Thursday, June 20, 2013

The Devastating Cost of Cheap Outsourcing

Click here to read the June 16 Financial Times article about the significant safety concerns in the global garment industry supply chain, especially in Bangladesh.   Why is this important?  You may recall that in Bangladesh over 1,100 clothing industry workers died in a building collapse in April 2013 and over 100 workers died in a November 2012 fire.  Interestingly, at least 14 North American retailers, including Wal-Mart, Sears, J.C. Penney, Macy's and the Gap, still refuse to sign the Bangladesh Fire and Safety Initiative, citing the control the initiative gives to labor unions.   However, these retailers propose the "Safer Factories Initiative" as an alternative.

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