Standards and Principles
Introduction:
This is the third and final post on proposed principles and standards for fair trade jewelry manufacturing.
I recommend you read the previous two posts, which will provide a context to the information below. You can also download the entire document here. PDF Version of doc.
~ Marc Choyt, Publisher.
The principles as a basis for standards used in this section represent the latest version as decided by the larger working group, with the exception of number 8, which deals with composition of the product. Those who worked on this project recognized that there will be some evolution in the principle document as it is tied to specific standards.
The Proposed Principles And Standards Document Below Represents Only A Starting Point For What Will Be A Larger Discussion Among The Manufacturing List Serve Group Which Presents Greater Civil Society.
Even The Principles Which Were Established In 2008 Will Certainly Be Changed In The Evolution Of This Document.
1.) Community Consent:
Introductory Comments:
Fair made jewelry products generate local economy and local prosperity. They are often based in communities with strong craft traditions. Given the chemicals used in jewelry production—even small shops can negatively impact worker health and environment– any factory could represent a “resource curse” to its host community. Therefore, they must function with full transparency and within the regulatory framework of local governments.
Principle:
Companies recognize that community support is the foundation of any fair made product. To the extent possible, companies will obtain prior informed consent of affected communities and civil society before starting operations. Companies will support local community as part of their efforts toward sustainable manufacturing.
Sustainable manufacturing first and foremost generates maximum beneficial economic activity in a local community. This includes decent work at a livable wage, environmental safeguards and real support of the general well being of a host community.
Standards for Community Consent:
Minimum requirements:
1.1: Companies will provide documentation of consent for their operations from local community and government.
1.2: Companies will provide documentation listing how they work with community as part of their efforts at sustainable manufacturing. Possible documentation would include: community meeting minutes, or photo/video footage of processes.
Progressive requirements:
1.3p: Companies should make a positive difference to the quality of life in the communities where they live, providing not only jobs at a living wage, but supporting activities relating to the public good, such as charitable and or cultural program activities, or a community based forum, if it does not exist.
2. Human and Workers Rights
Introductory Comments:
The principles contained in the International Labor Organization (ILO) have increasingly become the standard global objectives to eliminate poverty and support a worker’s rights to a fair wage and decent working conditions. Decent work, as described by the ILO: “Involves opportunities for work that is productive and delivers a fair income, security in the workplace and social protection for families, better prospects for personal development and social integration, freedom for people to express their concerns, organize and participate in the decisions that affect their lives and equality of opportunity and treatment for all women and men…”
At a minimum, whether considered large or small, factories where fair made jewelry is produced must embody decent work standards.
Principle:
Employers will respect basic human rights and labor standards, including but not limited to: freedom to organize, no forced labor, no child labor and no discrimination, in adherence with the eight core International Labor Organization (ILO) Principles. Employers will also respect the rights of women and disadvantaged groups.
Standards for Human and Worker Rights:
Minimum requirements for small and medium fair made manufacturers:
2.1: Workers can organize and form a collective for their betterment.
2.2: In such cases where workers have chosen to organize, the Director of the Fair Made factory, recognizing that the spirit of fair trade is transparency and fair and equitable distribution of resources, agrees to freely contact the fair made governing body.
2.3: The factory shall not use forced labor, or employ workers under any threat or duress.
2.4: The factory shall not use child labor. In the case of families employing children, such employment shall not interfere with schooling.
2.5: In the hiring and day to day practices, the factory shall not discriminate against race, religion, sexual orientation, or gender. Women and men shall be equally compensated for the work they do.
2.6: The company shall pay at least, but preferably more, than the minimum wage, as set by the local government.
2.7: Workers will be properly compensated for overtime, according to local laws and regulations. (Does every country address this in their regulations?)
Additional minimum requirements for medium fair made manufacturers:
2.8: An employee handbook shall be created and distributed to all employees, which outlines these basic rights and the policies of the company. A further copy of this handbook shall be readily available for all employees at the work site.
