product for a bottom line price.

Unfortunately most workers employed by supplier companies around the world are based

in poor countries where the laws that are designed to protect workers’ rights are

inadequate or not enforced.

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Groups have stood up and fought against free trade agreements with success. The

Free Trade Area o f the Americas (FTAA): a neoliberal free trade agreement, was an

attempted agreement that would have expanded NAFTA. This agreement would have

included North America, Central America, South America and the Caribbean, excluding

only Cuba. Negotiations for FTAA began right after the completion o f NAFTA and

would have concluded in 2005. The FTAA was ultimately not signed into affect and was

abandoned entirely in 2004. Strong social movements across the globe and the

governments o f Venezuela, Argentina, Bolivia, and Brazil voted against this model that

would have arguably increased poverty across the globe (Global Exchange 2014).

According to the Office o f the United States Trade Representatives website, the

Trans-Pacific Partnership (TPP) was proposed in 2005 and is still in the processed of

being negotiated. This trade agreement currently includes the United States, Brunei,

Chile, New Zealand and Singapore; and seeks to involve Australia, Canada, Malaysia,

Mexico, Peru, and Vietnam. This agreement would seek to promote growth and trade for

the economies o f the Asia-Pacific region (USTR 2014). Naysayers argue that this is

simply an expansion o f NAFTA and will only propel the “race to the bottom,” leading to

wage loss, ignored and failed labor rights, environmental disasters, further deregulation

and privatization, all contributing to worldwide financial and climate disaster (Global

Exchange 2014).

As has been observed through the discussion o f CSR, modem business and supply

chains have become enormous, complex, and international. Labor issues are challenging

and CSR seeks to answer some o f the problems that have developed through

globalization and free trade. What is “a living wage” and how can it accounted for? What
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should a company do when it is discovered that children are working in a supplier's

worksite? Paradoxically, evicting children from the workplace can cause even more

financial hardship to a family. While CSR functions as a means to provide fairness and

balance, fair trade is also something that offers answers to these issues that arise in the

global free market.

Fair Trade

Fair trade is an important dynamic to discuss when considering international

labor, human rights, and CSR. Not only is fair trade a stand-alone movement; it is also

utilized as a form o f CSR for transnational companies. It functions as a great branding

tool. Merriam-Webster dictionary defines fair trade as, “a movement whose goal is to

help producers in developing countries get a fair price for their products so as to reduce

poverty, provide for the ethical treatment o f workers and farmers, and promote

environmentally sustainable practices” (2014). Over the years the term “fair trade” is

often associated with gourmet foods and beverages, but recently it has become a term

used within the apparel industry as well.

Like with CSR, there are multi-stakeholder initiatives that aid in fair trade

regulation. There are several recognizable fair trade certifiers, which include Fair Trade

USA, WFTO, Eco-Social, IMO, and Fairtrade International (formerly called

FLO/Fairtrade Labeling Organizations International). Branding for fair trade has

developed with particular vigor in the UK where over 500 towns have labeled themselves

“fair trade” (Pauli 2011: 118). The World Fair Trade Organization (WFTO) is considered

a global authority on fair trade (WFTO 2014). The WFTO limits membership to
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organizations demonstrating 100 percent commitment to fair trade and who utilize and

apply the 10 Principles o f fair trade drafted by the WFTO (2014).

These principles are:

1. Creating opportunities for the economically disadvantaged producers

2. Transparency and accountability

3. Fair trade practices

4. Payment o f a fair price

5. Ensuring no child labor and forced labor

6. Commitment to non-discrimination, gender equality, and women’s

economic empowerment and freedom o f association

7. Ensuring good working conditions

8. Providing capacity building

9. Promoting fair trade

10. Respect for the environment (WFTO 2014)

Fair Trade USA has also become a recent player in social fair trade, with a new

focus on social sustainability and working toward fair labor (Fairtradeusa 2014).

Recently different variations o f fair trade within the apparel industry have

emerged, but one that has a long-standing history is organic fair trade cotton.

International labor rights and fair and just regulation within the apparel industry are the

focus o f this thesis, but it is important to note that cotton cultivation is known to use more

toxic pesticides at a higher volume than any other product (Ransom 2001:101-103). More

than half o f the world’s cultivated cotton is genetically modified and a quarter o f the

world’s toxic pesticides are used in the farming of it. Through the processing o f cotton
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even more chemicals and dyes are utilized. Pesticides, insecticides, formaldehyde and

flame-retardants are all used in the production o f clothing; the use o f pesticides has

resulted in the toxic poisoning of over a million workers globally (2001: 101). Even when

organic cotton is utilized in the production o f garments, labor becomes an issue in and of

itself. A fair trade label awarded to a company’s garment through the use and advisement

o f a fair labor initiative provides not just assurance that a product is produced using

organic cotton, but it also offers the consumer the assurance that the product they are

purchasing was produced via fair labor guidelines.

There are a lot o f small apparel businesses that are focused on fair labor apparel.

Often, on a larger scale, transnational companies that take full advantage o f free trade are

not willing to participate in fair trade certifications. Corporations are building stronger

CSR programs with certifications focused on labor rights, but most transnational

companies have not taken action to actually certify, not just the materials they use as fair

trade, but the labor as well.

When discussing fair trade and the apparel industry in an October 2013 article for

Entrepreneur magazine, Catherine Clifford writes, “Getting the fashion industry on board

with ethical production standards is a process that started a long time ago and has yet to

achieve what some consider real success” (2013). Things are changing. One o f the major

innovators in the CSR industry, Patagonia, has recently moved to produce a line of yoga

pants that will be labeled as organic and fair trade (Clifford 2013). Patagonia, which in

2012 grossed $400 million in sales (Dumaine 2012): has set a standard in the industry

that will be discussed in later chapters. A pledge like this coming from a major apparel
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corporation like Patagonia says a lot about potential in the apparel industry for providing

fair working conditions and wages.

This chapter has discussed some of the history and philosophy behind free trade.

It has explained how free trade mobilizes the market for outsourcing for transnational

corporations. It also discussed fair trade, what fair trade means and briefly discussed how

it has potential to change the apparel industry over time and tie it directly into CSR

efforts. The following chapter will investigate more deeply the apparel industry and

specific incidences o f human rights violations as they relate to labor rights and the

production o f garments. Fair trade will be discussed further as it connects to imagery and

the future o f sustainable fashion in the discussion section o f this project.

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CHAPTER 5

THE SUPPLY CHAIN AND THE CSR PHILOSOPHY

OF MAJOR APPAREL COMPANIES

Examination o f the inner workings o f the supply chain and how some apparel

corporations view and practice CSR illuminate the specific CSR practices and ideologies

o f major labels and brands in the apparel industry. Illustrating the supply chain aids in

understanding the complicated process o f CSR within the apparel industry; this naturally

leads to a discussion on the specific CSR practices and ideologies o f some major labels

and brands in the apparel industry.

The Supply Chain

The supply chain has been discussed multiple times but it has not yet been

entirely explained. In order to fully comprehend how CSR programs function for apparel

corporations, it is important to understand the structure of the supply chain. How does

cotton become the thread that becomes the textile that is used to produce our clothing?

Who processes each o f these products and how is this all managed by a transnational

corporation?

A supply chain is the system that an item goes through from start to finish. It is

the process o f transferring a product or service through the supplier to the customer and

involves the combination o f information, resources, organizations, activities, and people

(Sen 2008:1). In the apparel industry the top o f the supply chain begins with fiber
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producers, which could include man-made synthetic materials (2008:1-2). Next, the fiber

materials are generally produced in a textile mill and go through the process o f being

woven, spun, or knitted into fabrics (2008:1-2). The next segment involves industrial

textile product manufacturers or apparel manufacturers (where the clothing is actually

produced). The final element to the supply chain is the retailers. This is where the apparel

is made available to the consumer (2008:1-2). The supply chain is a huge concern for

CSR because employment o f people and effects on the environment are so wide spread.

Fiber and Yam Production

As mentioned there are two types of fibers that can be used to produce fabric,

natural and man-made. Natural fibers consist o f plant fibers such as cotton, jute, hemp

and other cellulosic fibers. Natural fibers also include animal fibers such as wool, leather,

and silk (2008:1-3). Synthetic fibers are made o f polyester, nylon and acrylic. “Synthetic

fiber production usually requires significant capital and knowledge, and thus synthetic

fiber producers, such as DuPont and Celanese, are large, sophisticated and very few in

number (about 75 in the U.S.)” (2008:2). Both types o f fibers are processed and

converted into yam by texturizers, spinners, and throwsters (2013:3). Conversion

processes vary and tend to be capital intensive. Fibers are often blended to create a more

sophisticated fabric. “A typical fiber plant can manufacture about 1 million pounds of

fiber per day, supporting approximately 100 fabric factories” (2008:2). These processes

involve multiple labor procedures within the supply chain.

Fabric Production

The next step o f the supply chain involves fabric production. This stage o f the

supply chain transforms yarn and thread into fabric through the process o f knitting,
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weaving or a non-woven process. Many methods are used to treat, weave, knit and

chemically process fibers to produce fabric. “Thousands o f small and medium companies

are engaged in production o f limited range of fabrics and a small number o f huge firms

such as Burlington and J.P. Stevens produce a wide range o f fabrics” (2008:3). It all

depends on the size and goals o f the company producing the fabric. The average fabric

factory produces as much as 1 million square yards o f fabric per week, which supports

about 4 apparel manufacturers (2008:3).

Apparel Manufacturing

This part of the supply chain employs and requires the most human capital/labor.

The manufacturing o f apparel is by far the most labor intensive and fragmented section of

the supply chain. This is really where the general public connects and understands the

concept o f a sweatshop. The manufacturing of apparel begins with the design o f a

garment intended for manufacture. Once the design is created, patterns are produced for

the design, and then fabric is cut from the patterns. Finally the cut fabric is constructed

into garments, then labeled and shipped. The knowledge and work requirements for this

type o f manufacturing are small, but large human capital is needed. Lack o f necessary

skill makes this type o f labor attractive for people seeking jobs and who are willing to

work for a low wage.

In apparel manufacturing, large companies will engage in, “product design,

material sourcing, production of apparel in house and marketing of the finished goods”

(2008:4). Commonly, the material, pattern, and cutting of the pattern are done together,

but the actual production is contracted outside the United States (2008:3-5).
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Often the contrast between domestic contractors and foreign manufacturers is

unclear. “Some U.S. manufacturers cut fabrics in U.S. and send cuts to a low wage

country to be assembled” (2008:2). Then the assembled garments are returned to the U.S.

for finishing. When these steps are taken the label can still read, “Made in the USA.”

Contractors will often solely engage in the manufacturing o f garments and do not take

responsibility for sourcing material, design, or marketing (2008:2). Manufacturers

frequently perform subcontract work for other manufacturers or contract out themselves

(2008:3).

One o f the most controversial parts about this stage in the supply chain is this

circumstance o f outsourcing the sewing to foreign countries. This is called 807

manufacturing/sourcing (2008:3). This is a law that allows for the fabrics to be cut within

the U.S., but where the actual garments can be assembled in the Caribbean, Mexico, and

Central America. Because o f NAFTA and other trade agreements the tariffs are very low

and are only added to the value o f the sewing (2008:3). This is a very profitable

production decision made by garment companies and allows for better control over

transportation and delivery o f products (2008:3). Opponents o f this law argue that this

undermines American jobs by sourcing them out to other nations, that it encourages

“sweatshop” working conditions, and that it restricts free trade with countries with higher

tariffs (2008:3).

Retail

The final element o f the supply chain is retail. There are diverse retail channels.

There are specialty stores such as Gap or J.Crew that offer a limited range o f apparel

products and accessories; these stores are a specialized market (2008:3). Next there are
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mass merchandisers or discounters such as Target, Wal-mart, and Kmart; in addition to

apparel, such retailers provide an assortment o f both soft (clothing) and hard (electronics,

etc) products offering the consumer an “everyday low price” (2008:3). Then there are

department stores, such as Nordstrom, Bloomingdales’, and Macy’s; these retailers offer

both hard and soft goods in national brands in categories (2008:3). Then there are apparel

chains such as Sears, and JCPenney who offer a more expansive assortment o f product.

There are off-price retailing stores such as Marshalls, Ross, and TJ. Maxx; these stores

purchase excess branded apparel and designer-label stock from other retailers and

manufacturers and offer the clothing at much lower prices (2008:4). The final share o f the

market goes to online, mail-order, factory outlets and other retail channels (2008:4).

Figure 2 breaks down retail sales distribution in 2008:

Break D ow n o f Retail Sales Distribution

□ Specialty S tores

□ Discounters & M ass

Order, Onlir e, M erchandisers
Specialty Stores 26%
Apparel Chains
□ D ep artm en t S tores
^Department Stores \ Discounters & Mass
23 % Merchandisers
17%

□ Apparel Chains

□ Mail order com panies, online

sto res, factory o u tle ts and o th e r
retail channels

"igure 2: Break Down o f Retail Sales Distribution (Sen 2008:1-6)

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The purpose o f breaking down the supply chain and retail sales distribution is to

build an understanding o f where our clothes are coming from. The average person does

not conceptually understand or even think about the supply chain; their clothing from

fiber to garment and then to retailer is something that is taken for granted. It is important

to break this down so that reader can picture the process it takes for a garment to make it

to the shelf o f their favorite retailer. This makes it easier to understand where different

CSR focuses and outlets are.

Apparel retailers as buyer-driven, these purveyors o f commodities have more

control over the supply chain. This gives them the opportunity to bargain with suppliers.

Suppliers are often willing to cut costs at the expense of good working conditions in

order to survive and compete in the global market (Gupta 2012:2). The process is a

domino effect. The supply chain for the apparel industry is labor intensive. Trends are

short-lived, and style changes are rapid when it comes to clothing. This creates time-

driven industry competition racing to produce inexpensive clothing on short deadlines.

With this kind o f pressure to decrease the cost of production, factories stress the

workforce and push for the bottom-line with the ultimate goal to decrease labor cost

(Dimbach 2008; Gupta 2012:2).

China, Hong Kong, Italy, Germany, Bangladesh, India, Turkey, the Philippines,

Vietnam, and Cambodia are the world apparel export leaders (Gupta 2012:3).

Multifaceted and complex in nature, there are multiple layers to the supply chain and the

various stakeholders involved who work to maintain positive CSR. The supply chain is

often more complicated than the average apparel company wants to divulge to the typical

consumer. If an individual wants to see what a company is doing for CSR, they can go to
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the company’s website, scroll down to the bottom o f the page and find a link about their

CSR policies.

The information provided on the majority of these apparel websites is frequently

unclear, muddled, and frustrating to both understand and follow. Though confusing,

nearly all companies mention their participation in audits o f their factories and supply

chains. They discuss their involvement with multi-stakeholders and their codes of

conduct, but each company presents and provides different information and most of the

time the information is not thorough or consistent. The auditing of supply chain factories

is a frequent and recurrent topic mentioned on these websites. Depending on the M SI’s

that a company has partnered with to conduct the audits a company may or may not

advertise the actually frequency of audits. Dependence on stakeholders and multi­

stakeholder initiatives is not usually extensively discussed or explained. This is

interesting since multi-stakeholders initiatives and partnerships nearly always act as the

experts who conduct factory audits. Some companies conduct their own audits to

supplement the contracted audits. It is rare that a company divulges transparency on the

specifics o f how CSR is practiced to the consumer.

This leads to the question of how honest the outsourced factories within the

supply chains are? And also, how reliable and effective are factory audits? The iceberg

model created by Hale and Mills (2005) shoes that these actions are not particularly

effective at all. Figure 3 is a visual on how Hale and Mills classify the structuring of

factories in a pyramid/iceberg representation.

The top of the iceberg, “above the water line,” represents transnational retailers

and brand owners such as Nike, Gap Inc., Hollister and Ann Taylor. Below that is tier 1,
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also “above the water line,” which represents transnational manufacturers directly hired

and closest to retailers and brand owners; these factories maintain a lot o f power in the

supply chain. Tier 2 falls below the “water line” and consists o f factories with less power

in the supply chain. In comparison to the factories in tier 1, the working conditions are

comparatively poor (Hale & Wills 2005). The third and fourth tiers depict a mixture o f

workshops, small factories, and workers producing from home (2005). These tier

members are subcontracted and economically dependent on the tiers above them. Safety

measures and working conditions are sub par (Gupta 2012:7). Often labor that is expected

to be done in factories is subcontracted to home workers instead. The bottom o f the

iceberg, tier 5, exclusively employs home workers. These workers are individual workers

working from their homes. Factory conditions are very separate and distinct from home-

based units where a few workers are found working from someone’s house (2005:104).

This tier produces domestic products as well as exports. In comparison to factory workers

these workers are paid very little and gamer the least amount o f power. (Gupta 2012:7).

An example o f this would be workers from home not wearing masks while

stuffing goose feather down into jackets; during an audit, the factory contracted would be

in compliance with health and safety requirements and yet the subcontracted home

workers would be at risk for allergies and breathing difficulties by not working under

compliance standards.

As illustrated in the Iceberg Model by Hale and Wills (Figure 3): the most

conspicuous relationship is between transnational retailers and tier 1 transnational

manufacturers. Their partnership is stable, structured, and transparent. The relationship

between these two is monitored and maintained through audits. The disparity between
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this alliance and those with manufacturers below the “water line” is that they lack the

formal business ties and structure maintained by manufacturers above the “water line”

(Gupta 2012:8). The dearth o f formal structure in the below the “water line” markets

provides a system where they become a hidden part o f the supply chain. The structure o f

the relationship between tiers makes for an inability to properly audit and document these

manufacturers; thus it becomes difficult to follow the footprint of a business and maintain

contracted guidelines (Gupta 2012:8). “In India, most apparel manufacturing units are

small and medium size enterprises (SMEs) and therefore fall within the less visible

section o f the supply chain, or tiers 2-5” (Gupta 2012:8).

Visible section o f
supply chain
(above the water lin e )

Tier 1
T ransnational
m a n u factu rer

Tier 2
M ed iu m m an u factu rer Less Visible
se c tio n of
supply chain
(below the water line)

Tier S

Figure 3. Hale and W ills’ Iceberg Model (Gupta 2012:8).

Gupta discusses in her dissertation that CSR is a financially and socially

rewarding tool for Western apparel companies; but there is a significant lack o f CSR

programs coming out o f developing nations (2012). A revealing point at which Gupta
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arrives in her work is that, if manufacturing factories in developing nations had both an

understanding and the wherewithal to create and sustain CSR programs, then the CSR

programs o f large transnational brands would be more effective (2012). Though there are

many reasons why these manufacturers in developing nations do not practice CSR, two of

the foundational issues are lack of educational knowledge and of the financial ability to

develop programs on their own (2012).

The supply chain is complicated when it comes to apparel companies. Ensuring

that positive CSR is being practiced throughout the supply chain is a complex and

difficult process. In order to ensure that they are making productive, safe, and positive

social and environmental decisions, a transnational company must make certain that they

are leaving a healthy footprint. Since the supply chain is complicated and responsibilities

vast, a transnational company has to work with partnerships in order to sustain its

positive footprint.

Therein lies a deeper issue: if a transnational apparel company is hiring out

multiple partnerships to maintain their codes o f conduct and practice their audits; and the

hired factories pass their audits, but effectively subcontract to lower tier factories (where

essentially the “dirty work” is done): then is a clean footprint even possible? When the

manufacturers themselves are not capable o f CSR then how can the supply chain remain

sustainable?

Even a “Made in the USA” label does not guarantee that an article o f clothing was

made in a socially responsible manner. There are multiple layers involved with “Made in

the USA” labeling. First and foremost there is modem day slavery happening today on a

global scale and also within the United States. “Made in the USA” garments are often
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produced by people who have been debt bonded and trafficked into the United States

and/or produced in free zone. This will be addressed further in the next chapter, but it is

important to make note of it here when discussing the supply chain.

There are circumstances within the United States where undocumented workers

find themselves in bonded debt and end up working in manufacturing factories in the

United States. These workers end up coerced into working in terrible conditions (Bales et

al 2009:12-18). The factories often lack proper ventilation, the workers work 12-15 hour

days with minimal breaks. They are paid little or nothing at all due to the debt they owe

to the company. They are bullied into believing that the company has the power to have

them deported (2009:12-18). The clothing made by these workers is made in the United

States and labeled so.

The intent o f CSR is to avoid human rights abuses, but there are many issues that

are not absolved through even the best-intended CSR programs. Are the motives of

apparel companies entirely based on the good intention of a positive footprint, or is CSR

a branding tool and necessary evil due to the competing policies of other companies? The

biggest questions that come to play within this project are, is CSR working, where do

consumers fit into CSR, and do they have any power or influence when it comes to

corporate choices?

The next chapter will discuss further current social issues involved with

international garment production and sweatshops. This then leads to discussion of data

collected in my consumer study, which investigates the overall understanding o f the

consumer and how they connect to clothing brands, and the social conditions o f the

workers who make their clothing.

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The next section discusses specific apparel companies and their CSR policies as

described on their websites. Each o f these companies were contacted and asked to review

a list o f questions for this project. Only a few offered a response and one provided any

actual feedback.

The CSR Philosophy o f Major Apparel Companies

CSR policies o f companies are very interesting and diverse. As we have seen in

the previous chapters, CSR is complex and complicated. It is entirely self-regulated by

the company, but the United Nations and the industry do set up guidelines for companies

to follow. A corporation does not produce CSR policies out o f thin air. They hire and

partner with multi-stakeholder initiatives and coalitions to help them determine their CSR

philosophy and focus. These outside companies help the corporation create their

company codes and aid in maintaining them. Some companies utilize their CSR as a

branding tool while others use it to correct mistakes made or to fix bad reputations. As

was observed in the fair trade section of the previous there are a lot o f small companies

focused on the use o f environmentally friendly resources and fair labor; unfortunately for

the most part these companies are small, and the consumer has to seek them out.

Consumer awareness is a major consideration here. If consumers are not thinking

about the environmental and social impact of their purchases and do not know if the

brand o f clothing they are wearing is practicing “good” CSR, then they certainly are not

going to be seeking brands that are focused on the environment and the people producing

their clothing. This is something that will be philosophically explored in the discussion

section. The following looks at what some major companies say they are doing for their
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CSR practices. This information is via their website, as only one company was willing to

answer questions regarding their CSR.

Patagonia

The apparel company Patagonia gets the most focus in this chapter because it is

the leader in sustainability. Patagonia is unique because CSR is literally integrated into

their business model. Yvon Chouinard founded Patagonia in 1973 with the intent to

create a responsible company and the company is constantly recreating this path. An

outdoorsman, Chouinard’s intent was to start a company that focused on protecting the

very outdoors that he loved. The values o f Patagonia reflect those o f a business begun by

lovers of the environment (Patagonia 2014).

In 1988, Patagonia discovered that people who worked in one o f their stores were

getting sick: mainly headaches. They hired an engineer who discovered that the issue was

the ventilation system. The engineer suspected that formaldehyde from the finish on the

cotton clothes stored in the basement was likely the cause. This discovery led to a study

on conventional cotton, the results showed that cotton grown with pesticides was one o f

the most harmful crops in the agricultural world, and by 1996 Patagonia had adopted an

entirely organic policy (Patagonia 2014).

From cotton, Patagonia started to investigate their entire supply chain. They

began measuring the environmental impacts o f their products. They hired an in-house

corporate responsibility specialist to ensure that the social side of production was

providing fair working conditions and compensation for those manufacturing Patagonia

garments. They also hired auditors (MSIs) to measure their impact. They focused on

using recycled material for their synthetic materials. They investigated as many facets of
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their company as they could, including the impact o f their paper catalogs and their

electricity sources. They also practice philanthropy, giving one percent o f sales to

grassroots activists, and provide employees paid leave to volunteer with non-profit

organizations (Patagonia 2014).

It would take an entire thesis in and o f itself to cover all the things that Patagonia

does in terms o f CSR, here I will focus on a few small elements. Patagonia recognizes

that it cannot be entirely responsible as a for-profit company in a free market, but they

continue to do all that they can to set a standard and remain accountable for their

footprint. Corporations have a huge responsibility to the environment they impact and the

global communities they affect, and Patagonia recognizes this. In their steps to practice

good CSR, Patagonia has multiple corporate (MSI) partnerships. Patagonia cites on their

website, “No company is an island; the more we work together, the quicker we can put a

stop to long-term environmental damage, so that those who come after us inherit a world

we would want to live in” (2014). Patagonia also mentions on their website that they rely

on the resources and brainpower o f multiple partners. These partners “work to improve

labor conditions worldwide, restrict the use o f dangerous chemicals, increase

transparency o f social and environmental practices throughout the supply chain, and help

redefine business health to include the safeguarding o f natural systems and thriving

human communities” (2014).

They partner with 1% for the Planet, B-Corps, Bluesign Standard, The

Conservation Alliance, Fair Factories Clearinghouse, Fair Labor Association, Outdoor

Industry, Sustainable Apparel Coalitions, and Textile Exchange. Patagonia has a huge

focus on their environmental impact, but since the focus o f this project is entirely directed
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toward the social end of CSR, I simply focus on Patagonia’s perspective and relationship

with partnerships centering on human rights in CSR.

Patagonia became a member o f Fair Factories Clearinghouse (FFC) in 2007. The

FFC functions as a database that tracks and manages social and environmental data. FFC

provides a forum to share the results o f Patagonia’s audits with other apparel brands

practicing business in the same factories and vice-versa. Ultimately, the sharing o f audit

results reduces the number o f audits per factory. It prevents audits from becoming

redundant and counterproductive to factory operations. According to Patagonia and the

FFC, this provides more effective working conditions (2014).

Patagonia became a member o f the Fair Labor Association (FLA) in 2001. As

discussed in chapter one, the FLA is a multi-stakeholder initiative that works with

companies, colleges, universities, and non-govemmental organizations with the focus to

work together and improve the lives of workers within the supply chain. “The FLA

complements the efforts o f the International Labor Organization (ILO): national

governments and labor relations systems by ensuring that participating companies,

licensees, and suppliers observe a workplace code o f conduct throughout their supply

chains” (Patagonia 2014).

