ACTION PLAN '19 DUTCH AGREEMENT ON SUSTAINABLE GARMENTS AND TEXTILE - SCHIJVENS CORPORATE FASHION
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Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 ACTION PLAN ‘19 DUTCH AGREEMENT ON SUSTAINABLE GARMENTS AND TEXTILE SCHIJVENS CORPORATE FASHION
Content Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 4. Introduction 5. About Schijvens 7. Purchasing Policy 8. Production Partners There is no planet B. 10. The Risks We have to take care 12. Action Plan of the one we have. 12. Goals 14. People - Richard Branson 25. Planet 34. The Circular Concept 36. Stakeholders 42. Summary 1 SER works with calendar years, however our bookyear does not run parallel with a calendar year. If for example objectives for 2019 are mentioned, it can be assumed we are talking about our bookyear 2019-2020. 3
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 About Schijvens Schijvens is a Dutch family business that has holds 80% of the shares. The other 20% are owned been designing, manufacturing and distributing by Michiel Oosterhuis and his Turkish wife Pinar, corporate clothing for over 150 years. Schijvens who provide for the day-to-day management. has all the departments needed to supply a high- This factory employs approximately 50 people. As quality production process, including a design a consequence Schijvens can continue switching department, a quality department, a workshop, a fast, produce small quantities, perform fast purchasing department, a sales department with deliveries, produce samples or fitting sets and this office and field staff, a distribution centre of 5000 factory supplies a pool of information that we can m2 and supporting staff departments. use to steer our other production locations, e.g. wage minutes per product and patterns. Schijvens has been around since 1863 and has The customers find the power of Schijvens in the always been a producer of corporate clothing. full-service concept. Schijvens designs the clothing A long history, ample experience. Until 2005, and won the Dutch Corporate Fashion Award Schijvens was a real production company with 100 for its appealing designs on several occasions. seamstresses in Hilvarenbeek. Nowadays, Schijvens Schijvens supervises the production at fixed is a business with a head-to-tail construction and producers, with personal experience in this matter outsources the production to low-wage countries. from the history and with an in-house quality Introduction control department, which is ISO9001 certified. Apart from designing and producing customer- And Schijvens can keep the collection in stock for specific corporate clothing, Schijvens also owns the customers and ship them to the establishments the workwear brand T’riffic, an extensive and of the customer. To this end it disposes of properly coordinated collection of trousers, overalls, polo equipped software systems, e.g. an EDI portal, shirts, sweaters, t-shirts, jackets and thermaal customer specific web shops and a budget control “We feel strongly about Corporate Social Living wage is one of our biggest action points. In clothing, which is all deliverable from stock. system. Responsibility. Our company and our 2017 we developed our living wage tool and since production sites are affiliated with the Fair then all employees at our factory in Turkey have In November 2015 Schijvens also set up a business The mission of Schijvens is to ensure that the Wear Foundation, an organization that is received a living wage. This project was rewarded in Dubai, at the Free Trade Zone JAFZA, to offer employees who wear its clothing feel good in their with the Fair Wear Foundation Best Practice dedicated to good working conditions. regional support to the customers in the Middle workwear, so that this radiates to their customers Award. The tool is subsequently also rolled out to We find it naturally: respect for people our other suppliers. Regarding the environment, East. and provides reassurance to the buyers. Schijvens and the environment and concern for does this by supplying a fashionable design, a we are also taking big steps. In 2018 over 20% of Since 2016 Schijvens has also had its own great fit and a good quality and by making the the future” - Shirley Rijnsdorp-Schijvens our productions had already been circular. In production factory in Mersin, Turkey, of which it products in a sustainable way. Owner. addition, more than 100,000 pieces of old clothing were collected from our customers, were new Sustainability is part of Schijvens’ DNA. It is very yarns have been made from. We aim to become important to us that our clothing is manufactured fully circular, which is a must if you consider that under good working conditions and as our industry is the second most polluting industry. environmentally friendly as possible. Apart from the Dutch Agreement on Sustainable Garments Interested in reading all about our sustainable and Textile, we are also affiliated with Fair Wear goals and achievements? Please continue and Foundation, Bangladesh Accord and SAC, which enjoy! helps us to monitor our production locations. All factories are audited by an independent third party after which, in association with the factory, Shirley Rijnsdorp-Schijvens Owner work is carried out on creating a better working Jaap Rijnsdorp-Schijvens CEO environment. We consider all of our suppliers as Jeske van Korven CSR partners and our good long-term relationships are highly valued. 4 7
ZOOM Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 ZOOM Hugo Schijvens Ltd (V.A.E.) Purchasing Policy IT, logistics, financial Schijvens Corporate Fashion FZCO (V.A.E.) CEO Production&Sourcing VP Procurement The purchasing department consists of the With all these measures we try to in any case give Shirley Schijvens BV purchasing manager (CEO), project coordinator the factories sufficient time for our productions (planning) and junior buyer / CSR. The purchasing and to properly monitor the production process KNIP manager is responsible for sourcing, innovation in order that interventions are, where required, The structure of the organization and handles new projects and requests. The possible in a timely fashion. The most important Commercial Director project coordinator is responsible for the planning sourcing criteria are; sustainability, quality and Marketing/Sales and is in daily contact with the factories. To keep workmanship, price and delivery time. Schijvens an accurate focus on the planning a PLM system applies a manual for all our suppliers in which it is 1 Sales is used. This is updated and discussed with all our mentioned how we believe a partnership should support suppliers twice a month. Delivery times can thus work. We believe in cooperation as partners. It is 2 staff Accounting be monitored accurately and it is possible to very important to us that our suppliers share the Accounting intervene, where required, in a timely fashion. The same vision with regard to sustainability, otherwise junior buyer / CSR is responsible for everything that cooperation is not possible. Our manual includes, is related to sustainability and also handles small inter alia, FWF’s Code of Labour Practices, which 1 logistics