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NATIONAL INSTITUTE OF FASHION MANAGEMENT

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ASSESSMENT- 2 (END-TERM)
Acknowledgment
We would like to express our sincere gratitude to
everyone who has contributed to this research project.

First and foremost, we would like to thank our professor


Mr. Devindra Nagar for his guidance and support
throughout the entire research process.

We also extend our gratitude to our colleagues for their


valuable insights and feedback, which have helped to
shape our research.
Table of Contents
S. NO CONTENT Page No.

1 Introduction to Social Compliance 4

Importance of Social compliances in


2 5
Fashion Industry

3 Social Compliance Certifications 6

3.1 SA8000 Certification 7

3.2 WRAP Certification 9

3.3 CMIA Certification 12

3.4 ILO Certification 13

3.5 OCS Certification 15

3.6 OEKO- TEX Certification 16

3.7 BSCI Certification 17

3.8 WFTA Certification 18

3.9 Fair labor Association Certification 19

3.10 OHSAS Certification 20

4 References 21
VIDEO ON SOCIAL
COMPLIANCE
INTRODUCTION
Social compliance refers to how a business protects the
health, rights and safety of their employees, supply and
distribution chain. It also encompasses environmental issues
and perspective on social responsibility.

SOCIAL COMPLAINACE STANDARDS


The reputation is vital in By complying to
a global marketplace as international social Prevent:
any evidence of compliance standards: Discrimination
mishandling, or ethical Improve brand’s Exploitation
violation will adversely reputation Abuse to
impact consumer trust Boost productivity workers
and ultimately, profit Reduce health
margins. hazards

Social compliance is also increasingly important from a


regulatory standpoint, as many countries and jurisdictions
have laws and regulations in place to ensure that businesses
operate in a socially responsible manner.

Some common areas of social compliance include:

Labor standards: This includes compliance with laws


related to working conditions, such as minimum wage,
working hours, workplace safety, and freedom from
discrimination and harassment.

Environmental standards: This includes compliance with


laws and regulations related to environmental protection,
such as reducing carbon emissions, managing waste, and
protecting natural resources.

.
Human rights: This includes compliance with international
standards and laws related to human rights, such as the
right to freedom of association, protection against forced
labor, and protection against discrimination.

Ethical business practices: This includes compliance with


ethical standards and codes of conduct, such as anti-
bribery and anti-corruption policies, fair business
practices, and respect for intellectual property rights.

Businesses can demonstrate social compliance by


implementing policies, procedures, and practices that ensure
compliance with social, environmental, and ethical standards.
This may involve conducting audits and assessments to
identify areas of non-compliance and implementing
corrective actions to address these issues. Additionally,
businesses can engage with stakeholders, including
employees, customers, and civil society organizations, to
promote transparency and accountability in their operations.

IMPORTANCE OF SOCIAL COMPLIANCE IN


THE FASHION EXPORT INDUSTRY

Protecting workers' rights: The fashion industry is


notorious for labor exploitation, including long
working hours, low wages, and poor working
conditions. Social compliance certifications and
standards help to protect workers' rights by ensuring
that they are paid fair wages, work in safe and healthy
conditions, and have access to education and training
opportunities.
Environmental sustainability: The fashion industry is
also associated with environmental degradation,
including water pollution, waste generation, and
greenhouse gas emissions. Social compliance
certifications and standards promote environmental
sustainability by ensuring that materials are sourced
sustainably, waste is managed properly, and factories
meet environmental standards.

Meeting regulatory requirements: Many countries and


jurisdictions have laws and regulations in place to ensure
that businesses operate in a socially responsible manner.
Failure to comply with these requirements can result in
legal and financial consequences for businesses. Social
compliance certifications and standards help businesses
to comply with these requirements and avoid legal and
financial penalties.

Enhancing brand reputation: Consumers are increasingly


aware of social and environmental issues and are
demanding that businesses operate in a socially
responsible manner. Social compliance certifications and
standards provide assurance to consumers that the
fashion products they purchase are produced in a
socially responsible manner, thereby enhancing brand
reputation and customer loyalty.

