Blog: Twists and turns in Yue Yuen strike
Leonie Barrie | 28 April 2014
A strike by thousands of workers at shoe maker Yue Yuen continued with a number of twists and turns last week, including an order from Chinese officials that the firm must provide back pay for past unpaid social insurance.
The move creates an important precedent, according to observers, since unpaid social insurance is a pervasive issue in most Chinese factories - including suppliers to major international brands.
The first-year anniversary of the Rana Plaza building collapse in Bangladesh coincided with the release of a new report examining major remedial plans established in the wake of the disaster. These, it says, are failing to address the greatest risks posed by the systemic weaknesses of the Bangladeshi RMG sector.
Meanwhile, the country's government lacks the resources, administrative capacity and sheer will to protect garment workers; while international brands need to recalibrate their business relationships to prioritise transparency and long-term commitment.
Without knowing the precise history of the products they sell, the apparel industry will struggle to make a real difference to issues ranging from sustainability to illegal subcontracting. So a tool piloted by M&S to great fanfare more than two years ago is now going back to the drawing board in a bid to tackle traceability across the clothing supply chain.
US clothing giant Gap Inc has set its sights on growing operating margin beyond 13%, as it looks to gain a larger share of the US$1.4 trillion global apparel market. Key to this is building a more responsive supply chain, seamless inventory, international expansion, and omni-channel capabilities.
Progress on the Trans-Pacific Partnership (TPP) continues to falter, yet many garment makers continue to ramp up their investments in Vietnam - one of the negotiating countries - despite ongoing uncertainties over the rules of origin issue.
And a number of changes over the past month to Chinese government policies on both the production and sale of raw cotton are also continuing to cause uncertainty.
Increasing competition for garment sourcing contracts is seeing China not only being challenged by other countries in Asia, but by sub-Saharan African and even Russian suppliers too. And it is pushing...
The monthly minimum wage for workers in Cambodia's textile, garment and footwear sector is set to rise to $153 from January next year, following a vote on the issue last week. The increase marks a ris...
The results of two highly-anticipated initiatives in the sportswear sphere were revealed last week: the launch of Under Armour’s new UAS lifestyle brand and the first pair of running shoes created at ...
The recent bankruptcy of South Korea's Hanjin Shipping, the world's seventh-largest container shipper, at the end of August, has left billions of dollars worth of merchandise in limbo, leaving the fal...
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