teamleider 4 logistics staff projects that are produced in the Netherlands. all suppliers signed. In addition, FWF’s Worker Hugo Schijvens Ltd (V.A.E.) trainees IT, logistics, financial Our joint goal is that our collections are produced Information Sheet is available to the employees NAAIEN in the best possible conditions, for everyone at every factory in order that they are informed within the supply chain. Internal measures that we of their rights and can, where required, contact CEO implement for this include, inter alia, the PLM and FWF’s complaint hotline. In addition, every supplier moreover the generation of a monthly forecast for must be audited and it is also expected that they Schijvens Confectiefabriek Hilvarenbeek BV 4 QC-staff our clothing. This way we keep a close eye on the MODEL continuously keep working on the improvement Schijvens Onroerend Goed stock levels and we can start new productions in of the working conditions at the factory. It is not a H&S Schijvens Beheer a timely fashion. In addition, we apply standard pass / fail system but an ‘on-going’ process. When Production&Sourcing 2 stylists delivery times, 3 months for European production it becomes apparent that one of our suppliers and 5 months for the Far East, however always in is not willing to keep working on this or is not TOF 2 procurement officers consultation with the factory of course. transparent about this then we are, unfortunately, held to terminate the partnership. Of course this is S only done if we truly see no other solution anymore and in consultation with the factory. Shirley Schijvens BV 3 commercial staff Commercial Director 2 sales Marketing/Sales NAAIMACHINE NAAIMACHINE Fac.services 1 Fac.service 80% UFS Textiles Mersin RITS Productionstaff Productionstaff EN 2 Board STIKK 32 staff 6 staff Oosterhuis Beheer 20% Accounting 1 staff 6 9
ZOOM Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 ZOOM Production Partners Turkey Portugal 39% China 1% KNIP 23% Schijvens has Long-term relationship with its NAAIEN partners As indicated, we have long-term partnerships MODEL Our standards with our production locations. We cooperate All our partners work according to our manual with approximately 10 partners, distributed over and AQL. They were set up in consultation with the countries China, Pakistan, UAE, Bangladesh, Modint and Intertek (an international test agency) Morocco, Turkey and Portugal. Every country and they provide an extensive description of F has its own specializations. For instance, in Turkey the standards that the producer must comply STO and Portugal we can produce small quantities with in terms of quality, delivery time, packaging, with a fast delivery time. In China they work agreements and Code of Conduct. well on technical products, e.g. waterproof all- season jackets and fire-retardant clothing. In Annual supplier meeting Sharjah we have an excellent costume factory. In Since the 150th anniversary of Schijvens in 2013 Pakistan the specialization can mostly be found a supplier meeting has been organized annually in knitted products, polo shirts and sweaters, at where all our partners come together. The edition very sharp prices. In Bangladesh and China we in 2018 took place in Karachi and was again a big have a wonderful but also attractive factory in success. During this meeting everything is discussed NAAIMACHINE NAAIMACHINE terms of price for shirts and trousers. In Morocco openly with each other, also including the points Morocco Pakistan we produce knitted sweaters. Most of the production takes place at our own factory in for improvement that come to the fore during audits and matters that factories run into. It is good 23% Turkey and moreover in Pakistan where we have to see that our suppliers try to help each other and 1% our own production floor. Approximately 94% of look forward to this every year. The suppliers are RITS our production locations are situated in the risk EN also assessed on their performances in the course countries. By performing a due diligence we try to of which an award can be won every year. Last STIKK Bangladesh make the risks per country transparent and to limit year our Pakistani supplier won this award. This year UAE them in the best way possible. the meeting will take place in the Netherlands. 5% 8% 8 9
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Forced labour Our factories have a policy against forced labour. Thus far we did not experience this to be a problem occurring at our factories, however “We try to use recycled unfortunately it does occur in the general clothing materials as much as possible.” industry. This is also checked during audits, and also during off-site interviews, in order that employees feel safe to discuss these matters. Freedom of association and the right to the finishing of the fabrics, which uses hazardous collective bargaining chemicals. We also conduct a due diligence There are several countries where trade unions at production locations further ahead in the are not allowed or are subject to restrictions, e.g. production chain in order to also obtain insight into the United Arab Emirates, Turkey and China. What the risks at these kinds of locations and to also take is in any case important to us is that a worker steps there. For instance, this year we started a committee and a representative are active project from the SER in association with Arcadis at at every factory. However, a problem that we one of our dyehouses to implement improvements frequently encounter is that the said committee is there. set up by the management whilst these members should be elected by the employees. If this follows In addition, every 50th production that we have The Risks from one of our audits then we try to enter into produced at our factories is tested at random relevant discussions with the factory and to have according to the REACH method. REACH is a the elections take place again. Training from, for European regulation on the production of and instance FWF, can assist in this matter. In addition, the trade in chemical substances. It describes FWF’s Worker Information Sheet is available at all what businesses and official authorities must our factories, which also includes the complaint comply with. REACH stands for: Registration, Within our IMVO policy we focus on the 9 themes Child labour system with telephone number. If an employee Evaluation, Authorization and restriction of from the Covenant where many risks can be We improve our factories following audits of FWF, at the factory cannot reach agreement with the chemical substances. This way we can verify found. The most important social themes for us are however in our communication to customers it is worker committee then the complaint hotline of whether our productions comply with the specific living wage, overtime and increasing the worker expressly mentioned that, if child labour would FWF can be contacted. standard from the European legislation. awareness. A considerable environmental theme be detected during the audit, we immediately for us is circularity, this is such an important theme discontinue with a factory. We believe that the Health and safety Raw materials to us that we define this