Friday, May 24, 2013

Week 1 Current Event

Current Event Post - Week 1
Company: Sea Island

Summary: I read the article "Who has Signed the Bangladesh Safety Accord - Update," written by Katie Smith on May 24, 2013. It touches on the Accord on Fire and Building Safety that was recently signed by 40 different countries after a factory in Bangladesh had collapsed. The accord will last for 5 years and require safety inspections and public reports filed on the factories. Renovations and safety upgrades will also be mandatory for Bangladeshi suppliers. Companies that have signed the agreement are:

COMPANYGLOBAL HEADQUARTERS
Abercrombie & FitchUS
AldiGermany
ArcadiaUK
BenettonItaly
BonmarcheUK
C&AGermany
CarrefourFrance
Charles VögeleSwitzerland
El Corte InglésSpain
Ernstings's FamilyGermany
EspritHong Kong
Fat FaceUK
G-StarNetherlands
Hennes & Mauritz (H&M)Sweden
Helly HansenNorway
HemaDenmark
Hess NaturGermany
InditexSpain
JCBBelgium
John LewisUK
KiKGermany
LidlGermany
LoblawCanada
MangoSpain
Marks & Spencer (M&S)UK
MothercareUK
N Brown GroupUK
New LookUK
NextUK
Otto GroupGermany
PrimarkUK
PVHUS
Sainsbury’sUK
Shop DirectUK
StockmannFinland
SwitcherSwitzerland
TchiboGermany
TescoUK
V&DDenmark
We EuropeNetherlands

This might affect Sea Island through its vendors that they use. If some of the vendors source to Bangladesh or have factories in Bangladesh, they will have to adhere to the safety restrictions and fully pay for any renovations that are needed. Since the money has to come out-of-pocket from the company, this could affect finances and the overall logistics of sourcing and manufacturing the product.

I think this accord is very positive and I hope other countries creates similar accords. There is so much abuse that happens in factories abroad and these safety restrictions that are legally binding will hopefully lead to improvements of conditions for workers. The other companies that have factories in Bangladesh should also sign the accord.

Co-worker's opinion: My co-worker, Cidney, also thinks this document is extremely positive and beneficial to the Bangladeshi workers. She is in agreement with me in hopes of other countries creating accords similar to this. We also discussed the issue of the end of the 5 year mark and whether or not these companies will resign the accord after the additional expenses of safety renovations.

Smith, K. (2013, May 24). Who has signed the Bangladesh safety accord - update. Retrieved on May 24, 2013 from: http://www.just-style.com/analysis/who-has-signed-the-bangladesh-safety-accord-update_id117856.aspx

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