Skip to content
Search

Latest Stories

Covid-19 rights rollback hits garment sector workers

MANY have been hit by a rollback on labour rights in the global garment industry due to Covid-19 as fashion brands pass on the pressure to their suppliers and that further to factory workers, as per two reports by labour advocacy groups.

The story of Abdul Wasid, 35, reflects the same.


After being sacked from his job at a garment factory in Pakistan in the beginning of the pandemic, Wasid was rehired three months later – for lower pay and longer hours, Reuters reported.

“I was desperate because I hadn’t earned anything for months after being fired and agreed to everything they said. Now I’m depending on small loans to survive,” he said.

Wasid also fears being fired again if he complains about the tough working conditions.

Labour rights campaigners said millions of garment workers around the world owed wages and compensation pay since the pandemic began.

“Wage theft is intrinsic to the business model of global fashion brands, and it has been exacerbated by the pandemic,” said Anannya Bhattacharjee, international coordinator with Asia Floor Wage Alliance (AFWA), which represents garment workers.

In a report, “Money Heist”, which interviewed workers from 189 factories in six countries, the non-profit accused profitable global brands of “transferring the risks of business” to manufacturers.

Industry experts and campaigners said last year that livelihood of about 60 million garment workers around the world were risked after big brands failed to organise systems to support people working down their supply chains.

Moreover, brands refused payment for already delivered shipments or cancelled orders, the AFWA report said.

Some brands, however, made “significant efforts” to mitigate harm to workers, others did not taken a “responsible approach”, said Peter McAllister of the Ethical Trade Initiative – a leading alliance including retailers, trade unions and NGOs.

“In far too many cases significant damage was and in some cases continues to be done,” Reuters quoted McAllister’s email statement.

Rising debt

New research by Britain’s University of Sheffield and the US-based Workers Rights Consortium (WRC), a labour advocacy group, revealed that more than a third of workers who changed jobs during the pandemic reported worse working conditions and lower wages.

Separately, a study based on interviews with some 1,000 workers in Ethiopia, Honduras, India and Myanmar revealed that more than two-thirds of workers who changed jobs were not provided written or oral contract.

“Growing indebtedness among garment workers is a result of chronically low wages in brands’ supply chains, compounded by brands’ pandemic response,” said Genevieve LeBaron, co-author of the report and professor at the University of Sheffield.

“This is an alarming trend given the well-documented links between debt and vulnerability to forced labour,” LeBaron said.

The “Money Heist” report found that garment workers’ debts surged since the start of the pandemic, while the Sheffield study said more than 60 per cent had borrowed money during the crisis.

“Workers were already not being paid fair wages and had little savings at the beginning of the pandemic,” said Zameer Awan, field worker with The Pakistan Institute of Labour Education & Research, a charity.

More For You

Wealthy individuals
5 key reasons why UK is losing its billionaires while global rich-list grows 300 per cent
iStock

5 key reasons from Knight Franks' wealth report on why the UK is losing its billionaires

  • Global ultra-wealthy population jumps over 300 per cent since 2021
  • UK billionaire count drops to 156, biggest fall in 37 years
  • Policy shifts, mobility and weaker investment appeal drive the change

A fresh global wealth snapshot shows just how sharply fortunes are rising. The number of individuals worth at least $30m (£22m) has surged from 162,191 in 2021 to 713,626 now, an increase of more than 300 per cent, according to analysis by Knight Frank. The billionaire population, currently at 3,110, is projected to grow by 25 per cent to 3,915 by 2031.

This rapid expansion is being fuelled largely by technology-led wealth creation. As Liam Bailey of Knight Frank reportedly said in a news report, the ability to scale businesses faster, particularly in sectors like artificial intelligence, is accelerating how quickly large fortunes are built.

Keep ReadingShow less