As previously discussed in chapter one, the FLA functions a third-party

monitoring organization and publicly posts the results of their audits in its members’

factories. Separately, the FLA contracts with accredited monitors who provide

independent monitoring o f facilities contracted by Patagonia. If issues are discovered,

the FLA requires companies to remedy problems discovered in contracted facilities

before they give accreditation. They also aid Patagonia in “verifying good factories,
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communicating expectations, and creating sustainable solutions to improve workers’ lives

requires collaboration from every stakeholder involved” (2014). Patagonia adheres to

their FLA standards, codes o f conduct, and obligations. They follow a set o f standards

and expectations to maintain membership. They are audited and follow the FLA’s

Principles o f Fair Labor and Responsible Sourcing. Via these audits, Patagonia depends

on the FLA to review their factory files, audit reports, corrective action plans, factory and

internal training, and activities with NGOs (Patagonia 2014).

Patagonia is an acting member of the Sustainable Apparel Coalition (SAC) as

discussed previously in chapter two. Patagonia is an acting member o f the coalition. In

2010, Patagonia worked with leaders in the apparel industry, non-governmental

organizations, academia, and the U.S. Environmental Protection Agency for the initial

meeting for the Sustainable Apparel Coalition. They worked together to create the Higg

Index for social and environmental performance. The aim with Patagonia and SAC is to

impact the entire apparel supply chain and focus on creating large-scale change

(Patagonia 2014).

Textile Exchange is another partnership that focuses on maintaining fair social

standards for Patagonia. Patagonia originally founded a nonprofit group called Organic

Exchange in 2002 as a means to increase global sales of organic cotton for apparel. It was

renamed the Textile Exchange in 2010 and promotes organic cotton as well as bio-based,

organic and recycled fibers. The Textile Exchange focuses on teaching about the social

and environmental benefits of consciences textiles to product brands and retailers,

manufacturers and raw material suppliers, farmers and key stakeholders. Their main

agenda is to develop consumer awareness about the value o f sustainable textiles and to
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help mold business models to support the use o f sustainable materials. They work with

Patagonia and other companies to “improve environmental quality, enhance the

livelihoods o f farmers, and increase profitability for innovative brands and their business

partners” (Patagonia 2014). Patagonia is one of 197 organization members. Patagonia

claims that their participation in the Textile Exchange aids in keeping them at the

forefront in developing conscientious textiles and provides a forum for them to share

their many years of experience using organic cotton and recycled fabrics (Patagonia

2014).

Patagonia follows core labor standards and requires compliance with the countries

where their factories operate, and they write their codes in alignment with International

Labor Organization (ILO). Their code o f conduct specifically outlines their policies on

“forced labor, child labor; harassment, abuse and violence; nondiscrimination; health and

safety; freedom o f association and collective bargaining; wages and benefits; hours of

work; overtime compensation; women’s, disabled persons, ethnic minorities and U.S.

veterans rights; the environment; quality; subcontracting; and compliance with the law”

(Patagonia 2014).

Patagonia maintains a department that focuses on CSR specifically; it is called

Social/Environmental Responsibility (SER). The director and staff o f SER are 100

percent involved in the sourcing and quality departments at Patagonia and make the

decisions on which factories are procured to produce product. The staff at SER screens

all potentially new factories for both social and environmental compliance with both

union contractors and local law. Once a factory is chosen by Patagonia, they make efforts

to train the factory and its workers with its code of conduct standards. Full social audits
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are done, which include payroll analysis and interviews with workers in the local

language. They maintain a zero tolerance policy and do no business with factories that

support child or forced labor, abuse, harassment or discrimination. Remediation is

expected when an audit reveals less serious deviations from with their code o f conduct.

By both hiring multi-stakeholder initiatives and doing personal audits, Patagonia is able

to maintain that they do all that they can to produce a socially and environmentally sound

product. They also provide a factory list on their website along with other resources for

the consumer to observe their CSR practices. Patagonia claims to be in constant contact

with every one o f their factories and that the multi-stakeholder initiatives with which they

partner, act as a system o f checks and balance.

The company as a whole appears to be fairly transparent and well intentioned

when it comes to maintaining good CSR. The way that Patagonia publicizes their CSR

policies via their website is simple and fairly easy to understand. It is clear that they have

broken it down in layman’s terms so that the consumer can get a grasp on the supply

chain, the intentions of the company, their efforts, and their partnerships/memberships.

Nike Inc.

Nike Inc. is an enormous transnational company. Converse, Hurley, and Jordan

brands are all affiliates under the Nike Inc. brand. According to tripleprudent.com, an

online media company committed to reporting on conscientious business, Nike has

recently become a leader in corporate social responsibility; in fact, they have been listed

as number one in CSR by several industry reports (2014). Nike is a compelling case when

looking at CSR. Unlike Patagonia, which has a foundation focused on both

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environmental and social sustainability, Nike’s leadership role comes from a space o f

attempting to correct its negative sweatshop reputation.

Nike has a longstanding negative reputation for the use of sweatshops and abuses

o f the environment. In the 1970s, Nike gained a reputation for using sweatshops in China,

Vietnam, Indonesia and Mexico (Beder 2002). They were subject to many criticisms for

exploiting cheap labor and contracting with overseas factories that provided terrible

working conditions. By the 1990s, Nike’s reputation continued to falter when it came to

human rights abuses (2002). The company was discovered contracting factories in both

Cambodia and Pakistan that utilized child labor. Again in 2001 a BBC documentary

revealed that a Cambodian factory used by Nike was breaking their own codes o f conduct

and anti-sweatshop regulations (2002). Even as recent as 2013, there have been negative

reports stating that contracted factories were not maintaining company standards and

were exposing workers to abuse from their supervisors (globalexchange 2014).

Nike is a multi-billion dollar company. It spends a fortune annually on CSR. They

are members to countless initiatives and coalitions, including the Sustainable Apparel

Coalition, the Fair Labor Association, Business of a Better World, Global Reporting

Initiative, The Fair Factories Clearinghouse, Association for Retail Technology

Standards, the Better Work Initiative, and the Institute of Public and Environmental

Affairs (Nike 2014). The way that Nike publicizes their CSR on their website is massive,

convoluted, and confusing. It takes hours to research their website to begin to grasp their

CSR policies. There are multiple websites that are dedicated to their CSR: nikeinc.com,

nikeresponsibility.com, nikebiz.com. It is a confusing maze for the consumer (Nike

2014).
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Nike does a lot for its CSR: it strives for success in philanthropy,

environmentalism, and fair labor. Their efforts appear so big that one has to wonder if

they are effective? Some reports say yes, others, no. Nike has been connected to nearly

all o f the negative situations discussed in chapter six, but, in the end, though massive and

convoluted, Nike appears to be making an enormous effort in CSR practices. They do

not, however, provide a clear and extensive list of their multi-stakeholder partnerships.

Gap Inc.

Gap Inc. is another major apparel corporation with multiple affiliates, including

Gap, Banana Republic, Old Navy, Piperlime, Athleta, and INTERMIX. Gap Inc, like

Nike, has an extensive CSR program. Gap has been criticized in the past for association

with human rights offenses. Gap was associated with an investigation done by ABC

television network in 2000, where they discovered factories in Saipan (a free trade zone)

where Chinese immigrants were subjected to unsafe working conditions, non-payment

for work, low wages, and forced abortions (globalexchange 2014). Other sweatshop

connections and allegations have dogged Gap Inc. over the years. Gap Inc. has been

involved in recent atrocities that have taken place in Bangladesh garment factories,

interestingly enough they offer a statement about this situation directly on their website.

They even provide a timeline showing the actions that they have taken and are taking

since 2010 to promote positive human rights in Bangladesh. They also discuss some o f

the multi-stakeholders with whom they are partnered to correct abuses and maintain

positive human rights.

Like all major apparel brands, Gap Inc. is involved with multiple multi­

stakeholder initiatives. “Gap Inc. is engaged in several broad initiatives where we work
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with governments, workers and other stakeholders to improve working conditions across

our supply chain. For example, our 2004 partnership with the International Labour

Organization led to the development of the global Better Work program” (Gap 2014).

They work with many outside initiatives and coalitions including, the Sustainable

Apparel Coalition, Social Accountability International, Global Reporting Initiative,

Ethical Trading Initiative, and Alliance for Bangladesh Worker Safety, among others.

In terms o f CSR, Gap’s websites are interesting; there are actually two. If you go

to Gapinc.com, a link will take you to a section that summarizes their CSR practices; if

one wants more extensive information, they are directed to another page that provides it.

The information appears more complete and authentic than that of Nike. Gap Inc.

discusses their mistakes to a certain extent and shows evidence of the steps they are

taking to correct human rights. They break their social responsibility down into groups:

human rights, environment, employees, community, and a reports section. They offer a

47-page report on their human rights efforts, which is long, but offers a lot of

information. Their codes o f conduct follow the guidelines laid out by the Universal

Declaration o f Human Rights. They do not provide a clear and extensive list of their

multi-stakeholder partnerships.

PrAna

PrAna is a smaller outdoor apparel company that is hyper-focused on

sustainability. They have a major CSR program. They offer a sustainability link directly

on their page. They offer many articles related to CSR on their website, including

philanthropy, activism, human rights, environmentalism, and sustainability through the

supply chain. When you click on their sustainability link it takes you to a page where
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there are three options: Materials To Make PrAna Products, Materials and Energy to

Service The Business, and People and Working Conditions. The People and Working

Conditions link lists their key priorities, which are: “ 1. Continuously improve working

conditions for people who make our products. 2. Meet our obligations as members o f the

Fair Labor Association (FLA). 3. Increase the number of Fair Trade Certified (FTC)

factories ” (PrAna 2014).

These key priorities are then addressed by discussing PrAna’s relationships with

the Fair Labor Association, Supply Chain Sustainability, and with Fair Trade Certified,

and Sustainability Through Community. They state,

The area o f social responsibility is incredibly complex and no brand alone and
can address problematic issues such as lack o f law or enforcement or cultural
behaviors and practices around the world. So in collaboration with the other FLA
constituents PrAna will be more successful in our efforts to improve working
conditions where our products are made. [PrAna 2014]

Along with FLA and FTC, they also partner with other initiatives such as Textile

Exchange and BlueSign Standard. They are focused on using recycled synthetic textiles,

organic cotton and hemp textiles and provide a line o f Fair Trade garments. They

continue to produce many products in the United States as a means to promote jobs and

quality o f product, but they also offer an article explaining why they have made the

decision to outsource. These reasons are those of a competitive free market. Outsourcing

saves money and now many products come from specialty labor outside o f the United

States. Essentially, if a company wants to be successful, then they have to outsource in

this day-in-age.

Overall PrAna’s website shows a definitive concern for their footprint through the

supply chain. It is evident that the company is based on a foundation o f sustainability and
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positive impact versus the bottom-line. Their website could provide more information

and it would be helpful if they made their annual scores and reports available. It is here

that the website appears to be lacking. It makes their statements seem more trivial and

less backed by solid proof o f their CSR choices.

PrAna was the only company that answered questions regarding their CSR

policies and beliefs. As will be noted in the results section, the disconnect between the

clothing company and the consumer is enormous. Here, PrAna acknowledges this. They

responded in via emailed questions that consumer knowledge o f their CSR program was

very important,

CSR is a part of the prAna brand and the more consumers know this the more
value they will give our brand. It has not been easy to communicate all that we
are doing to the consumer and educating them on the issues in our industry and
then telling them our response. So this is a key area o f focus for the brand in the
next few years. How do we better engage and educate the customer.

Interestingly, when asked about competitors and CSR the focus came back to

consumers,

Competitors have been a great push for many companies to step up and engage
with CSR because there is a fear of being left behind. This is most relevant in the
outdoor industry. Customers are asking really hard questions and brands need to
respond. If a company can’t respond then that becomes a word o f mouth story to
that customer than the brand doesn’t have an answer. So to stay ahead or aligned
with customers brands are having to step up.

When asked if PrAna used CSR their response was an absolute, “yes.” When

asked, how much o f their CSR program was business strategy versus accountability, they

answered,

The CSR program is probably 50 percent of each and are integrated - the
strategy is the leading piece, it dictates our direction and priorities. Within that is
the accountability o f the areas where compliance to laws and regulations exists.
A successful program is going to have both and that has been one o f the strengths
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to our work is that there is a strategy that is high level, but also an operational
piece to know what for example human rights integration looks like into sourcing
etc.

Philanthropy plays a huge role in many CSR programs; PrAna’s response when

asked about how important CSR was to them was insightful and relevant,

Philanthropy is important for other companies, but not as much for PrAna, our
philosophy has been - there is a lot o f work that PrAna has to do to clean up our
supply chains and improve the environmental impact o f our products, so we need
to invest there first. If we just focus on making money through bad business
practices and then give it to charities to clean up our problems that isn’t a
sustainable solution.

TOMS

TOMS is a company that has built their brand and reputation on their CSR

policies. Ask the average person about apparel companies that are actively involved in

human rights and the answer will likely be TOMS (this will be discussed further in the

data/consumer survey o f this project). TOMS became widely popular after an AT&T

commercial highlighted the company in 2009. The company was started with a

foundational focus on philanthropy. They have their One-for-One program, which

provides a pair of shoes to a child in deep poverty for every pair of shoes purchased.

They provide shoes in more than 60 countries. TOMS also has a program that provides a

pair o f prescription glasses for every purchase o f a pair o f sunglasses. TOMS claims that

they work hard to integrate sustainable and responsible practices into every aspect o f the

company; on their website they state, “efforts are focused on making sure that we operate

in a manner that’s consistent with our brand values. W e’ll continue to travel this path and

communicate with you along the journey” (TOMS 2014).

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TOMS works with multiple multi-stakeholder initiatives. They followed industry

peers’ examples for CSR when the company was founded in 2006. On their website they

claim that they followed the example set by industry leaders who developed practices and

learned hard-fought lessons in responsible operations. TOMS has been criticized for their

focus on philanthropy and lack o f focus on their supply chain. Sure, provide a pair of

shoes to a person in need, but are the people making TOMs products wearing shoes? Are

they wearing a pair of TOMs shoes but working 15 hours a day with no breaks for 20

cents an hour? TOMS asserts on their website that they work with both industry peers

and independent experts to create a successfully responsible supply chain.

They are active participants in and a member o f the American Apparel and

Footwear Association. Because o f their efforts to use sustainable materials, TOMS

partners with Textile Exchange. They count on outside experts to validate and improve

practices. Like other industry leaders, they utilize and engage multi-stakeholder

initiatives and coalitions to review and verify their product manufacturers within their

supply chain facility-by-facility to identify potential risks. They state on their website

that:

We maintain a presence in our suppliers’ facilities to insure that our standards are
being met, including, without limitation, our standards prohibiting human
trafficking and slavery within our supply chain. This presence includes having a
respected international inspection and consulting firm audit our footwear and
eyewear manufacturers on a periodic basis. These third-party audits are conducted
against the standards outlined by our Supplier Code o f Conduct on an announced
or unannounced basis, as the circumstances merit. The information obtained from
these audits (which include worker interviews) leads to corrective action and can
influence business volumes and our ongoing business relationship. [TOMS 2014]

TOMS website offers two sections regarding their CSR. There is a section

dedicated to their One-for-One program, which is a branding tool as much as it is

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philanthropy. The second section is called “Corporate Responsibility.” This section is

littered with imagery o f photos worthy of National Geographic, they are o f “ethnic”

peoples smiling; a message is certainly being sent. While the information they provide is

easily accessible, TOMS website offers very little about the specifics o f their CSR and

their supply chain program. They do offer a letter that discusses contemporary slavery in

short, but give the same answer that all the companies provide: “we hire stakeholders to

write and follow our codes o f conduct and audit our manufacturers” (TOMS 2014). When

contacted, the company did respond via email, but refused to answer any questions

regarding their CSR policy. They stated that they could not answer questions for legal

reasons; this was before they had even seen the questions. When confronted on the point

that they had not yet been provided with the questions, they offered to review them yet

maintained that they could not answer them for legal reason.

Urban Outfitters

Urban Outfitters, a major apparel corporation with multiple affiliates including:

Anthropologie, Free People, BHLDN, and Terrain - maintains a CSR program. Although

the company declares suppliers must conduct business in a lawful, ethical, and

responsible manner conforming to the company’s Code of Conduct, the vague language

presented online allows for many interpretations. For example, “Urban Associates shall

obey the law and comply with the laws, rules and regulations o f the municipalities, states

and countries in which Urban operates” (Urban Outfitters, Inc. Code o f Conduct 2014)

saying nothing about child labor which is allowed in some countries. To find Urban

Outfitters, Inc.’s stand on child labor, one needs to turn to the company’s California

Transparency in Supply Chains Act (CTSCA) statement found on the company website.
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The CTSCA statement certifies business will proceed without the use o f child

labor, forced labor, compliance with wage and hour requirements, maintaining health,

safety, and environmental laws. The company employs a third party unnamed vendor to

perform inspections and audits of manufacturing vendors; however, there is no mention

of how often these inspections and audits occur. When a manufacturer is found to be

non-compliant with the company’s Code of Conduct, Urban Outfitters works with the

supplier through identifying the cause o f the issue, developing a plan o f action, and

training to bring the manufacturer’s status back to compliant.

Forever 21

Forever 21 claims to embrace a robust CSR program without offering any means

of measurements. Utilizing and requiring hundreds o f vendor manufacturing facilities

throughout the world to adhere to the company’s compliance standards, the company

ensures standards are met by entrusting a Vendor Compliance Team. This team conducts

audits preparing a written factory evaluation, including points needing to be addressed

and corrected before the next audit. The company says, “We also do our best to provide

information, advice, and support o f fair labor, health and safety related issues”

(Forever21 2014). This brings the customer to ask, what does this mean exactly? Does

the company send representatives onsite to monitor, correct, and train third party vendors

experiencing fire safety hazards or issues of unfair labor practices or in lieu of an in-

person representative, is a memo sent? The information here is unclear, particularly

when compared to some o f the other companies reviewed in this section.

Forever 21 ’s disclosure in compliance with the Supply Chain Act requires a

complete overhaul. No claims made in observance o f the SCA offer any measurements
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or standards. The company offers platitudes, rather than hard data. “We regularly

evaluate and address human trafficking and slavery risks in product supply chains

through inspectors who are employees o f the company and who are also tasked with

investigating internal or third-party reports o f this nature” (Forever 21 2014). How often

is meant by “regularly” and how are the inspector/employees trained to investigate

reports of human trafficking and slavery? Everything appears to be handled internally;

this o f course raises red flags when considering the company, as has been established the

utilization o f third parties to conduct audits and monitoring ensures a more unbiased

transparency (Forever 21 2014).

The charitable causes section stopped posting as of 2011. Some charity

involvement evidenced end results, including: $9.5 million in money and merchandise

donated to unnamed charitable organizations, 71,120 nutritious meals provided via FEED

the world, $32,773 to the Humane Society, and $2,012,112 (one day o f company wide

internet sales) to the American Red Cross following Japan’s nuclear disaster. Forever 21

hoped to raise $20,000 for Big Brothers Big Sisters and $85,000 to the American Society

for the Prevention o f Cruelty to Animals (Forever 21 2014). At publication (2014): there

is no mention o f the current measurable outcomes o f these projects. Forever 21 was

contacted about their CSR policies for this project but did not respond to inquiries. Their

website is confusing and difficult to understand overall.

American Eagle Outfitters

American Eagle Outfitters were contacted for an interview but did not respond.

Research into the company and review of policy discussion on their website revealed a

great deal about their CSR program. The website is relatively straightforward and easy to
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navigate. This company utilizes global garment production from China, Guatemala,

India, Vietnam, and the USA. While American Eagle Outfitters (AEO) asserts no

garments were produced in any o f the factories connected to the recent Bangladesh

garment tragedies, it is interesting that the Company felt “a moral obligation to not only

be a part o f this rising tide o f change but a leader in the advancement o f workers’ rights

and workplace safety” (American Eagle Outfitters 2014). AEO conducted its first factory

inspection in 2001 and wrote a Code of Conduct in 2002. Today the improved Vendor

Code o f Conduct includes a dedicated team and comprehensive factory inspection

offering remediation and additional training with the intent o f focusing on improved

working conditions in the supply chain. AEO points out poor working conditions

manifest from a variety o f causes and most of the time AEO is simply one of the brands

of clothing being produced in any given factory, thus their leverage to be institutors o f

change is limited. However, AEO claims to partner with companies, multi-stakeholder

organizations, governments, civil society groups, and trade unions to achieve positively

impacting solutions for the garment workers.

AEO requires factory inspections prior to entering into contract with any factory.

In 2010, 77 prospective factories were evaluated, of which 17 percent were unable to

make the changes necessary to pass inspection. Once a garment factory passes the

approval process, it is then re-inspected at least once a year. Factory management meets

with AEO representatives to discuss the outcomes and request recommendations for

advancement of safety and employee working conditions. If the factory management is

unwilling to make changes, AEO will sever the business relationship. In 2010, AEO

released 9 factories, or 2.7 percent o f the active supplier base for compliance issues.
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AEO signed the International Buyers Principles o f the International Labor

Organization (ILO) Better Work program. Today, AEO participates in Better Factories

Cambodia (BFC) and Better Work programs in Vietnam, Haiti, and Indonesia. In 2010

AEO began participating in the Fair Labor Association, a nonprofit organization whose

mission is to improve working conditions in factories worldwide. In 2006 AEO began

participating in the Multi-Fiber Arrangement (MFA) Forum Americas Working group to

work on compliance issues in Mexico and Central America. In 2008 AEO banned the

use o f cotton from Uzbekistan due to the country’s practice o f enforced child labor.

AEO’s posted 2011-2012 Supply Chain Goals, which include the following:

1. Develop and implement new information technology database system to

enhance collection, analysis, and reporting factory performance data.

2. Strengthen efforts to address social compliance issues in deeper tiers o f

the supply chain including, but not limited to, unauthorized
subcontractors, laundries, embroiderers, fabric mill, informal workers, etc.

3. Evolve factory inspection and assessment model to enhance identification

of root causes o f compliance issues and develop more systematic training
and capacity building programs to improve factory management systems
to sustain compliance over time.

4. Enhance integration o f corporate responsibility and social compliance

issues into day-to-day business process such as sourcing strategy and
decision-making; enhance awareness o f decision-making impact by
designers and merchants on factory production schedules.

American Apparel

Practicing vertical integration, American Apparel intentionally keeps the

Company local, keeping design, manufacturing, marketing, accounting, retail, and

distribution under the same roof and giving the Company the ability to collaborate locally

with each department while maintaining visibility over the product from beginning to
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end. This environmentally friendly model, knitting, dyeing, cutting, sewing - all

completed by highly skilled workers in one local area saves on transportation costs and

removes sweat shop conditions from the equation. Rather than spending extra money on

fuel, trans-oceanic shipping, boxes, pallets, and middlemen, American Apparel pays the

workers a living wage, utilizes higher-quality materials for garments, and invests in the

future o f the Company. This increased efficiency also makes being held accountable for

each step o f the process easier to manage (American Apparel 2014).

In addition to a living wage, American Apparel states on their website that they

pay $12 - $14.00 (American dollars) and hour, employees are given subsidized public

transportation, subsidized lunches, free onsite massages, a bike lending program, paid

days off, ESL classes, guaranteed job security and full-time employment. Company

subsidized, affordable health insurance for the workers and their families and onsite

medical clinic, which includes primary care, pediatric, urgent and preventative health

care. This increases morale and employee retention. Also, the employees now have

access to a stock purchasing program ensuring the garment workers are shareholders

(American Apparel 2014).

The factory warehouse and distribution center contain hundreds o f thousands o f

overstock garments, imperfects, and other merchandise. American Apparel claims to

offer assistance for global disaster. They ships boxes o f garments to wherever they are

needed quickly and efficiently.

1. In 2005, American Apparel delivered to the victims o f Hurricane Katrina

over 80,000 shirts

2. In 2007, 250,000 garments were delivered in a truck across the country to

people in need
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3. In 2008, the Company donated “Legalize Gay” t-shirts to any gay rights
group that needed them. This included LGBT clubs on college campuses
and the Harvey Milk School in San Francisco

4. In 2009, the Company sold 15,000 overstock pieces in their parking lot
donating 100 percent o f the proceeds to immigrants rights groups

5. In January 2010, American Apparel donated over 80,000 garments for

Haiti Relief

6. In May 2010, 15,000 items were donated for the victims o f the Nashville
flood

7. In 2012, the Company donated Gay OK t-shirts and proceeds to support

various initiatives for GLADD, as well as people affected by Hurricane
Isaac and with wildfires in Colorado

From the appearance and information o f the website, American Apparel looks to

be an ideal clothing company in terms of the social consciousness within their supply

chain. Their website does not offer extensive information about their supply chain

process. They provide just enough information. They did not respond when contacted

multiple times.

Nordstrom

The four pillars o f the Nordstrom Cares campaign consist of supporting

communities, sustaining the environment, protecting human rights, and caring for their

people. Nordstrom supports communities via college scholarships, supporting non­

profits and the United Way, participating in global social development, and providing

opportunities for diverse-owned businesses (such as women owned) to do business with

Nordstrom. Nordstrom sustains the environment by conserving resources, such as energy

conservation and utilizing smarter shipping methods, recycling and waste management,

redeveloping packaging, utilizing organic cotton, and creating healthier restaurants and
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coffee bars in stores. Caring for the people involves a commitment to diversity,

rewarding Nordstrom Cares heroes, and a company wellness program. These three

pillars are essential parts to the whole o f corporate responsibility, but the core o f this

program is protecting human rights (Nordstrom 2014).

Nordstrom commits to improving global labor standards in responsible

manufacturing o f the label. As a member of the Business for Social Responsibility’s

Apparel, Mills and Sundries Working Group and the Alliance for Bangladesh Worker

Safety, Nordstrom trains their supply chain partners in the Nordstrom Code o f Conduct,

Nordstrom Partnership Guidelines, the Social Responsibility audit process and the

compliance guidelines. Nordstrom also trains the partners on worker retention,

productivity and efficiency, the environment, and management systems. Monitoring

supply chain partner sites is completed via independent, third party monitoring

companies who review plant/factory safety, wages and benefits paid to workers, and

work hour documentation. After an audit, Nordstrom program managers and supply

chain partners work together to address any compliance issues by developing and

monitoring remediation plans (Nordstrom 2014).