The handbook should be available in the languages of the employees. If employees cannot read, the handbook shall be read to them. As much as possible, key points shall be based on visual communication, including pictures and stories.
2.9: A formal procedure to evaluate grievances and conflicts shall be established.
Progressive Requirements:
2.10p A profit sharing mechanism shall be established.
2.11p A company shall provide a medical fund to support the treatment of illnesses in its employees requiring hospitalization.
2.12p The company shall provide a vacation and or holiday allowance for employees.
2.13p The company shall pay a living wage, over the minimum wage for all employees, depending upon experience and length of service.
2.14p Paid bereavement compensation and time for losses of immediate family.
2.15p: The company transparently pays more than the minimum wage to its workers.
Skill Transfer Program
Introductory Comments:
Jewelry craft traditions are often passed down over generations, through families or villages. In developed and developing countries alike, parents often teach their children such skills at a very young age. Outside of a direct family unit, however, jewelers employing young people must have some kind of formal program in place with established criteria, which offers the apprentice clear goals and fair compensation during the learning process. Formal education will not be interrupted in order to perform workplace functions.
Principle:
In the case of young people serving in a skill transfer program, whether conducted in a factory or as part of the cultural heritage of a family or community, the work of a young person would be accepted, with the proviso that health is not compromised, and that labor is fairly compensated.
Standard:
Minimum requirements for all fair made companies:
2.16: A formal evaluation, at least twice a year, is put in place to determine what skills have been mastered and what skills still need to be transferred.
2.17: Once the skills have been mastered, the worker shall be paid a fair wage in context to his or her abilities in the market.
2.18: Any manufacturing company employing young people must have a formal document which outlines the set of skills that are being taught.
Progressive requirements
2.19p: Fair made factories pay for additional basic schooling outside of the plant for the apprentice during the skill transfer program.
2.20p: The company shall provide opportunities for skill improvement and up-skilling for existing employees.
3. Safety
Introductory Comments:
The amount of investment required to have a completely safe shop is considerable. In all countries around the world, regardless of economic status, jewelry continues to be made in such a way as to be harmful to workers.
In the developing world, non-toxic alternatives are often not available, they are too expensive, or they are not as efficient to use by piece workers. Resistance to change can be fierce, because a producer develops a strong relationship with his materials that increases his efficiency over time.
Recognizing the many variables, some of these requirements need to be viewed as goals with timetables, allowing a plant to work toward these improvements over time.
Principle:
Employers will provide safe working conditions, ensuring training and monitoring are ongoing to uphold continual improvement in this regard.
Standard:
Minimum Requirements for all fair made products:
3.1: Within two months, the dangers of all chemicals used in production are known by those who purchase them.
3.2: Within three months, the dangers of working with all materials are fully explained to, and understood by, the workers.
3.3: Within six months, minimum safeguards are put in place, such as at least some passive ventilation in soldering areas.
3.4: When less toxic compounds and chemicals are affordably available, they will gradually replace more harmful ones.
Intermediate requirements:
3.5i: Management develops awareness tools and visual guides on all safety issues.
3.6i: Active ventilation systems are put in place, including fans or other systems that remove toxins that result from soldering and finishing.
3.7i: Masks are provided and required for those who work in buffing areas.
3.8i: A handbook is created which outlines dangerous issues.
3.9i: All new employees are trained and given a handbook outlining the dangers of compounds and chemicals.
Progressive requirements:
3.10p: All compounds, fluxes and chemicals are evaluated. Those which are more harmful or dangerous are changed out for those that are less harmful or dangerous.
4. Indigenous People
Introductory Comments:
We recognize that craft takes place in traditional settings which have their own yearly cultural traditions and rhythms. At the same time, the running of a jewelry production factory that exports to western countries must run on deadlines.
Principle:
Employers will respect and work to preserve the culture and heritage of local communities, including indigenous peoples.
Standard:
Employers will respect and work to preserve the culture and heritage of local communities, including indigenous peoples.
