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Violations of Codes of Conduct
The majority of the violations of the codes of
conduct relate to excessive working hours, underpayment, denial
of the freedom of association, suppression of trade union organizations,
and inadequate occupational health and safety standards.
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Piyavat workers demand compensation
for over 700 laid-off workers in front of the Government
House, Bangkok, March-April 1996.
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The situation that Par Garment workers and union
members face demonstrates that codes of conduct have not benefited
many workers, especially in the apparel industry. The way that
transnational corporations' labor standards are written and implemented
are highly questionable. The codes of conduct state that the workers
have rights, such as freedom of association and collective bargaining,
however, as in the case of workers at Par Garment, the workers
have had their rights denied.
The workers employed by the subcontractors are under-paid, forced
to work long hours with no addition pay and no social welfare
as many of the sweatshops are unregistered and therefore fall
outside even the local labor law. Many of the sweatshops also
employ children. Transnational corporations with conduct codes
have not provided support or protection to either the workers
at places such as Par Garment and Lian Thai or the workers in
the sweatshops.
As manufacturers in the apparel sector produce
many brand names it is very difficult to pressure the manufacturing
companies to follow any codes of conduct. The manufacturer can
always sell to someone else. The objective of the transnational
corporations is to find the cheapest price per item, not selecting
a manufacturer that provides the fairest treatment and welfare
to the workers. The transnational corporations do not want to
increase their costs by pressuring the manufacturer into following
conduct codes. Instead, the transnational corporations tend to
turn a blind eye to labor abuses. If transnational corporations
are not willing to pay more for production to ensure that conduct
codes are adhered to, the workers in these industries will continue
to struggle to find enough money for food and clothing. Their
children's education will suffer, and their health will continue
to deteriorate. The workers suffer while transnational corporations
continue to gain more revenue and enjoy their prosperity.
The workers who make Reebok, Nike or Adidas shoes,
which cost over $US 50 in retail outlets, never get the chance
to wear them. The management, on the other hand, at the corporate
offices of Reebok and Nike are given newly released shoes for
free. At the minimum wage, purchasing a pair of the shoes they
make is not possible. Even if they could buy them, the workers
would not wear these shoes for fear of being accused by their
employer of stealing them. Business is about making profit and
finding the cheapest cost of production for the highest profit,
but when this profit is made at the expense of the workers' welfare,
health, and life, it is criminal.
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