In 2012 Nordstrom claimed to monitor 100 percent o f the factories it subcontracts

with in 37 countries. The results were as follows:

1. 49.6 percent o f factories had acceptable results

2. 33.1 percent o f factories had results that required improvement

3. 11 percent o f factories were at risk for human rights violations

4. 1.6 percent o f the factories were non-compliant with Nordstrom’s Code o f

Conduct standards
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5. 4.7 percent had uncategorized results

6. Forty-three factories were involved in comprehensive improvement

activities

7. Sixty-three factories received training on multicultural labor/management

topics, the environment, and health and safety

8. Thirteen factories participated in worker empowerment activities related to

health and hygiene, skills development, and improving manager/worker
communication

A lot o f important factors are not disclosed and the statistics are irrelevant without

complete numbers. Some o f the issues with the information provided on their website are

the results they post, it brings to question: How many factories in the 37 countries was

Nordstrom contracting with? What types of improvement activities, labor/management

topics, environmental, and health and safety training was provided to the factory

partners? What types o f improvements were required for these factories? What types o f

human rights violations were observed?

An aspect o f the Nordstrom partner guidelines document that does differ from

other suppliers is that they are not able to subcontract without written approval and

authorization from Nordstrom. In addition, the subcontractor must agree to comply with

all Partnership Guidelines and sign to that effect (Nordstrom 2014). This requirement is a

huge step, particularly considering what was discussed in the supply chain section o f this

chapter and Hale and Mills “Iceberg Model.” This is an interesting step for Nordstrom,

as the issue o f suppliers subcontracting is often the one that results in slave like work

conditions. This doe not extend to Nordstrom vetting the new subcontractor in any way.

Their website and access to information about their responsibility policies are

easy to navigate. They present information about their perspective on CSR, their codes,
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and actions in an easy to understand and follow way. There was no response when

Nordstrom was contacted multiple times regarding their CSR policies.

Rip Curl

Although Rip Curl has a robust environmental policy, nothing is mentioned on the

website about social responsibility, human rights, or the manufacturers o f Rip Curl

clothing. During the genesis o f the company, the founders o f the Company purchased a

WWII sewing machine, hired a crew o f local Australians, and began making wetsuits;

who makes the clothing today, or where it is manufactured, is not mentioned (Ripcurl

2014. Ripcurl did not respond when contacted about their CSR program regarding

manufacturing.

Billabone

In 2005, Billabong incorporated SA8000 as their means for centralized

management and manufacturing. As previously discussed in chapter two, SA8000 stands

for Social Accountability 8000 and is a certification standard designed to help companies

manage the global supply chain’s workplace conditions. Trade union representatives,

human rights organizations, academic institutions, retailers, manufacturers, contractors,

consultants, and accountants worked to create this standard based upon the International

Labor Organization, the Universal Declaration of Human Rights, and the United Nation

Convention on the Rights o f the Child (Billabong 2014).

Billabong utilizes a trained audit team to assess workplace compliance within the

supply chain. The company’s Code of Conduct is posted in vendor factories with a toll

free number and address so workers, if necessary, can lodge an anonymous complaint.

Their supply chain includes over 400 factories in 25 countries, including: Asia, India, the
 I ll

US, South America, and Europe. Billabong partners with other clothing brands to ensure

globally accepted work practices in the vendor factories. An internal team in the Asian

markets completes audits. These audits help the supplier factory become ready for the

SA8000 certification completed by independent groups such as SGS, Bureau Veritas, or

RINA. In the 2010-2011 fiscal year, 339 factories were monitored with 231 full factory

audits, where 142 corrective action plans were administered. Twenty-six factories

achieved full SA8000 certification.

Billabong’s website was exceptionally easy to navigate. While they did not offer

links to reports, the information is laid out very clearly. They appear to rest most o f the

information on their SA8000 partnership. Billabong did not respond when contacted

about their compliance program.

Target

Target participates in a social compliance audit process for vendors and factories

producing Target-brand products. Each vendor/factory must be registered with the social

compliance team. The facilities are randomly audited; however, Target does not state

how frequently. For the most part Target utilizes internal audit forms, tools, and auditors.

In some countries the company uses third-party auditors who are trained in Target’s

procedures and policies. Also, the Better Works program provides advanced monitoring

and advisory services to factories in some countries. Where this is the case, Target

substitutes Better Works audits for their internal audits (Target 2014).

Unannounced visits include the following: a meeting with facility management, a

robust tour o f the facility, interviews with a selection of employees to determine working
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conditions, treatment o f workers, and the hiring process (Target 2014). At the end of the

audit, violations and corrective actions are discussed with management.

Non-compliant facilities have three chances to improve conditions and become

compliant. If the factory is still non-compliant after three audits, the facility will not be

allowed to work with Target for one year. The company also enforces a zero-tolerance

policy on severe violations, such as child and/or forced labor, corporal punishment, and

conflicts o f interest (Target 2014).

In addition to social compliance, Target maintains a committed stance to reducing

the Company’s environmental impact by working with industry partners and experts to

create more efficient process for producing and shipping their products. Target is a

member o f the National Resources Defense Council (NRDC) on the Clean by design

initiative, which enabled the Company to see significant savings in water, energy, and

materials (Target 2014).

As a founding member o f the Sustainable Apparel Coalition, Target was a first in

using the Higg Index. As discussed in chapter two the index is a tool created by

Coalition members consisting o f over 80 apparel retailers, suppliers, non-profits, and

NGOs who work to reduce environmental and social impacts of apparel and footwear

products globally. The tool measures the impact o f materials, packaging, manufacturing

processes and transportation on the environment. In the 2012 Corporate Responsibility

Report, Target asserted the Higgs Index was used to assess more than 3,000 facilities

producing the Company’s brand products. The results were used to prioritize coaching

efforts on facilities having the largest impact (Target 2014).

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The access Target provides to their CSR practices via their website is good. The

links are organized and direct offering the consumer access to reports and knowledge o f

their partnerships. They acknowledge the tragedies in Bangladesh and what they are

doing to ameliorate the problems perpetuated by the apparel industry. It is difficult as a

consumer not to be suspect o f Target since their prices are so inexpensive. They state in

the social compliance section o f their website that, “Target has a firm stance on the

payment of wages and we will not knowingly work with factories or vendors who do not

follow local law and our standards” (Target 2014). The key words in this sentence are

“local law”; which translates to “often workers are not protected by local law.” But

overall Target appears to have some solid partnerships regarding social compliance and

appear to be making an effort in human rights. When contacted about their CSR policies

they did not respond.

H&M

On their website H&M claims to set high standards for suppliers, while training

and rewarding good performance. They utilize vendors in many different countries,

equating to 900 suppliers and 1,900 factories. In their 19 production offices they employ

about 2,000 people within their sourcing markets. In addition, their website makes the

following statements:

1. We can conduct thousands of factory audits each year, mainly

unannounced, and help our suppliers make important improvements

2. We can go beyond just monitoring and offer training, support and clear
business rewards for improvements made

3. We can easily visit factories to educate workers about their rights. W e’ve
already done this in India and Bangladesh
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4. We interview thousands o f workers every year to check, for example,

whether they know how their wages are calculated (H&M, 2014)

Their initial statement, “We can conduct thousands o f factory audits each year,”

however it is worth noting that doesn’t suggest that they conduct thousands o f factory

audits each year. Because H&M works with many developing countries, the Company

creates jobs and uses its influence to improve workers’ lives; thus, “lifting people out o f

poverty.” The Company accomplishes this by forming alliances with competitors to

ensure positive change (H&M 2014).

H&M’s 1997 and later revised 2009 version Code o f Conduct includes the

following:

1. Legal requirements

2. A ban on child labor

3. Health and safety

4. Workers’ rights

5. Housing conditions

6. Environment

7. Systems approach

8. Monitoring and enforcement

These are standard codes, and they always sound admirable but the difficulty

here, like so many other companies arrives when trying to find definitive details on the

website. What are the legal requirements? What about health and safety? What do the

workers have a right to? Does everyone get housing, or does H&M inspect private

residences? Exactly what part o f “environment” does H&M require independent vendors
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to be concerned with? What does “systems approach” mean? It would appear that their

Code of Conduct raises more questions than it answers.

H&M’s Full Audit Programme, not conducted by an independent third party, is

based on the International Labour Organization’s (ILO) Declaration on Fundamental

Principals and Rights at work and the UN Convention on the Rights o f the Child. If the

Full Audit Programme is based on these two important documents, is there a way the

Programme varies from them? There is little value in simply stating that the Codes of

Conduct are based upon these documents. In H&M’s case, the consumer has no

measurable way o f knowing how closely the Codes o f Conduct follow the ILO’s

Declaration or the UN Convention’s ban on child labor (H&M 2014).

The website is extraordinarily difficult to navigate. It took nearly 15 minutes o f

searching the website to find their Code of Conduct. Once accessing it, the Codes of

Conduct raised further questions regarding sourcing and origin of supplier laws, child

labor (H&M’s Code o f Conduct allows for children 14 and up to work in the vendors’

factories): health and safety, workers rights regarding forced and bonded labor, migrant

workers, workers rights, discrimination, wages, benefits, overtime, and housing

conditions (H&M 2014).

H&M’s website is a mess. They provide too much information in too complex a

manner and the information provided offers more room for questions rather than answers.

It becomes obvious after multiple reviews o f CSR policies on varying company websites

which companies present their CSR policies with transparency. This company has a

reputation for sweatshop labor, and the way that their CSR is presented makes this clear.

They did not respond to inquiries regarding their CSR policies.

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Walmart

Walmart collaborates with other retailers, brands, NGOs and government leaders

to help ensure a safe, responsible supply chain (Walmart 2014). The Company is one o f

the initial five members of the Global Social Compliance program created to ensure

continuing improvement o f working and environmental conditions in supply chains

globally. Walmart also partners with the International Labour Organization (ILO) and

the International Finance Corporation (IFC) in support of the Better Works program

operating in Cambodia, Haiti, Indonesia, Jordan, Lesotho, Nicaragua, and Vietnam

(Walmart 2014).

Walmart’s website also shows participation in other programs, such as the Lean

Manufacturing Program, offering job skills and factory efficiency training, Women in

Factories Training Program, which is designed to empower women working in supply

chain factories and the Bangladesh Buyers Forum that increases fire safety awareness

among suppliers and their employees in garment factories. Walmart works with the

Alliance for Bangladesh Worker Safety to provide funds to help factory owners make

repairs to buildings and support workers. Bureau Veritas (BV) assesses buildings for

fire, structural, and electrical safety; the Company claims to monitor BVs assessments

during garment production and may pull contracts until safety enhancements at the

affected factories are made.

Like many other companies, Walmart claims to adhere to rigorous standards in

brand production. Suppliers are held to the following standards: compliance with

national and local laws, all voluntary labor, appropriate working hours, ethical hiring and

employment practices, adequate compensation to workers meeting local industry

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standards, freedom of association and collective bargaining, health and safety regulations,

environmental laws followed, no conflict of interest between factories and Walmart

employees or corruption, financial integrity, and safe reporting of violations.

Audits o f factories are o f course set to ensure that workers are treated with dignity

and respect and that workers are paid appropriately and their work hours comply with the

law and Walmart’s standards. When audits show compliance issues, training and or

factory work termination result. All o f Walmarts audits are conducted by approved third-

party audit partnerships that are processed according to the Global Social Compliance

Program. These auditors possess thorough knowledge of local laws and language.

Third-party audits are also subject to further validation audits conducted by the Walmart

Responsible Sourcing Special Audit team.

Walmart’s section on global responsibility is admirable. It is organized and

definitive. They provide a lot o f information. They even acknowledge the issues

regarding Bangladesh and describe the program they have inserted to fix the problems.

Every link leads to another link. As the consumer navigates their website, what initially

appears to be cut and dry suddenly becomes rather confusing. Their MSI partnerships are

extensive as well as links and reports. Simply looking at their social responsibility and

nothing else is confusing. It is an information overload. There appears to be a pattern for

companies with bad social reputations. The problem in the end with Walmart, is their

reputation. The Walmart brand is associated with many sweatshop exposes and they have

a reputation for not treating their workers in the United States right. It begs the question,

if employees are not given proper access to rights in the United States where strict

employee rights are legislated and protected, how on earth could Walmart offer fair social
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rights when outsourcing; particularly when the cost o f their clothing is so inexpensive?

Walmart did not respond when contacted about their CSR practices.

In the end, there are many pertinent questions that are difficult to find answers to

when it comes to transnational companies. Why do they do CSR, and what motivates

them? There are some leading companies that appear to be genuinely concerned with

their impact; others seem more driven and focused on image and brand. When a

consumer visits a company’s website they are able to view a company’s CSR though it is

difficult to determine what motivates the consumer to inquire about such policies and

often difficult as a consumer to understand the CSR motivation and policies o f a

company. A company may state that they are genuinely concerned about their social and

environmental impact, but other factors certainly play a role in their choices. Often the

information provided by a company is difficult to navigate and understand or it is

incomplete. That all but one o f the apparel companies contacted for this study refused to

participate raises suspicion regarding intention behind CSR policies.

This chapter has described the supply chain and discussed where some o f the

social human rights issues appear within the chain. It has also observed and investigated

company websites to better understand individual CSR policies and the public message

each company is trying to convey to the consumer regarding their responsibility. Chapter

four looked at fair trade. Fair trade is a growing industry, but only a small percentage o f

companies practice it. Will more companies begin taking part in fair trade business and

also focus on labor rights in general? In the end, this quite possibly falls on the

consumer’s needs and demands. Most consumers have no knowledge o f the

environmental and social atrocities that occur in the apparel-manufacturing world and
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what impacts their purchasing choices have. The average consumer simply purchases

clothing when they feel like shopping, want something new, and like how the clothing

makes them look. Consumers buy from their favorite brands through their favorite

merchandiser and fail to think about the power o f their purchasing choices or o f the

consequences that the action of buying sets in motion.

The next chapter considers slavery and labor rights and also looks explicitly at the

inhumanity that transpires within the apparel supply chain.

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CHAPTER 6

SLAVERY, LABOR RIGHTS, CONTMEPORARY ATROCITIES

AND HUMAN RIGHTS IN THE APPAREL INDUSTRY

People have suffered at the hands o f the apparel supply chain for a long time.

Contemporary slavery and sweatshops are weighty topics discussed in this chapter. The

previous chapters have made clear what CSR means, how it is regulated, human rights

have been considered, and the processes and partnerships that are made to ensure that a

company is doing the right thing have been researched and discussed. A description o f

the supply chain was reviewed and also specifically what some apparel companies’ claim

they are doing about their social CSR i.e., labor, social equality and rights.

With so much being done to prevent human rights abuses throughout the supply

chain it is important to add to the discussion working conditions of both the past and

present, and also current manufacturing problems and situations that have arisen in recent

years within the apparel/garment industry. If companies are doing so much to prevent

social issues in their supply chain then why are major inhumanities connected to the

apparel industry? This chapter seeks to explore the history o f slavery and modem slavery,

the advent o f apparel factories and sweatshops, labor rights in the United States, and

human rights atrocities occurring today in the apparel supply chain.

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Slavery in Human History

Slavery and the oppression o f people is a practice that can be found throughout

human history. In fact, it even predates money and law (Bales et al 2009: 6). Slavery

through sexual exploitation and the sex-trade have been a form of slavery throughout

human history, but since this type of slavery does not apply to the topics discussed in this

project, it will not be discussed in. It is important to note that sexual exploitation is a

current issue in clothing production today. The focus o f this study is not to look at

women’s issues; but sexual exploitation, harassment, and even rape are abuses that are

often seen in the production end o f the apparel industry.

Slavery was a real and accepted occurrence in ancient cultures such as the

Egyptian, Mesopotamian, Roman, Greek, Mayan, and Incan empires. Mesopotamian clay

artifacts document slaves taken in battle and being forced to work by Sumerians (2009:6).

The code o f Hammurabi introduced legal slavery through law and religion in 1790 BC.

The Code outlines a full operative system of slavery including thirty-five specific laws

concerning slavery. The messages in these laws provide a clear notion, “that a slave is not

a real human being” (2009:6). Babylonian slavery clearly states that the free use of

violence for punishment and control is acceptable conduct. In Egypt, bond slave labor

was utilized for public works projects in order to reduce pressure on food production for

farmers and peasants (2009:6). Mayan and Incan cultures were structured on hierarchy

with slaves at the lowest level of the hierarchy.

As societies became militaristic, hierarchical, and slaveholding and as city-state

structures developed and spread human exploitation began to occur. As domestication o f

plants and animals expanded so did the enslavement o f human beings. In the Greek
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world, slaves were considered essential to the workings of society (2009:9). “Around 400

BC, Athens and its companion city o f Piraeus contained around 60,000 citizens, 25,000

non-citizens, and 70,000 slaves” (2009:9). Plato and Aristotle both philosophized on the

justification for the slavery o f “barbarians” (2009:9). Rome’s economy and empire was

built on the concept o f the slave, but when thousands o f slaves took park in large-scale

revolts (the Gladiator War/The War o f Spartacus): Roman law became progressively

more humane. The fall o f the Roman Empire greatly diminished slavery The Crusades

(1095-1291) gave Europeans access to Eastern populations for enslavement; Genoa,

Venice, and Verdun became major slave markets and the economic foundation o f

Tuscany was a direct result of slavery (2009:10). There were many religious undertones

to all concepts o f slavery at this point-in-time. By the fifteenth century as European

empires expanded across the globe, “the Church continued its support o f slavery in both

policy and trade” (2009:10).

This point in history marks the time o f “traditional” slavery. This idea o f slavery

is often how people today associate with the word “slavery” when they hear it. European

expansion from the 1400s onward involved mass colonization coupled with the capturing,

transportation, and sale o f African slaves (Bales et al 2009:10; Zinn 2005: 28-29). People

from Africa were taken captive and transported to the Americas and Europe, and put to

work producing agriculture crops like cotton, sugar, tobacco, and rum. Once these

products were produced and processed they were transported to Europe for trade

(2009:10).

With the Enlightenment and American Revolution came concepts o f free religious

thought and ideas o f equal citizenships and personal freedoms; these concepts applied to
all citizens but denied the benefits to slaves (2005: 30 & 2009:11). The notion o f slavery

began to slowly shift and be redefined. By the late 1700s there were movements in both

the Americas and Europe to abolish slavery. Slaves themselves began revolting as well.

In 1833 the British Emancipation Act ended slavery in Britain (2009:11). The legal

ownership o f slaves in the United States of America ended with the civil war in 1865 and

the Trans-Atlantic Slave Trade in 1888 was the final step in the abolition o f “traditional”

slavery in Brazil, by which time “between eleven and twenty-eight million people had

been taken from Africa” (2009:10).

Slavery didn’t end with abolition it simply became more covert. De facto

slavery/institutionalized slavery became the practice o f the day (Bales et al 2009:11; Zinn

2005: 194-210). In the United States former slaves became caught in a form o f debt

bondage called “peonage.” These people became sharecroppers through coercion and/or

trickery, they signed contracts and were then forced to work to pay o ff their debts

(2009:11; 2005: 194-210). By 1900 as many as one-third o f sharecropping farmers in the

South were held against their will through obligation to pay o ff debts to the farm

(2009:11). Debts were created because payment was withheld and farmers were forced to

make purchases from “company stores,” through the use o f tickets rather than money

(2005: 194-210). Annually when contracts expired, often through inflation or outright

lies, debts would become greater than money earned from crops and the farmer would be

forced to continue working for the company with whom they owed their debt (2009:11;

2005:194-210). Local governments and companies converged to maintain this

functioning system. Debts passed from parent to child and it was not until 1948 that a

federal ban was passed to end “de facto” slavery, though it wasn’t until the civil rights
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movement in the 1960s that this type of slavery ended (2009:11). This does not mean that

slavery ended, it simply means that the subjecting people through labor took a different

form.

On a global scale slavery has continued unabated though the 20th and now into the

21st centuries. As “traditional African slavery” was abolished other forms o f slavery took

form all over the world. Varying forms of debt bondage slavery similar to feudalism were

very common in India, Pakistan, Nepal, and Bangladesh. Child labor through the restavec

system (parents putting their children into servitude) is a global problem even today

(2009:12). Countries bordering the Sahara Desert continue practicing age-old customs of

slavery by selling Africans to Arab markets. In the early twentieth century there were

upwards to 30,000 people enslaved in Egypt alone (2009:12). The native communities of

Central and South America utilized slaves and once concurred by Spain, the native

people were enslaved to mine, farm, tap rubber, build, and more well into the 20th

century. “In between 1896 and 1915, some 97,00 slaves were shipped from the

Portuguese colony o f Angola to the islands o f Sao Tome and Principe off the west coast

o f Africa to work on large cocoa plantations run by Europeans” (2009:12).

Slavery has a history o f state sponsorship; the 20th century was no exception.

From 1930-1960 nearly eighteen million people in the Soviet Union were enslaved in

prison camps and forced to operate farms, mines, foundries and factories (2009:12). The

holocaust is a prime example o f state-sponsored slavery. The Japanese military enslaved

millions o f Koreans, Chinese, Filipino, Thai, and Vietnamese during the World War II

era (2009:13). As population burgeoned toward the mid-20,h century, so did expansion

for global slavery. With the end of the Cold War and the collapse o f Russia, travel and
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trade restrictions loosened providing ample opportunity for both products and people to

flow across borders (2009:13). As the 20th century came to a close slavery evolved into

its contemporary form and global access to oppressed people provided a greater

disposability o f people than ever seen before.

During the 20th century there was also a lot done on a legal level to change

slavery. Internationally, the League of Nations “Slavery Convention” abolished slavery in

1926 (2009:13). The convention declared slavery as a “crime against humanity” and

defined it as, “the status or condition o f a person over whom any or all o f the powers

attaching to the right o f ownership are exercised” (2009:13). This eventually led to the

assertion, “No one shall be held in slavery or servitude; slavery and the slave trade shall

be prohibited in all forms,” in the UN’s Universal Declaration of Human Rights

(2009:13). Supplementary additions were added in 1956 to include “slavery-like”

practices such as “bondage, serfdom, the forcing or sale of women into marriage, and

child servitude” (2009:13).

The International Labour Organization (ILO) outlawed forced labor on

populations of indigenous peoples to which they defined as, “all work or service which is

exacted from any person under the menace o f any penalty and for which the said person

had not offered himself voluntarily (2009:14).” The UN also addressed human trafficking

in 1949 in the Convention for the Suppression o f Trafficking in Persons and the

Exploitation of Others (2009:14).

Even with serious international attention and laws, slavery continues to grow in

the 21st century. Ending “traditional” legalized slavery didn’t end the act of slavery itself,

to make something illegal certainly doesn’t make it disappear. “Slavery occurs on every
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continent except Antarctica,” and there are upwards to twenty-seven million slaves

around the globe (2009:14). The modem occurrence o f slavery is shocking and surprising

for most. People often find the notions o f modem slavery perplexing because they have a

difficult time separating traditional forms of legal slavery with contemporary forms.

Contemporary slavery comes in a variety of forms but is always exploitative in nature.

The appropriation o f people for the production o f material for economic profit is

subjugation. When consumers purchase their clothing the idea of slavery rarely enters

their mind. A consumer consumes with minimal consideration for how the product they

are purchasing actually came to be.

Up to twenty million contemporary slaves are located in South Asia alone, it also

occurs in grave volumes in South America, Eastern Europe, Northern and Western Africa

(2009:15). India is one of the world’s largest democracies, yet some ten million people

within the country work in brick kilns, rice mills, agriculture, quarries, and garment

factories and are struck with the snare o f modem slavery (2009:14). This slavery

continues due to severe poverty, caste/ethnic discrimination, police corruption, lack of

policing against slaveholders, and social policy (2009:14). Forced labor usually accounts

for non-technological/traditional work that supports local economy. The ILO estimates

that approximately ninety percent o f incidences o f slavery occur in underdeveloped

nations such within Latin America, the Caribbean, Asia, Africa, and the Middle East.

These countries are the subjects of resource exploitation by the West (2009:15).

Outside of the developing world, undocumented peoples are brought into North

America and Europe enslaved (2009:15). These people find themselves enslaved through

fraud, force, or coercion. This form o f slavery can last for various lengths of time, but in
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the US it often lasts between two and five years. Factory work is one o f the main

industrial sectors in the US that exploits people in the form o f human trafficked illegal

labor. Factory work is one o f the main work sectors in the US that exploits people in the

form o f human trafficked illegal labor. As a means o f preventing these workers from

escaping, captors forbid them from leaving their workplace or contacting their families,

they sequester identification and documents, and threaten them with arrest and

deportation (2009:15). These practices tend to be most successful in areas with sizable

immigrant communities such as California, Florida, New York, and Texas (2009:15).

Since the abolition o f legal slavery, the word, “slavery” has come to be

understood differently. It comes packaged in many forms and can mean: prostitution,

prison labor, low-paid wage labor, segregation, etc. “More than 300 international slavery

treaties have been signed since 1815, but none have defined slavery in exactly the same

way” (2009:18). Table 2 below is adapted from the 2009 book; Modern Slavery: A

Beginner’s Guide and is a great comparative o f traditional slavery versus contemporary

slavery. It helps break down how contemporary slavery actually functions.

Table 2. Differences Between Traditional Slavery and Contemporary Slavery

Traditional Slavery C ontem porary Slavery

Slavery not globalized Slavery globalized

Legal ownership asserted Illegal and legal ownership avoided
Long-term relationship Short-term relationship
Racial difference important Racial difference less important
High purchase cost Very low purchase cost
Shortage maintained Surplus o f potential slaves
Slaves maintained Slaves disposable
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Modem slavery is globalized. Today slavery is not a key part o f any country’s

economy, but is subject to industry. Length o f servitude is only for a few years. People

are considered disposable; meaning slaves are more inexpensive than ever before. The

average cost o f purchasing a person for slavery is $90 today and in some parts o f the

world the cost can be as little as $10 (2009:16). Since the cost o f slavery is so low the

balance o f supply and demand has dramatically changed since the time o f

traditional/legal slavery. There is so much available forced labor, which ultimately lowers

the cost o f labor itself, but the availability o f person/to hours o f labor continues to be the

same, this means that slave labor generates high profit (2009:17). “The amount o f profit

to be made on slaves in Alabama in 1850 averaged around five percent; today profits

from slavery start in double figures and range as high as 800 percent” (2009:17). A

bonded slave today in South Asia is able to pay off their purchase and maintenance price

within two years (2009:17). Since a modem slave is considered replaceable, servitude is

shorter. It is not profitable to continue ownership of an individual for a long period and

incur health and other costs. It is much more advantageous for slavery to be short term

because it is not profitable to keep slaves who are not immediately useful (2009:17).

