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During the ITF/UNI Global Delivery Network Meeting, affiliates agreed that the global supply chain represents both a challenge and an opportunity to deliver on labour rights.



UNI Global Union General Secretary Philip Jennings said, “We are talking about a sophisticated but vulnerable global supply chain. A recent Georgia Institute of Technology Study shows that shareholder values can plummet by upto 25% if there is a glitch in a company’s supply chain. The global supply chain is built on the principle of just in time delivery. The business bottom line is quicker-cheaper. This drives a race to the bottom.”



Jennings added, “The potential for worker abuses from factory through transport to the shop floor is a reality. Subcontracting and a maze of multiple supplier arrangements have made it all too easy for the multinationals to pass the buck. The recent tragedy in Bangladesh is a game changer as the Bangladesh Accord lays down a strong marker for a new era of responsibility. The growing cooperation between the three global unions, UNI, ITF and IndustriALL is sending a strong message to all parts of the supply chain to mend their ways. This is a new and exciting strategic alliance of powerful global unions.”



The aim is for the global unions to together help the many thousands of workers in the labyrinth of sub-contractors created by multinationals. Companies have been quick to transfer production and manufacture under sweatshop and unsafe conditions.



The Accord on Fire and Building Safety in Bangladesh, spearheaded by IndustriALL and UNI with strong support from ITF and other global unions, has underlined that public pressure is mounting on company’s to act ethically and brands cannot claim ignorance of the risks involved.



Ingo Marowsky, Organising Globally Coordinator, ITF said, “Global solidarity is essential to create a supply chain which respects workers’ rights and gives them a voice through union membership and collective bargaining rights. We are beginning to see a change in reality with global unions working together not only in our sectors but in public services and elsewhere, wherever there is a link in the supply chain. For example the ITF is working with the IUF, the International Union of Food Workers, under a joint initiative, “From Catcher to Counter”. By forming an alliance we are stronger and can do much more to protect the workers in those links. There should be no links in the supply chain that go unmonitored. It’s testament to how much attention the supply chain is now receiving that the ILO is considering making supply chain integration the theme of its next global meeting.”





The affiliates recognised the importance of publicity in the campaign to clean up the supply chain, citing the examples of the repercussions of the scandal for Apple when its Chinese factory was exposed and allegations of child labour against certain multinational shoe manufacturers. The Rana Plaza tragedy and the Accord have shown it has become harder and harder for companies to hide from public view, with Walmart and GAP now isolated because of their irresponsible decision not to sign.



The UN Ruggie Principles and the OECD guidelines on multinationals also impact the supply chain show the new reality is that abuse of workers along the supply chain will no longer be tolerated and is regarded as a global human rights issue. Supply chain cooperation among the global unions is a powerful answer to turn us back from the race to the bottom.