extensively in our policy facilitation of child labour is so wrong that we All our factories are audited by a local team of As already discussed, the generation of raw and in our communication. feel that we cannot convince the management FWF, also including a health and safety specialist materials brings about many risks, for man, animal intrinsically of ILO standards. Fortunately, child who thoroughly checks the safety at the factories. and the environment. We try to use recycled Discrimination and gender labour has never been detected at our factories Think about the fire safety, the safety of the materials as much as possible in order that these Unfortunately, discrimination within the clothing during an audit, however there is an increased risk building and whether training and inspections are risks are limited. Many processes for the generation industry is a big problem, in particular in countries in countries like Turkey with many Syrian refugees carried out in a timely fashion. Due to the high of raw materials are exhaustible, emit hazardous like Bangladesh, India and Pakistan where who often set to work without the correct papers. risks in Bangladesh we are also affiliated with the substances or are, for instance, produced in women are often in a worse position compared As a consequence the risk of child labour of Bangladesh Accord, they specifically inspect and an animal unfriendly manner. We aim to be to men. For instance, women are admitted to Syrian origin has increased. We monitor this in the monitor the safety of the building, electricity and completely circular in order that less water and managerial positions less quickly and there is a best way possible at our production locations in fire safety. energy are required to produce our clothing. risk of sexual intimidation in the workplace. This Turkey. In addition, we also monitor that younger theme is very important to us, and is also part of employees and pregnant women at the factories Water pollution and use of chemicals, Animal welfare our audit programme. For instance, our factory work under good working conditions. They water and energy We use almost no animal raw materials but the in Bangladesh participates in a programme of must receive additional protection and can, The clothing industry is the second most polluting small percentage (0.24%) that we do use, we want FWF, which is aimed at the prevention of sexual for instance, not perform overtime. This is also industry. The generation of the raw materials is to convert into animal and environmentally friendly intimidation and the incorporation of an anti- checked during an audit. usually an environmentally unfriendly process. Think alternatives in the year to come, e.g. biological harassment committee. In addition, in 2018 Pinar, about the considerable volume of water that is leather or synthetic leather and recycled wool. We fellow director of UFS, won an award for her required to cultivate cotton. The dyeing of the feel it is important that no animals suffer during the commitment to women’s rights in Turkey. fabrics, which again returns waste into nature, and production of our clothing. 10 11
ZOOM Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 ZOOM ACTION PLAN 2019 2020 2021 Goals Planet Discrimunation and Round up FWF’s WEP and Research at key suppliers Increase (2-5%) the implementation anti- into position of women in percentage of women in Our most important goals are aimed at recycling Recycling is our biggest priority. In 2019 we Gender harassment commitee in managerial positions. managerial positions at KNIP and living wage. In this action plan it is outlined would like to move from 22% to 75% of recycled Bangladesh. three factories. what goals were imposed for the coming years on productions by convincing more customers the basis of various themes and risks. and by converting the T’riffic collection into Freedom of Training at factory in Social training in factories Sharjah and introduction in China to increase worker recycled materials. At our factories in Turkey and association and the worker representative. awareness. People Pakistan recycled productions have already right to collective been produced, we want to also expand this to bargaining Check possibilities unions in The auditing and following up of corrective free trade zones. actions is a continuous process that we work on, China and India. Tests are still being conducted in association with the factory, throughout the with the recycled yarn, but in 2019 we expect to Living wage Round up project and Roll out living wage project Implementation living wage year. The biggest challenges can be found in also start the first recycled productions in these implementation living wage to Bangladesh. in Bangladesh and roll out two countries. In addition, we are working on the in Pakistan. to a new factory. the reduction of overtime, the increase of worker awareness and the implementation of a living implementation of a software tool that measures wage that we will work on further in the years to and renders the stock inventory, the return logistics Health and safety Improve social conditions Due diligence further Key production locations come. With regard to living wage our goal is to planning and the realized environmental result in the clothing factories by down the supply chain are audited (social and compared to the Sustainable Development Goals following up all CAP’s. and investigate audit environment) and are finalize the project in Pakistan this year and roll out to the factory in Bangladesh. transparent. NAAIEN possibilities. under monitoring. Investigation audits on both social and environmental Finally, due diligence is conducted at production standards. locations further ahead in the chain, we will start [Fair Trade Principles] MODEL this in 2019 in order to ultimately also implement Raw materials Gain insight in trimmings Implement sustainable 100% circulair collections. improvements there. and investigate sustainable trimmings. alternatives. From 75% to 90% Complete tests recycled recycled collections. fabrics in China and India. F First recycled collections in STO From 22% to 75% recycled China and Pakistan. collections. Convert our own T’riffic brand to a circular collection. Implementation softwaretool return logistics. Water pollution and Investigation opportunities Conduction environmental Key production locations environmental audits. audits at a number of key are audited (social and use of chemicals, suppliers. environment) and are NAAIMACHINE NAAIMACHINE water and energy Start project dyehouse. under monitoring. Objectives are formulated based on the results of the pilots. RITS Animal welfare, water 0,24 % of our materials Convert all materials from No animal unfriendly raw EN come from animals. Start animals to animal-friendly meterials are applied. and energy investigation animal-friendly alternatives. STIKK alternatives. 14 13