Often once a debted slave has paid the debt back and been freed o f labor

obligation, the slave finds themselves indebted to another company as they search out

work but need a greater wage in order to live. If a living wage is not being paid then the

laborer must find a means to pay for the cost o f their livelihood. This often results in

further debt.

The oppression o f peoples through forced labor is not new, but the process has

changed and evolved. The core characteristics o f slavery remain the same; the loss o f free
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will, forced to work under violent control, economically exploited, and non-payment or

payment below “living” wages for labor. The means to which a person ends up within the

folds of contemporary slavery is contextual; it could be a combination political, religious,

ethnic, or gender-based reasons (2009:18). Slavery does not have to mean lifelong

servitude to be slavery. The focus of slavery belonging to two main characteristics avoids

the act o f defining slavery in more specific ways (2009:18). When an individual is forced

to work via economic exploitation and violent control they lose free will. This

combination adds up to a very simple notion that is slavery. I f a person is paid nothing

beyond subsistence and is not able to walk away from the work then this foundationally

is slavery. Violent control does not simply apply to physical abuse, any instance o f force,

threat, and coercion can be in its nature violent.

While there are certainly different forms of slavery briefly mentioned here, the

main focus is the slavery that applies to garment manufacturing. The type of

contemporary slavery that applies most directly to the apparel-manufacturing world is

that of debt bondage and slavery/bonded labor (2009:19). This is a situation in which a

person pledges themselves against a financial loan, but the nature and length o f service is

not negotiated and labor does not diminish their debt. The inability to diminish a debt

might fall to interest on the original debt or falsified accounting and repayment becomes

beyond their grasp (2009:19). In these instances debts are often passed down to family

members, which then becomes collateral debt, as debt incurs the debtor ostensibly

becomes property o f the lender (2009:19).

Debt bondage generally occurs in situations o f severe poverty. Instances of

illness, crop failure, lack o f food, the idea o f life in a city for a young person, etc; lures
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people who lack the resources they need to take out loans under unclear terms. The

person might even knowingly enter into the debt bondage, but with lack o f an alternative

have no other opportunity (2009:19). Living expenses and fines leave the person in

further debt with little hope o f escaping. Attempt to escape the debt results in

psychological and physical abuse (2009:19). Contemporary forms of slavery are not

limited to the enslavement o f adults; children are also often sold into bondage.

A large and expanding form o f slavery is contract slavery. This form o f slavery

hides behind a legal curtain. Contracts guarantee employment in a workshop or factory

but once contracted, the workers are then enslaved (2009:19). This commonly occurs in

South-east Asia, Brazil, some Indian subcontinents, and even American territories

(2009:19).

The ILO offers six indicators of forced labor (2009:19):

1. Threats or actual physical harm to a worker

2. Restriction o f movement and confinement, to the workplace or to a limited

area

3. Debt bondage, the employer may provide food and accommodation at

such inflated prices that the worker cannon escape the debt

4. Withholding o f wages or excessive wage reductions that violate

previously made agreements

5. Retention o f identity and status

6. Threat o f denunciation to the authorities, where the worker is an irregular

immigration status

The point to this rather extensive discussion on slavery is that it is alive and

flourishing in our modem world and today slavery plays a relevant roll in the production

of our clothing. Currently there are an estimated 100,000 to 150,000 people living in
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slave-like conditions in the United States alone (Hernandez et al 2009:185). While all o f

our clothing is not being assembled by slave labor, it is happening. With the issue of

subcontracted manufacturing factories, “above the iceberg” factories may function within

the compliance expectations o f a corporation. While this section provides an abridged

discourse on slavery throughout history and into modem times, another apposite topic is

that o f the advent o f the sweatshop and some o f the events that led to the creation o f labor

laws.

History o f Labor Rights in U.S Apparel Factories and the Advent o f the Sweatshop

Ideally, this project would cover the history o f labor rights from an international

perspective since this thesis is focused on transnational companies and outsourcing.

Unfortunately the history o f labor rights on an international level is too vast an endeavor

for this project. Due to lack o f space and time this section will only observe some of the

major moments in American labor rights.

The industrial revolution led to a necessity o f products made in high quantity and

factory work, as we know it today was a result. The garment industry was built on a

foundation of labor abuses. As a market for ready-made clothing developed in the late

1800s, sweatshops began to appear (Rosen 2002:1). Sweatshops are subcontracted

manufacturing factories (2002: 3).

The working conditions of factory workers was first brought to public attention

with the publication of The Condition o f the Working Class in England, by Friedrich

Engels in 1844. Charles Kingsley's Cheap Clothes and Nasty, was written in 1850, and

describes working conditions in London. The essay describes the “sweating system,”

which was a system o f subcontracting tailoring (Kingsley 2001). He wrote that the,
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“sweating system is a surviving remnant of the industrial system which preceded the

factory system, when industry was chiefly conducted on the piece-price plan, in small

shops or the homes o f the workers” (2001:22). This advent o f humans as collateral was

not new but the means in which they were utilized changed with the industrial revolution.

Sweatshops became commonplace as people began working in factories and producing

products to be consumed by a large public. Human rights abuses became commonplace

situations as demands for ready-made products rose (Rosen 2002:1-3; Zinn 2005:140).

The legal system during the mid-nineteenth century catered to the advantages o f

businessmen and industry at the expense of human capital. “Health and safety laws were

nonexistent or unenforced,” during this era (2005: 239).

The Pemberton Mill collapsed in 1860 and was deemed one o f the worst tragedies

to ever occur in Massachusetts. Eighty-nine out of nine hundred workers died in the

incident. Attention to human rights at the end of the Civil War in the United States and

other similar tragedies to the Pemberton Mill started a movement for the eight-hour

workday and the formation o f workers unions (2005: 240). By this time the textile

industry was in full swing in both England and the United States. Factory work and the

exploitation o f workers burgeoned as much as the protestors did (Rosen 2002:1; Zinn

2005:140).

With over 4 million immigrants in the United States in the 1890s a labor surplus

was created that kept wages low and laborers disposable (2005:266). Owners o f factory

mills utilized violence and force to ensure that laborers continued to work under terrible

conditions (2005:266-276). As unions gained momentum so did the protests and strikes

for fair pay and working conditions. The fight for workers rights in the form o f protests
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and strikes were often handled with violence that resulted in the oppressions o f millions

o f people from the end o f the Civil War in the United States until the mid 1900s (2005:

239-325).

There were five hundred garment factories in New York alone in the early 1900s

(2005:325). Conditions included broken stairways, minimal, small, and dirty windows,

unclean working conditions, low light, mice and roaches, both freezing cold and

intolerable heat, no fresh drinking water, and seventy to eighty hour work weeks

(2005:325). In 1909, a strike was organized against the Triangle Shirtwaist Factory, it

was an enormous movement but ultimately the strike did little to improve work

conditions (2005:326). In 1911 the Triangle Shirtwaist Factory set fire from a rag bin in

New York City (2002:1, 2005:326). One hundred forty six, mostly female immigrant

workers perished in the fire by either burning to death or jumping from windows to

escape the fire (2002:1). There was only one fire escape in the building and the elevator

was broken. There were laws that demanded that doors remain unlocked and open

outward, the laws were not being followed (2005:326). This fire was one o f many to call

attention to the working conditions in sweatshops. Situations like this event generated

public concern for a change and practice of laws to ensure that such tragedies be stopped

(2002:1).

It wasn’t until the 1930s that unions were finally successful in organizing drives

to ensure decisive changes in labor laws (2002:1). The International Ladies’ Garment

Workers’ Union gained power and momentum. Sew operatives finally started seeing

better wages, paid vacations, and medical benefits (2002:1). It wasn’t just workers in the

garment industry who began fighting for rights, between the 1870s through the 1930s
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factory workers in many industries went on strike and protested for better working

conditions and standards (2005: 140-406). The U.S. Fair Labor Act set minimum wage in

1938, along with this came the forty-hour workweek and the outlawing o f child labor

(2002:2, 2005:403). The federal government was finally providing protection to workers.

F.D.R’s New Deal in the 1940s responded to the rebellion o f workers and their demands

as well as the devastation from the Great Depression. The New Deal utilized federal

money to provide work (2005:493). “In the 1940s the US Supreme Court ruled that

employers could not force workers to remain in their jobs nor penalize them for leaving

their employment” (2009:13). In Europe similar actions took place ensuring fairer

working conditions and rights.

With these changes, it appeared as though working conditions had changed within

the United States. Sweatshops looked to be a thing o f the past. Unfortunately by the

1980s, it became clear things had simply shifted (2001:2). For the sake of this project, a

modem day sweatshop can be understood to be a factory in which conditions of

employment are substandard and below par as compared to the criteria set forth by the

U.S. Fair Labor Standards Act (2002:2). “Employers who provide such jobs violate

federal law” (2002:2).

Sweatshops gained national attention in the United States in the 1980s when

public figure Kathie Lee Gifford, lent her name to clothing produced by a U.S. retailer

contracting factory work in a Central American sweatshop (2002:2). Also in 1995, a

garment factory in El Monte, producing clothing for Macy’s Flecht’s, Filene’s and

JCPenney was discovered using slave labor (2002:2). In this event, seventy Thai workers

had been trafficked into the United States and forced to work in the basement o f a house
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(2002:2). The building itself contained no rear exit, was surrounded in barbed wire and

windows were locked and barred. At a time when the federal minimum hourly wage was

$4.75, the workers there were being paid about $1.60 an hour to work 15-hour days. They

had to use their wages to pay back the cost o f transportation into the United States

(2002:2). The traffickers that were managing the labor confiscated the passports o f the

workers this left the workers with even less opportunity to escape (2002:2).

The attention and focus this event brought to the public revealed that sweatshops

were a current and widespread situation occurring on both a national and international

scale (2002:3). Despite state, federal and international regulations sweatshop employers

are rarely stopped or brought to justice (2002:3). Sweatshops within the United States

tend to be concentrated in major immigration hubs where the advantages and access of

trafficked human capital are far reaching (2002:3). International sweatshops tend to be

concentrated in export-processing and free trade zones in developing countries

throughout Latin American and Southeast Asia (2002:3). In more recent years outsourced

human capital in Eastern Europe, China, and sub-Saharan Africa has emerged as well

(2002:3). In these areas where work is outsourced labor atrocities such as child labor,

indentured servitude, sexual harassment, environmental hazards and employment­

generated health issues are commonplace (2002:3). While the issue of feminism is not a

frame o f focus here, it is relevant to note that majority of apparel manufacturing on a

global scale is conducted by women. This connection between the oppression o f women

and apparel would be interesting to explore at a later date. It is a women’s issue. This is

somewhat ironic considering that a greater percent o f women shop for clothing.
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As the growth o f outsourced jobs has expanded, a massive loss o f work in U.S

apparel production has occurred (2002:4). “According to the U. S. International Trade

Commission, roughly half the total productive capacity in the apparel industry has shifted

from developed countries to [the less developed countries]” (2002:4). Powerful interests

in policy, retail, textile, and apparel industries support and legitimize foreign

sweatshops/outsourced labor; arguing that the global apparel trade provides economic

development to developing nations. In turn, this provides jobs for the impoverished

(2002:4). Yet, transnational companies appear to transcend the regulations and laws o f

national governments including those within the United States, ultimately resulting in

products being sold for a bottom line price at the expense o f the impoverished (2002:4).

Institutions such as the World Bank, International Monetary Fund, and World

Trade Organization support and promote global production and trade; this ultimately

results in globalization. Is globalization rectifying poverty or sustaining it? Questions like

this will be further explored through the data discussed in chapter seven and the

conclusion in chapter eight. There is fine line between slavery and paid labor in modem

outsourced factory work.

The Apparel Industry: Negative Impacts, and Contemporary Atrocities

In this day-and-age manufacturing and assemblage factories are sweatshops. A

sweatshop, by today’s definition is any workplace in which workers are subject to

extreme exploitation. This involves not providing benefits for workers, acceptable

working conditions, or a living wage. A living wage; is different from minimum wage. A

living wage allows workers to cover the cost o f life’s basic necessities such as food and

shelter (Powel 2014:42). A sweatshop worker can work 60-80 hours a week, but often
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wages are not enough to cover basic living needs. There are plenty o f supporters o f

modem day sweatshops who claim that these factories provide economic opportunity to

countries where there is not enough work for the population (2014). Yet often the

sweatshop environment is unsafe and those working in sweatshops are intimidated,

harassed, allowed few breaks, forced to work overtime, and made to work in dangerous

and unhealthy environments (Fung et al. 2001:53). Buildings are not safe for the work

conducted, workers are forced to work when sick and they also handle toxic chemicals

with their bare hands while working (2001:53). Between negative economic impact and

unsafe working conditions there are many horrible situations around the globe that are

direct results o f the apparel industry’s drive for the bottom-line: cheap products, and low

prices.

Brand name apparel companies are no strangers to sweatshop controversy. Nike

has a history o f using child labor in Cambodia (2001:3). Adidas has been accused of

hiring underage sweatshop workers in El Salvador and prison labor in China (2001:3).

Timberland was discovered employing 16-year-old laborers working 98-hour workweeks

in China and paying them just 22 cents an hour (2001:3). New Balance has a reputation

for anti-union practices. As discussed, “Made in the USA,” doesn’t actually mean the

product was made in the United States or that it was made fairly (2001:4). Immigrant

workers living in the United States often produce clothing in slave-labor conditions

(2001:4). This occurs when immigrants are trafficked into the United States or can’t find

work when they illegally cross into the United States. Another pertinent query is whether

a company can serve the consumer need for bottom-line prices without exploiting human

capital. This section discusses specific contemporary examples of the negative impacts of
 138

the apparel industry and some of the atrocities that are a result of bottom-line

outsourcing.

Jamaica

The examples discussed below are just a few cases relating to labor issues and

international free trade zones. Before NAFTA came into play, Jamaica’s free zone

provided jobs to a large percentage of Jamaican women. As previously discussed, free

trade zones (FTZs) became popularized in the early 1980s as a means o f increasing

foreign exchange, export earnings, employment for low-income workers and provided

access to technology (Black 2003; Ricketts 2002:127-128). In an effort to escape national

debt, Jamaica signed the Caribbean Basin Economics Recovery Act, a Bilateral Textile

Agreement (BTA): and the Enterprise for the Americas initiative (free zone agreement) in

1990 (2003; 2002:128-133). With these agreements Jamaica expanded the Kingston Free

Zone and established the Montego Free Trade Zone as a means to take advantage o f

potential economic success for the country as a whole (2003). At its peak in 1995, the

FTZs o f Jamaica employed more than 36,000 women (2003). The intent o f the trade

agreements in the Caribbean was to relieve poverty, but a study done by the Human and

Social Development Group in 1996 showed that they did little to aid in raising the

poverty line (2002:130).

The free zones in Jamaica were ideal for American apparel corporations. With

textile patterning and cutting being done in the USA and assemblage done in Jamaica.

Cargo ships simply arrived at port unloaded the patterned textile and reloaded the

garments. Since the area was free zone the factories were exempt of labor laws and

product was exempt for cargo taxing etc (Black 2003). The free zone did provide work
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for some 36,000 Jamaicans, but the workers were subject to low-wages, no benefits, and

an inability to unionize or fight for rights. Though pay and working conditions were poor

in the industry, these factories did provide jobs and aid, which mitigated poverty in that it

provided jobs (2003; 2002:133). These women were paid as little as thirty dollars for

two-week pay periods and often not paid at all. Eventually, jobs were cut and Chinese

workers were imported into Jamaica because they would work for lower pay (2003).

These workers were likely obligated to the company with bonded debt.

When the US, Canada and Mexico signed the NAFTA agreement, FTZs were

created within the three countries (2003). Under NAFTA, US investors received added

benefits including national treatment; which meant that U.S. corporations were able to

receive treatment equivalent to that of a Mexican investor etc. Such incentives provided

companies’ additional rights within trade law and ultimately facilitated the abuse of

people through the availability o f cheap labor and lack of repercussions via the use of

such labor (2003; 2002:128-150).

While this Jamaican example is not conspicuously violent it does set a foundation

for understanding outsourced work and the subjection o f people. The free zones were set

forth with a supposed intent for positive economic opportunity for the impoverished, yet

it appears that the free zones in Jamaica only served a purpose for corporations until a

more inexpensive opportunity came forth (2002:127-150).

Jamaicans were subjected to work conditions and wages that were not ideal, and

when Jamaican labor became too expensive, foreign workers were brought in to provide a

further bottom-line. As soon as NAFTA was signed the U.S. apparel corporations

contracting out o f Jamaica closed up shop and sourced their manufacturing where the
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financial payout was reduced. These corporations, which provided work, albeit with poor

conditions, took no stake in the effects o f their manufacturing choices on the Jamaican

population. Studies have proven that the existences o f transnational corporations in free

zones have no positive impact on the poverty of the population as a whole (2002:133). In

fact, factory work actually prevents workers from obtaining an education and

participating in their families because the hours for factory work are so long, yet

necessary in order to make enough money to maintain a living (2002:127-150).

Saipan

Saipan is another international employment loophole. As a free trade zone, it

straddles a political fence. Companies operating on the island o f Saipan do not need to

adhere to the employment and labor laws o f the United States. Saipan is a United States

territory and provides both domestic and foreign companies with the opportunity to

manufacture foods with the “Made in the USA” label (Global Exchange 2014). Because

it is a U.S. territory and goods are not technically “imported,” businesses pay no import

tariffs. Due to these ideal conditions in the 1990s, thousands o f laborers from Asia, for

example Vietnam, China, and the Philippines were flown to Saipan to work in factories.

According to a 1993 New York Times article, workers were bused directly from

the airport to barracks where they were to live - often as many as a dozen to a room

(Shenon 1993). These dormitories were surrounded in barbed wire and laborers worked

six days a week for companies like Liz Claiborne, Gap, Montgomery Ward, Eddie Bauer,

Walmart, JCPenney, Target and Levi's. Over 5,000 miles from the continental United

States clothing was being made in terrible conditions without taxes, tariffs, and without

labor laws to protect the foreign workers but with the benefit of a “Made in the USA”
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label (1993). The 1993 article describes many exploitative conditions o f workers in

Saipan. Twelve to 16 hour workdays, unpaid overtime, low pay, coercion, threats, debts

to companies, fear o f deportation, no benefits, and dirty unventilated workspaces were

comminplace (1993). It was this article that set forth a movement that started a class

action lawsuit against the major brands that were contracting these factories in Saipan.

Good came out o f this incident. Starting in 1999, an anti-sweatshop movement

worked toward a major victory in 2002. Twenty-six major retailers settled a lawsuit that

targeted working conditions on the island o f Saipan. The settlement ended a nasty three-

year legal battled between advocates for sweatshop workers and some o f the world’s

largest apparel brands. The companies combined were ordered to pay $20 million into a

fund for the payment o f back wages and the creation o f an independent monitoring

system to prevent future abuses. (Global Exchange 2014).

Mexico

NAFTA has created an interesting migration pattern. The draw o f work brings

migrant workers up from Central America and rural Mexico to more industrialized

regions o f Mexico where they find themselves working in slave-like conditions

(Hernandez et al 2009:175). There are upwards of 3,500 factories, often referred to as

maquiladoras, in the free trade zone. These factories generate millions o f dollars in

foreign exchange annually. The existence o f maquiladoras in the Mexican free trade zone

is controversial. Criticisms o f the maquiladoras argue that work conditions are dangerous

and the treatment o f women workers is especially bad (Leon-Guerrero 2013: 243).

A problem with the maquiladoras in the Mexican free trade zone is that

transnational companies aim to invest minimal capital but want to maximize profits
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(2009:175). Minimal capital investments directly result in the exploitation of cheap labor.

Often workers are not allowed to unionize and they find themselves in conditions that

perpetuate discrimination and poor treatment (2009:176). While some companies practice

positive CSR and instill fair work hours and demand well-maintained factories, these

companies still do not pay a living wage. A daily salary for a maquiladora worker is

approximately $4.67; which is not enough to sustain a living (2013:243). Lack o f a living

wage results in workers living in urban conditions o f severe poverty; for example: homes

made o f cardboard, scrap metal, no running water or plumbing, little access to nutritional

foods, etc (2009: 184). Regulations requiring a living wage fall largely on the country and

its regulations. Since Mexico, like many other countries wants to compete and maintain

business in their country then laws protecting the people are either nonexistent or are

generally not enforced. It is the workers themselves who have to find the power to fight

for better wages and work conditions (2009:184). Transnational companies have no

obligation to the community, so as the existence o f the factories have expanded so has the

population, yet the social and physical infrastructure of the community have not been

invested in. This means that the communities lack basic needs like healthcare, and public

services such as clean water, sewage systems, electricity, schools, and adequate housing

(2013:243).

“There is a fine line between complicity and cooperation, exploitation and

comparative advantage, survival and competitiveness” (2009:187). Ultimately, if a

company is practicing good CSR, but is not paying a living wage they are contributing to

the exploitation o f humans, which might in the end result in slavery. Often these workers

are lured by human traffickers into coming to the United States for a better living, but
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once they are smuggled across the border they find themselves in debt bondage and poor

working conditions (2009: 174-184).

Many human rights movements utilize their websites to discuss and criticize the

issues surrounding sweatshops. These groups campaign toward creating change for some

o f the tragic incidents that happen in the industry. There is a significant lack o f scholarly

articles relating to recent sweatshop/factory incidents in the apparel industry, but there

are some media outlets that do focus on some o f the appalling situations that have

occurred in recent years.

Guatemala

The Alianza factory in Guatemala is an interesting example o f human

exploitation. In January o f 2014, the Institute for Global Labour and Human Rights

investigated this factory and wrote a 50-page report on the social injustices connected to

the factory (Kemaghan 2014). Investigators discovered over 200 internal documents that

were smuggled out o f the factory in 2013. These documents included invoices, pay stubs

and manufacturing instructions from sixty well-known American and Canadian clothing

labels and retailers. Some o f the major brands involved were StyleandCo, Macy’s,

JCPenney, Kohl’s, Nordstrom, Walmart, and Fred Meyer. The factory, which was located

in Guatemala, assembled clothing for 12.5 years before going out o f business in 2013. A

South Korean national owned the Alianza factory (Kemaghan 2014). Figure 4 represents

the apparel companies that hired Alianza.

 144

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Fashion sweatshop in Guatemala” (Nation.com 2014).

The report disclosed the following information: between 2001 until March 22,

2013, up to 1,500 mostly indigenous Maya Indian workers toiled at the Alianza Fashion

factory in Chimaltenango, Guatemala and had major losses at the expense and greed o f

the management o f the factory. Over the 12-year period in which the factory operated,

national Guatemalan law allowed for the unfair treatment and payment o f the Alianza

workers. “The Alianza workers were robbed of over $6 million in wages and benefits due

to them” (Kemaghan 2014).

The losses o f health and pension benefits through the Guatemalan Social Security

Institute were some o f the most major injustices against the workers. Employees that

attempted to unionize where both bullied and fired for taking any preliminary steps

toward creating fair working standards (2014:4). Workers that were fired from the factory

never received legal severances (Kemaghan 2014:23).

 145

“Over the 12 years o f its operation, Alianza defrauded the Guatemalan Social

Security Institute (including the workers” pension accounts) o f over $4.7 million”

(2014:13). The owner of the Alianza factory, Bong Choon Park would only inscribe

approximately 65 workers out of somewhere around 1,200 workers annually to the

government’s mandatory pension and healthcare program administered by the

Guatemalan Social Security Institute. In doing so Park robbed thousands o f workers o f

their benefits (2014:13). At its closing last year there were only 548 workers left, but at

the closure the factory owed $1.2 million in backed unpaid wages and benefits (2014:15).

The Institute for Global Labour and Human Rights ultimately concluded that 631 workers

were robbed o f over $1.4 million in legal wages and benefits (2014:17). When the factory

closed it did not pay any o f the workers wages due (Kemaghan 2014).

Over four million garments a year were produced out o f this factory for export to

the United States and Canada. The main items produced at Alianza included blazers,

skirts, and pants for women and, pants, vests, and suit jackets for boys and men.

Individual workers produced approximately 336 garments per month or 4,031 garments

per year (2014:5). The workers at the Alianza factory were the lowest paid in the country

with a base wage for garment workers being only $1.05 an hour (2014:6). While still not

enough, the legal Guatemalan minimum wage in 2012 was $1.38 an hour (2014:22).

Along with this low, under the legal wage pay, workers were coerced into remaining at

work without wages until goals and deadlines were met (Kemaghan 2014:6).

The report by the Institute for Global Labour and Human Rights describes in

detail the labor cost for specific garments produced and the selling price by the company.

For example, the report states that a women’s blazer sold at Walmart for $21.88, but the
 146

cost for producing the jacket, including fabric, trim, cutting, sewing, and packing was

only $4.25. Documents were discovered during the investigation of the factory that

showed that Walmart had hired Land ‘N Sea distributors to outsource the 6,240 o f these

jackets via the Alianza factory (2014:6). This is but one example shown in the report o f

major brands and their distribution companies hiring out the Alianza factory for

production o f garments at a cost far below the standard of living within the country. The

report also shows that apparel companies were sometimes making as much as a 550

percent markup on the retail cost of the jacket in comparison to production costs

(Kemaghan 2014:8).

The Alianza factory was no stranger to CSR programs and corporate monitors.

Monitors were reported to visit the factory three or four times a year and produced

positive audits. Drawbacks o f these audits were that they always took place during day

shifts, and never at night when many o f the production goals were actually being met.

