Hosiery

There is little or no transparency on the conditions behind common processes in most supply chains in the clothing industry. Baptist World Aid and Not For Sale's 2013 document, The Australian Fashion Report, identified that out of 128 clothing brands, 61% of companies do not know where their garments are manufactured; 76% not know where their garments are weaved, knitted and dyed; and 93% do not know where their cotton is sourced from.

[Please note the ratings in our guide indicate praises or criticisms in one or more issue areas in the ownership tree, but not necessarily the area of labour conditions. For many companies we don't have any information about the conditions their clothes are made under. We don't automatically allocate criticisms to companies for this, even though it is quite likely the company is sourcing from overseas sweatshops.]

There is little transparency as to which clothing items are made by workers who are paid fairly and which clothes are made in sweatshop conditions. Modern-day slavery, which currently affects more than 30 million people, is used throughout the production of many clothing products sold on Australian shelves.

WORKING HOURS. Long working hours and forced overtime are a major concern among garment workers. Factory managers typically push employees to work between 10 and 12 hours, sometimes 16 to 18 hours a day. A seven-day working week is becoming the norm during the peak season, particularly in China, despite limits placed by the law.

WAGES. The majority of workers in the global fashion industry, rarely earn more than two dollars a day. Many have to work excessive hours for this meagre amount and struggle to properly feed, clothe and educate their families. The problem is complicated further when the millions of piece- rate workers and homeworkers within the industry are considered. When workers are paid by the number of garments they produce, rather than the number of hours they work, it becomes near-impossible to earn a living wage during a working week.

Women in El Salvador are paid just 29 cents for each $140 Nike NBA jersey they sew. To pay them a living wage, they would earn 58 cents per shirts, 4/10ths of one percent of the retail cost of the shirt.  [Labour Behind the Label]

In Australia, the use of home-based outworkers in the cut make and trim stage of production is common. The Textile Clothing and Footwear Union of Australia estimate that 50-70% of clothing made in Australia is outsourced, usually to migrant women working at home or in backyard sweatshops.

Long supply chains mean designers and clothing labels contract work out to factories, who subcontract work out to other factories, backyard sweatshops or outworkers. Often outworkers receive payment and conditions significantly below their award and statutory entitlements. Outworkers are almost always paid in piece rates, usually equating to $5-8 an hour, but sometimes as little as $3 an hour. The low rates of pay that outworkers receive, combined with routinely short deadlines, results in many outworkers having to work extremely long hours, sometimes around the clock, or 7 days a week.