View Primark code of conduct 

Wages

Primark audits its factories against minimum or prevailing wages, whichever is higher.  It told us that, “[w]e are very aware of the complexities of identifying a living wage which can be applicable to an industry and region, and have actively requested support from the ETI in doing so.”  It subsequently told us that, “we have been informed of two initiatives which will look at the topic of living wage in Bangladesh and in general. We have committed to be active in both groups.”

Freedom of Association

Here, Primark said that,

With our audit programme now well underway we are building up a clear picture of relative levels of understanding and intend to direct specific actions using local NGO’s and Trade Unions to assist in awareness raising where required.

When we met, Primark said that it was looking at training on freedom of association in India and Bangladesh, but initially for factory managers, not workers.  It was also planning to talk to a group of NGOs suggested by ETI in Bangladesh. It said that the next step will be to talk to the trade unions.

Monitoring and verification

Primark gave us a lot of information about its fledgling auditing programme when we met.  As a first phase, it has audited all its factories in Bangladesh, and is planning follow up visits three months after the audit.  Primark thought it important to add that it will pay for both the audit and follow up visits. “Audit is our first step in,” it said.  Primark explained that,

Whilst we agree that as a long term strategy auditing is not the most sustainable approach to the improvement of working conditions within our factories we do agree that it offers the best route to gain a good understanding of a supply base initially and remedy many of the Health and Safety issues commonly identified within factory environments. Audits have to link to rigorous and regular follow-up.

It said that it was recruiting local ethical trading managers to work on follow up issues emerging from the audits.  Interestingly, Primark said it had also received several emails from workers in factories, including photographs, which Primark felt was an encouraging development.

Our conclusion

In 2006, we said that, “time will tell whether it will use its recent involvement with the ETI for active change or whether this is more of a cosmetic exercise.”  Primark’s pledge to be active in work on the living wage, and its definite improvement on a year ago, is a sign that it is seeking active change.  It is good to see that Primark has acknowledged the need not just to emulate others, but to go beyond what they are doing.  As it builds its ethical trading programme, we will be watching to see whether it achieves this, and hope that it does not slip into the same tired methods that others follow.