Who’s naughty, who’s nice

Take a look at where you’re dropping your cash this season of ka-ching. Some retailers disclose how and from whom they get their clothes – and others keep it a closely guarded secret. Here’s who rates and who sucks, according to the Ethical Trading Action Group.

Levi’s was the first major brand to adopt a code of conduct for supply factories in 91, and the company has a director who makes sure code is followed it trains factory managers in labour rights and supply factories are monitored and audited independently and with some input from NGOs. Also just started disclosing its factory locations. Docked for not sharing results of audits with the public.
The verdict Levi’s may not be free of labour rights abuses, but it’s definitely more transparent than most.

Grade: B-

Industry leader in lifting veil of secrecy about the locations of factories producing the Nike brand, in the process inviting greater public scrutiny. Also appointed a director of corporate responsibility, and trains factory workers and managers in labour rights. Yet, like almost all companies listed here, it violates international labour standards by making workers toil 60 hours a week and work mandatory overtime.
The verdict Goes to show that decades of targeted protests actually get companies to improve labour practice

Grade: C+

Gap’s a good example of how problems can persist even with decent disclosure practices. In its 2004 social responsibility report, just under half its factories reported a drop in compliance. Still, Gap is the only major retailer to systemtically use local NGOs and labour orgs to verify labour audits of its factories.
The verdict Lets 14-year-olds work, but gets brownie points for going public with factory audit results, having a VP of social responsibility, and for training personnel to take into account labour implications when designing and merchandising products.

Grade: C+

MEC doesn’t disclose the locations of its factories, which is curious given its ethical image. But it does have a manager of social compliance and two board of director committees that oversee labour standards. Audits factories with third-party input, and discloses some factory findings, but MEC code fails to protect freedom of association.
The verdict Can do with improvement. MEC ranks high among Canuck companies, but it’s less forthcoming than Nike, Gap and Levi’s.

Grade: C-

Dogged by activists for labour abuses in Lesotho,HBC finally coughed up a code of conduct. Canada’s oldest company’s transparency is at least improving each year. But still allows 14-year olds to work in its factories and imposes a seven-day workweek at busy times.
The verdict One of only two companies to call for a living wage standard in factories. But HBC says it will only protect the right to freedom of association “where applicable.” Huh?

Grade: D-

After a couple years of protests, Roots is divulging a little more info about its labour practices. But it still doesn’t disclose the locations of those factories or their auditing results. The company isn’t exactly a leader on the code of conduct front either. It only bars discrimination that is outright unlawful in a given country.
The verdict Not so hot, even if it’s the most transparent of the private companies, which generally keep their lips – and files – sealed.

Grade: D-

La Senza was slagged for cutting and running from a union-bashing factory instead of pressuring it to improve conditions. It’s since developed a code of conduct that looks great on paper (except for the part about allowing a seven-day workweek in busy periods), but refuses to release any more info about its practices or factory locales.
The verdict Code calls for living wage for factory workers, but secrecy around its other practices makes us wonder what La Senza’s got to hide.

Grade: D-

While ETAG’s report card gave Wal-Mart slightly higher scores in transparency than La Senza and Roots, recent news reports about children working in two Bangladeshi factories raise serious questions.Wal-Mart says it wasn’t aware of the problems, but its own code allows a 72-hour workweek and 14-year old workers.
The verdict Downright ugly. Wal-Mart has 6,000 factories worldwide, and 80 per cent are in China, where workers have no right to organize.

Grade: D-

Despite years of shareholder efforts to get Canada’s number-one clothing retailer to improve reporting on labour rights, Sears keeps shooting them down. No evidence that it’s auditing factories for labour standards, or dealing with factories that fail to comply with its code. Sears won’t protect the right of workers to organize, lets 14-year-olds work, and doesn’t require one day off a week for workers.
The verdict Sears isn’t telling us much. Funny for brand with “trust” in slogan.

Grade: E

A whack of companies scored zeros in ETAG’s report because they fail to share any information with the public about their labour practices. They include Le Chateau, Forzani Group (public company owns Sport Chek, Sport Mart, Coast Mountain Sports, National Sports), Jacob, Reitmans (public company also owns Smart-Set, Addition-Elle, Thyme Maternity, Penningtons), Tristan, International Clothiers, Polo Ralph Lauren and Harry Rosen.

Grade: F