Both international and North American companies took audits of the factory, but

company representation was never revealed to the factory workers (2014:12). Because

third parties were hired as distributors and outside MS Is were hired to conduct audits

many o f the companies acquiring garments from the factory were unaware o f the

conditions and crimes taking place in the factory (Kemaghan 2014:13).

The problems presented in the Alianza report are not a singular event. Other

factories are guilty o f similar offenses. The Institute for Global Labour and Human

Rights and the Center for Studies and Support for Local Development discovered major

corruption at the Fribo factory in Guatemala in 2007. The Fribo factory produced
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clothing for the Daisy Fuentes label (sold exclusively at Kohl's): Wet Seal,

Maurices/Dress Bam, Rue21, Pretty Girl and Fili (2014:20).

Their collaborated investigation found that management routinely cheated

garment workers o f millions o f dollars by manipulating benefits under the Guatemalan

Social Security Institute (2014:20). Such actions denied workers of health care, maternity

leave, disability benefits and pensions. It was also discovered that employees were not

paid proper wages and also denied severance benefits. Workers were refused overtime

pay but forced to work 12 hours a day. The fraud that occurred at the Fribo factory left

employees, mostly young women, without benefits for themselves and their children.

Injuries that occurred on the job were not medically addressed and often, after an injury,

employees were fired for abandoning their posts. Management humiliated women

workers with verbal abuse and threats. Employees were not provided with clean drinking

water, bathrooms were unsanitary and lunch was taken on the factory floor or on the dirt

alongside the road. Coercion tactics were also utilized to prevent workers from

organizing toward the improvement o f working conditions (Kemaghan 2014:20).

Like the Alianza factory, corporate monitoring efforts at the Fribo factory were

corrupt. Audits were announced, workers were instructed to lie about factory conditions

and interviews conducted with employees were held in the presence o f factory

management and within the factory. (Kemaghan 2014:21).

The benefit o f these two Guatemalan factory incidences is that the Institute for

Global Labour and Human Rights is working with wronged employees to right the

injustices. The Institute was able to rally labor groups and reach out to some o f the major

labels implicated by the findings in their investigations (2014). The producer o f clothing
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for the brands Calvin Klein and Tommy Hilfiger, Phillips-Van Heusen, donated $100,000

in efforts to pay the unpaid wage for the 548 Alianza workers employed at the factory at

its closure (2014). Unfortunately many other affiliated brands have done little to aid the

workers who have suffered and are owed compensation. Many of these major brands

blame the middlemen hired out within the supply chain and claim that their CSR codes of

conducts were adhered to on their end (2014:30). The 60 major apparel companies

affiliated with the hiring o f the Alianza factory all show billions of dollars in revenue a

year, yet only Phillips-Van Heusen has stepped up and compensated the Alianza factory

workers for their losses. It would only take $100,000 compensation from each affiliated

company to pay the Alianza employees the money they are owed in backed wages and

benefits (Kemaghan 2014).

China

Another report printed in 1998 by the Institute for Global Labour and Human

Rights titled, “Behind the Labels: Made in China,” discusses sweatshops and labor

injustices in China. This report uncovered evidence that in China, factory workers,

mostly women, were being forced to work 12 hour days sometimes seven days a week

while earning as little as $.12 to $.18 cents an hour (Dongfang 1998).

Working conditions were those typical o f international sweatshops; employees

were reported as stripped o f legal rights with no ability to organize, no benefits, forced to

work under intimidation and constant surveillance, cramped into dirty rooms to work, and

fed only a small amount of food with no nutritional value (Dongfang 1998:2).

The work conditions for the factories discussed in the report were similar to those

described in Guatemala. They included 75-87 hour workweeks where workers were often
 149

forced to work through the night with no overtime pay (1998). A worker had to pay

approximately $8 simply to attain a permit to look for work; which doesn’t sound like

much, accept employees earned between $.12 cents to $.26 cents an hour (1998). The

average payout for a week’s worth of labor was around $20 (1998). Workers were housed

in dorms with filthy conditions and paid approximately $10 in rent and food costs a

month (1998). The wages in these factories did not sustain a living where these factories

were located. Chinese worker life was limited to work in the factories and residence in

the dorms (1998).

According to the report, they did not make enough money to cover anything but

the expenses brought about by the factory itself (1998). Health and safety violations were

neglected in these incidences, benefits were relinquished in employment contracts, and

any who attempted to protest, raise grievances, or unionize were quieted or fired (1998).

Though limited, the few Chinese government labor regulations intact were ignored and

unenforced (1998). Table below breaks down basic working conditions o f major labels

contracting Chinese factories in 1998. Many o f these companies at the time were in the

process o f moving their factories to Southern China where cost of labor was less

expensive with less demand for benefits. While this report was written 16 years ago and

things have changed (some of these companies have gone out of business) much o f the

standards remain the same today. Table 3 on the represents some of the basic conditions

for which factory workers were living with at the time of this report on Chinese workers

in 1998.
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Table 3. American Labe s, Chinese -actories anc Basic Working Conditions Compared
F actory H o u rs o f A v e ra g e F orced A verage B e n e fits E m p lo y e e
w o rk p e r w o rk h o u rs O v e rtim e hourly a w a re n e ss
w eek wage o f C odes
o f C onduct
A nn K an g Yi 96 7am to Y es .14 cents U nknow N one
T ay lo r F ashion 12am n
M a n u fac tu rers 7 days a
w eek
R a lp h Iris F ash io n s 7 2 -1 8 12-15 h o u r Y es .23 cents N one U nknow n
L au ren / sh ifts
E llen 6 days a
T rac y w e ek
E sp rit Y ou Li 93 7 :3 0 am - Y es .13 cents N one N one
F ashion 12am
7 days a
w e ek
L iz S hanghai 70 7am - Y es .28 cents Y es U nknow n
C laib o rn e Jia n g D istrict 6 :3 0 p m
S ilk F ash io n s 6 days a
L td. F actory w eek

L iz S h an g h ai S h irt 66 8 a m -8 p m Y es .25 cents U nknow U nknow n

C laib o rn e 2 d Factory 6 days a n
/B u g le w e ek
B oy
JC Z h o n g M ei 77 7 a m -8 p m U nknow .18 cents N one N one
P enney G arm en t 7 days a n
Factory w eek

S ears T ianjin 60 7 a m -5 p m Y es .28 cents Y es U nknow n

B eifang 6 days a
G a rm en t w e ek
F actory
The A oD a 70 10 h o u r Y es .32 cents N one U nknow n
L im ited G a rm en t sh ifts
F actory 7 days a
w e ek
T .J.M ax x Junn M ei 70 10 h o u r Yes .16 cents Y es U nknow n
F ash io n Co. sh ifts
7 days a
w e ek
K m a rt S h an g h ai N o . 70 10 h o u r No .28 cents Y es U nknow n
4 S hirt F acto ry sh ifts
7 days a
w eek
C h ero k ee M eim ing 70 10 h o u r Yes .24 cents N one N one
Je a n s G arm en t sh ifts
F actory 7 days a
w e ek
V ario u s H ua Y ong 7 8 -9 6 12-14 h o u r Yes . 18 cents N one N one
U .S. G arm ent sh ifts
Companies Factory 7 days a
w e ek
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Bangladesh

The third largest apparel exporter to the U.S. is Bangladesh, with China and

Vietnam taking the lead (Kemighan 2011:12). The garment factories in Bangladesh have

become a huge destination for major brands in the past decade (2011:12). 3.5 million

workers sew clothing for export to the U.S. and Europe annually (2011:12). “More than

97 percent o f all apparel purchased in the United States is imported, often made under

harsh sweatshop conditions” (2011:12).

In recent years garment factories in Bangladesh have come under scrutiny by the

public due to several tragic events that have occurred in the country. There has been

some, though minimal, media coverage on these events, leaving much o f the public in the

dark about these events.

In December of 2010, the Hameem Factory fire occurred in Bangladesh. The

Hameem Company owns several garment factories in Bangladesh (Kemighan 2011:4).

That's It Sports Ltd. Factory, a large 11-story building with up to 7,500 workers

assembling garments daily caught fire (2011:4). Up to 80 percent of the workers were

mostly women 20 to 25 years o f age (2011:4). Labels such as Gap, JCPenney, Phillips-

Van Heusen, Target, and Abercrombie and Fitch were some o f the major brands of

clothing being produced in this factory (2011:6).

The working standards for this particular factory align with those o f other garment

factories discussed; 12-14 hour work days, 7 days a week with a wage equivalent to $.20-

.28 cents an hour. Workers have been prevented from unionizing on multiple dates at this

factory (2011:14). Workers took to the streets in 2010 in Bangladesh and demanded a 35-

cent-an-hour wage. This resulted in protestors being beaten with clubs, police shooting
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rubber bullets at them and the use of powerful dye infused water cannons to remove them

(2011:14). The dye used in the water identified protestors for imprisonment (2011:14).

Nearly 100 years after the fact, the fire in this 2010 Bangladesh factory had many

parallels to that o f the Triangle Shirtwaist factory in New York in 1911. Emergency exits

were locked on the 9th floor where the fire took blaze and there was no sprinkler system

in place (2011:14). The fire injured over 100 workers and killed 29. When the employees

were not able to exit; they jumped to their deaths (2011:14). Not only were the working

conditions atrocious with long hours and low pay but the building was not fit for working

in the case o f an emergency (2011:14). There are no laws in place in Bangladesh that

provide real protection for these individuals.

The Tazreen Fashion Factory fire is yet another tragic event. Once again we see

workers earning a wage that is below subsistence levels. Earning just $.18 to $.26 cents

an hour, forced overtime, no benefits, no maternity leave, and overtime wages not being

paid (Kemaghan 2012:4). At this particular factory (like many): physical abuse was

normal. It was not uncommon for supervisors to punish workers through physical harm,

for taking too long in the bathroom or making a mistake. The factory, particularly the

bathrooms were filthy (2012:4).

The nine-story Tazreen Fashion Ltd was originally constructed as a three-story

factory, but as business for the factory grew, the company illegally constructed an

additional six stories to the building (2012:4). When the fire broke out, there were not

enough fire extinguishers to control flames that engulfed the workers (2012:4). Sewing

garments for the US Marines, Disney, Walmart, Sean Combs/ENYCE, Sears, Target, and

other major brands, well over 117 Bangladeshi workers burned to death in the fire and
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over 200 were injured while locked into the sweatshop (2012:5). Workers jum ped from

the building as the fire burned for over 17 hours. The factory was ultimately charged with

negligence as their fire certificate had expired months before (2012:5). Walmart came

under serious criticism for this fire because the auditor they had hired out had deemed the

factory to be unsafe and had flagged it as not being in compliance, yet the Walmart label

was found in the factory at the time of the fire (2012:5). After the incident, Walmart

claimed that their supplier had hired the factory without their knowledge; they also claim

to be taking actions to ensure that factories they hire remain in compliance and ensure

safe working conditions for the workers (2012:6). Whether or not compliance is actually

enforced is not clear.

The next event to gain media coverage out of Bangladesh was when the Rana

Plaza building collapsed in the capital o f Bangladesh on April 24th 2013. This building

collapse is the most severe and deadly accidental failure of a structure in human history,

it is also the deadliest garment factory accident that has ever occurred. The incident was

so severe that a death count o f 1,100 was not determined until nearly a month later on

May 13th 2013 (Butler 2013). Rana Plaza was an eight-story commercial building and

according to many news reports just the day before the collapse, the building had been

reported as having cracks; workers were still forced to come to work the following day.

Like the Tazreen factory, Rana Plaza had illegal additions (Butler 2013).

The apparel industry fell under public scrutiny in the aftermath o f the Rana Plaza

collapse. The incident resulted in a meeting o f NGOs and retailers where, a new Accord

on Factory and Building Safety in Bangladesh was drafted and set for retailers to sign.

The document was a legally binding plan requiring retailers to aid in financing building
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improvements and fire safety in Bangladesh factories (Greenhouse 2013). Fifteen North

American companies, including Walmart refused to sign the accord by the deadline. A

group o f 17 major North American retailers, including Gap, Target, Macy’s and Walmart

announced their own plan to improve factory safety in Bangladesh. This plan drew much

criticism from labor groups who claimed that it was less strict and lacked legally binding

commitments to make improvements (Greenhouse 2013).

An entire thesis could be dedicated to a discussion about the social human rights

problems in garment factories all over the globe. Jamaica, Saipan, Mexico, Guatemala,

and Bangladesh are the only countries discussed here, but information regarding

sweatshop tragedies and mistreatments in many other underdeveloped countries can be

found with a simple Google search. The information that can be found about these

factories are generally brought to light when someone or some event like a building

collapse or a fire draws attention to a factory. There are countless factories that exploit

human capital that are never brought to the attention o f the media.

The issues in apparel factories on a global scale all contain a combination o f the

same tragic scenarios: unsustainable low pay, long hours, being forced to work long

hours, nonpayment for work, lack of benefits, unhealthy work environments, dangerous

structures built below code, cheated wages, harassment, coercion, force, trickery, human

trafficking, lack o f an ability to unionize, or fight for better treatment and pay, and

corporations unwilling to contribute to communities or ensure that company codes of

conduct are indeed being enforced. There are many media articles that can be found that

discuss these problems, particularly with the recent fires and building collapse in

Bangladesh. The point of this section was to outline how many international
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manufacturing facilities fail to maintain compliance or fairly treat laborers and to

highlight that major brands with serious CSR programs in place are failing to practice

what they preach.

This chapter turned the discussion of this project to slavery, both its long-standing

history and slavery as a contemporary issue today. It also considered the advent o f the

sweatshop, the history of factory work, and how the suffering o f factory workers during

industrialization led to the fight for labor rights in the United States. Lastly, this chapter

examined some major incidents in apparel manufacturing today and what human

injustices have occurred at the expense of a drive for a bottom-line price. It would appear

that despite serious CSR programs, implemented by major apparel brands, humans are

being gratuitously exploited in the name of serving western/globalized economies and

consumer needs. The next chapter discusses data collected from the consumer survey and

interviews and uses the data to consider the consumer’s hand in the macabre abuse of

millions o f people who maintain a Western need for fashion and apparel.
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CHAPTER 7

THE CONSUMER

The previous chapters have provided ample background on the apparel industry

and CSR. Many topics converge and meet when it comes to consumerism, the supply

chain, CSR, free market, globalization and human exploitation. The solutions for the

negative social and human impacts that result from clothing production are limited. Even

with CSR programs focusing on human rights the mistreatment of humans serving

Western globalized economies and consumer needs are staggering. Now that this

information has been presented and a foundation has been created for understanding how

the topic o f buying clothing converges to the mal treatment o f millions o f people, we can

consider the data collected in this study to see how consumers fit into the puzzle. The

data shows that there is a very defined mismatch between the goals and motives of

apparel companies and public awareness of the issues that CSR seeks to ameliorate. This

chapter focuses on the data collected via the consumer survey, interviews, and participant

observation. Themes and patterns found in the overall data are broken down here.

Survey Participant Demographics

This section highlights demographic data collected. It is necessary to provide

demographic information pertaining to survey participants to better represent and

understand the information collected for this project.

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Seventy-eight percent of respondents were female in this study. This was not a

surprising result but an unexpected one. The ratio o f men to women taking the survey

was not o f a huge interest, but I do think it is relevant to mention now. It is interesting

because it is arguable that there is more focus in American culture for women to shop and

invest in their image. I think it is also important to note that due to the “snow ball”

method o f data collection and the use o f social media to do so, that the number o f women

versus men to take my survey was probably skewed by my own personal network, which

has a larger percent o f women to men. Do women shop more? One question that may

have helped to serve the survey was “how often do you shop?” this question would have

been relevant on many levels and may have strengthened the argument that Western

consumers are addicted to shopping and needing new things. I did address this question

in interviews. 12 out o f the 16 interview subjects shopped for clothing at least twice a

month, one even reported that they shopped weekly for clothing.

Already mentioned in the methods section o f this project: six out o f 300, two

percent, o f survey participants who answered the demographic question “What Country

do you currently reside/live in?” were not from the United States. One was from Canada,

one was from Spain, one was from Mexico and three were from the UK. The rest o f the

participants hailed from America. Since 98 percent o f the participants were from the

United States, this inherently made it a study focused on the perspective o f American

consumers. Table 4 illustrates this.

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Table 4. Country o f Residence

Answer Options Response Percent Response Count

The United States o f America 99.0% 294
Canada 0.3% 1
The United Kingdom 1.0% 3
Other (please specify) .6% 2
answered question 300

Since there was no limit in terms o f survey participants there were various

demographic questions that would lead to a clearer picture o f who the consumers in this

survey represented. “How old are you?” was one question posed with the intention and

expectation o f a relatively even bell curve. The reason why a bell curve was desired was

to ensure that the sample that represented somewhat equal variation. Figure 5 shoes that

the sample did just that.

A g e o f P a r tic ip a n ts
25.0%

20.0%

15.0%

10.0%

5.0%

0.0%
18-20 21-24 25-30 31-34 35-40 41-50 51-60 61 and
over
Figure 5. Age of participants.

As seen in Figure 5 just over 20 percent of participants were between 25-30 years

o f age, which represents the middle o f the bell curve. These results indicate a significant

equal variation in consumer age.

 159

Total annual household income was requested as part o f the survey to ascertain

how balanced the sample was in terms o f income. The results were fairly even in

variation. Thirty-five percent o f survey grossed over $100,000 annually in gross income.

Approximately 25 percent o f respondents made $30,000 or less annually. The fact that

the majority o f respondents were making a decent income is a significant finding in and

o f itself as affordability was a major theme in the survey, yet the majority o f survey

participants live far above the poverty line. This finding lends a lot to a discussion about

consumer needs, demands, and expectations that will be later explored. Table 5 breaks

down the income o f participants, while Table 6 provides examples o f poverty within the

United States in 2014 via the U.S. department o f Health and Human Services.

Table 5. Total Household Income

Answer Options Response Percent Response Count

Less than $10,000 6.7% 20

$10,000 to $19,999 5.7% 17
$20,000 to $29,999 10.1% 30
$30,000 to $39,999 5.4% 16
$40,000 to $49,999 10.7% 32
$50,000 to $59,999 6.4% 19
$60,000 to $69,999 7.0% 21
$70,000 to $79,999 7.0% 21
$80,000 to $89,999 7.0% 21
$90,000 to $99,999 5.4% 16
$100,000 to $149,999 17.4% 52
$150,000 or more 11.1% 33
answered question 298
 160

Table 6. 2014 Poverty Guidelines For The United States

Persons in family/household Poverty guideline
1 $11,670
2 15,730
3 19,790
4 23,850
5 27,910
6 31,970
7 36,030
8 40,090
For families/households with more than 8 persons, add $4,060 for each additional
person.
Note. Information in Table 6 is borrowed from the U.S. Department of Health and Human
Services http://aspe.hhs.gov/poverty/14poverty.cfm

All but fifteen participants were gainfully employed, homemakers, or retired. This

I think is important to make note of, as access to income is necessary for shopping.

Survey results would have been more revealing had the survey asked what the most

common form o f payment for clothing was to discern disposable income usage verses

purchases made using advanced credit as it would have elucidated the factor o f

employment and income in consumer patterns.

I also looked at purchasing trends and education. Nearly all participants had some

form o f formal education and most had a BA or more. Figure 6 illustrates this.
 161

Qs 1 +&/ / ~

Level o f Education?

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O l ,+% *?% '£>". *""$EH*$,C?AD->,m & I 9

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: ($ , &" *

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Figure 6. Highest level of school completed.

The level o f education acquired by participants was queried in order to determine

if education made a difference in comparison to income and also how a consumer related

to the people making their clothing. Did education make people more knowledgeable

and/or empathetic? Evaluation between o f education levels indicated whether education

plays a role in how a consumer thinks about their purchases.

Consumer Attitudes and Trends

This section is where the attitudes of the consumer regarding clothing and human

rights are explored. Answers to both interview and survey questions are investigated and

analyzed. The focus here is to identify trends and patterns. This section sets the

foundation for the final discussion section o f this project, which considers all o f the

information and data presented from an anthropological theoretical perspective.

Thoughts and feelings associated with shopping are emotional ones (this will be

further explained in chapter 8) and most often very singular. Processing the data collected
 162

from the survey prompted follow up questions not pursued in this study, but that which

would have served to heighten this research. These questions would include inquiry about

conditional situations and cultural expectation to cover the body. Why do people buy

clothing? What makes people want to shop for clothing? How long do people wear

articles o f clothing before replacing them and why? Is it important to wear a different

outfit daily, and do people notice when their peers lack variety in their wardrobe? Such

questions should be considered for future research, however, for the needs o f this project,

only the results o f the initial survey and interviews are analyzed in order to determine

cultural patterns.

Results from both the survey and interview are combined here for the purpose o f

narrative flow. As discussed in the methods section, 16 people, four men and 12 women

were interviewed for this project. Participants are analyzed statistically as a group rather

than as individuals.

Nearly 80 percent o f respondents purchase casual/leisure clothing, which means

that the answers regarding the thought process behind clothing purchases connect to the

clothing that people wear daily. Table 7 illustrates this.

Table 7. Types O f Clothing Consumers Buy Most?

Answer Options Response Percent Response Count

Casual/leisure 79.5% 260

Designer 3.1% 10
Outdoor 9.2% 30
Work formal 6.7% 22
Formal 0.6% 2
Accessories 0.9% 3
answered question 327
 163

Twelve out o f 16 interview subjects shopped for clothing at least twice a month.

Nearly all, 13 o f who were interviewed admitted that they went shopping as means o f

both necessity and relaxation. They felt that they deserved to shop and to have new

clothing because they worked hard and new clothing left them feeling empowered,

feeling better about their self-image, and feeling more attractive toward others. Eight o f

the people interviewed said that they shopped for clothing when they were feeling down

or needed a distraction and seven said that they went shopping for clothes when their

self-image was low.

Carrie-Anne, 42, stated:

I love to shop. I find it fulfilling. I feel happy when I walk out o f a store with
something new and I love to show friends and family the results o f my shopping
excursion. If I am feeling down for one reason or another, a trip to the mall or
Marshals can make me feel better.

Ashley, 33, had a similar response when asked about shopping and image,

Yeah, I like to shop. It makes me happy when I buy new clothing for myself. I
feel prettier and more confident in a new outfit. I don’t know if it is the new outfit
or the confidence I get from a new outfit, but it seems like someone always
notices when I am wearing something new.

Paul, 23, didn’t find the act of shopping to be pleasant, but he did like the way new

clothing made him feel,

I don’t really like shopping that much, but I like new clothes. I feel like I get
more attention from girls when I wear new-nicer clothing and that is always
good!

This connection between confidence and clothing is important. According to

Hansen (2004:370): culture is viewed processually as created through agency, practice,

and performance, “the single most important medium through which these processes can

be examined is consumption, conceived not only as markets and economic actors but as
 164

cultural processes that construct identity” (2004:370). Identity is crafted by how people

dress, feelings and emotions attached to image are directly linked with identity.

Consumers use clothing to help them identify who they are and how they feel.

Thirteen o f the 16 interviewed said that they probably wouldn’t notice if one o f

their friends or family wore the same outfit a couple days in a row, but 14 out o f the 16

interviewees said that they felt self-conscious if they wore the same outfit two days in

row. Two o f those interviewed were actually concerned about wearing the same outfit

more than once in a week. Danielle, 26, was very concerned about not repeating outfits,

My goal when wearing clothes is to be unique. I shop at thrift stores, the mall,
and ask friends for hand-me-downs to make sure that I never have to wear the
same thing. I obviously have favorite things, like my Docs or leather jacket but I
always combine those with different jewelry, pants, shirts and dresses to look
different.

To better understand the frequency o f need for new clothing, interview

participants were asked, in general how new/old their articles o f clothing in their closets

were. This varied depending on the type of clothing, but 12 out of 16 interviewees

reported buying some form of new clothing twice a month.

Affordability was an ongoing theme deciphered throughout the survey analysis

and in the interviews. Affordability was ranked as the second most important quality in

what the consumer was looking for when buying clothing. Fit was ranked first.

Affordability was listed as the number one reason for choosing apparel brands by 78

percent o f participants. Design came in third. Figure 7 displays ranking.

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Preferred Choices When Buying Clothing

A company’s commitment to the environment
Where you buy it
Where it is made
Affordability
Brand Name
A company’s commitment to social/human
Design
Fit/Comfort
Durability

0.00 2.00 4.00 6.00 8.00

Figure 7. Preferred Choices When Buying Clothing. These were ranked 1-9, the markers closer
to 1.00 indicate the ranking order.

Out o f affordability, positive environmental impact, and positive social impact the

main determinant when purchasing clothing was affordability. It was chosen as the main

reason 77 percent o f the time. Only a small percent o f respondents claimed to be

concerned about either the environmental and/or the social impact their purchases

produced. This can be seen clearly in Table 8.

Table 8. Determinants When Purchasing Clothing

Answer Options Response Percent Response Count

Affordability 76.7% 231

Human impact 4.7% 14
Environmental impact 4.3% 13
None o f the above 14.3% 43
answered question 301

Respondents claimed to think about the social and environmental practices o f a

clothing brand when purchasing clothing, even if it was not in fact a determinant factor.

These considerations are illustrated in Figure 8.

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Considerations of Social and Environmental Practices o f a

Clothing Company
ROW
RM"MN
QOW

QM W
(O W
(M W
PO W
PM W
O W
M W

Figure 8. Consideration of Social and Environmental Practices of a Clothing Company.

This was a particularly interesting question because respondents were asked to

explain their answer if they chose “sometimes” as their option, in which 97 o f the 127

that marked “sometimes” responded. Out o f the 97 individuals who completed a

narrative explanation 27 percent stated that that they would be more influenced and more

likely to purchase clothing from a brand that they knew practiced good CSR. Many of

these respondents also stated that if the clothing was labeled with information about good

CSR that they were more likely to purchase it. Twenty-two percent o f those who filled in

answers stated that if they had knowledge o f a company’s bad environmental and social

reputation that they would not purchase their clothing. Another 14 percent stated that they

thought about it but that price was the ultimate factor when buying clothing.