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 People The improvement of the social conditions at the all our suppliers during our supplier meeting, in factories is an ‘on-going’ process. All our factories order that we can also learn from each other. In are by default audited again every three years. addition, we also cooperate as much as possible We do this via local audit teams of FWF. Urgent with other companies that source from the same issues are picked up immediately. Less urgent factories. This way the leverage at a facility is, aspects are discussed and, in consultation with of course, increased because you are stronger the factory, it is determined when it can be solved together. For all our efforts and performances we Social or implemented. Not a single factory is perfect, increased from 75 points to 86 points during the last hence there is always room for improvement. In Brand Performance Check of FWF and we have this Action Plan the most important findings and the leader status, which is the highest obtainable conditions actions points are provided. All on-going action category. points are discussed regularly with the factory, either by email or by telephone, during factory We aim for long-term relationships with our visits and annually openly with all our suppliers during our supplier meeting, in order that we production locations and qualify them as partners. Unfortunately, we had to bid farewell to two at the factories can also learn from each other. In addition, we factories. In India where we were unable to reach also cooperate as much as possible with other agreement despite many meetings because the There are many potential risks at clothing factories companies that source from the same factories. factory does not want to work on better working with regard to, for instance, the safety, freedom conditions. The other factory closed, due to policy of trade union and discrimination. By following All on-going action points are discussed regularly from the Chinese government there are factories the corrective actions that are observed during with the factory, either by email or by telephone, in China that must be relocated or closed on audits we try to, in association with the factory, during factory visits and annually openly with account of environmental considerations. improve all these action points within the time frame specified by FWF. In order to thus improve the working conditions for the factory employees who produce our collections. In this Action Plan the most important actions per production country are provided. Goal Improvement of the social conditions at the factories by following corrective actions per supplier. Actions Bimonthly update with supplier (by telephone and/ or by email), during factory visits and moreover during the annual supplier meeting that will again take place in August 2019 where this is discussed openly with all suppliers. Moreover, scheduling of timely follow-up audits to verify actions. Deadline Continuous process, FWF specifies the time limit per corrective action. Who Jeske and the producers. 16 17
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 The Risks • • Excessive overtime and incorrect payment of the overtime Subcontracting Pakistan The Risks • Unequal rights for women • Salaries under living wage In 2018 a follow-up audit was conducted at • Limited freedom of • Limited freedom of association MYM Knitwear. Ever since the factory has no association • Unfair or unlawful dismissals longer worked with temporary agreements and the employees are entitled to a permanent • Salaries under living wage • Unequal rights for Syrian agreement. In addition, improvements were refugees, child labour and implemented in the area of safety and a unregistered employees CSR training took place that all people in the workplace participate in. The objective of the training was to inform people of their rights, which was received very positively. The most important action point is the finalization of the living wage project. In 2018 we visited the factory several times to meet about this. A benchmark was established Turkey section ample overtime is performed in certain periods. This is caused by the fact that we cannot outsource this process due to a lack of machines together with employees and the factory. The last step is the calculation of the additional costs in order that the living wage can also actually be implemented. This also includes the manner that and expertise at the subcontractor. overtime is reimbursed. At our own factory UFS almost all action points are handled, this will be verified during the follow- Syrian refugees & unregistered employees up audit in May of this year. In addition, we are working with another factory when our production line is full. This factory was audited by BSCI. The arrival of Syrian refugees in Turkey results in an increased risk of child labour. In addition, the risk exists that people of Syrian origin work without a work permit and do not have the same rights as The Risks UAE Overtime & Subcontracting Turkish employees. Syrians are also employed at • Excessive overtime Even if, from the Covenant, the United Arabic A frequently occurring problem in Turkey is the factories that we work with. They have the • Non legally binding agreements Emirates is a low-risk country, there are indeed excessive overtime and the undeclared payment same rights as any other and are in possession of risks that must be taken into account. This of overtime in order to prevent high fees on the a work permit. This is often a long process, hence • Limited freedom of association particularly regards the freedom of trade union, national insurance contributions. Of course this has it may happen that an employee is still in the • No statutory minimum wage which represents a considerable problem. an adverse effect on the employees when they process of obtaining a permit, however they are established Geebee Garments, which makes clothing for us are dismissed or retire. Since the implementation of always treated equally. in Bangladesh, also has a production location living wage in 2017 this has also been adjusted at in Sharjah where costumes are produced. This our factory and everything is being paid correctly. Freedom of trade union & women’s rights factory was audited in 2018 and no corrective Overtime does remain a problem at the factory Our factories are located in a Free Trade Zone actions came to the fore. We do still have a but we worked hard on reducing this, including and a trade union is not active here. Instead, a goal with regard to freedom of association. We through better planning, hiring additional people worker committee and an operational complaint would like to see the incorporation of a worker and the possibility of outsourcing the production mechanism were set up. In 2018 Pinar, fellow committee but this is, unfortunately, prohibited by to another facility when our production line is director of UFS, won an award for the work she law, hence we have now indicated that a worker full. This factory does, for that matter, also fall performs for women’s rights in Turkey. She works representative would be a good alternative. under our audit monitoring percentage of FWF. for women who experience sexual intimidation in We would like to implement this via training and Our factory indicates that the overtime was on the workplace and for women who are in need of also inform the employees of their rights, the average reduced from 15% to 10%, which falls additional assistance in caring for sick children. worker representative and FWF’s complaint line. within the statutory standard of FWF. It is, however, According to the auditor the factory also complies approximate, because it differs per employee. The most important area of attention in Turkey with the living wage benchmark, however we still The follow-up audit that took place in May of this remains overtime. In addition, several corrective want to examine this in the longer term. year must verify this. Meanwhile we are going to actions are outstanding at our subcontractor that try to reduce the overtime at UFS even further. we are working on together with a number of In particular at the embroidery and printing other clothing brands. 16 17
