Gap Jeans and Indian child labour in the globalized economy – Caveat emptor!

October 30, 2007

Indian ‘slave’ children found making low-cost clothes destined for Gap – Guardian article, October 28, 2007

Dan McDougall

Child workers, some as young as 10, have been found working in a textile factory in conditions close to slavery to produce clothes that appear destined for Gap Kids, one of the most successful arms of the high street giant.

Speaking to The Observer, the children described long hours of unwaged work, as well as threats and beatings.

Gap said it was unaware that clothing intended for the Christmas market had been improperly subcontracted to a sweatshop using child labour. It announced it had withdrawn the garments involved while it investigated breaches of the ethical code imposed by it three years ago.

The discovery of the children working in filthy conditions in the Shahpur Jat area of Delhi has renewed concerns about the outsourcing by large retail chains of their garment production to India, recognised by the United Nations as the world’s capital for child labour.

According to one estimate, more than 20 per cent of India’s economy is dependent on children, the equivalent of 55 million youngsters under 14.

The Observer discovered the children in a filthy sweatshop working on piles of beaded children’s blouses marked with serial numbers that Gap admitted corresponded with its own inventory. The company has pledged to convene a meeting of its Indian suppliers as well as withdrawing tens of thousands of the embroidered girl’s blouses from the market, before they reach the stores. The hand-stitched tops, which would have been sold for about £20, were destined for shelves in America and Europe in the next seven days in time to be sold to Christmas shoppers.

With endorsements from celebrities including Madonna, Lenny Kravitz and Sex and the City star Sarah Jessica Parker, Gap has become one of the most successful and iconic brands in fashion. Last year the firm embarked on a huge poster and TV campaign surrounding Product Red, a charitable trust for Africa founded by the U2 lead singer Bono.

Despite its charitable activities, Gap has been criticised for outsourcing large contracts to the developing world. In 2004, when it launched its social audit, it admitted that forced labour, child labour, wages below the minimum wage, physical punishment and coercion were among abuses it had found at some factories producing garments for it. It added that it had terminated contracts with 136 suppliers as a consequence.

In the past year Gap has severed contracts with a further 23 suppliers for workplace abuses.

Gap said in a statement from its headquarters in San Francisco: ‘We firmly believe that under no circumstances is it acceptable for children to produce or work on garments. These allegations are deeply upsetting and we take this situation very seriously. All of our suppliers and their subcontractors are required to guarantee that they will not use child labour to produce garments. In this situation, it’s clear one of our vendors violated this agreement and a full investigation is under way.’

Professor Sheotaj Singh, co-founder of the DSV, or Dayanand Shilpa Vidyalaya, a Delhi-based rehabilitation centre and school for rescued child workers, said he believed that as long as cut-price embroidered goods were sold in stores across Britain, America, continental Europe and elsewhere in the West, there would be a problem with unscrupulous subcontractors using children.

It is obvious what the attraction is here for Western conglomerates,’ he told The Observer. ‘The key thing India has to offer the global economy is some of the world’s cheapest labour, and this is the saddest thing of all the horrors that arise from Delhi’s 15,000 inadequately regulated garment factories, some of which are among the worst sweatshops ever to taint the human conscience.

‘Consumers in the West should not only be demanding answers from retailers as to how goods are produced but looking deep within themselves at how they spend their money.’

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Child sweatshop shame threatens Gap’s ethical image – Guardian, October 28, 2007

Dan McDougall

Amitosh concentrates as he pulls the loops of thread through tiny plastic beads and sequins on the toddler’s blouse he is making. Dripping with sweat, his hair is thinly coated in dust. In Hindi his name means ‘happiness’. The hand-embroidered garment on which his tiny needle is working bears the distinctive logo of international fashion chain Gap. Amitosh is 10.

The hardships that blight his young life, exposed by an undercover Observer investigation in the back streets of New Delhi, reveal a tragic consequence of the West’s demand for cheap clothing. It exposes how, despite Gap’s rigorous social audit systems launched in 2004 to weed out child labour in its production processes, the system is being abused by unscrupulous subcontractors. The result is that children, in this case working in conditions close to slavery, appear to still be making some of its clothes.

Gap’s own policy is that if it discovers children being used by contractors to make its clothes that contractor must remove the child from the workplace, provide it with access to schooling and a wage, and guarantee the opportunity of work on reaching a legal working age.

It is a policy to stop the abuse of children. And in Amitosh’s case it appears not to have succeeded. Sold into bonded labour by his family this summer, Amitosh works 16 hours a day hand-sewing clothing. Beside him on a wooden stool are his only belongings: a tattered comic, a penknife, a plastic comb and a torn blanket with an elephant motif.