Sixty-one percent o f respondents cited that they preferred to purchase clothing

made in the United States. The reasons behind this answer were varied. The narrative

explanation option to this question revealed that participants thought the “Made in the
 167

USA” label supported jobs and economy for the United States while others indicated

their responses that they believed clothing was not made in a sweatshop if made in the

United States. Interestingly a large number o f respondents were not sure why they

preferred the “Made in the USA” label. Many stated that the “Made in the USA” label

was more ideal but they felt that affordability came first and that “Made in the USA” was

too expensive.

Nearly 60 percent o f respondents felt a connection and admitted to thinking about

the lives o f the people and who make the clothing they purchase. A survey respondent

stated:

To be honest. I think about it, but I will also buy it if it fits and the price is right.
If I don't someone else will.

Another responded by writing,

I am curious to know the factory conditions and the environmental practices of

the clothing I wear, but I do not go way out o f my way for this.

Only two o f those interviewed confirmed that this was a concern o f theirs when

actually in a store making a purchase. Jessica, a 27-year-old woman who was interviewed

stated,

I sometimes wonder about how some o f the clothes I buy could be so cheap, but
it isn’t something I think about often. Most o f the time I feel like the clothing
company makes so much money that they owe me a cheap price. If something
isn’t on sale, I feel like I am being duped into paying a high price.

Courtney, a 37-year-old who was interviewed stated,

I never think about who made the clothing when I go shopping. The only thing I
think about is, what a great deal! And, how cute my new clothes are. Or even, that
something is so cute that it is worth paying the full price.
 168

Eighty-two percent o f survey respondents said that would be more likely to buy

from companies that focused on human rights. Although all but one interview subject

stated they felt they were unlikely to be able to afford clothing from a company that

ensured fair working conditions for workers. When interviewed 44-year-old James stated,

I buy what I can afford. It would be ideal if people with good work conditions
made my clothes. Sure. Who wouldn’t feel that way? But I can buy a jacket from
Patagonia, that claims it was made right for $200, or I can go to Costco and buy
the knock-off for $45. That is a no-brainer.

More survey respondents were concerned about social impact versus

environmental impacts when asked if there should be stricter regulations on both.

Seventy-eight percent believed that there should be tougher international laws regarding

human impact, while 6 percent said “no” and 16 percent said they did not know.

Thus far, the data has shown that most people don’t think much about their

purchasing choices when it comes to human rights and the workers who make their

clothing. There is a clear trend in the data that shows that affordability is the most

important factor when compared to other reasons for purchasing clothing. Through

various questions, a majority o f respondents claimed to not know much about the social

or human impact o f their clothing and that it only became a factor when they knew that a

company either practiced positive CSR or negative CSR. Yet here, the majority believed

that there should be tougher international labor laws (mitigating human impact) when it

comes to clothing companies.

A narrative response was provided to respondents asking what would make them

care more about human rights and international labor laws when they purchase clothing

Out o f all o f the responses these answers were the ones that best clarified consumer
 169

choice. The responses indicated a clear disconnection between consumers and their

awareness o f where and how their clothing is produced. The answers to this question

provide insight into why consumers are unaware and what might possibly make increase

their awareness.

The most common response to the question was one asking for more information,

knowledge, and awareness on the issue. Two-hundred and eighty-seven respondents

answered this question and 186 asked for some form o f direct information that would

make them more aware o f the work conditions for which their clothing was produced.

Sixty-five percent reported that they needed more information about this subject. This

possibly indicates that consumer responsibility is a value held by respondents and that

respondents are aware that their consumer discretions are directly related to industry

policy and hold an innate position in influencing industry policies. A common request

was for media to focus more on work conditions. While most respondents wanted to be

further informed on the subject, the majority wanted the information readily available to

them. Ten percent of respondents said that if the information was available on a label

and/or in the store and/or on the rack where they were purchasing clothing that they

would be more likely to purchase and support the brand. This is a strategy that clothing

companies could easily employ to help sell their clothing and promote their CSR policies.

This raises the question o f whether most companies want to engage in a public awareness

program highlighting their CSR policies? Is this something that companies really want in

the public sphere and awareness? The idea o f CSR as a branding tool will be further

explored in the discussion section. Interview subjects appeared perplexed by this

question; survey respondents may have been as well.

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Kimberly, a 48-year old woman who I interviewed stated,

I am athletic, I tend to buy clothing from athletic wear companies and I think
they seem to do a better job making sure that the people who manufacture their
clothing are treated fairly. I will admit something to you, the fact that I buy from
companies that are focused on their responsibility isn’t the reason why I buy their
clothing, I just like their clothing. I think it would take me seeing more
documentaries on this and more stuff in the news. I don’t think about slavery
when I shop. It isn't something even in my periphery. Your survey and this
conversation has made me think about it more. I care, but I don’t really know
what would make me do something about the issue.

Danielle claimed,

I do care about the people who make my clothing. But to be honest it just isn’t
something I have ever really thought about before. I love fashion. I don’t usually
think about who made it. I guess hearing people talk about it more and maybe if
the information were on a label, that this would make me think about it more.

Since this question required narrative responses it prompted a variety o f

responses. The other 35 percent discussed multiple ideas about what would make them

care more; there wasn’t a large amount o f cohesion in their responses, but there were

themes. Affordability was an on-going concern. Many respondents wanted more

accessibility to clothing produced in fair conditions while also maintaining affordability.

Some people stated that they wanted more clothing to be made within the United States.

Others suggested that there should be international regulatory systems and a publicized

accessible space where consumers had access to the manufacturing conditions of

factories that their favorite companies used. The narrative responses were incredibly

illuminating in analyzing consumer concerns. Table 9 displays a small sample o f the

responses.
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Table 9. Things That Would Make Consumers Care More About Human Rights And
Internationa Labor Laws When Purchasing Clothing?
Male/Female Age
F em ale 30-35
I f a c o m p a n y w ere c re d ib le and a d v e rtise d th e m se lv e s as such, (m a y b e e v en o n th e ta g ) it
w ould b e e asie r fo r th e c o n su m e r to m ake a c h o ic e w h e n h o lding tw o item s to g e th e r- to
h ave th at in fo rm a tio n p re se n t oth erw ise o u t o f sight o u t o f m ind.

F em ale 41 -5 0
B etter lab e lin g and su p e rv isio n o f c o m p a n ie s w o u ld m ak e me m o re k n o w le d g e a b le a b o u t
w here th e item s c am e from . It's h a rd to k n o w .

F em ale 60+
I w ould p re fe r lab e lin g a n d eq u al a d v e rtis in g for c lo th in g m ade u n d e r fair c o n d itio n s a n d
law s and th a t th o se ite m s b e a ffo rd a b le so th a t m ore p e o p le co u ld a ffo rd to b u y th is
clothing.

M a le 4 1 -5 0
In fo rm atio n on labels. I can 't re sea rc h e v e ry c o m p a n y before I p u rc h a se

F e m ale 2 5 -30
P ro b ab ly m o re d o c u m e n ta rie s b rin g in g th e issue to lig h t or n ew s s to rie s a b o u t sp e c ific
c o m p a n ies w o u ld m ak e m e c are m o re. S h o w in g th e c o m p an ies c o re v a lu e s a n d h o w th e y
reflect o r e q u ate in th e actual w o rk e n v iro n m en t w o u ld also help.

M ale 20-25
M ore a tten tio n in m a jo r m ed ia so u rc es. T h is isn't so m eth in g th a t 1 se e re g u la rly , a n d th u s
am not a s inform ed a s 1 c o u ld be.

F e m ale 35-40
N o th in g w o u ld m ak e m e care m o re o u tsid e o f b e in g inform ed. I f I k n o w a b o u t it, it h a s
an effect on m y p u rc h a se d e c isio n s. I ju s t d o n 't k n o w enough and d o n o t ten d to se e k th a t
in fo rm atio n out.

M ale 35 -4 0
A w are n ess o f b ra n d s a n d lab o r p ra ctic e s is n ’t a v ailab le so its h a rd to m ak e c h o ic es.

M ale 25 -3 0
M o re e d u ca tio n a b o u t th e p ra ctic e s o f o rg a n iz a tio n s and how m y m o n e y is su p p o rtin g
sh it things. S to ries o f p e o p le th at a re h urt by these practices.

F e m ale 20-25
1 a lre ad y care ab o u t it. y e t I still fin d m y s e lf b u y in g clothes at T a rg e t so m e tim e s b e c a u se
it's ch eap . I th in k i f th e reality o f th e c o n d itio n s in w h ich these c lo th e s w e re c o n stru c te d
w a s on th e m ed ia m o re o ften 1 w o u ld b e a lo t less lik e ly to b u y th em a t all.

M ale 35-40
H igher c o st o f g o o d s fro m e x te rn a l so u rc es. If it e q u a liz e s the p ric e b e tw ee n lo cally
m ad e g o o d s, then I w o u ld p ro b a b ly start b u y in g m o re locally m ad e g o o d s.

F em ale 2 5 -30
1 ju s t w ish I could a ffo rd the c lo th in g m ad e fairly, 1 c are but I c a n n o t a ffo rd it.

M ale 20-25
I f th ey can g iv e th em b e tte r c o n d itio n s w ith o u t ra isin g m y costs.
 172

A secondary survey question posited was; “What would motivate you to purchase

clothing from companies that value international human rights? This for me was a

valuable question for understanding what could possibly ignite consumers to care more

about the manufacturing end o f their clothing. Also what would motivate them to buy

clothing from brands that focused on a fair and just supply chain?

With 288 offering personalized narrative responses there was some significant

and expected variation in the answers. There were also some definitive patterns in the

answers, which seemed to fit with the pattern o f responses found in the previous question

and correlating answers, as well as over all study.

A call for knowledge and information was the most prevalent response. This was

somewhat expected after initial review of the survey results, as this appears to be the

dominant theme in the survey. Fifty-three percent, or 152 out of 288, stated that they

needed more information about policies regarding human rights and the supply chain.

Within this 53 percent there was some variation in how people preferred to be informed.

Over half stated that they wanted this information given to them directly from the

company via branding, marketing, and packaging. Others wanted to see the information

in exposes via media outlets. A smaller part o f this group asking for information

suggested that some sort o f informative regulatory website provide details about

companies. They stated that this would be helpful in choosing to buy clothing from

companies who made choices in their supply train that resulted in healthier, more stable

and more compliant work conditions. Table 10 provides a small sample o f responses to

this question.
 173

Table 10. Things That Would Motivate Consumers to Purchase Clothing From
Companies That Value International Human Rights_______________________
M a le /F e m a le A ge
M ale 35-40
A d v ertisin g , m ed ia a n d b ra n d in g .

F em ale 2 5 -3 0
A d v e rtisin g o f h o w th e c o m p a n y p ro tec ts a n d v alues intern atio n al h u m a n rig h ts.

M ale 2 5 -30
M ore a d v ertisin g a b o u t w h at it is th a t th ey a re d o in g differen tly a n d h o w b a d it can b e in th e
real "sw eatsh o p s" a ro u n d the w o rld . E sp e cially at th e m e g a -c o rp o ra tio n s lik e N ik e and
H anes.

F em ale 20-25
1 w ould b e m ore m o tiv a te d to a ctiv ely p u rc h a se c lo th in g from c o m p a n ie s v a lu in g
in tern atio n al h u m an rig h ts i f th ey p u b lic iz e d and a d v e rtise d m ore a w a re n e ss o f it.

M ale 4 1 -50
A d v e rtise to th e c o n su m e r th a t th e c o m p a n y th a t m ad e th a t p a rticu la r p ie c e o f c lo th in g
value h u m an In tern a tio n a l rig h ts a n d w h a t d id they d o to a cc o m p lish th is.

F em ale 3 5 -40
K n o w le d g e -ju s t k n o w in g . I a p p rec ia te c o m p a n ie s th a t value a n d p ra c tic e in te rn atio n al
hum an rights. 1 a lso a p p re c ia te th a t th ey let m e kn o w a b o u t these v a lu e s an p ra c tic e s
th ro u g h th e ir a d v ertisin g . T h at h e lp s m e to b e a b e tte r p atron o f c o m p a n ie s su p p o rtin g
in te rn atio n al h u m an rig h ts?

M ale 5 1 -60
S eein g n ew s c a s ts th a t sh o w w h a t a c o m p a n y is d o in g in regard to h u m a n rig h ts.

F em ale 61+
N e w s re le a se s - T V a n d Internet. N P R and Public T V a re m ost re liab le .

M ale 25 -3 0
P ro o f o f hu m an rig h ts b e in g h o n o re d in w o rk e n v iro n m en ts and in v o lv e m e n t o f p u sh in g
leg islatio n for H u m a n R ights in th e p o litica l realm .

F em ale 31-35
T ran sp aren cy ., d e ta ile d re p o rts fro m a th ird party fro m all facto ries in v o lv e d in the
p ro d u c tio n o f a sw e a te r dow n to w here th e b u tto n s a n d the thread w e re p ro d u c ed .

The answers above were pooled out o f the 53 percent who stated that they wanted

more knowledge o f company policies via various outlets. Thirty-two percent o f the 288

respondents cited affordability as the main drive for them to purchase clothing from

companies where human/social impact was a focus. The other 15 percent cited a

combination o f style and design would be a determining factor when choosing to buy

from companies with fair and just social policies. A small percentile o f the participants
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also mentioned accessibility to products and community involvement. Table 11 presents a

few of the answers regarding desire for affordability in clothing made ethically.

Table 11. Things That Would motivate Consumers To Purchase Clothing From
Companies That Value International Human Rights?_______________________
M a le/F e m ale A ge
F em ale 6 1+
M ore u nbiased in fo rm a tio n a n d th en th e usual. Style, com fort, a ffo rd a b ility a n d p re ssu re
from m y tw o d a u g h te rs a n d the c h u rch .

M ale 4 1 -6 0
A w are n ess and price. T h ey n e ed to m ark e t th a t they p ra c tic e g o o d e th ic s b u t n o t e x p lo it the
fact by ra isin g prices.

F em ale 5 1 -6 0
A ctu ally i f th e y so ld c lo th in g th a t w a s a ttra c tiv e fit m e a n d w as re a so n a b ly p ric e d 1 w o u ld
buy it.

M ale 2 5 -3 0
I’ve n o ticed a lo t o f th e se item s are very ex p en siv e a n d h a rd to fin d , 1 c a n 't a ffo rd them .

F em ale 3 5 -4 0
E qually p riced c lo th in g , a d v e rtisin g c am p a ig n s (th in k election sty le ) in w h ic h u n fa ir
practices are e x p o se d so 1 c an be lazy a n d n o t h ave to d o so m uch re sea rc h m yself.

An observation made throughout the interview process was that all o f those who

were interviewed showed concern over the idea that those who made their clothing might

be working in poor conditions. Which included receiving inadequate pay, having no

access to benefits, forced to work overtime, unable to sustain their lives outside of their

work environments and possibly being forced to work through debt, trickery and/or

coercion. Most said they didn't know how to fix this or that they did not understand the

severity o f the conditions involved in clothing production. Over half o f those interviewed

stated that they rarely considered the origins o f their clothing. For them the journey began

in the store and ended in their closets. Even if they looked at the tag to see where the

garment was made, they said that they didn’t really have a full understanding o f why it
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was made in that country aside from the fact that outsourced labor was cheaper.

Questions regarding this topic appeared to have an impression on them. All those

interviewed and also people I have discussed this with in casual conversation felt they

knew and understood very little about the topic.

In an interview, Craig, a man o f 71 years stated,

I buy from Patagonia and I know that they focus on the environment and human
rights, but I don’t know about any o f the other clothing brands I buy. I wear Levis
and I don’t know anything about their policies and my socks and underwear I
usually buy from Costco. I suppose if I knew o f more companies that were good
to the environment and their workers that I would be inclined to buy their
clothing.

19-year-old interview subject, Emma gave a very candid response,

I think about this every once in a while, like, how is it possible that I bought so
much for so little, but I usually feel excited that I got such a bargain. Its enough to
replace any suspicion I might have about who made the clothes and how. I don’t
know o f any companies that are worried about human rights and honestly I don’t
look for them. I am 1 9 ,1 don’t have a lot of money, I buy what is cute and what I
can afford. I guess H&M sometimes sells stuff that is organic cotton, but I would
only buy it if it was as cute as it was cheap.

Courtney stated,

I love fashion. I buy major designer labels. I have never thought about who made
the clothes and none o f the brands appear concerned about this to my knowledge.

A final survey question that is relevant to discuss was the question “Do you know

of any specific clothing companies that practice awareness when it comes to human

impact/rights?” The answers were fairly expected. Curiously, very few respondents were

aware o f companies practicing positive CSR when it comes to human rights.

Two-hundred and thirty-one respondents answered this question. 59 percent

reported, no, they did not know o f any companies that practiced awareness involving

human rights. Ninety-six out o f 231 or 41 percent o f respondents listed the names of
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companies who they thought were focused on human rights. There were three major

companies were repeatedly listed, Patagonia, American Apparel, and TOMS shoes. Out

of the 96, 12 percent listed Patagonia, nine percent listed American Apparel, and 12

percent listed TOMS shoes. Out o f those who listed companies, 27 percent listed one

company, nine percent listed two companies, and two percent listed three companies,

while another three percent listed four or more companies.

These results are shared here because one of the major focuses o f this thesis is the

consumer awareness. While some of the other questions get to the core o f what the

consumer needs in order to become more aware of human rights in connection with their

clothing. This question truly revealed how disconnected consumers are. Nearly 60

percent who took the survey could not list a single apparel company who is focused on

human rights. Out o f the 40 percent who did know o f a company, most could only list

one. On top of that, some o f the companies listed like Nike and Gap, have terrible

reputations when it comes to human rights. The three companies listed the most;

Patagonia, TOMS shoes, and American Apparel use their CSR practices as major

branding tools. It was expected that these companies would be mentioned. Both TOMS

shoes and American Apparel have come under media criticism for their lack o f honesty

and transparency when it comes to their brand and their supply chains. Also o f note is the

connection survey respondent made with TOMS Shoes. TOMS shoes, uses philanthropy

as their main branding tool, yet philanthropy and human rights are fundamentally very

different. Why is there confusion between the two?

Additional research would be useful in collecting data about whether consumers

are aware o f CSR, how it works and whether consumers see a difference between,
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environmental focus, labor/human rights focus, and philanthropy. Is all CSR considered

appropriate CSR to the consumer? These are questions that will have to be asked in a

future study.

This chapter reviewed relevant results collected from the consumer survey and

interviews. The following and final chapter will take the evidence collected in

researching CSR, and data collected via this project’s survey and interviews to discuss

the problems and disconnect between CSR practiced in the apparel industry, consumers,

and those who manufacture our clothing.

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CHAPTER 8

DISCUSSION AND CONCLUSION

Discussion

The information presented in this project accumulates to three major themes:

CSR, labor rights, and consumers. These subjects have been considered individually and

connections have been made between each of the themes. The information provided has

proved evident how clothing can be produced and sold for minimal cost, despite CSR

efforts the ultimate cost being human exploitation. The original proposed hypothesis

suggested that research would prove that consumers are unaware of the global social

impact o f their consumption choices. It was predicted that there was a definitive

disconnection between consumers, major clothing companies, and the people who make

the clothing. Human rights within the corporate social responsibility sphere, human

injustices brought about by apparel suppliers and manufacturing, and consumer attitudes

were each studied and explained.

Millions o f people toil in horrendous working conditions all over the world, all at

the whim o f globalization and western consumerism. The results of this study converged

to reveal the disconnection between consumption o f clothing, those who provide the

clothing, and people living and working in slave like conditions in order to meet the

demands o f transnational clothing corporations and ultimately Western consumers.

Consumerism and transnational apparel companies combine to become major

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contributors to contemporary slavery and/or working conditions that are reflective of

slavery. Armed with knowledge o f the three players, this project sought to understand

how to change the mindset o f millions o f consumers who demand a bottom-line price for

items that only perpetuate slavery when produced at such a cost.

As discovered throughout this project the fault o f such injustices does not lay in

just one place. Lack o f transparency in the supply chain, demand for the bottom line, free

zones, political passivity and indifference, and in the end, consumer need coupled with

apathy for the plight o f other people all contribute to millions o f people living in slave

like conditions. At the expense o f globalization, free market capitalism, and consumer

mindset that demands a bottom-line price for items ultimately perpetuates slavery when

clothing is produced at such a low monetary yet high human expense. CSR reaches to

ameliorate the issue at hand, but more often then not it appears that CSR practices are a

means o f self-preservation versus meaningful change to the current system. It could

almost be compared to seeing a child drowning, than the observer calling out for help

without actually taking the action of getting up, swimming out to sea and trying to save

the child from the inevitable. The call for help was an action, but it wasn’t enough to

change anything. While CSR standards are set in place, the implementation o f those

standards are complied with inconsistently that fails to remedy the many of the problems

at hand.

Globalization and Capitalism

In simple terms, globalization is the foundation for the problem at large.

Globalization, is the expansion o f Western institutions and life-ways into non-westem

cultures Globalization, the expansion o f Western institutions and life-ways into non-
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western cultures, results in the manifestation o f new forms o f cultural practice and

influence worldwide. Neoliberal economics are a form of political-economic ideology in

which governments promote competition among businesses within a capitalist market,

theoretically free o f state oversight. These ideologies are foundational in understanding

how transnational corporations function, and how degradation o f global human capital

transpires. With neoliberal economics we see the rise o f the corporation, economic

growth being understood as progress, and unrestrained free markets (free trade,

privatization, and competition). As discussed in chapter four, some o f the ideals

associated with economic globalization are that it benefits everyone; it creates jobs,

lowers prices, and increases economic efficiency. An unrestrained free market provides

the ability for companies to privatize and compete. Ideologically, this is a benefit to

almost everyone and it creates jobs and economic growth.

In reality there are a lot o f issues that arise from globalization and modernity.

These realities are creating large-scale transformation in every comer o f the world and

have changed the way that human capital is perceived. Often human rights are not

equated or regulated within this new global sphere. Nations have become global regions

for production (Kearney 1995:549).

Aihwa Ong (2009) confronts many different topics relating to this idea on

globalization and its impact on human capital. She discusses latitude in the global

workforce and what that means for cultural membership and citizenship, flexible

citizenship and the role o f ethnic communities and workers (specialty and spatiality):.

Ong asserts Foucaultdian power plays in the global workforce atmosphere and equal

rights in such contexts (2009).

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As Ong discusses latitude in the global workforce,

Latitude, first o f all defines the division o f the global North from the
South, o f the rich from the poor, o f those who have gained from global capital
flows from those enchained by them. Latitude also described transversal flows o f
capital that cut into the vertical entities o f nation-states, as well as the
conjunctural intersection of global forces in the articulation o f strategic zones.
[Ong 2009: 57]

Neoliberal capitalism is an economically driven force that according to Ong,

“effectively disembedded nationalities from milieus and re-embedded them in new

economic spaces,” global spaces; it is this thought process that lays the groundwork for

this idea of latitude (Ong 2009:57). Ong suggests that geographic replacement causes

unequal distribution o f legal and labor conditions, which creates the backdrop for

“latitudes o f citizenship.”

It is within this sphere of network capital and latitude that human capital is

utilized in the most logical neoliberal capitalistic way. In business, the motto is ‘bigger,

better, faster, cheaper’, in an environment o f competitive capitalism and stratified power

structures it is most logical for companies to outsource or even better import human

capital in order to get the most “bang for the buck.” This causes latitude, hierarchy and

stratification and eventual enslavement.

As Ong suggests, latitude defines division on multiple levels. Latitude of

citizenship implies freedom from narrow limits, scope and flexibility which combine to

create disparate blends of rights, privileges, and labor conditions that pertain to

geography (Ong 2009:57). Conditions determine citizenship and those conditions rest on

ethnicity, economic level, skill set, and demand.

This layering o f the conditions o f achieving citizenship, and the possibilities of

citizenship claims, underlies the processes o f stratification that structure ethno-
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racial differentiation. Thus alongside preexisting ethno-racial forms, a

lateralization o f corporate and labor values across national borders poses the
question o f what is at stake for Americans as United States citizens? And
moreover, it does this in a global ethical way that transcends immediate
differences o f culture, race, and nation. [Ong 2009:57]

Essentially, globalization and modernity have created a climate o f latitude, where

citizenship is now being determined on a global scale defying national and cultural

boundaries. The global world and its dependency on human capital as a means to

compete on a neoliberal capitalistic level is changing the way that business is done and

citizenship is constructed, determined, and controlled.

With this theoretical understanding o f globalization, neoliberal economics and

latitude it is clear how and why corporations’ outsource. In today’s global market it is

nearly impossible not to. According to the clothing company PrAna, only two percent of

goods within the apparel industry are made in the United States. On their website they

created a page that directly spearheads why they must outsource labor,

Fundamental consumer demands around quality and price are shaping the
decisions o f any company producing goods for the American market. To best
serve our customers, PrAna must now look past the “Buy American” mantra to
see that progress in second- and third-world regions has not been limited to
ethical concerns. Today, workers’ conditions have certainly improved, but the
overall issue o f sourcing goods has become increasingly complex. Thanks to the
rise o f global citizenship and the policies that have improved the welfare of
workers everywhere in the world, purchases can now be made in much better
conscience, generally speaking. There is no room for complacency, however, and
businesses must diligently and constantly monitor the factories they use.
Fortunately, there are reliable methods for determining and enforcing
compliance. [PrAna 2014]

Ong’s concept o f flexible citizenship is something that applies to understanding

transnational corporations. “Flexible citizenship” can be described as cultural logics o f

capitalist accumulation, travel, and displacement that induce subjects to respond fluidly
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and opportunistically to changing political-economic conditions. Globalization creates

mobility in people that meshes with neoliberal entrepreneurialism, which generates

shifting in capital among multiple zones of exchange (Ong 2009:58).

This global market competition creates human Diaspora which results in flexible

citizenship. The entrepreneur that can blur borders and function on a global scale creates

a need for the flexible citizen. This flexible citizen might have two or more citizenships,

or they might be from one country but have had been imported to another for labor. For

example, the Chinese laborers brought into Jamaica’s free zone, or Asian workers

brought to Saipan, or undocumented and/or trafficked workers within the United States.