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Bangladesh In 2018 a follow-up audit was conducted at The most important action points still remain Geebee Garments, with whom we collaborate worker awareness and the incorporation of a in Bangladesh. All corrective actions are now properly operational anti-harassment committee. followed up together with also other companies, Unfortunately this process is taking a lot of time, that source from this facility. however our goal is to finalize this in 2019 in association with FWF. The complaint system is During our factory visit at the start of this year neither working optimally yet. we went through all outstanding actions as well as the living wage aspect and the increase In terms of the safety at the factory most of the of the minimum wage, which has also been points were improved, however actions are still implemented at the factory. In the autumn we outstanding in respect of the building safety, which would like to roll out the living wage project to this must obviously be followed up as soon as possible. factory. The management indicated to be positive This takes place under the supervision of the The Risks about this, hence hopefully we can start this soon. Bangladesh Accord, which follows and inspects this. • Excessive overtime • Limited transparency • Salaries under living wage China The Risks • Limited freedom of association • Bad fire and building safety • Subcontracting • Sexual intimidation against women Due to decisions of the Chinese government there possibilities of providing training to the employees are factories in China that must either relocate in order that they obtain more insight into their • Excessive overtime or close. To our knowledge this takes place for rights and try to make the worker committee more • Salaries under living wage environmental motives and it is tried to place active. • Limited freedom of factories together in a more centralized manner in order to monitor them better or, if the standard Moreover, there are two other production association is truly not met, to even close them. Unfortunately, locations where only a small part of our production one of our factories closed. The latter because is produced. We intend to discontinue with one of relocation was not an option, because it was not the factories, we only represent a very small part of possible to obtain new staff or to maintain present their total production as a result of which we have employees. That is why we started looking for a very little leverage. This is particularly a problem new production location in China, which was when following up on the social conditions at the audited in May of this year. The other factories factory. Despite the fact that we cooperate with remain, in any case for the time being, at the another company the total leverage is still very present location. In total, we work with four small. Last year we provided a training together different production locations in China. Foshan Ka with this other company, unfortunately, due to Chun Garment is our most important supplier in limited cooperation of the management, only China, with which we have already cooperated a small number of employees participate in the for a long time. In July 2019 we have a repeat training, which is, of course, a shame. Our fourth audit scheduled at this factory. Risks that we want production location must still be audited, this will to have insight into include transparency because also be scheduled in 2019, after which we will work during the previous audit there was question of a on the improvement of the corrective actions. double bookkeeping. In addition, overtime and freedom of association are a problem. We think it is a good idea to after the audits examine the 20 19
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Portugal The most important risks are presently related always conduct a health and safety check, and we to the minimum wage, which is often the same discuss these risks and the situation at our factory. In for everyone, regardless of experience and addition, the production location is also held to post responsibilities, and is rarely increased. In many FWF’s Worker Information Sheet at the factory and instances this is not a living wage, which is to inform employees of their rights and FWF’s line. one of the reasons that employees perform so much overtime, which is often paid at a lower At the start of 2019 we visited the factory, which compensation level than prescribed by law and had recently relocated, in order to check what is often not registered. Another risk is related to the factory looks like and to conduct a health and health and safety conditions. The economic crisis safety check-list and this was all in order. The biggest incited employers to save on investments. That risk in Portugal is, in our opinion, excessive overtime is why machines are rarely replaced and they due to fast deliveries. Our partner indicates that become more dangerous to use. Also because overtime is exceptional and minimal. The Risks training is not provided and external consultants • Excessive overtime are not deployed to work on a risk assessment with • Subcontracting to smaller the factory. workshops Our factory in Portugal, Ultra Creative, is visited by The Risks • Salaries under minimum us, however not audited because Portugal falls • Excessive overtime and incorrect Morocco and living wage under the low-risk countries. During a visit we do payment of the overtime • High percentage of • Salaries under living wage female employees without • Unhealthy working conditions agreement or social Morocco has, as a production country, often more protection risks than expected because it is relatively close. • Limited freedom of However, there are indeed big risks, e.g. ample association overtime and subcontracting, due to fast delivery times, unequal rights for women and limited • Unhealthy working freedom of trade union. conditions THA, our factory in Morocco, organized a training to inform employees about FWF and the complaint mechanism. Health and safety actions were implemented and moreover the factory indicates that contract employees are converted into permanent employees after two years. All these actions will be verified during a follow-up audit. Overtime and subcontracting are not a risk at this factory, but of course this is always checked during every audit. Focus points remain as followed: optimize worker committee and complaint mechanism and stimulate women in managerial positions. 20 23
