Public Eye and Clean Clothes Campaign are criticising Uniqlo for failing to live up to its social responsibility towards the affected women and men by refusing to negotiate with Indonesian trade unions over compensation for former factory workers.
Around 2,000 workers were made redundant when international brands suddenly cut their orders and the factory went into bankruptcy shortly afterwards. In the insolvency proceedings, though their right to salary and compensation were recognised the $5.5 million is still outstanding. Alongside Uniqlo, other companies that the factory produced clothes for and who also have a responsibility, include s.Oliver, Gerry Weber and Jack Wolfskin.
Over the past three years, the workers of Jaba Garmindo have been fighting tirelessly for their rights. The right to severance payments in the event of mass redundancies is recognised in international agreements and Indonesian law. Large multinational companies are thus expected to act pre-emptively to assess and mitigate the possible negative consequences of withdrawal from a factory. In the case of Jaba Garmindo, Uniqlo did not even inform the factory’s official trade unions of the planned withdrawal.