Improving supply chain management: Social compliance


certifications and standards provide a framework for
businesses to ensure that social and environmental
standards are met throughout their supply chain. This
can help to improve supply chain management by
identifying areas of non-compliance and implementing
corrective actions to address these issues.
SOCIAL COMPLIANCE CERTIFICATION

Social compliance certification refers to a set of


certifications that focus on ensuring ethical and
responsible business practices, particularly in relation to:

Labor rights
Human rights
Environmental sustainability

These certifications are generally voluntary and are often


sought after by companies to demonstrate their
commitment to ethical and sustainable practices to their
stakeholders, including customers, employees, investors,
and regulators.

SOME IMPORTANT SOCIAL COMPLAINCE


CERTIFICATIONS ARE:

SA8000
WRAP
CMIA
ILO
OCS
OEKO- TEX
BSCI
World fair trade organization
Fair labor Association
OHSAS
SA8000 CERTIFICATION
SA8000 is a global certification standard that sets out
the requirements for social accountability in the
workplace.
It was developed by Social Accountability International
(SAI), a nonprofit organization based in New York.

ELEMENTS:
Child Labour
Forced or Compulsory Labour
Health and Safety
Freedom of Association & Right to
Collective Bargaining
Discrimination
Disciplinary Practices
Working Hours
Remuneration

It is based on internationally recognized labor


standards, including the Universal Declaration of
Human Rights, the International Labour
Organization's Declaration on Fundamental Principles
and Rights at Work, and the Convention on the Rights
of the Child.
To achieve SA8000 certification, an organization
must undergo an audit by an independent third-party
certification body. The audit assesses the
organization's compliance with the SA8000 standard
and identifies areas for improvement. Once an
organization has achieved certification, it must
undergo annual audits to maintain its certification.
BENEFITS
The benefits of SA8000 certification are numerous.
For businesses, it demonstrates a commitment to
social responsibility and can enhance the
organization's reputation and brand value.
It can also lead to increased employee morale and
productivity, reduced turnover, and improved
relationships with customers, suppliers, and other
stakeholders.
For workers, it provides assurance that their rights are
being respected and that they are working in a safe
and healthy environment.

CERTIFIED BRANDS & RETAILERS


Some of the brands, retailers or companies that have the
SA8000 certification are as follows-

Estēe Lauder Companies


Woolworths
Crate & Barrel
Gucci
H&M
Marks & Spencer
Inditex
WRAP CERTIFICATION
WRAP certification stands for Worldwide Responsible
Accredited Production certification that ensures ethical
and responsible manufacturing practices. WRAP was
established in 2000 by a group of major apparel buyers
in the United States to promote social compliance and
responsible sourcing practices in the manufacturing
industry.

ELEMENTS:
The WRAP certification program focuses on 12
principles that include issues related to human
resources, health and safety, environmental
practices, and legal compliance.
These principles include areas such as prohibition of
forced labor, child labor, and discrimination, fair
wages and benefits, reasonable working hours, and
health and safety.

BENEFITS:
The benefits of WRAP certification are numerous.
For manufacturers, it helps to demonstrate their
commitment to responsible and ethical business
practices and can lead to increased business
opportunities and partnerships with socially
responsible brands.
For buyers and consumers, it provides assurance
that the products they purchase are made in a
responsible and ethical manner.
CERTIFIED BRANDS & COMPANIES

Some of the brands, retailers or companies that have


the WRAP certification are as follows-

Adidas
Fruit of the loom
Hanesbrands Inc
Lululemon
Jockey
Ralph Lauren Corporation
Under Armour
CMIA CERTIFICATION
CMIA certification stands for Cotton Made in Africa
certification. It is a social and environmental standard
for sustainably grown cotton in Africa. The program was
created in 2005 by the Aid by Trade Foundation (ABTF), a
non-profit organization based in Hamburg, Germany.

ELEMENTS:
The goal of CMIA is to improve the livelihoods of
African cotton farmers and their families while
promoting sustainable farming practices and
protecting the environment.
The program is based on a set of principles and
criteria that include fair working conditions, fair
payment, and protection of human rights.

BENEFITS:
The benefits of CMIA certification are numerous.
For cotton farmers, it provides access to international
markets and fair payment for their crops.
For brands and retailers, it allows them to source
sustainably grown cotton from Africa and promote
their commitment to social and environmental
responsibility.