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Our living wage project in Turkey was finalized in 2017, ever since all factory employees have received a living wage. We won FWF’s Best Practice Award for it in 2017. At the start of this year this benchmark was calculated again and adjusted. The latter due to the high increase of the The determination of minimum wage. the living wage This project was then rolled out to the factory in Pakistan. In 2018 we visited this supplier twice to meet, about this. During one of these visits per product a questionnaire was also distributed to the employees who work at our production floor. They indicated what all their costs are, and in this In the clothing industry employees are usually respect the question was also asked what they paid under the living wage, which is not sufficient feel a living wage should be. These results were to make a living. To yet make a living overtime processed by The Sustainable Trade Initiative is often performed, however we feel that the (IDH) and a benchmark was determined in this basic wage should be enough to make a living. respect. Feedback was subsequently given to the Schijvens wants to know whether its cost price factory and now it needs to be calculated what is enough to pay for a living wage. If yes, then the additional cost will be to increase the salaries Schijvens wants to know why the employees are to the said living wage benchmark. In this respect not paid a living wage. If not, then Schijvens wants it goes without saying that the difference in work to increase its cost price in order that the living experience and expertise should be taken into wage can be paid. If Schijvens does pay the living account. wage but it is not paid to the employee then Schijvens will enter into discussions with the factory This factory comprises 23% of our total production. management to verify what the reason is and Turkey covers 39% of our production, hence what Schijvens can change about that together when we have also implemented the living with the factory. wage in Pakistan. This year we expect to have a demonstrable living wage at well over 60% of our Goal production. Because we are an important player Our factories comply with the living wage. to the factory in Pakistan and also because this is a family business that is intrinsically motivated to Actions improve and to properly provide for its staff, we Determine the living wage benchmark by means expect to be able to jointly realize this. Moreover, of a questionnaire under factory employees and we are also trying to cooperate with another moreover obtain insight into the wage minutes of player of the Covenant, which also sources from our products, this is compared to the living wage, this factory. If this becomes a success then we will in order that we can check per product whether again copy this to a subsequent producer from the living wage is or is not included in our cost our “Value Circle”. We had the ambition to do this price. If note, then we recalculate the cost price “This year we faster however the present experience teaches and increase the price together with the customer. us that the factories still measure much too little to The living wage project is on-going in Pakistan and expect to have truly obtain good insight into wage minutes and is then rolled out in Bangladesh. cost prices, which are essential data. The next roll- a demonstrable out will be at the factory in Bangladesh. Deadline Finalization of the living wage project in Pakistan living wage at well and roll-out in Bangladesh at the autumn of 2019. over 60% of our Who Jaap, Shirley, Jeske and the producers. production.” 24 23
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Planet Recycling Meanwhile we have, apart from the ECAP Of course we want to produce our clothing in project, been working with RVO and the embas- a manner that is as environmentally friendly as sies in Turkey, Pakistan and China on creating possible and we aim to be fully circular. We are breakthroughs in the present legislation, which is working hard to increase the recycled content in not set to circularity yet. We realize that we are a our clothing. By recycling clothing we produce small player, however we are a trendsetter and new recycled yarn, which we use for new pro- a disruptor who can open doors, can set exam- ductions again. Because the footprint of recycled ples and make sure that in time the scalability of yarn is considerably lower than traditional yarn. our projects can work internationally and can be The waste dump is also reduced because we pick followed or improved by big players as a result of up the worn clothing from our customers. We try which the environment will shortly no longer suffer doing this by convincing customers to participate from our industry. in our recycling process. We can then pick up the clothing and shred or melt it at the recycling fac- Our goal is to move from 22% to 75% recycled tory in Turkey. The yarn is distributed over the cloth collections in 2019. We will convince even more producers who in turn can produce new cloth that customers to switch to recycled clothing and will is used in new productions of Schijvens. moreover convert our T’riffic brand into recycled materials. Our ultimate goal is to be fully circular in In 2018 Schijvens delivered 22% of its total produc- 2021. tion in its recycled yarn. In addition, it collected almost 100,000 pieces of worn old clothing from its customers. Twenty of our customers are wearing recycled clothing. Schijvens also won the 2018 Corporate Fashion Award in the sustainability category, with the CSU collection, that we are very proud of. According to the Jury the picture is complete with this collection and it shows that CSR does not need to be boring at all. We have an employee within Schijvens who is dedicated for 100% of this time to the circular process, this person cooperates with our ISO coordinator who is also responsible for the return logistics. In addition, we hired two employees who sort and repack all the old clothing in order that it can be transported to the recycling factory. 26 25
100% circular 28 29
