Company profile: Globus
Headquarters: Spreitenbach
Country: Switzerland
Founded in: 1907
Total points of sale in Europe: 12
Owned by: Migros
Name of CEO: Dr. Marcel Dietrich
Product description: Women: Lingerie, Sport Fashion, Mainstream, Textile Accessories, Hosiery, Jeans, Essentials Men: Casual, Business, Shirt, Underwear, Trousers, Jackets, Coats, Socks Shoes: Women and Men Children: Children wear
Countries of production: n.a.
General remark: n.a.
Globus
Spitalgasse 17
3011 Bern
Postfach 1506
pascal.hoehener(at)globus.ch
Comment from CCC and proposals for action
Globus is a subsidiary of Migros and has recently become a member of the risk-oriented business initiative BSCI (Business Social Compliance Initiative), where maintaining the company’s reputation is at the forefront. The BSCI alone is not a sufficient instrument to solve the central problems of the workers in the textile chain. The BSCI admits that their approach to auditing companies often does not uncover more "subtle" offences such as the freedom of assembly. Nevertheless, Globus does not allow its factories to be verified by an independent, and therefore credible, multi-stakeholder initiative (MSI). Globus’s sales volume of 230 million Swiss francs for clothes and shoes is largely made up of foreign brands. Globus has a long-term relationship with up to 75 percent of the suppliers; although 40 percent of these are distributors. Globus works together with the Trade Union Federation on a collective work agreement. Although Globus said that, in principle, it would co-operate with a multi-stakeholder initiative, it has not yet done so. Furthermore Globus has said it wanted to examine whether it wants to offer organic or fair trade cotton products - but cannot say more regarding the matter.
Take action: press your misgivings to the sales personnel about BSCI’s approach and encourage Globus to join the Fair Wear Foundation (FWF). Ask for products produced from fair trade or organic-certified cotton.
The following evaluation of the company’s performance in terms of transparency, code implementation and monitoring of labour standards is based on the company’s response to the questionnaire from the CCC and on an additional desk study conducted by the CCC in 2007. In the section “Recent developments” you can find additional information gathered after 2007.
Transparency
Globus has responded to the CCC-questionnaire and has provided some additional documents. The company is in dialogue with some NGOs and/or trade unions. The company is transparent with regard to many figures such as turnover, profits, sales and corporate structure. The amount of salaries of the top management is not known. The information given about producer countries and the structure of the supply chain is not comprehensive. There is no sustainability report available. Globus provides neither the results of factory audits nor information about verification activities. The company does not disclose general targets for future monitoring activities.
Formal commitment to labour standards
Globus has adopted a code of conduct that includes a reference to the Universal Declaration of Human Rights and requires compliances with all relevant local labour laws. The code also indicates that where local and international standards are at variance the higher standard should prevail. The company is formally committed to respecting minimum labour standards in accordance with ILO Core Conventions. These include the right to organise and bargain collectively and prohibit child labour, discrimination, and forced labour. The company does not make the code mandatory for all workplaces where its products are made. Globus’s code of conduct does not apply to all workers affected by labour practices for which the company has some measure of responsibility. Beyond the ILO Core Conventions, the company is committed to workers’ right to earn a wage for standard working hours that meets the basic needs of workers and their families but does not provide a discretionary income. It is therefore not a living wage. Overtime is stipulated to be occasional only and is paid at a premium rate. The company’s code calls for a safe and hygienic environment for the workers who produce its garments and/or sportswear. The company does not explicitly require that all workers receive a regular employment contract. Beyond the labour standards mentioned above, the company code is not precise enough on some specific issues. It does not state its commitment in relation to*:
- guaranteeing a living wage during regular working hours without overtime.
Code implementation and purchasing practices
Globus did not indicate the steps it is taking to effectively implement minimum labour standards in its supply chain. The code of conduct is translated into some of the languages of the countries the company is sourcing from. According to the information given Globus has no intention to implement the payment of living wages to workers. According to the information available, some of the production sites are in countries or zones where freedom of association is not guaranteed by law. There are no provisions to give buyers positive incentives to reward better working conditions. There are no measures that show how to improve planning and prevent excessive overtime.
Monitoring and Verification
As a member of BSCI, the company has audited 0 suppliers within one year. The company is not involved in independent verification by a multi-stakeholder approach.
Violations of labour rights and public conflicts
There are no public urgent appeals from CCC calling on Globus to take responsibility for workers’ rights violations in its supply chain.
Recent developments
At the time Globus received the questionnaire it was in the process of analyzing its supply chain and, therefore, could not provide any further details on the producers.