ANVIL'S SHOP
tucp.org.ph

'WE'RE NOT SWEATSHOPS'
Garments exporters worry about int'l image
by Michelle V. Remo and Martin P. Marfil
from The Philippine Daily Inquirer
July 6, 2003

Shun sweatshop operations

The Philippines'' major garments exporters adhere to core labor standards and international labor relations principles and shun sweatshop operations.

This is the contention of Donald Dee, president of the Confederation of Garment Exporters of the Philippines (Congep), in reaction to the special report that the Inquirer ran last week on the inhumane working conditions at Anvil Ensembles, a garments factory in the eastern town of Taytay, Rizal province.

Dee, also president of the Employers Confederation of the Philippines, said Anvil was not a member of Congep. Nevertheless, he said, the Inquirer report could taint the image of the entire garments industry that was contributing about three billion dollars in revenue every year, and cause the displacement of an estimated 400,000 workers.

"If there are cases like [Anvil's], the media should remember that our major customers [abroad] could pick up the story, and this could make them drop their orders. That is why I am reacting this way..." an annoyed Dee said in an interview.

He added: "Can you imagine the economic impact and [possible] dislocation you have caused, just because of this one small export company whose revenue is insignificant compared with what the whole industry [contributes]?"

Dee also said that key players in the local garments export industry were in fact the first members of the Responsible Apparel Production (RAP) program, an international memorandum of cooperation promoting decent work practices and humane working conditions.

He said the Inquirer should have considered the moves of the private sector and the Department of Trade and Industry before running the special report, to avoid creating a negative impression of the local garments industry.

The Inquirer report detailed the Anvil workers' complaints on overtime, underpayment and unsanitary working conditions, as well as the alleged offer to them of the insomnia-inducing drug Duromine to keep them awake during peak-season 48- to 72-hour work shifts.

The Department of Labor and Employment, through regional director Maximo Lim, on Friday accused Anvil of violating labor laws and standards and ordered it to pay 137 workers a total of 5.8 million pesos in back wages and unpaid benefits within 10 days.

The order was in response to a complaint filed several months earlier by the workers, who said they had not been given benefits and were underpaid for the past three years.

But Anvil union president Lorna de la Cruz Saturday said the workers were keener on getting assurance that they would not lose their jobs.

"If there is no order closing down the factory, that is good," she said. "All we want is for the factory to treat us better, to give us what is due us. That is all."

Acting Labor Secretary Manuel Imson said Anvil management's non-compliance with the order could result in the closure of the factory.

Anvil statement

For the first time since the report saw print, Anvil, a subcontractor of such First World companies as JC Penney and Sears & Roebuck, issued a formal statement on the matter.

"We deem that the proper way to resolve all the issues is through tangible and long-term measures that are beneficial to both management and employees of Anvil..." spokesperson Horatio Dante Mauricio said in a statement.

Mauricio said Anvil management and board members were "deeply concerned" by the report based on interviews with the workers and with former supervisor Rouel Quitoriano.

"We would like to let the public know that Anvil Ensembles Inc. is currently conducting a thorough investigation on possibilities that diet pills were used during heavy production operation last year, as alleged by Quitoriano," he said, adding:

"Our company is currently coordinating with the concerned government agencies in ensuring a healthy and safe workplace for our employees."

The statement was faxed to the Inquirer Saturday afternoon, the same day that the Kilusang Mayo Uno challenged Labor Secretary Patricia Santo Tomas to personally ensure that Anvil would comply with the DOLE order.

The militant labor alliance also urged the DOLE to file criminal charges against Anvil management.

"The company's gross violation of workers' rights won't be easily dismissed with the settlement of various labor issues and economic demands at Anvil," KMU secretary general Joel Maglunsod said.

"Criminal charges must be filed against Anvil owners and management," he said. "The Labor Code authorizes the punishment of employers violating labor standards. The DOLE's loose monitoring of labor standards resulted in the extensive abuse of workers' rights and welfare."

Anvil union leader De la Cruz said: "Of course, we are happy about the DOLE's decision. But really, we just want to be assured that we are not going to lose our jobs."

She said it would be great if they received their back wages and still continued to work at the factory.

De la Cruz pointed out that close to 200 other workers were not included in the DOLE list of those to be paid.

"There are at least 320 of us here. What about [the others]? Why were they not included?" she said, adding that the DOLE might not have checked those working in the annex.

De la Cruz also said that most of the workers still did not know about the DOLE order, but that many of them were fearful that the factory might be closed down.

Good image

The Congep's Dee said the local garments industry was very keen on keeping a good image in order to maintain its mostly American clients.

He said these clients paid particular attention to social issues, such as treatment of labor, in their business decisions.


"We don't want the local industry to suffer the same fate as Saipan," Dee said. "Our competitive edge over other exporting countries has always been our adherence to social responsibility. We treat labor as our partners and not as a commodity."

According to Dee, the garments industry in Saipan suffered a major blow with the publication of an exposé on sweatshops there. He said the leading garments maker, which was cited in the exposé, lost over 30 percent in market share.

Dee said the DTI had sent a team to Anvil to investigate working conditions there. "We in Congep will support the move to cancel Anvil's export quotas if evidence shows it is guilty of the charges because we ourselves want to [get] that kind of people out of the industry," he said.

He also said that being a signatory to the RAP program initiated by the American Apparel Manufacturing Association, major garments exporters were sticking to the RAP principles -- 8-hour workdays, proper salaries, social protection and decent work environment.

The Congep represents 70 percent of the country's garments exporters and includes as members the Top 100 industry players.

The other local signatories to the RAP program are the Garment Business Association of the Philippines and the Philippines Apparel Embroidery Association and Exporters Inc.

With a report from Luige del Puerto

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