‘I was bought from my parents’ village in [the northern state of] Bihar and taken to New Delhi by train,’ he says. ‘The men came looking for us in July. They had loudspeakers in the back of a car and told my parents that, if they sent me to work in the city, they won’t have to work in the farms. My father was paid a fee for me and I was brought down with 40 other children. The journey took 30 hours and we weren’t fed. I’ve been told I have to work off the fee the owner paid for me so I can go home, but I am working for free. I am a shaagird [a pupil]. The supervisor has told me because I am learning I don’t get paid. It has been like this for four months.’

The derelict industrial unit in which Amitosh and half a dozen other children are working is smeared in filth, the corridors flowing with excrement from a flooded toilet.

Behind the youngsters huge piles of garments labelled Gap – complete with serial numbers for a new line that Gap concedes it has ordered for sale later in the year – lie completed in polythene sacks, with official packaging labels, all for export to Europe and the United States in time for Christmas.

Jivaj, who is from West Bengal and looks around 12, told The Observer that some of the boys in the sweatshop had been badly beaten. ‘Our hours are hard and violence is used against us if we don’t work hard enough. This is a big order for abroad, they keep telling us that.

‘Last week, we spent four days working from dawn until about one o’clock in the morning the following day. I was so tired I felt sick,’ he whispers, tears streaming down his face. ‘If any of us cried we were hit with a rubber pipe. Some of the boys had oily cloths stuffed in our mouths as punishment.’

Manik, who is also working for free, claims – unconvincingly – to be 13. ‘I want to work here. I have somewhere to sleep,’ he says looking furtively behind him. ‘The boss tells me I am learning. It is my duty to stay here. I’m learning to be a man and work. Eventually, I will make money and buy a house for my mother.’

The discovery of the sweatshop has the potential to cause major embarrassment for Gap. Last week, a spokesman admitted that children appeared to have been caught up in the production process and rather than risk selling garments made by children it vowed it would withdraw tens of thousands of items identified by The Observer.

He said: ‘At Gap, we firmly believe that under no circumstances is it acceptable for children to produce or work on garments. These allegations are deeply upsetting and we take this situation very seriously. All of our suppliers and their sub-contractors are required to guarantee that they will not use child labour to produce garments.

‘It is clear that one of our vendors violated this agreement, and a full investigation is under way. After learning of this situation, we immediately took steps to stop this work order and to prevent the product from ever being sold in our stores. We are also convening a meeting of our suppliers where we will reinforce our prohibition on child labour.

‘Gap Incorporated has a rigorous factory-monitoring programme in place and last year we revoked our approval of 23 factories for failing to comply with our standards.

‘We are proud of this programme and we will continue to work with government, trade unions and other independent organisations to put an end to the use of child labour.’

In recent years Gap has made efforts to rebrand itself as a leader in ethical and socially responsible manufacturing, after previously being criticised for practices including the use of child labour.

With annual revenues of more than £8bn and endorsements from Madonna and Sex and The City star Sarah Jessica Parker, Gap has arguably become the most successful brand in high-street fashion. The latest face of the firm’s advertising is the singer Joss Stone.

Founded in San Francisco in 1969 by Donald Fisher, now one of America’s wealthiest businessmen, Gap operates more than 3,000 stores and franchises across the world. In Britain Gap, babyGap and GapKids are very successful, their own-brand jeans alone outselling their retail rivals’ lines by three to one.

Last year, the company embarked on a huge advertising campaign surrounding ‘Product Red’, a charitable trust for Africa founded by the U2 singer Bono and backed by celebrities including Hollywood star Don Cheadle, singers Lenny Kravitz and Mary J Blige, Steven Spielberg and Penelope Cruz. As part of the fundraising endeavour, Gap launched a new, limited collection of clothing and accessories for men and women with Product Red branding, the profits from which are being channelled towards fighting Aids in the Third World.

On its website the company states that all individuals who work in garment factories deserve to be treated with dignity and are entitled to safe and fair working conditions and not since 2000, when a BBC Panorama investigation exposed the firm’s working practices in Cambodia, have children been associated with the production of their brand.

Gap has huge contracts in India, which boasts one of the world’s fastest-growing economies. But over the past decade, India has also become the world capital for child labour. According to the UN, child labour contributes an estimated 20 per cent of India’s gross national product with 55 million children aged from five to 14 employed across the business and domestic sectors.

‘Gap may be one of the best-known fashion brands with a public commitment to social responsibility, but the employment [by subcontractors ultimately supplying major international retail chains] of bonded child slaves as young as 10 in India’s illegal sweatshops tells a different story,’ says Bhuwan Ribhu, a Delhi lawyer and activist for the Global March Against Child Labour.

