Trade agreements as means to enhance & enforce labour regulations Norwegian Ministry of Labour Oslo, 9th Feb 2010 Gunelie Winum, Project Manager, ETI-Norway

What is ethical trade? Trade which respects and promotes human rights, labour rights, development and environment in the supply chain Continuous improvements, not compliance guarantee “It is an Utopian notion that poverty can be overcome without the active engagement of business” Kofi Annan

About ETI-Norway Cooperation for trade which respects and promotes human rights, labour rights, development and environment Membership, non-profit based alliance of companies, trade unions, NGOs, employers’ associations and public sector Open to all sectors (P.t. 117 members) Commitment to Declaration of Principles, including - Adopt ETI-Norway Base Code, disseminate to supply chain - Annual report on implementation progress – publicly available Enable members to meet ethical requirements through oCapacity building both at home and in supply chain oExtensive network of local resources who can assist in improvements

ETI-Norway Base Code Based on UN & ILO Conventions & Recommendations Basis: Follow national laws and regulations 1.Prevent & remediate forced labour 2.Prevent & remediate Child Labour 3.Prevent & remediate Discrimination 4.Respect & promote Right to organise and Collective Bargaining 5.Promote Secure workplaces (OHS) 6.Promote living wage 7.Promote regular employment 8.Prevent & remediate harsh treatment 9.Prevent & remediate excessive working hours 10.Promote & respect local communities 11.Promote & respect environment

Labour rights violations – some root causes  Production management: Competing about foreign customers, insufficient knowledge of duties as employer  Workers: Little knowledge of rights as employee, weak/lacking channels for dialgoue and collective agreements (trade unions, worker committees) and collective bargaining agreements)  Western companies: Pressure on price and production time, majority is not concerned about improving conditions  Local goverments: Lack will or ability to enforce laws, weak institutional capacity to follow up, competition about foreign capital (”Governance Gap” John Ruggie, UN)

Governments role in improving labour conditions UN Special Representative John Ruggie – ”Protect, Respect, Remediatie” UK Gareth Thomas, DFID Minister -Protect the rights of people who produce the goods which trade depends on -Use trade to promote sustainable low-carbon development -Special attention to those who suffer from globalisation ChinaNike vs. AmCham China Labour Contract Law (2008) IndiaGAP & other brands: Joint remediation efforts with India Ministry of Woman and Child to combat child labour ETI Code of labour practice: “Do workers really benefit” (Institute of Dev. Studies, University of Sussex, 2006)

Operational capacity building Norw Govt. Decent Work Strategy  Capacity building of Labour inspectorates - Sectors - Regions

responsible supply chain management