Minimum Requirements:
4.1: Within reasonable limits, fair made manufacturing companies must give allowance for family traditions and cultural events.
4.2 Manufacturers create an annual time line of cultural events in order to plan production schedules so as not to disrupt operations.
Progressive Requirements:
4.3p: The company takes an active role in supporting the rights and culture of indigenous people.
4.4p: The company takes an active approach in incorporating traditional culture and elements into the manufacturing process.
5. Sustainable Social Development
Introductory Comments:
Fair made jewelry must make a difference in the quality of life for all producers as well as the community in which they live.
Production activities must be formalized. Taxes must be paid so that local governments can use revenues for the common good.
Principle:
Manufacturing activities will contribute to the sustainable human development of the communities in which they take place, improving the quality of men and women workers and their families.
Standard:
Minimum Requirements
5.1: The fair made manufacturing company must pay all taxes, fees, royalties as applicable by law.
5.2: The manufacturing company should improve the quality of life of its workers, including but not limited to health, housing and education for children.
6. Environment
Principle:
Manufacturing companies will operate with a commitment to ecological sustainability, minimizing waste, and seek continuous improvement in their environmental performance.
Standard:
Minimum Requirements
6.1: The company will audit the waste from its facility.
6.2: Within a year, the company will implement a plan to reduce waste.
6.3: No materials shall be used in producing jewelry from endangered species.
6.4: The company will operate in full compliance with national environmental regulatory requirements. Any contaminants will be dealt with immediately and responsibly with the goal of minimizing impact to the environment.
6.5: The company will document their environmental performance and make it available to their auditors.
Progressive Requirements
6.6p: The company will seek opportunities to continuously improve in their environmental performance and document such improvement.
6.7p: In addition to operating within full compliance with national environmental regulatory requirements, companies will strive to adhere to international best practices in their sector in running a facility, no matter where it may be in the world
6.8p: Companies will minimize waste production, and identify, manage, and mitigate the negative impacts of dumping wastes.
6.9p: Water and energy will be managed responsibly and efficiently. There will be responsible use, re-use, recycling and disposal of substances and materials at all stages of operation.
6.10p Manufacturing will operate with a commitment to ecological sustainability, minimizing waste, and seek continuous improvement in their environmental performance..
6.11p: Companies will make every effort to utilize recycled products and energy efficient lighting in their production whenever possible.
6.12p: Companies will recycle waste products at every available opportunity.
7. Legality
Principle:
Companies and individuals will adhere to existing applicable laws and support the establishment of legal frameworks in sectors where they do not currently exist. They will comply with international conventions and national laws with regard to anti-money laundering, bribery and corruption.
Standard:
Minimum Requirements:
7.1: Companies agree to work within legal frameworks and comply with international conventions and national laws.
8. Transparency
Principle:
High standards of financial, social, manufacturing, delivery transparency and accountability principles will be observed.
Standard:
Minimum Requirements:
8.1: Companies will be transparent in regard to finances and delivery to their workers and trading partners.
9. Closure
Principle:
Companies will design and plan operations so that adequate resources are allocated to meet legal, social, ethical and environmental closure requirements. These closure requirements will then be carried out on closure of the facility.
Standard:
Minimum Requirements
9.1: In the event of plant closure, the company will adequately safeguard the local environment. Employees shall be given at least three months notice.
10. Verification
Principle:
Independent, third party verification will be actively and persistently sought and utilized to ensure that activities operate in accordance with stated principles and standards.
Standard:
Minimum Requirements:
10.1: The company supports third party certification efforts to support its compliance.
11. Material Used In Manufacturing
Principle:
Companies shall be transparent in regard to the sourcing of all material that is used in the manufacturing of fair made products.
Standard:
Minimum Requirements:
11.1: Companies shall to the best of their ability, trace where the material for their manufactured goods comes from.
11.2 Companies will attempt to source ethically as opportunities become more available over time.
Progressive Requirements:
11.3p: Companies shall use fair trade or recycled precious metal, and gemstones that can be traced from mine to market, ethically sourced and polished.