Call # 258 April 2003

Employees of the textile factory Par Garment in Bangkok found closed doors when they arrived at work on 18 December 2002. The company, which went bankrupt, left its 149 workers jobless and with unpaid wages. Par Garment manufactured clothes for international brands such as Gap, Nike, Adidas and Wal-Mart. Recently a local trade union forced management to meet its commitments and observe Thailand’s labour code, by taking the company to court. Rather than accept this "constraint" the owner seems to have organized his company’s bankruptcy, passing orders on to two other factories in which he also has shares - and where no unions exist. But the Western customers of these factories have not changed, and Par Garment’s former workers are calling for international support to force them to face their responsibilities.

Par Garment, founded in 1987, had an irregular but upward growth curve. As is all too often the case with sub-contractors, working conditions at the factory were deplorable: appallingly low wages, compulsory overtime, night work paid below the legal minimum, sexual harassment, insalubrious premises and violations of trade union rights were part of the daily lot of workers, most of whom were women. With the support of the Young Christian Workers Movement (YCW), and despite threats of dismissal - and even of death - received by union leaders, employees organized to demand improved wages and working conditions. In 1990, after closing the factory for nine days, management stepped down on a few points and a union was formed. The support of other Thai organizations and media coverage of this first social conflict were decisive factors in its success.

A HISTORY PUNCTUATED BY SOCIAL CONFLICT

In 1991 and 1992 Par Garment set up two subsidiaries in north-east Thailand(1): Montini Garment and Par Consortium. Part of its business was transferred to these factories in which working conditions were worse than at the Bangkok factory. When workers at both factories went on strike, 400 were dismissed. With the support of the Par Garment union and after three months of mobilization a partial victory was secured: half of the workers were taken back and the other half received compensation.

In 1997 Par Garment workers were once again faced with the intransigence of company management. In response to their demands the company referred to the economic crisis to challenge hard-won improvements (annual bonus, "high quality" bonus, etc.) and then suddenly closed the factory. Workers consequently organized sit-ins and demonstrations outside the factory premises. Some even lay down on the road to block the trucks that had come to remove machines(2). Their action was supported by workers of neighbouring factories, and international campaigns brought it to the attention of the Thai government and Western customers of Par Garment. After a struggle lasting over five months and the intervention of Prime Minister Chuan Leekpai, the factory was reopened. However, only some of the workers were allowed to return and working conditions were no better than before.

In 2000 the Thai courts ordered Par Garment to reemploy or compensate 30 union members who had been unfairly dismissed. Five of the workers chose to take back their jobs. However, although they were paid, management kept them away from the workshops. The trade union had to lay charges once again to obtain payment of annual bonuses for 1997 and 1998, and legal proceedings are still under way for the years 1999 and 2000.

In the weeks preceding recent closure of the factory, employees were forced to work four hours overtime daily. Then suddenly, in the last few days, they were no longer given any work and noticed that machines were starting to be removed, without management informing them of its intention. To date, neither their last weeks’ wages nor overtime have been paid. The local trade union considers that this is clearly an anti-union strategy. The owner of Par Garment, Apiwat Latinat Mongalat, purposely engineered the company’s bankruptcy to be able to concentrate his business in factories where workers are not organized.

GAP: COMMITMENTS TO MEET

Today, former employees of Par Garment are demanding payment of their wages in arrears, severance pay and placement - for those who so wish - in the two other factories in which Mr Apiwat Latinat Mongalat owns shares. They are appealing for international support to put pressure on the business partners of these companies. One of those partners is Gap Inc., which sells articles produced by close to 3,600 sub-contractors in 50 countries.

Gap publicizes its policy of ensuring that "in [its] factories all employees are treated with dignity and respect". It has adopted a code of conduct concerning observance of local labour regulations, working conditions and preservation of the environment. In particular, Gap emphasizes its concern for workers, child labour, questions of health and safety, and observance of workers’ rights to form trade unions(3). The multinational also mentions audits carried out on its suppliers to ensure compliance with this code. We therefore call on Gap to intervene for the rights of Thai workers producing for it.

(1) Respectively in the provinces of Korat and Ubon Ratchathani.

(2) After this action, management of Par Garment recruited a militia of young men to evacuate employees by force. When they arrived on site and realized they were facing women, they refused to carry out their mission and left.

(3) The document "Beyond the Label: Gap Inc.’s commitment to ethical sourcing" can be downloaded from the site www.gapinc.com

For more information

TIE-Asia:

Transnationals Information Exchange-Asia (TIE-Asia) is a network of Asian organizations supporting textile workers. More detailed information on the Par Garment story is available on its website.

www.tieasia.org

Made in Thaïlande (film):

This 18-minute video is about working conditions in Thai factories and shows what workers who try to organize go through. Available from the Collective De l’éthique sur l’étiquette, c/o Artisans du Monde (33) 1 56 03 93 50

GAP in France:

GAP has been in France since 1993 as a SAS (limited liability company). The group commercializes clothes under the brand name Gap, GapKids, BabyGap et GapBody in shops in Paris and surrounding areas, Lyon, Aix-en-Provence and Montpellier.

Call in liaison with:

Clean Clothes Campaign (CCC) www.cleanclothes.org

To write...

By letter: print or copy the following letter but feel free to change the wording if you wish.

NB: Don’t forget to date and sign your letter and to add your name and address.

Reaction time: As soon as you receive this call, or until end-April 2003.

Mr. Sylvain Stamboulian

General Manager

GAP FRANCE SAS

9 avenue Matignon

75008 Paris

France

(Date)

Dear Sir,

I have been informed by Réseau Solidarité (10 quai de Richemont, 35000 Rennes) of the sudden closure in December 2002 of the Par Garment factory in Thailand, which has left 149 workers without an income. In this company a trade union had secured some improvements regarding economic and social rights.

Par Garment produced clothing for GAP. Its owner, Mr. Apiwat Latinat Mongalat, has shares in two other companies working for the same brands, where workers are not unionized.

I urge you to accept your responsibility as an importer and, in keeping with your company’s Code of Conduct, to intervene in this affair in order to ensure that:

the demands of former employees of Par Garment are immediately met (payment of wages in arrears and placement elsewhere or severance pay);

your suppliers in Thailand comply with labour regulations by fully accepting workers’ right to organize.

I look forward to news concerning the results of your intervention.

Yours faithfully,