CERTIFIED BRANDS AND COMPANIES


Few brands/companies which have incorporated the
CMIA certification in their sustainability strategies are-
H&M
Remei AG
Tchibo
Vossen
ILO CERTIFICATION
ILO certification refers to the certification process
offered by the International Labour Organization (ILO), a
specialized agency of the United Nations that sets labor
standards, promotes social justice, and advocates for
decent working conditions around the world.

ELEMENTS:
The ILO certification process aims to promote
decent working conditions and protect the rights of
workers.
The certification covers various aspects of labor
standards, including working conditions,
occupational health and safety, wages, and freedom
of association.

TYPES OF CERTIFICATIONS:
ILO Better Work - It aims at improving the working
conditions in the global garment industry. The program
provides assessments, training, and compliance
support to factories, and also works to promote social
dialogue between workers and management.

ILO Labour Standards Certification System - It covers


several areas, including child labor, forced labor,
discrimination, and freedom of association.

ILO SCORE Training and Certification - a certification


program that aims to improve productivity and working
conditions in small and medium-sized enterprises
(SMEs).
BENEFITS
The benefits of SA8000 certification are numerous.
The ILO certification process is recognized globally and
provides assurance to stakeholders that labour standards
are being met.
Organizations that achieve ILO certification can
demonstrate their commitment to decent work and social
responsibility, and may also benefit from improved
efficiency and productivity.

CERTIFIED BRANDS & RETAILERS


Some of the brands, retailers or companies that have the
ILO certification are as follows-

Gap Inc.
H&M
VF Corporation
C&A
Adidas
Levi Strauss & Co.
OCS CERTIFICATION
The Organic Content Standard (OCS) is a certification
program that verifies the amount of organic material in a
product, from the raw material stage through to the final
product. The standard is managed by the Textile
Exchange, a global nonprofit organization that works to
promote sustainability in the textile industry.

CRITERIA:
The organic material must be verified by an
independent third-party certification body.
The organic material must be separated from non-
organic material throughout the supply chain.
The product must be tracked and traced from the raw
material stage through to the final product.
The organic content must be clearly identified and
communicated to consumers.

BENEFITS:
Assurance of organic content: This can help to build
trust between consumers and companies, and can also
help to promote sustainability in the textile industry.
Achieving OCS certification can provide a competitive
advantage for companies, particularly in the fashion and
apparel industry, where there is growing demand for
sustainable and organic products.

CERTIFIED BRANDS/COMPANIES
Few of the certified brand/companies include-
Prana
Coyuchi
C&A
Under the Nile
OEKO TEX CERTIFICATION
OEKO-TEX certification is a voluntary certification
scheme that tests textile products for harmful
substances and certifies that they meet the specified
requirements. To obtain the certification, textile
products must meet the criteria outlined by the OEKO-
TEX Standard 100, which is updated annually based on
the latest scientific research and legal requirements.

CRITERIA:
Textile products must not contain any of the
substances prohibited
Textile products must comply with the OEKO-TEX
Standard 100's limit values for restricted substances
Textile products must demonstrate adequate
colorfastness
Textile products must meet certain ergonomic
requirements

BENEFITS:
Assurance of safety and Compliance with regulations
Improved product quality and help to reduce the risk of
product recalls
OEKO-TEX certification is recognized globally and can
help manufacturers to gain access to new markets
OEKO-TEX certification can help manufacturers to
differentiate their brand in a crowded market

CERTIFIED BRANDS/COMPANIES
Few of the certified brand/companies include-
H&M
Adidas
Zara
Nike
The North Face
BSCI CERTIFICATION
BSCI (Business Social Compliance Initiative) is a
certification program that aims to improve working
conditions in global supply chains. The BSCI certification
covers a range of social compliance issues, including
labor rights, health and safety, and environmental
protection.

CRITERIA:
Companies must not use child labor or forced labors
and must not discriminate
Companies must provide a safe and healthy working
environment for their workers
Companies must pay workers at least the legal
minimum wage or the prevailing industry wage
Take steps to minimize their impact on the environment

BENEFITS:
Enhance a company's reputation by demonstrating a
commitment to social compliance
Help companies to better manage their supply chains by
identifying areas for improvement
Help companies to reduce the risk of labor violations,
environmental damage etc.

CERTIFIED BRANDS/COMPANIES
Few of the certified brand/companies include-
H&M
Zara
Adidas
Levi Strauss & Co.
FAIR LABOR ASSOCIATION CERTIFICATION
The Fair Labor Association (FLA) certification program is
a global initiative that aims to improve working
conditions in factories around the world. FLA
certification is valid for two years, after which
companies must undergo a re-audit to maintain their
certification.