As capital is determined, opportunity is presented to a company and a potential

employee, because these businesses function on a global capitalistic scale the human

capital is utilized in the space that has a need— thus creating a “semi” citizen. This leads

to potential human rights violations in that it allows for companies to utilize human

capital without the regulations, laws, and taxes that would otherwise be placed on them

and the employee. Free trade zones exemplify this. Thus, employees used as human

capital have no access to protection. “Today’s entrepreneurs local or foreign bom,

recognize only the benefit and necessity o f getting rich by maximizing advantages of

transnational mobility” (Ong 2009: 65).

With this intent, when a skill set matches the need o f a neoliberal company then

the company will use that human capital at its most productive form. Due to this, cultural

working communities outside o f their cultural space can be found around the globe.

Companies recruit these workers for the specific purpose o f utilizing the most economic

human labor. They recruit within the home country o f these laborers and make
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negotiations with Immigration and Naturalization Service to utilize them in the space o f

the company, which is more and more often not located in the home country o f the

laborer. This becomes a human rights issue when workers are displaced from their homes

with promises o f better economic gain, when they leave their country they are no longer

subject to the labor laws of their country (which are often not in the best interest o f the

worker anyway) and enter the country o f the business and are not subject to labor laws

because they are not citizens o f the businesses’ country (Ong 2009).

Immigrants like slaves before them, have not merely broken down barriers to
inclusion, but have struggled for the substantive expansion of the meaning o f free
labor and its link to the promise and substance of democracy. [Ong 2009:64]

Ong inexplicitly rests on the theoretical perspective o f Foucault to discuss the

power plays that latitude and flexible citizenship create. Immigrant workers view their

employers as their patrons and protectors from larger society (Ong 2009: 60). When

workers migrate to work for an international company they become dependent on the

company and their policies. Workers become afraid to make formal complaints against

employers for risk and fear o f losing their jobs, having wages reduced or being reported

to the INS (Ong 2009:60, 66). The deployment o f personal relationships engender a sense

of loyalty among immigrants who, lacking language and skill are afraid that they will not

be able to find or maintain jobs outside their workplace and local ethnic network (Ong

2009:61). This is a huge human rights issue when employees become so dependent on

their workplace that their basic rights are being violated, but they do not speak up for fear

o f potential backlash o f doing so.

In the era of global neoliberal business and exploitation of human capital,

awareness and regulations pertaining to equal social rights need to be reconsidered and
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applied to flexible citizens. Global capitalists need to be taxed for the labor they utilize no

matter the space.

The symbols of suffering remain, but it is hard to establish evidence o f it and o f

its alleviation that may inspire future generations of workers claiming it as their
legacy. The denigration o f idealism in citizenship - the moral worthiness of
ensuring that basic working conditions for the poor be upheld and that capitalists
pay back society through taxes - means that today’s entrepreneurs, whether local
or foreign-bom, recognize only the necessity o f getting rich by maximizing the
advantages o f transnational mobility and the ties that provide opportunities for
evading taxes. [Ong 2009: 65-66]

According to Andre Gunder Frank’s Development and Underdevelopment theory

(1966) the systematic exploitation o f underdevelopment nation-states and regions are a

direct result of developed nation-states and regions. Frank states in his 1966 article “The

Development O f Underdevelopment,”

The expansion o f the capitalist system over the past centuries effectively and
entirely penetrated even the apparently most isolated sectors o f the
underdeveloped world. Therefore, the economic, political, social, and cultural
institutions and relations we now observe they are the products of the historical
development o f the capitalist system no less than are the seemingly more modem
or capitalist features o f the national metropolis of these underdeveloped
countries. [Frank 1966:8]

Essentially, Frank asserts that wealthy nations of the world are dependent on

peripheral states to sustain their wealth. This system is sustained by how underdeveloped

countries are integrated into the world system. Underdeveloped nations provide markets

for wealthy nations and cheap labor; this labor capital provides a standard o f living for

those in capitalistic countries to enjoy. This theory maintains that Western nations

actively perpetuate a state o f dependency through various policies and initiatives. This

theory directly sustains the concepts discussed by Ong, we cannot have first world

nations without the exploitation of underdeveloped nations. Though global citizenship

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changes the fluidity o f the exploited, there must be the subjugation o f a large enough

populace to support the needs of the middle and upper classes o f capitalistic nations.

Corporations depend on the needs the consumer to sustain their drive for high

economic success; the corporation also needs to exploit human capital to sustain the

needs o f the consumer, further enforcing a cyclical process.

Immanuel Wallerstein’s World Systems Theory (1974) is also relevant to the

picture o f globalization as it relates to understanding exploitation of human capital. Based

on the fundamentals o f Marxism and understanding o f capitalism, this theory integrates

similar principles as Development and Underdevelopment theory (1966). It considers

how core nation-states engage in the systematic exploitation o f peripheral nation-states

for labor and natural resources. Just as Ong discusses, we now live in a world-system.

This concept of a world-system is the inter-regional and transnational division o f labor; in

which core countries, semi-periphery countries, and the periphery countries are divided.

Each country maintains a focus on a skill set. This theory asserts that core countries have

a higher skill set with a focus in capital-intensive production, while the underdeveloped

world focuses on a low skill set which is focused on labor-intensive production and

extraction o f raw materials. This pattern reinforces a constant dominance o f the core

countries (Wallerstein 1974).

Ong’s theories o f global citizenship are clearly based on the concept of World-

systems theory. The exploitation of labor and human capital on the corporate end is easy

to understand. It simply is simply a symptom o f a system. Capitalism cannot function

without the foundation o f the underdeveloped world and low-skill capital.

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CSR: Motive and Transparency

As discussed in the theoretical section o f chapter one, an excellent framework for

considering CSR is the Normative Stakeholder Theory (NST). NST breaks down and

explains the role of CSR in the corporation. The NST suggests that the responsibility o f a

corporation is more than maximizing its profits- it is serving the needs o f the stakeholders

o f a corporation (Freeman 1984; Freeman 1994; Freeman 2004; Gupta 2013). As

discussed, particularly through the scope of globalization, the largest goal o f a

corporation is profit. Yet, according to NST a corporation cannot succeed without the

interest of the stakeholder. A corporation’s main agenda is profit but profit cannot be

attained without the shareholders, it is a company’s obligation to defend its image and

values through the respect o f stakeholders (Fontaine et al 2006: 33).

CSR is dependent on the ideas set forth by NST. CSR is self-regulated. An

apparel corporation has absolutely no obligation to those who labor within their supply

chain; accept for the standards set forth by the stakeholders. The stakeholders who play

the largest roles here are the multi-stakeholder initiatives and partnerships, the consumer,

and those who make clothing. The main theme and issue for the corporation and the

stakeholders is this issue o f contemporary slavery or work conditions that are nearly as

bad as slavery. It can be argued that the system of CSR as a whole has little effect on the

human injustices that result from apparel manufacturing.

CSR is incredibly convoluted and it would appear to a great deal ineffective. The

problem begins with globalization and capitalism. As has been established, the structures

of globalization and capitalism cannot function without the exploitation o f

underdeveloped countries and the utilization o f unskilled human capital. Transnational

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corporations are fundamentally built upon this foundation o f globalization and capitalism.

With that, a transnational apparel corporation has an agenda built on profit; profit comes

from the success o f a company and ultimately the drive of high sales to the consumer.

Consumers perpetuate a drive for a bottom line price with their constant need to purchase

new clothing at a low cost. There are many business formulas set forth by a company to

ensure their success for profit. CSR is self-regulated, but it is an obligation for any

company. CSR is driven by competition. When the Rana Plaza collapsed, companies

whose label were held in association had to step up and take action, this event drove all of

the companies involved to assert new policies. This is why company websites have

provided access to information about the actions they have taken toward fair labor rights

in Bangladesh. If one company does it, they all have to.

Sweatshops are a dirty word when it comes to our clothing. One concept made

clear from the results o f the consumer survey and interviews are that no consumer wants

to be associated with something made at hands o f another individual who suffers. The

entire labor rights system that we have in place in the United States is built upon

tragedies that took place in sweatshops during industrialization. The 8 hour workday, 40

hour work week, lunch breaks, clean and safe work environments, unions, over-time pay

and access to benefits recognized by most consumers in the United States exist due to

conditions brought forth by the inhumanities and deaths o f people who worked in

sweatshops or early industrial era manufacturing. Yet on a global-scale the trusted brands

that we purchase our clothing from utilize sweatshops and exploit people through

inherent global capitalistic circumstances.

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According to NST, a company must practice CSR as an obligation to those

working for pennies due to the phenomena o f globalization and capitalism. A company

must practice CSR as an obligation to outside stakeholders, stakeholders such as the

national governments with whom they outsource, NGOs, non-profits focused on the

supply chain, the UN, state regulators, the media, and consumers.

Outsourcing cannot happen directly from a corporation, in order for to profit and

succeed they have to hire suppliers and merchandisers to do this. This down the line

concept is a also useful tool for blame when CSR does not work and atrocities link to

suppliers and apparel brands are discovered. Blame becomes dispersed and linked

atrocities are easier to recover from. Since there is no one definition o f CSR and the

amount of potential MSI partnerships are vast, CSR is often corrupt and/or unsuccessful.

Yes, with CSR systems and policies in place, clothing companies are able to use

their concepts o f CSR as a safety net. Name any major clothing brand or major store that

carries clothing and look on their website. There will be a CSR link. The information

provided by the company may be as in-depth or as uncomplicated as a company wants it

to be. From online research conducted for this project, results conclude that while some

CSR policies may help, in the big scheme, most o f it is simply fluff. The fact that only

one out o f thirty companies willingly responded to questions about their CSR policies

and beliefs and that only four other companies responded initially, but then did not

continue contact- brings to question authenticity and honesty o f CSR programs. Though

this is not to say that there are not great efforts being made in CSR as a whole, as there

are. The problem lies with the fact that perceptions versus reality are two different things.
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When the ultimate goal o f a company is profit, transparency is not priority; it is in fact

often something to be avoided.

The problem appears to be a lack o f transparency with many companies. CSR is a

branding tool as much as it is a form of accountability. As can be seen in the reviews

conducted o f company websites, some companies like American Apparel, PrAna, and

Patagonia appear to make organized and worthy efforts, while companies like Gap, Nike,

Forever 21 and many others offer either incredibly convoluted information or very little

information at all in regards to supply chain. Associated details of their programs are

often difficult to access and understand from a consumer perspective.

PrAna, was the only company that was willing to directly participate. Next to

Patagonia, PrAna is the most focused on their supply chain. When asked whether or not

their CSR program was more business strategy versus accountability, their CSR Director

responded,

The CSR program is probably 50 percent o f each and are integrated - the
strategy is the leading piece, it dictates our direction and priorities. Within that is
the accountability o f the areas where compliance to laws and regulations exists. A
successful program is going to have both and that has been one o f the strengths to
our work is that there is a strategy that is high level, but also an operational piece
to know what for example human rights integration looks like into sourcing etc.

PrAna’s CSR director was also asked whether other companies promoting their

CSR programs were actually practicing good CSR, the answer was, “it totally depends on

the company. Some yes, some no.” PrAna’s CSR director was further asked if all CSR is

good CSR? Her response was,

No - some CSR are focused on short term band-aid fixes that doesn’t get at the
root cause. We can clean up a river every day, but if we don’t understand why the
river continues to be polluted our efforts are not affective.
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An interesting measure is the question posited to PrAna, “though living wage is

difficult to determine and maintain, if an employee in any number of your apparel

manufacturing outsourced factories wanted to purchase a T-shirt from PrAna, how many

hours of work would it take?” The CSR Director’s response was,

Huh - good question. I think the minimum wage in India is $158 per month, so
that is based on about 24 days.. .so about $6.60 a day. And say a short was $40,
so it would take about 6 days. Now that being said - a person in India can buy
clothes for much cheaper in their market because it does not have to be shipped or
have duty or our company costs added to it.

A final question and response worth addressing regarding PrAna is the question,

what could make consumers care more about the environmental and social impact o f their

apparel purchasing choices? Her response was,

Education. By making people aware and building the connection that their
purchases do make a difference then people will start to factor in sustainability
into their buying decisions. We also need more options for customers to be able to
buy more sustainable clothes - right now the focus is higher in the outdoor
industry. More fashion brands need to get on board.

Consumerism

The results o f both the quantitative surveys and qualitative interviews revealed

that consumers ideologically are concerned about the human rights behind their clothing,

but overall they are not willing to use that concern in practice when purchasing clothing.

As discussed in the previous chapter, affordability was the most expansive,

reoccurring theme represented by the data. Price, affordability, and concern that socially

sustainable clothing was not affordable were enormous concerns for both survey

respondents and interview subjects. Fourteen out o f the 16 people interviewed brought up

cost as a primary motivating factor when purchasing clothing.

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Another major theme gleaned from both the survey and interview results was the

desire for education regarding company CSR policies. Well over half the survey takers

responded to several different questions stating that they wanted to be informed. This

information was requested in several forms. The major requests were that companies

advertise and market their CSR more heavily. Many wanted some sort o f labeling that

indicated fair labor and healthy work conditions. Some respondents went as far as stating

that they wanted to see imagery o f working conditions on their clothing labels. Others

wanted to see more media focus on the problem. They wanted to see news exposes,

articles, and documentaries. There were also some requests for information via regulatory

entities.

The word CSR was not used in the survey, but responses made it evident that

most consumers do not have a clear understanding o f CSR. Many had a difficult time

deciphering philanthropy from human rights. The vast majority of respondents did not

appear to be aware o f regulatory MSIs or that all clothing corporations have some form

of CSR.

Overall the survey and interviews revealed that consumers do not have a clear

understanding o f human rights within the supply chain that most consumers rarely think

about the workers who make their garments. Affordability was by far the most important

factor when purchasing clothing. The survey revealed that people from Western cultures

are disconnected and desensitized on a global level from the supply chain that brings

clothing to websites and stores. Western concern for the Other is minimal in consumer

choices despite narrative responses that indicated otherwise; our understanding of

transnationalism minute.
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The anthropological concept o f the Other essentially means “not the same.” It is

this condition of human understanding that allows for the exploitation o f people with

regard to consumers purchasing patterns. This coupled with a failure to consider the

social impacts that their purchase might have had on other people.

The concept o f the Other allows for the exploitation o f our fellow man.

Reflexivity allows for the unconscious to become conscious, by doing so we take

accountability for how the Self is constructed in relation to the Other. “Our ways of

making the Other are ways o f making ourselves” (Fabian 1990:756). Meaning, the

construct o f the Other is foremost in the construction o f the superior Self. “When there

are no longer slaves, there are no longer masters” (Fanon 2008:171). Sartre argued that

“It is the Anti-Semite that makes the Jew” (1948:69). The Other only exists in the eye o f

the self. In other words, one cannot recognize who one is without first concluding what or

who one is not. Just as the developed nation is dependent on the underdeveloped nation,

the Self and the Other are dependent on each other. Lazarus (2002) contends that the

West represents a civilization, and so discourse contemplating ideas o f the West produce

an assumption that the West is an entity. Today, the West constructs the Other as not just

subordinate but dependent.

This is how the consumer sees, or rather doesn’t see those who construct their

clothing. The article o f clothing that is purchased in a store is seen as just that. It is in the

store and then in the consumer’s closet, when worn the article of clothing helps in

forming the identity o f the consumer. This unconscious understanding o f the Other, is

what makes it possible for consumers in the West to ignore the fact that our clothing is

the result of major human subjugation. Consumers consume without wondering more
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how the article came to be in the store in the first place. Western consumers have been

indoctrinated to consume without question. This reaches beyond clothing purchased and

infiltrates to nearly all products purchased within Western Society. Consumers are driven

by the need for the bottom-line at the cost o f our own ignorance and denial and at the cost

o f human exploitation.

If the Other exists on a level that is distinctly separate and detached from our

periphery, if the Self is disconnected enough on a social, psychological, and cultural level

from the Other, if the idea o f the Other is so far removed from the concept o f the Self;

than the Other becomes so removed that they don’t exist on a human level. If the Other is

not recognized as human, then empathy and concern for the Other is unnecessary. The

Other then exists outside o f the periphery of the Self, this leaves the consumer in a space

where they can buy clothing to further sustain their identity without considering how or if

the Other who produced their clothing was exploited or even exists.

The populace o f the United States and other Western societies has been

enculturated to consume. The entire foundation and structure for our culture is

capitalistic. Driven by the need for things, Ingham (1996 ) states that the appetite to

consume in our culture feels perfectly normal. It is something that we as consumers have

grown to depend on as a cultural element, but there is more to it than mere social

expectations or cultural value. Consumerism reflects the need for attachment, love, and

empowerment (Ingham 1996:178). This is clearly reflected in the interview responses

about how shopping and buying clothing made people feel. Thirteen o f those interviewed

claimed that buying clothing relaxed them and made them feel happier. Since

consumerism is attached to these emotional feelings, it is arguable that emotions of,

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“alienation, loneliness, and frustration in social striving may help motivate the expanding

circle o f wants in consumer economy” (1996:178): while failing to recognize the

alienation, loneliness and frustration o f the producer. Materialism vitally contributes to

the understanding o f this genesis o f our modem world. Ownership of material lends to

identity and image. The consumer creates an identity for themselves and an

understanding o f the Self through clothing. Identity and status are constructed through

how one is presented. The United States and much o f Western society is, “a society in

which people, at least to a large extent, evaluate each other’s worth according to their

buying power and ability to consume, this is clearly an alienating society” (Perez et al.

2010 :86 ).

Culture can be viewed processually as created through agency, practice, and

performance. “The single most important medium through which these processes have

been examined is consumption, conceived not only as markets and economic actors but

as cultural processes that construct identity” (Hansen 2004:370). Dress has a dual quality,

as Turner (1993) noted when he coined the notion, “the social skin.” The two-sided

quality invites us to explore both the individual and collective identities that the dressed

body enables. The social experiences o f purchasing clothing with a need to create an

identity o f the Self, is not mutually supportive and contradicts the needs o f those who

produce our clothing, o f the Other. The consumption of clothing readily becomes a flash

point o f conflicting values. Consumption of clothing helps support the identity and status

o f the Western consumer, yet in constructing this identity and satisfying our emotional

needs the connection, understanding, and empathy for the Other is set aside. Those who
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manufacture our clothing are simply lost in the juxtaposition and structure o f

globalization, capitalism and the inherent needs of the consumer.

Neoliberalism plays a connected role in glorifying insatiable consumerism as our

natural human tendency under conditions o f freedom (Perez et. al 2010:84). “The

dominant consumerist ethos associated with market capitalism and modem life is

essentially a culture o f addiction, one that encourages an unrestrained appetite for

personal and material satisfaction” (2010:85). According to Perez (2010): just as other

addictions to intoxicants, gambling, and sex can be destructive, so can that o f a culture o f

consumerism. Consumer addiction leads to a combination o f both personal and social

harms. Debt, feelings o f inadequacy and alienation, destruction, and human rights abuses

all are results o f the current pattern o f consumerism in the United States and the West.

“Particularly in the US, the explicit association people make between consumerism,

personal identity, success, and worthiness is harmful” (2010:85). The rampancy o f non­

stop sales and marketing are key components to this addiction. One only has to look at

the frenzy of black Friday and the consumption surrounding holidays to see this.

Consumers are constantly being marketed to buy more. Luigi Zoja (1989) argues, that

consumption has effectively become the primary ritual of modem society. Indoctrinated

to consume, consumers sustain the balance set forth by capitalism. The needs o f the

consumer to dress themselves in order portray an image, which creates their identity o f

Self, ultimately aids in feeding an addiction to consumerism and a need for bottom-line

pricing in order to financially afford to satisfy the need to create said identity. This

pattern o f capitalism and consumer addiction support globalization, which in the end

leads to the abuse o f the Other, and ultimately enslavement. It is a vicious cycle.
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Transnationalism. Ideals and Solutions

What can be done? CSR appears to be woefully inadequate. The abuses o f those

working in sweatshops for transnational apparel corporations and the thirst o f the

consumer are driven by capitalism and globalization. Conceptually this is where applied

anthropology and post modernity contradict. Problems arise when considering relativism.

If assumed human rights violations are an effect of capitalism, globalization, lack o f

government regulation and the presence o f transnational corporations; then according to

the concepts set forth by applied anthropology, an anthropologist could act as an advocate

by working towards human rights on a large global and corporate scale. Yet intercede

into a small community and judge a cultural behavior as a human rights violation and

then champion towards abating the behavior is in direct conflict with moral ethics with

regard to cultural relativity. For example, what should a company do if it finds children

working in a supplier's worksite? Evicting children from the workplace could,

paradoxically, make the lives worse for a family in need o f money. A child working may

be the difference between bonded debts or emancipation from subjected slavery.

A question that can be examined but certainly not fully answered is whether or

not all humans are in fact equal and subject to the same rights. This is a sticky topic.

From an anthropological perspective o f relativity, one could argue that human rights are

subjective and relative to not just culture but the politics o f culture. Perhaps “rights” do

not fundamentally relate to all people but more to the political circumstance o f a place

and the people who reside and work in that location and may be relative to a specific

culture. In the Second Treatise on Civil Government, John Locke (1689) explains the

state o f nature as a state o f equality in which no one has power over another, and all are
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free to do as they please. But this concept of the “state o f nature” is not a reality in our

current world and can certainly not be found in the natural world. Fairness is a human

concept that is perhaps unrealistic. Humans subscribe to any number o f social contracts.

People are social by nature; they consent to becoming members of society and the

societies to which we are bom become the doctrine for which they live.

Rights consequently belong to an individual simply by being human. Humans are

servants to the mores o f society and to each other. The resourceful thing about humans is

that they can inspire and co-create. Humans function on an individual level but too, need

society and collectively work a group. The collectivity of humans is what creates change

within society. While humans can be cruel and unfair and lend to the degradation o f other

humans in pursuit o f power and the advancement o f a more complex society, this

behavior also lends to co-conspiring, empathy and a desire to understand humanity and

create platforms for fairness. It is this juxtaposition that leads people to search for

answers and create platforms to grapple with both the human ability to find empathy

coupled with the ability to lean in the direction of complete apathy as well. This search

for meaning, balance, and fairness counters with the simple nature o f the natural world

where life is simply life and fairness is not a concept.

There are several basic suggestions for solutions involving the disconnection

between the corporation, their CSR policies, consumers, and labor rights surrounding

manufacturing. These solutions rest less on theory but practicality and practice. They

were concluded founded through the research o f this study. But before briefly discussing

those, the subject o f globalization from a transnational perspective is relevant when

trying to tackle the issue o f applied anthropology and relativism.

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It has been established that consumers maintain a definitive disconnection from

the global supply chain that brings the clothing consumers wear to stores and websites.

The Western concept o f the Other is marginal. While living in a transnational world, the

average consumer has difficulty understanding their role and both the structure and nature

of transnationalism. It is clear that globalization and capitalism are what have led to and

sustain this disconnect.

Nations are now global regions that are fused together by corporations and

outsourced labor (Kearney 1995:549). As discussed, developed nations are dependent on

underdeveloped nations. The consequences o f the demand brought forth by consumers

and corporation have resulted in global flexible citizens. Transnationalism is a result o f

combined multiple ethnic cultures that have become a hybrid connecting multiple mores

and beliefs. It is difficult to determine what is ethical in the research o f the Other when

considering the ramifications o f globalization and ever evolving culture. Kearney (1995)

indicates that globalization and transnationalism create a homogeneous international

society. Globalization creates subjugation of people, but it also homogenizes how

cultures relate to one another. The nature of outsourcing in the apparel industry is to find

a manufacturer and suppliers that can provide the lowest price, often resulting in the

location o f the manufacturer changing depending on corporate need, price, and skill. The

abuses o f unfair working conditions remain the same no matter where the sweatshop is

located. This can be seen by looking at just a few o f the examples o f sweatshop injustices

around the globe.

Globalization is driving humanity to be more homogeneous, which in effect, leads

to more uniform human rights injustices on a transnational level. This could be

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considered a negative repercussion of modernity, but it is conceivably possible that

globalization, transnationalism, and the consequence of homogeneity are actually a

definitively positive result in terms of human rights. One outcome of globalization is that

it obliterates diversity and makes everyone more alike, if this is true, then eventually the

global community will be one transnational populace. Perhaps, ideally there could be

minor diversity among this large global community, but this homogeneity could

potentially provide for a worldwide atmosphere where human rights become more

universal and human ethics become more unvaried. This could potentially yield a space

for ethical advocacy that a more heterogeneous global population leaves little room for.

Apparel companies are taking action to prevent social issues in their supply chain

through the use o f CSR, yet major inhumanities remain connected directly to the supply

chain o f the apparel industry. Unfortunately, supplier companies around the world

employ most o f these workers and the regulations and laws designed to protect workers'

rights on an international level are both inadequate and often not enforced. MSIs attempt

their hand at ameliorating human injustices brought forth by sweatshops, but there

appears to be more tragedies connected to the manufacturing o f our clothing then ever

before. Consumers, for the most part remain immune to the human rights abuses

connected to the consumption o f clothing. The focus of the consumer is on the identity of

the Self and the positive emotions brought forth by consumer addiction. All of which

rests on the bigger picture o f how globalization and capitalism perpetuate a cycle that is

ultimately unjust and unsustainable. There are a few simple solutions to the disconnection

and human rights abuses that arise from globalization, capitalism, and consumerism.
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As suggested by Megha Gupta (2012): manufactures and suppliers have a need

for their own CSR programs and policies. CSR from only the Western end lacks follow

through. Corporations can do their part with codes o f conduct, audits, and partnerships,

but if suppliers are not taking action on their end to appeal to the rights o f the workers

then those workers will continue to be exploited. Empowerment and education need to be

developed and provided to those working transnationally in sweatshops. This cannot be

something provided by the corporation, but by MSIs instead. As was revealed in the

regulatory section o f chapter two, there are institutions that are focused on labor

education and empowerment. A centralized mechanism of a singular organization,

perhaps spearheaded by the UN that caters to the apparel industry and act as education

and empowerment liaisons to every supplier/manufacturer hired out by a corporation may

be a solution for the enforcement o f compliance with worker rights The duty o f such an

organization would be to teach empowerment and CSR programs to

suppliers/manufacturers, as well as oversee compliance. A corporation would need

certification from said organization in order to distribute product to retail distributors. For

this to work, retail distributors and clothing corporations would have to participate. Such

an organization would advocate for sweatshop employees and provide a platform for

them to to demand the ideals already set forth in the codes o f conduct o f companies. This

would ensure circular balance within the supply chain. Relativity would not be an issue

here since the jobs and workers are already a product of globalization. Since the issue o f

exploitation here is a product of globalization then the solution can easily come from a

Western globalized perspective.

