Company profile: IIC-Intersport International Corp.
Headquarters: Bern
Country: Switzerland
Founded in: 1968
Total points of sale in Europe: n.a.
Owned by: National INTERSPORT Organisations
Name of CEO: Franz Julen
Product description: Intersport acts as agent for sportswear according to the sports activity under the following brands; Etirel, McKinley, Northbrook, Pro Touch, Online, Dynatour, Firefly
Countries of production: Bangladesh, China (People's Republic of China), Hong Kong, India, Korea, South Korea (Republic of Korea), Taiwan, Thailand, Vietnam, France, Germany, Italy, Romania, Slovakia, Spain, United Kingdom
General remark: IIC has no own stores. The products are sold in 4900 independent INTERSPORT affiliated shops. These shops are also selling products of all kinds of brands. a) Subsidiaries included in your reply as part of your CSR-Management system: Starting 2008 INTERSPORT International Corporation (IIC) is in charge of ‘COORDINATING’ the CSR activities of the production of all Exclusive Brands (EB’s) also those produced direct by the N/Os. b) Subsidiaries / third party products not included in your reply: Nike, Adidas, and other well known brands
IIC-Intersport International Corp.
Jürg Stucki
Obere Zollgasse 75 3072 Ostermundigen Postfach 1251
stucki(at)intersport.com
Comment from CCC and proposals for action
Since 2006 Intersport International Corp. (IIC) has been part 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, Calida does not allow its factories to be verified by an independent, and therefore credible, multi-stakeholder initiative (MSI).Since their membership with BSCI just four of 106 production facilities in Asia and Europe have been audited. In 2007 seven additional audits were planned and four factories were SA8000-certified. Because IIC’s vendors often change (for 60 to 70 percent of the suppliers, business relationships last less than five years), Intersport admits that it is difficult to introduce fair working conditions with the producers. While in the 4,900 Intersport shops clothing made from organic cotton from other sports brands are offered, the same cannot be said for Intersport-produced products.
Take action: Express your misgivings to the sales personnel about BSCI’s approach and encourage Intersport 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
IIC-Intersport International Corp. 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. IIC-Intersport International Corp. 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
IIC-Intersport International Corp. 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. IIC-Intersport International Corp.’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
Although a few steps have been taken, IIC-Intersport International Corp. does not have sufficient instruments to effectively implement minimum labour standards in its supply chain. The code of conduct is translated into most of the languages of the countries the company is sourcing from; every buying contract states the obligation for the supplier to comply with the code. According to the information given IIC-Intersport International Corp. 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.
Monitoring and Verification
As a member of BSCI, the company has audited 4 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 IIC-Intersport International Corp. to take responsibility for workers’ rights violations in its supply chain.
Recent developments
A social report is planned for the current year. The Clean Clothes Campaign expects that this report will follow the recommendations of the Global Reporting Initiative (GRI) regarding transparency and details on the social and ecological progress of all its producers.