‘The reality is that most major retail firms are in the same game, cutting costs and not considering the consequences. They should know by now what outsourcing to India means.

‘It is an impossible task to track down all of these terrible sweatshops, particularly in the garment industry when you need little more than a basement or an attic crammed with small children to make a healthy profit.

‘Some owners even hide the children in sacks and in carefully concealed mezzanine floors designed to dodge such raids,’ he explains.

‘Employing cheap labour without proper auditing and investigation of your contractor inevitably means children will be used somewhere along the chain. This may not be what they want to hear as they pull off fresh clothes from clean racks in stores but shoppers in the West should be thinking “Why am I only paying £30 for a hand-embroidered top. Who made it for such little cost? Is this top stained with a child’s sweat?” That’s what they need to ask themselves.’

· The investigation was carried out in partnership with WDR Germany.

· This article was amended on Sunday October 28 2007.

Original Guardian Article – October 28, 2007

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Third death in a year at Indian factory that supplies Gap – Guardian Article, October 15, 2007

Karen McVeigh

The clothing giant Gap has ordered one of its overseas suppliers to overhaul its practices after a garment worker in Bangalore, India, collapsed and later died outside the same factory where a young pregnant worker lost her newborn baby six months ago.

It is the third death in the last year at or near the premises of Shalini Creations, a unit of the Texport Overseas group which makes clothes for the US firm.

Local unions told the Guardian that Ms Padmavathi, a 39-year-old factory worker, collapsed near the factory gate at midday on September 18, two-and-a-half hours after she had asked to be allowed leave to go to hospital. They claim she started vomiting at 9.30am and had asked her manager for leave. But, they say, she was not granted immediate leave and was instead verbally abused. When she was eventually granted leave and left the factory, she collapsed near the gate. Passers-by carried her back to the factory, where she was taken to a clinic and then to Victoria hospital, where she died at around 1pm. Results of a postmortem examination have not yet been made public.

Texport Overseas, which supplies a number of high street stores in Britain including Gap, claimed that Ms Padmavathi was seen by a factory nurse and that she was given immediate leave.

The allegations that the factory refused to grant Ms Padmavathi leave or to give her adequate medical attention follow those of Ratnamma, another worker for Shalini Creations whose story the Guardian reported last month. Ratnamma, 27, spoke of her anger at losing her baby, a boy, in March, when she was forced to give birth alone in the street at the factory gate after being refused immediate leave when she went into labour.

Shalini Creations said that Ratnamma, who was eight-and-a-half months’ pregnant, had failed to sign a pregnancy register that would have afforded her more lenient work. They told the Guardian they have provided her with a one-off payment on “humanitarian grounds” and she has since returned to work at the factory.

Unions in Bangalore have called for an investigation of three incidents at the factory since 2006 involving workers, and the immediate review of the factory’s treatment of sick workers. They are currently tracking down the family of a third worker, Mr Pushparaj, 35, who died in October last year, to find out more about the circumstances of his death.

Ashim Roy, the president of the Garment and Textile Workers Union, said: “This is the third incident that has happened in the factory in a year and the pattern shows that something seems to be wrong with the system when people fall ill. What process is followed if a worker is sick? Do they have a mechanism that ensures a worker is not forced to work, and that when he or she asks for leave, that they are given leave? We have found there are some supervisors who are more authoritarian than others and who are not responsive to the mostly female workers. Many of them suffer from anaemia and have other health problems.”

Mr Roy, who has met with the management of Texport Overseas, is also calling for a doctor and an ambulance to be available for the factory’s mainly young and female workforce.

Samir Goenka, who owns Texport Overseas, told the Guardian it was investigating the incidents. He said that Ms Padmavathi was seen by a nurse after she was sick and that she was found to have low blood pressure, but that she had not registered herself on the “chronic disease” register.

“Once a worker has registered we take special care of these workers,” he said. He said she was granted immediate leave.

He said that Mr Pushparaj was a heart patient who had died of a heart attack while being transported in the company vehicle from the factory to hospital.

A spokesman for Gap said it was “saddened to hear the news about Padmavathi”. In a statement, the company said: “We understand that factory management and representatives from the local trade union, with whom they have an agreement, are reviewing this matter and we believe that both parties are committed to working together to improve factory conditions in the future.

“We have highlighted to the factory the need to enhance their internal human resource systems. We have also asked the factory to submit to an additional investigation of its workplace practices by an external monitoring organisation, and factory management has agreed. Our expectation is that the results will further enable their managers to improve the current systems and processes in place at the factory.”

Original Article