Materials We want to make the entire product as sustainable as possible, both the raw materials, The increase e.g. cotton and polyester, and the trimmings, e.g. buttons and zippers. An overview of all of recycled materials used in our productions from 2018, with alongside sustainable alternatives, is attached. In 2019 we want to convert this as much as content possible. We will gradually convert cotton and polyester into recycled raw materials. At the moment our factories in Turkey and Pakistan are in our clothing producing recycled collections and tests are being conducted in China and Pakistan. This year we expect to start the first productions here. In By recycling clothing we produce new recycled 2019 we want to grow from 22% to 75% recycled yarn, which we use for new productions again. collections. The latter by convincing customers, Because the footprint of recycled yarn is who are not using recycled clothing yet, and considerably lower than traditional yarn. The waste moreover by converting our own T’riffic brand to dump is also reduced because we pick up the recycled. worn clothing from our customers. We want to produce our clothing entirely Goal circularly. That is why we also convert our present Less environmental pollution by increasing trimmings to sustainable alternatives. Our styling recycled content. has already continuously been seeking sustainable trimmings or better solutions, but to handle this Actions constructively we need more time. The database We try to convince customers to participate in with present trimmings must still be made our recycling process. We can then pick up the transparent. clothing and shred or melt it at the recycling factory in Turkey. The yarn is distributed over the In the coming two years we are going to invest cloth producers who in turn can produce new more time in this in order to ultimately make the cloth that is used in new productions of Schijvens. product completely sustainable. Deadline Finalize testing of recycling in China and India Productions 2018 Goal 2019 and start first recycled productions in 2019. To this end recycled yarn must be shipped in the Cotton conventional (36%) Cotton recycled (35%) course of which it will become clear whether we Polyester conventional (35%) Polyester recycled (37%) encounter any trade barriers. In addition, we are Cotton recycled (12%) Cotton conventional (12%) working on the implementation of a software tool Polyester recycled (14%) Polyester conventional(14%) that measures and renders the stock inventory, Acryl (0,4%) Polylana (0,4%) the return logistics planning and the realized Leather (0,1%) Organic or synthetic leather (0,1%) environmental result compared to the Sustainable PU (0,1%) Water-based PU (0,1%) Development Goals. The goal is to increase the PVC (0,5%) Sustainable Alternative (0,5%) number of recycled productions from 22% to 75%; Viscose / Rayon (0,2%) Lenzing Viscose (0,2%) we will approach even more customers for this and Wool (0,2%) Organic Wool (0,2%) convince them to switch to a more sustainable Elastane (0,4%) Mechanical stretch (0,4%) collection. Who Shirley and Jaap. 30 29
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Water, energy and chemicals “20 of our customers It is generally known that the production of have switched to circular clothing is environmentally unfriendly, it is even the second most polluting industry. We are now working on conducting more due diligence in company clothing.” respect of the production locations further ahead in the chain, e.g. dye houses, spinning mills and cotton plantations. Only the sewing shops fall under FWF, which focuses on the social conditions of the factory. In the years to come we also want to delve deeper into all other locations where more environmental risks occur due to the fact that processes can be detrimental to people, animal and the environment. We therefore also want to have more insight into this. And moreover, by using recycled collections. The increase of Meanwhile, 20 of our customers have switched to sustainable circular company clothing. This saves: 40% CO2 emission, 99% water and 40% energy. trimmings in What is being saved? our clothing The trimmings, e.g. buttons and zippers, are also 40% part of a garment. We want to define and analyse what exactly we use in terms of trimmings and how we can make them sustainable in order that the entire product is produced in an environmentally friendly manner. Goal Produce the product in a completely sustainable 99% manner. Actions Create an overview of all existing trimmings and process this in a database, find sustainable alternatives and also use them in our collections. Deadline 40% 2020. Who Jaap, styling and QC. 32 31
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Production Chain Meanwhile we have insight into a total of 65 production locations. Apart from the CMT factories, all fabric suppliers, as well as printing and embroidery locations, are fully transparent. In particular the raw material locations, e.g. the cotton farmers, are hard to retrieve. In the year to come we want to work on this further in order that we hopefully obtain insight into all locations that are part of the production of our clothing. However, once our productions are fully recycled it is no longer important to obtain insight into Due diligence locations like cotton plantations. The next step is then to also conduct a due in the entire diligence at these locations. All data and certificates were collected, however this year we also want to have a number of important production locations audited by a third party. We have recently started a project at one of our production chain dyehouses in China, this will take the coming year. We are working on the performance of a due In addition, we want to, in any case, audit another diligence at production locations further ahead in important fabric supplier. the chain, including fabric producers, spinning mills and dyehouses. In order to ultimately also improve Two of our fabric suppliers indicated that they the environmental and social conditions at these prefer not releasing their production location data. production locations. We made it clear that this is necessary for us and we proposed to then join the IMVO Covenant. These suppliers are in contact with the SER and Goal Obtain insight into all production locations within “Our ultimate are considering whether they want to join this. This way they do not need to communicate their our supply chain. production locations to us, instead these locations are supervised by the SER. goal is of course Actions Obtain insight into all production locations. Collect Our ultimate goal is of course to implement to implement existing audit reports and certificates. Have the most important factories participate in the module improvements in both the social and environmental area throughout the entire production chain, we will gradually pick this up. improvements in of the Higg Index, and have audits conducted by way of verification. both the social Deadline and environmental 2019-2020 financial year. area.” Who Jeske and Jaap. 34 35
ZOOM Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 ZOOM The Circular Concept Something to think KNIP about... The textile industry is the 2nd most polluting industry in the world. That is why Schijvens has already been working on the development to make new clothing of old clothing for quite some time. Schijvens does this by collecting circular concept the clothing at the customer, recycle it and make new clothing of it. The entire process of producing recycled company clothing has considerable impact on the NAAIEN environment. For instance, on average 99% water, 40% energy and 40% CO2 emission are saved because no new raw materials are required to produce new yarn and because the clothing does not end up on a waste dump or is incinerated. MODEL Hence there is a world to win, that is why our recycled clothing is made of recycled yarn. The yarn is made of 50% recycled textile and 50% recycled PET bottles. F Schijvens adds PET bottles because they make sure STO that the fabrics are strong enough and can properly be washed. Apart from the environmental impact there are also numerous social issues in the textile industry that are screaming for attention in the media, think about messages about child labour, exploitation and unsafe factory buildings. Schijvens has been affiliated with the Fair Wear Foundation since 2010 and has attained the Leader status, which means that its factories do very well NAAIMACHINE NAAIMACHINE in this area. Our own factory in Turkey even obtained the Best Practice Award of the Fair Wear Foundation in 2017 because a living wage is paid. RITS Schijvens has been producing company clothing EN for customers like Sligro, Hema, Kruidvat, Etos, Praxis, STIKK Gamma, Karwei, Intratuin, Qatar Airways, Blokker, Leen If you want to know more, then feel free Bakker, Xenos, Strukton, TBI, CSU, Mise en Place, Engie, to go to https://www.schijvens.nl or watch NS, Kwantum, Jacks Casino, Intertoys, Albert Heijn, Aldi, the video about the recycling process via Stayokay and Makro for more than 150 years. https://vimeo.com/251290906. 34 37