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The majority o f clothing corporations practices CSR. MSI partnerships are fairly

vast, a narrowing o f entities involved in creating codes of conduct, audits, reports,

certifications and empowerment would aid in the homogeneity of CSR as a whole.

Structure and simplicity are the answer here. Public service campaigns for these MSIs

would be beneficial as well. These entities do little to promote public awareness o f their

existence.

As made evident in the data collected via survey and interviews for this project

education, knowledge, and awareness are something that consumers desire, however they

don’t necessarily want to work to be informed. This is great news for the apparel

corporation. Results o f the study indicate that consumers want to buy clothing from

companies that treat people fairly and practice philanthropy. It is the clothing company’s

job to utilize this information in marketing. Using marketing and labels to promote CSR

practices and to appeal to the empathy of the consumer is not something that is currently

being done. The companies who begin to do this will be ahead of the curve. The idea o f

awareness around social justice and fairness is a burgeoning concept at this point in time.

We as consumers will be seeing more of this, and with exposure, consumers could/can on

a small level relate to the Other.

Avoidance o f consumer participation would mark a final solution to the problem

at hand. Encouragement from the media and from consumer empowerment could lead to

reduced support o f human rights violations. Empathy, while acknowledged by consumers

is not currently displayed by their purchasing decisions. Presenting consumers with

relevant information may effect consumer choices that may promote and drive action in

human rights, the purchase o f more used clothing and clothing made ethically. It may
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prompt consumers to utilize services such as Ebay and Etsy, which are great solutions for

buying used, local, and clothing made ethically. Investment in companies that are

working toward a more socially just supply chain would also enforce consumer desires.

Checking the CSR links on clothing websites and critically examining and considering

them as an educational tool may also change consumer habits. Emailing companies

requesting organic cotton and fair trade certified clothing would help to ensure less

exposure to toxic chemicals during the production process and clothing made under fair

work conditions.

This is ultimately a supply and demand issue. Corporations can only provide the

consumer with what they want in order to succeed as a company. Consumers are the most

important shareholders. Additional media coverage is also called for in order to better

inform consumers.. More media attention on this subject will drive both the consumer

and corporations to think and take action. Ultimately, consumer demand has the power to

manipulate CSR to ensure fair work conditions for all global citizens.

Conclusion

There is a lack o f fusion between consumers, apparel corporations and their CSR

policies that result in human rights injustices. The foundation for modem human

exploitation through consumerism and in manufacturing is complex. The problem begins

with capitalism and globalization. The West cannot sustain its current lifestyle without

the exploitation o f underdeveloped nations. Globalization results in global citizenship and

the further subjugation of human capital through flexible citizens. Apparel corporations

must maintain CSR programs in order to compete and satisfy its stakeholders.
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The intentionality o f CSR programs are often undermined by consumer demand

for bottom line pricing, lack of transparency in apparel companies and their MSI

partnerships, and the greed and needs o f governments to compete. Apparel companies

have no obligation to the infrastructure o f the communities for which they outsource.

Human capital is more available at a low cost then ever before. Laborers are disposable to

a certain extent. Empowerment o f the laborer is often unattainable due to

suppliers/manufacturers necessity to sustain capitalism and globalization through

competing to provide the bottom line.

Due to consumer patterns that indicate addiction through the need to represent and

understand the Self via identity and image, and false empowerment attained through

shopping, consumers are unable to relate or even conceptualize the life o f those who

manufacture clothing they wear. There are so many cracks that impoverished workers fall

through that it becomes difficult to begin to determine what cracks should be filled first.

The slave like work conditions for the people manufacturing clothing in

underdeveloped nations are a result of consumerism, capitalism, neoliberal politics, and

globalization. These human rights issues that develop from this situation are tragic,

convoluted, and appear nearly impossible to find real solutions for the problems at hand.

This study, the theoretical concepts and the analysis of collected data concludes with the

assertion that several things can in fact be done. Consumer empowerment through

awareness is key. If consumers demand better treatment o f the people who construct their

clothing then with time, and consumer influence, it will happen. Consumers are the most

important stakeholders involved with a corporation. There is a win-win solution if

apparel corporations begin utilizing their CSR as a marketing tool, then consumers
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become more aware and have more incentive to invest in the clothing that the companies

produce. CSR practices need to become more homogenized with fewer and more

powerful regulating MSIs and certification programs. International

suppliers/manufacturing companies need to enact CSR programs that empower their

employees. Last, the media needs to focus more on human rights problems that are

connected to consumerism.

Will things change? Without a doubt, yes, transnationalism, globalization, and

free market will result in more homogeny. Technology will meet this, and over time

people will become more empowered. It will take the actions and steps o f stakeholders,

literally everyone involved on the consumption end; the company, employees-both

domestic and international, local communities, suppliers, shareholders, government,

managers, clients and customers to change fair work conditions and living standards for

all global citizens. Just as the consumers have become more aware o f their purchases

when it comes to organic food and products that are both better for the environment and

the human body, awareness about human rights and work equality will also slowly take

fire with the public. In the end, it is the power of consumer awareness and demand that

will change how human capital is treated.

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APPENDICES
 207

APPENDIX A

QUESTIONS FOR APPAREL COMPANIES

1. D o e s “ C o m p a n y N a m e ” fe e l th a t th e ir d e f in itio n o f C o rp o ra te S o c ia l R e s p o n s ib ility ( C S R ) is u n iq u e o r
d if fe re n t fro m o th e r a p p a re l c o m p a n ie s ? I f y e s , h o w so ?

2. Is c o n s u m e r k n o w le d g e o f “ C o m p a n y N a m e ” C S R p ra c tic e s im p o r ta n t? W h y ?

3. W h a t p e rc e n ta g e o f “ C o m p a n y N a m e ” c o n s u m e r b a se a w a re o f t h e c o m p a n y ’s C S R (s o c ia l) p o lic ie s ?

4. D o e s th e p le th o r a o f d e fin itio n s a n d la c k o f u n ifo rm ity o f a d e fin itio n o f C S R w ith in th e a p p a re l

in d u s try m a k e th e id e a a n d in te n t c o n f u s in g to th e c o n s u m e r?

5. S h o u ld th e re b e a s in g u la r re g u la to ry e n tity f o r re g u la tio n o f C S R ?

6. D o in d u s try c o m p e tito rs o r c o n s u m e r s d riv e a c o m p a n y ’s C S R p r a c tic e s ? W h y /h o w ?

7. W o u ld “ C o m p a n y N a m e ” c o n s id e r th e ir C S R p ra c tic e s a “ b r a n d in g t o o l ”?

8. D o e s “ C o m p a n y N a m e ” b e lie v e th a t o th e r a p p a r e l b r a n d s u s e C S R a s a b ra n d in g to o l?

9. D o y o u t h in k th e C S R p o lic ie s o f “ C o m p a n y N a m e ” p la y a s ig n if ic a n t fa c to r in s a le s w ith in y o u r
com pany?

10. H o w m u c h o f “C o m p a n y N a m e ” C S R p r o g r a m is b u s in e s s s tra te g y v e rs u s a c c o u n ta b ility ? W h e re d o

th e s e tw o a re a s m e e t?

11. T h e re a re m a n y m u lti- s ta k e h o ld e r in itia tiv e s a n d c o a litio n s ; a re th e s e o u ts id e s o u r c e s t h e a n s w e r t o

m a in ta in in g fa ir e n v iro n m e n ta l a n d s o c ia l la b o r s ta n d a rd s ? A re th e y e ffe c tiv e o r d o th e y j u s t lo o k g o o d
o n p a p e r? Is it im p o rta n t th a t a c o m p a n y p r a c tic e th e ir o w n a u d its a s w e ll?

12. H o w m a n y m u lti-s ta k e h o ld e r p a rtn e rs h ip s d o e s “ C o m p a n y N a m e ” b e lo n g to ?

12. A re tra n s n a tio n a l c o m p a n ie s th a t c la im to b e p r a c tic in g g o o d C S R (c o m m itm e n t to th e e n v ir o n m e n t a n d

f a ir la b o r/h u m a n rig h ts ) a c tu a lly d o in g s o ?

13. Is p h ila n th ro p y a n im p o rta n t a s p e c t o f C S R ?

14. Is a ll C S R g o o d C S R ?
15. A re c o n s u m e r's c o n c e rn e d o r w o rrie d a b o u t th e so c ia l c ir c u m s ta n c e s o f th e p e o p le w h o m a k e th e ir
c lo th in g ?

16. Is c o n s u m e r a w a re n e s s a b o u t th e s o c ia l im p a c t o f th e ir a p p a re l c h o ic e s c h a n g in g ?

17. W h a t m a k e s s o m e c o n s u m e rs c a re a b o u t w h e r e a n d h o w th e ir c lo th in g is m a d e v e r s u s o th e rs w h o d o n 't?

18. W h o is th e “ C o m p a n y N a m e ” c o n s u m e r d e m o g ra p h ic ?
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19. W h a t c o u ld m a k e c o n s u m e r s c a re m o re a b o u t th e e n v iro n m e n ta l a n d so c ia l im p a c t o f th e ir a p p a r e l
p u rc h a s in g c h o ic e s ?

20. W h a t s ta g e o f th e su p p ly c h a in is th e m o s t d e trim e n ta l t o s o c ia l e q u a lity ?

21. T h o u g h liv in g w a g e is d iff ic u lt to d e te r m in e a n d m a in ta in , i f an e m p lo y e e in a n y n u m b e r o f y o u r

a p p a re l m a n u fa c tu rin g o u ts o u r c e d fa c to r ie s w a n te d to p u r c h a s e a T - s h ir t fro m “ C o m p a n y N a m e ,” h o w
m a n y h o u rs o f w o rk w o u ld it ta k e ?

22. W h a t o p in io n d o e s “ C o m p a n y N a m e ” m a in ta in a b o u t tr a g e d ie s d ir e c tly im p a c te d b y th e a p p a re l
in d u s try , f o r e x a m p le : th e fire in th e T a z re e n F a s h io n s f a c to r y in 2 0 1 2 , the R a n a P la z a b u ild in g
c o lla p s e in B a n g la d e s h la s t y e a r, a n d th e A s w a d g a r m e n t fa c to ry f ir e ?

23. H a v e y o u h e a r d o f T h e P y ra m id /I c e b e r g M o d e l o f th e S u p p ly C h a in ? Is th is s o m e th in g th a t “ C o m p a n y
N a m e ” in v e s tig a te s w h e n a u d itin g fa ir la b o r? A re th e lo w e r tie rs a m e a n s o f h id in g p o o r la b o r
p ra c tic e s ?

Visible section of
y / * supply chain
v (above the water line)

Tier 1
Transnational
manufacturer

Tier 2
Medium manufacturer less Visible
section of
Tier 3 S ' supply chain
Small manufacturer (below the water line)

Tier 4
Micro manufacturer

T1er5
Home workers

Source. Adopted from “Threads o f labour: Garment industry supply chains from the workers’ perspective” by A. Hale & J. Wills,
2005.

23. W h a t is y o u r a n s w e r f o r th e is s u e o f c o n te m p o ra ry s la v e ry a n d c lo th in g p ro d u c tio n ?
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APPENDIX B

ONLINE SURVEY QUESTIONS

P L E A S E N O T E : S o m e q u e s tio n s p ro v id e th e o p tio n to fill in y o u r o w n r e s p o n s e i f y o u c h o o s e

B e lo w a re se v e ra l d e fin itio n s . P le a s e re a d th e m so th a t y o u a re a b le to b e s t u n d e rs ta n d s o m e o f th e q u e s tio n s

p re s e n te d in th is s u rv e y .

You the Consumer and Clothing: T h is s tu d y f o c u s e s o n c o n s u m e r c h o ic e s w h e n it c o m e s t o b u y in g c lo th in g .

W h e n a s k in g a b o u t c lo th in g , w e a r e c u rio u s a b o u t h o w y o u m a k e t h e s e c h o ic e s . H o w d o y o u d e c id e w h e n a n d
w h y y o u a r e b u y in g c lo th in g ?

Environmental impact: In r e c e n t y e a rs c o m p a n ie s a n d c o n s u m e r s s e e m to p a y m o re a tte n tio n t o th e

e n v ir o n m e n t w h e n b o th s e llin g a n d b u y in g c lo th in g . T h is su rv e y s e e k s to u n d e rs ta n d i f y o u a re in te re s te d in t h e
e n v iro n m e n t w h e n y o u b u y y o u r c lo th in g .

Human impact: O u r c lo th in g is n o w o fte n m a d e all o v e r th e w o r ld . T h is s u r v e y se e k s t o u n d e r s ta n d i f y o u a re

in te re s te d in th e h u m a n r ig h ts a n d la b o r r ig h ts o f th e p e o p le w h o m a k e y o u r c lo th in g . ( T h is m e a n s w o rk in g
c o n d itio n s , a g e o f w o rk e rs , fa ir p a y , fa ir h o u rs , a n d th e g e n e ra l h e a l t h a n d w o r k e n v iro n m e n t o f t h o s e m a k in g th e
c lo th in g th a t y o u b u y ).

** A g re e to p a rtic ip a te :
o Y es
o No

W h a t b r a n d s o f c lo th in g d o y o u b u y m o st?

W h a t d e te r m in e s y o u r c h o ic e s w h e n b u y in g c lo th in g ?
o F it/C o m f o r t
o D e sig n
o A c o m p a n y ’s c o m m itm e n t to s o c ia l/h u m a n r ig h ts a n d f a ir tra d e
o B ra n d N a m e
o A ffo rd a b ility
o W h e re it is m a d e
o W h e re y o u b u y it
o A c o m p a n y ’s c o m m itm e n t to th e e n v iro n m e n t
o O th e r

D o y o u t h in k a b o u t th e so c ia l a n d e n v iro n m e n ta l p ra c tic e s o f a c lo t h i n g b ra n d w h e n y o u p u r c h a s e y o u r c lo th in g ?
(Y o u m a y c h o o s e m o r e th e n o n e )
o Y es
o No

O u t o f fo llo w in g o p tio n s , w h a t is t h e m a in th in g th a t m a k e s u p y o u r m in d w h e n p u r c h a s in g c lo th in g ?
o P ric e p o in t
o H u m a n im p a c t
o E n v iro n m e n ta l im p a c t
o N o n e o f th e a b o v e
 210

A re y o u c o n c e rn e d w ith e ith e r e n v ir o n m e n ta l o r h u m a n im p a c t w h e n p u r c h a s in g c lo th in g ?
o E n v iro n m e n ta l
o H um an
o B o th
o N e ith e r

D o y o u fe e l lev e l o f e d u c a tio n h e lp s d e te rm in e c h o ic e s w h e n p u rc h a s in g c lo th in g ?
o Y es
o No

H o w a n d w h y o r w h y n o t? ( P le a s e e x p la in )

A re y o u m o re lik e ly to p u rc h a s e a p ie c e o f c lo th in g th a t is m a d e in t h e U n ite d S ta te s?
o Y es
o No

W h y o r w h y n o t? ( P le a s e e x p la in )

S h o u ld th e re b e to u g h e r la w s c o n c e r n in g th e e n v ir o n m e n ta l im p a c t o f c lo th in g c o m p a n ie s ?
o Y es
o No

S h o u ld th e re b e to u g h e r in te rn a tio n a l la b o r la w s (h u m a n im p a c t) w h e n it c o m e s to c lo th in g c o m p a n ie s ?
o Y es
o No
o D o n ’t k n o w

A re y o u c o n c e rn e d a b o u t th e in te rn a tio n a l h u m a n im p a c t y o u r c o n s u m e r c h o ic e s h a v e w h e n p u r c h a s in g c lo th in g ?
o Y es
o No
o D o n ’t k n o w

W h a t w o u ld m a k e y o u c a r e m o re a b o u t h u m a n r ig h ts a n d in te rn a tio n a l la b o r la w s w h e n y o u p u r c h a s e c lo th in g ?

W h a t w o u ld m o tiv a te y o u to p u rc h a s e c lo th in g fro m c o m p a n ie s t h a t v a lu e in te rn a tio n a l h u m a n rig h ts ?

A g e R ange:

o 18 -2 0
o 2 1 -2 4
o 2 5 -3 0
o 3 1 -3 4
o 3 5 -4 0
o 4 1 -5 0
o 5 1 -6 0
o 61 a n d o v e r

W h a t is y o u r s e x ?
o M a le
o F e m a le

W h e re d o y o u c u rre n tly re s id e /liv e ? (O p e n - e n d e d )

 211

W h a t is y o u r to ta l h o u s e h o ld in c o m e ?
o L e s s th a n $ 1 0 ,0 0 0
o $ 1 0 ,0 0 0 to $ 1 9 ,9 9 9
o $ 2 0 ,0 0 0 to $ 2 9 ,9 9 9
0 $ 3 0 ,0 0 0 to $ 3 9 ,9 9 9
o $ 4 0 ,0 0 0 to $ 4 9 ,9 9 9
o $ 5 0 ,0 0 0 to $ 5 9 ,9 9 9
o $ 6 0 ,0 0 0 to $ 6 9 ,9 9 9
o $ 7 0 ,0 0 0 to $ 7 9 ,9 9 9
o $ 8 0 ,0 0 0 to $ 8 9 ,9 9 9
o $ 9 0 ,0 0 0 to $ 9 9 ,9 9 9
o $ 1 0 0 ,0 0 0 to $ 1 4 9 ,9 9 9
o $ 1 5 0 ,0 0 0 o r m o re

E m p lo y m e n t S ta tu s
A re y o u c u rre n tly ...?

o E m p lo y e d f o r w a g e s
o S e lf-e m p lo y e d
o O u t o f w o r k a n d lo o k in g f o r w o r k
o O u t o f w o r k b u t n o t c u rre n tly lo o k in g f o r w o r k
o A hom em aker
o A s tu d e n t
o A n e m p lo y e d s tu d e n t
o R e tire d
o U n a b le to w o rk

E m p lo y e r T y p e
P le a s e d e s c rib e y o u r w o rk .
o E m p lo y e e o f a fo r- p r o f it c o m p a n y o r b u s in e s s o r o f a n in d iv id u a l, f o r w a g e s, s a la r y , o r c o m m is s io n s
o E m p lo y e e o f a n o t-fo r-p ro fit, ta x - e x e m p t, o r c h a rita b le o r g a n iz a tio n
o L o c a l g o v e rn m e n t e m p lo y e e (c ity , c o u n ty , e tc .)
o S ta te g o v e rn m e n t e m p lo y e e
o F e d e ra l g o v e rn m e n t e m p lo y e e
o S e lf-e m p lo y e d in o w n n o t- in c o r p o r a te d b u s in e s s , p ro fe s s io n a l p r a c tic e , or fa rm
o S e lf-e m p lo y e d in o w n in c o rp o r a te d b u s in e s s , p ro fe s s io n a l p ra c tic e , o r farm
o W o rk in g w ith o u t p a y in f a m ily b u s in e s s o r fa rm

S p e c ific a lly , w h a t is y o u r a r e a o f e m p lo y m e n t (O p e n - e n d e d )

E d u c a tio n
W h a t is th e h ig h e s t d e g re e o r lev e l o f s c h o o l y o u h a v e c o m p le te d ?
o N o s c h o o lin g c o m p le te d
o E le m e n ta ry
o J u n io r H ig h S c h o o l
o H ig h S c h o o l
o T ra d e /te c h n ic a l sc h o o l
o B .A .
o S o m e c o lle g e - le s s th a n 2 y e a rs
o S o m e c o lle g e - m o re th a n 2 y e a rs
o M .A . (f o r e x a m p le : M A , M S , M E n g ,
o M Ed, M SW , M B A )
o P ro fe s s io n a l d e g r e e (fo r e x a m p le :M D , D D S , D V M , L L B , JD )
o D o c to ra te d e g re e ( f o r e x a m p le :P h D , E d D ) O th e r
o C u rre n tly a tte n d in g (F ill in w h a t fo r u n d e r o th e r)
o O th e r (p le a s e s p e c ify
 212

11. W o u ld y o u b e w illin g to ta k e p a rt in a o n e - to - o n e in te rv ie w o r m o re in - d e p th c o n v e r s a tio n o n th e s e to p ic s ?

In te rv ie w s w ill b e c o n d u c te d a s m o s t c o n v e n ie n t f o r y o u a n d all in f o r m a tio n k e p t s e c u re , p r iv a te , a n d m o s t
im p o rta n tly c o n fid e n tia l a n d a n o n y m o u s . I f in te r e s te d m o r e in fo rm a tio n c a n a n d w ill b e p r o v id e d . I f y o u a c c e p t
p le a s e in c lu d e y o u r first n a m e a n d e m a il a d d re s s o r p h o n e n u m b e r w h e re it is b e s t to r e a c h y o u . T h a n k y o u !
 213

APPENDIX C

INTERVIEW CONSENT FORM

D e a r P a rtic ip a n t,

M y n a m e is S a ra h B e c k . I a m a n A n th r o p o lo g y M A g r a d u a te s tu d e n t u n d e r t h e d ire c tio n o f D r. C a lla h a n a t

C a lifo r n ia S ta te U n iv e rs ity , F u lle rto n .

I a m c o n d u c tin g a s tu d y to c o lle c t r e s e a rc h d a ta fo r th e c o m p le tio n o f m y A n th ro p o lo g y M a s t e r ’s th e s is . T h e

p u rp o s e o f th is stu d y is to e x a m in e th e c u rre n t c lim a te o f so c ia l re s p o n s ib ility a m o n g c o r p o ra tio n s a n d th e
c o n s u m e r. T h ro u g h s u rv e y a n a ly s is a n d q u a lita tiv e in te rv ie w s th is s tu d y w ill in v e s tig a te g r e e n a n d s o c ia l t r e n d s
in b u s in e s s m a rk e tin g a n d so c ia l r e s p o n s ib ility w ith in th e a p p a re l m a rk e t. It w ill also in v e s tig a te h o w b u s in e s s
b ra n d in g d riv e s th e c h o ic e s o f th e p u b lic a n d h o w th e p u rc h a s in g p o w e r o f t h e c o n s u m e r d r iv e s th e in d u s try . T h e
m a in m o tiv e o f th e s tu d y se e k s to u n d e rs ta n d s o c ia l r e s p o n s ib ility a s it re la te s t o h u m a n rig h ts .

Y o u r p a rtic ip a tio n w ill in v o lv e b e in g in te rv ie w e d b y m e , th e p r im a ry r e s e a rc h e r. 1 w ish t o c o n d u c t 3 - 5 h o u r s o f

in te rv ie w in g w ith y o u , d iv id e d in to a p p ro x im a te ly 2 m e e tin g s o f 1-154 h o u r e a c h . T h e in te r v ie w w ill b e
u n s tru c tu re d , m e a n in g th a t s p e c ific q u e s tio n s h a v e b e e n f o rm u la te d b e fo re h a n d , b u t th e y m a y n o t a ll b e a s k e d
a n d w e m ay n o t c o v e r e v e r y th in g . T h e q u e s tio n s a re fo r g u id a n c e a n d a n y th in g y o u w a n t to d is c u s s o u ts id e th e
q u e s tio n s b u t p e rtin e n t t o th e p r o je c t w ill b e w e lc o m e . T h e a n s w e rs a r e s tric tly y o u r o p in io n , th e r e is n o r ig h t o r
w ro n g a n s w e r, a n d th e r e is n o ris k in v o lv e d in h o w y o u a n s w e r o r w h e th e r y o u a n sw e r.

T h e re s u lts o f th is s tu d y m a y b e p u b lis h e d b u t y o u r n a m e w ill n o t b e in d e n tifie d and in f o r m a tio n y o u s u b m it w ill

b e c o n fid e n tia l to th e e x te n t a llo w e d b y la w . In te rv ie w s w ill b e re c o r d e d v ia a d ig ita l r e c o r d e r . Y o u w ill b e g iv e n
an o p tio n to d e s tro y th e r e c o r d in g im m e d ia te ly fo llo w in g th e in te rv ie w . In th e e v e n t t h a t y o u w is h t o h a v e y o u r
re c o rd in g d e s tro y e d it w ill b e p h y s ic a lly d e le te d fro m th e re c o r d e r u p o n re q u e s t. F o llo w in g th e in te rv ie w s , w ith
y o u r c o n s e n t, th e file s w ill b e d o w n lo a d e d a s M P 3 ’s o n to a se c u re la p to p w h e r e th ey w ill b e s to re d f o r th e
d u ra tio n o f th e p ro je c t, a p p ro x im a te ly 6 m o n th s a c c e s s ib le o n ly b y m e .

Y o u a re fre e to w ith d ra w fro m p a r tic ip a tio n a t a n y tim e y o u w is h a s w e ll a s w ith d r a w a n y in f o r m a tio n th a t y o u

h a v e p ro v id e d . Y o u r p a rtic ip a tio n is stric tly v o lu n ta r y .

I f y o u h a v e a n y q u e s tio n s , p le a se fe e l fre e to c o n ta c t:
S a ra h B e c k D r. R o b e y C a lla h a n
(9 4 9 ) 2 8 0 -7 2 8 3 r c a lla h a n @ fu lle rto n .e d u
sa ra h b e c k @ c s u .fu lle r to n .e d u

A s a n in te rv ie w e e , I h a v e n o fin a n c ia l c o n f lic t o r in te r e s t re la tin g t o th e re s u lts o f this s tu d y .

I h a v e c a re fu lly re a d a n d /o r I h a v e h a d th e te r m s u s e d in th is c o n s e n t fo rm a n d th e ir s ig n if ic a n c e e x p la in e d t o m e .
B y s ig n in g b e lo w , I a g r e e th a t I a m a t le a s t 18 y e a rs o f a g e a n d a g r e e to p a r tic ip a te in th is p ro je c t.

P a rtic ip a n ts N a m e : _________________________ S ig n a tu re : D a te:

T h a n k y o u f o r tim e a n d p a rtic ip a tio n !

 214

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