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Supply Chain Innovation

Gildan Activewear Inc.

Gildan apparel and GoldToe socks. Gildan Activewear Inc.'s compliance program is accredited by FLA.

From the Gildan Activewear Inc. website: A key element in demonstrating our commitment to being a socially responsible employer in all our geographical hubs is the successful implementation of our Social Compliance Program for labour practices and working conditions. This program is designed to ensure that, at a minimum, all facilities comply with our own strict internal Code of Conduct, local and international laws, and the codes to which we adhere, including those of Worldwide Responsible Apparel Production (WRAP) and Fair Labor Association (FLA). When external suppliers are being used, they must also adhere to these codes. This is, in fact, a condition for doing business with us.

Gildan Activewear is a manufacturer of premium T-shirts, sport shirts and sweatshirts for sale in the wholesale imprinted sportswear market of the U.S., Canada, Europe and other international markets. Gildan plans to expand into the retail market, in addition to the screen-print market, and has recently expanded its product line to include underwear and socks as part of its strategy.

On January 16, 2007, FLA released a report on two separate Third Party Complaints (3PC) filed by workers at the Textile, Co., Inc. facility in the Dominican Republic, owned by FLA affiliate Gildan Activewear. The 3PCs alleged harassment, verbal abuse, and intimidation by specific managers at the factory. In response, Gildan followed up with the managers named in the complaint and enacted a remediation plan to address the complaints, including training in the Dominican Republic for its in-country leaders, supervisors, and coordinators on Leadership, Harassment, and Communication Skills.

On December 14, 2006, FLA published a report on the Third Party Complaint (3PC) filed by the Maquila Solidarity Network alleging discriminatory dismissals of union members at El Progreso, a Gildan-owned factory. An FLA-accredited monitor investigated the allegations and confirmed obstruction of workers' right of freedom of association, as well as other noncompliance issues. Gildan agreed to a remediation plan; however, Gildan then closed the factory while the plan was in progress.

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