CRITERIA:
Companies must not use child labor or forced labors
and must not discriminate
Companies must provide a safe and healthy working
environment for their workers
Companies must pay workers at least the legal
minimum wage or the prevailing industry wage
Companies must comply with local laws and industry
standards regarding working hours, overtime, and rest
periods.

BENEFITS:
Enhance a company's reputation by demonstrating a
commitment to social compliance
Help companies to better manage their supply chains by
identifying areas for improvement
Improved working conditions for workers, and better
relationships with stakeholders.

CERTIFIED BRANDS/COMPANIES
Few of the certified brand/companies include-
Nike
Patagonia
Nestle.
WFTO CERTIFICATION
The World Fair Trade Organization (WFTO) has a
certification system that sets standards for fair trade
organizations and businesses.

CRITERIA:
The organization must have a clear mission to empower
disadvantaged producers, whether they are individuals
or communities.
The organization must practice fair trade principles,
which include paying fair prices to producers,
providing fair working conditions, supporting
The organization must not engage in any form of child
labor or forced labor in any part of its supply chain
Non-discrimination and good working conditions

BENEFITS:
Helps to increase sales by demonstrating a commitment
to ethical and sustainable business practices
WFTO certification requires organizations to support
disadvantaged producers by providing fair prices, good
working conditions, and access to markets.
Recognition of fair trade practices can help to build
consumer trust and confidence in the product and the
brand

CERTIFIED BRANDS/COMPANIES
Few of the certified brand/companies include-
Ten thousand villages
Global Mamas
Equal Exchange
Matr Boomie
Kumbayja
OHSAS 18001
OHSAS 18001 was one of the International Standard for
Occupational Health and Safety Management Systems. It
provided a framework for the effective management of OH&S
including all aspects of risk management and legal
compliance, and it addressed occupational health and safety
rather than any specific product safety matters.

CRITERIA
The organization must have a documented health and
safety policy
The organization must identify hazards and assess risks.
The organization must implement the health and safety
management plan
The organization must monitor and measure the
effectiveness of the health and safety management
system

BENEFITS OF OHSAS CERTIFICATION


OHSAS certification can provide numerous benefits to
organizations, including:
Improved health and safety performance
Compliance with legal requirements
Reduced costs and Improved employee morale
Competitive advantage and international recognition
Improved relationships with stakeholders

CERTIFIED BRANDS/COMPANIES
Few of the certified brand/companies include-
Adidas
3AM
Nestle
Ikea
DUMMY CERTIFICATES

OEKO- TEX CERTIFICATE BSCI CERTIFICATE OHSAS CERTIFICATE

FLA CERTIFICATE SA 8000 CERTIFICATE OCS CERTIFICATE

WRAP CERTIFICATE CMIA CERTIFICATE


REFERENCES

Home: Cotton made in Africa: CMIA (2023) Cotton Made in


Africa. Available at: https://cottonmadeinafrica.org/en/

Home: Cotton made in Africa: CMIA. Cotton Made in Africa.


(2023, March 22). Retrieved from
https://cottonmadeinafrica.org/en/

International Labour Organization. Available at:


https://www.ilo.org/global/

Home: Cotton made in Africa: CMIA (2023) Cotton Made in


Africa. Available at: https://cottonmadeinafrica.org/en/

Admin (2023) Organic content standard (OCS), 26 years of


international certification in 2020. Available at: https://gcl-
intl.co.in/certification/organic-content-standard-ocs/

Fair labor accreditation (2022) Fair Labor Association.


Available at: https://www.fairlabor.org/accountability/fair-
labor-accreditation/

Fair Trade Certification (no date) World Fair Trade


Organization. Available at: https://wfto.com/tags/fair-trade-
certification

Home (no date) Hohenstein. Available at:


https://www.hohenstein.in/en-in/oeko-tex/output-
control/standard-100?

Ohsas 18001 (no date) NQA. Available at:


https://www.nqa.com/en-in/certification/standards/ohsas-
18001

Rheinland, T.Ü.V. (no date) Amfori BSCI audit, IN | TÜV


Rheinland. Available at: https://www.tuv.com/india/en/bsci-
supplier-audit.html?

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