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Stakeholders Bangladesh Accord Bangladesh Accord was incorporated in 2013 after the collapse of Rana Plaza in order to monitor Organizations and improve the safety of clothing factories in Bangladesh. This also includes our factory in Bangladesh, which is a continuous process. Schijvens is affiliated with several organizations and European Clothing Action Plan (ECAP) initiatives in both the social and the environmental The focus of ECAP is to develop a pan-European area that assist us in conducting due diligence. framework in which environmental and economic Below, apart from the IMVO Covenant Sustainable advantages can be introduced in the clothing Clothing and Textile, with which we have been industry by creating a circular approach affiliated since the incorporation in 2016 and throughout Europe. Schijvens was the first pilot obtained a score of 63 points, the most important to market a circular collection. The ECAP pilots affiliates are mentioned. show that it is possible to make textile in a circular manner as a result of which a sustainable future at Fair Wear Foundation (FWF) the European level is within reach. FWF works for good working conditions in the clothing industry and is one of our most important Sustainable Apparel Coalition (SAC) Better Buying Cirmar affiliates. Our factories are audited by FWF after Higg Index is an initiate of SAC with which Schijvens This initiative aims at the assessment of buying Cirmar sets up, together with partners, a worldwide which we then work on improvement of the is affiliated. Our suppliers are asked to annually performances in the course of which suppliers system for circular products, components and raw work environment in association with the factory. enter their performances with regard to the assessed Schijvens. The relevant results were materials. They assist us in setting up a software tool Because of our performances we are, as a environment and sustainability on the basis of a discussed with all suppliers during the annual to monitor our circular process. business, ‘leading’ within FWF, which is the highest questionnaire. This way Schijvens obtains more supplier meeting. However, our suppliers had category and we obtained a score of 86 points. insight into the CSR policy and the performances doubts about the outcome of it. We provided GRS certification of factories. input about the manner that questions were Factories where our recycled yarn is produced asked. Unfortunately, during the last round it was are GRS certified. Control Union audited this for an also indicated that we are too small for this, hence order at our factory in Pakistan. it is presently on hold. MVO Nederland ISO 14001 certification We are a member of MVO Nederland (‘CSR The annual audits of SGS in respect of the ISO Netherlands’) and we provided a presentation 14001 certificate of Schijvens ensure that we with CSU during the MCO annual event about regularly check our environmental aspect register circularity and working conditions which was re- and verify this, where required, with our factories. ceived very well. In addition, we participate in a survey from Agape about our CSR policy. Remo For the assessment of the 100% post-consumer company clothing for Stayokay Schijvens relied on the expertise of the independent research agen- cy Remo. Remo has a database that analyses the links of the recycling chain of Schijvens and calculates how much post-consumer material a product contains. The label that is issued by Remo is attached to the piece of company clothing by Schijvens and contains a QR code that takes the customer to a website where all the information about the links in the production chain can be found. 38 37
Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Action Plan Dutch Agreement on Sustainable Garments and Textile ‘19 Sponsoring Apart from the sustainabilisation of the clothing industry through corporate social and environmental responsibility, Schijvens feels that it is also important to make a contribution to society by supporting charities. Meanwhile, Schijvens has already been able to support the following charities. 2018 Ronald McDonald McHappy day KWF Kankerbestrijding 2017 De Voedselbank 2016 Warchild 2015 Masterpeace In addition, Schijvens supports local initiatives like Foundation Yayasan Jasinga, Beachbeek, Elastiek Muziek, Football Association Hilvaria, Carnival Association De Pezerikken and Harmonie Willibrordus. Communication Winner of Corporate Fashion Award With the jury comment that the picture is truly complete with the collection of CSU and that this collection shows that CSR really does not need to Sustainable Fashion Show be boring, we won the 2018 Corporate Fashion During the sustainable fashion show ‘walk the Award together with CSU. talk’, which took place in Hanoi in April of this year, Schijvens could be seen with the sustainable CSR Events collection of facilities business CSU. Schijvens As a business we are often invited to talk about wants to show that much is possible in the textile our sustainable policy and the circular clothing industry in the area of sustainability. The fashion that we produce. We hope to thus inspire others. show was attended by Prime Minister Mark Rutte For instance, in Copenhagen we provided a and the Vietnamese Minister with the objective of presentation to the City of Copenhagen and we discussing, inter alia, violence and intimidation in were invited in Helsinki to provide a presentation the workplace at clothing factories. at the World Circular Economy Forum In Helsinki in June. FWF’s Best Practice Award In 2018 FWF’s Best Practice video was launched. Schijvens in the news This centres on our living wage project in Turkey for In 2018 we were frequently in the news, inter which we won the Best Practice Award. Curious also with the NOS News about the Covenant how this process took place and how the factory Sustainable Clothing and Textile, and moreover in employees experienced this? Check out the video various newspaper articles, magazines and on the on: https://www.schijvens.nl. radio to talk about our sustainable developments, see pages 40 and 41). 40 39
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