H&M Group Renew Commitment to Protect Manufacturing Staff

September 08, 2024

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IF Metall president Marie Nilsson, H&M Group CEO Daniel Ervér and IndustriALL General Secretary Atle Høie sign the renewed agreement

In association with global trade unions, H&M Group has vowed to continue protecting the interests of its garment workers with a renewed agreement

H&M Group has renewed its Global Framework Agreement (GFA) with IndustriALL Global Union and the Swedish trade union IF Metall. This updated agreement builds on eight years of partnership and commits H&M to bolstering labour rights and improving working conditions for over one million workers in over 1,000 factories.

The GFA, first signed in 2015 and renewed in 2016, has now been updated to reflect recent developments in labour standards and industry best practices.

Atle Hoie, IndustriALL's general secretary, says:

"The GFA includes important elements such as neutrality in union organising and a dispute resolution mechanism bound by the decision of an independent mediator. These provide a solid foundation for functional industrial relations necessary for a sustainable textile and garment industry."

Atle Høie, General Secretary of IndustriALL

The specifics of H&M’s renewed labour rights pledge

The updated agreement introduces several new features including an updated governance structure, a commitment to collaborate on due diligence in line with Organisation for Economic Co-operation and Development (OECD) guidelines and strengthened language on preventing – and providing remedy for – gender-based violence and harassment.

H&M Group CEO Daniel Ervér explains: "Well-functioning industrial relations, including collective bargaining, are key to achieving good working conditions and improved wages in our supply chain.

Daniel Erver, CEO of H&M Group

"This contributes to a more sustainable fashion industry through functioning labour markets in the countries where we source our products".

A renewed focus on working conditions

The agreement's scope extends beyond traditional labour rights, acknowledging the importance of industry-wide collaborations to improve working conditions. It references initiatives such as ACT (Action, Collaboration, Transformation), the Accord on Fire and Building Safety in Bangladesh, and Bangladesh's Ready-made Garment Sustainability Council (RSC) and Employment Injury Scheme (EIS).

This renewed GFA comes at a crucial time for the global garment industry, which continues to face challenges related to workers' rights, fair wages, and safe working conditions. The COVID-19 pandemic has exacerbated many of these issues, highlighting the need for stronger protections and more resilient supply chains.

The agreement's provisions include promoting collective agreements at factory, company, and industrial levels, ensuring workers' right to refuse unsafe work, and providing training for both management and union representatives on various aspects of industrial relations. H&M Group has also committed to using its leverage to ensure that its direct suppliers respect human and trade union rights in the workplace.

Marie Nilsson, IF Metall President, says: "Now the important part begins, ensuring that we move from policy to practice. We are excited to continue this important partnership".

H&M Group have vowed to enhance working conditions in their manufacturing plants

A different kind of trend in the fashion world

The renewed GFA is part of a broader trend in the fashion industry towards greater accountability and transparency in supply chains. It reflects growing consumer and stakeholder pressure for brands to take responsibility for the working conditions in their supplier factories.

Implementation of the agreement will be overseen by national monitoring committees in key sourcing countries such as Cambodia, Bangladesh, Myanmar, and Turkey. These committees will play a crucial role in safeguarding the agreement's implementation from the factory floor upwards and facilitating dialogue between labour market parties.

As the fashion industry continues to grapple with issues of sustainability and ethical production, agreements like this GFA serve as important benchmarks for progress. They demonstrate the potential for collaboration between global brands, trade unions, and workers to drive positive change in the industry.

Atle says: "The national monitoring committees, global steering committee, joint industrial relations development committee, and dispute resolution mechanism provide a solid ground for functional industrial relations needed for a sustainable textile and garment industry."