SA8000 | TRADE FOR DEVELOPMENT CENTRE

SA8000

SA8000 is one of the most demanding certifications concerning working conditions.

The aim of the SA8000 standard is the improvement of working conditions within enterprises and in particular within the supply chain. It is one of the most demanding certification systems.

The SA8000 standard was created in 1997 on the initiative of Social Accountability International (SAI), a not-for-profit association. This code offers certification based on compliance with the ten basic ILO conventions on child labour, forced labour, freedom of association, health and safety, right to collective bargaining, absence of discrimination, disciplinary measures, working hours, remuneration and relations with suppliers.

Its first original feature is that it was developed in consultation with NGOs, trade unions and businesses. The second is that it is one of the most demanding certification systems concerning working conditions in the developing countries. The standards to be met are considered particularly high regarding remuneration – it is the living wage, which is taken into consideration and not the minimum salary of the country – and freedom of association.

Today manufacturing production (clothing, toys, shoes) and retail sites form the majority of the sites certified. The SA8000 standard is applicable to businesses of different sizes, in different sectors and different countries. It is the production sites that are audited and certified. The verification is external and independent.

As at 30 June 2009, 2010 production sites were SA8000 certified, representing 64 countries and 66 businesses. The number of employees affected by certification is 1,119,145. With 875 production sites certified, Italy leads the way, followed by India (396), China (231), Brazil (97) and Pakistan (87).

In brief

Creation date:

1997

Based at:

New-York

Origin/need:

At the end of the 1990s, businesses began to draw up codes of conduct. Often, these did not include the fundamental Conventions adopted by the ILO, and did not provide for systems of management or protocols for systematic verification. The Council on Economic Priorities brought together a group of stakeholders and together they created SAI in order to define and monitor ethical working practices.

Sector:

All.

In Belgium:

Rosy Blue Diamond, Antwerp Stevedoring International, Hansen Transmission International, Randstad Belgium, Trace SA, Vande de Velde are just a few SA8000 certified organisations.

What is guaranteed:

A workplace that complies with the UN and ILO Conventions promoting human and economic rights: child labour, forced labour, health and safety, freedom of association and collective bargaining, discrimination, discipline, working hours and compensation.

Stakeholders:

Businesses, NGOs, consumers, trade unions, experts.

Beneficiaries:

Independent producers, cooperatives, factories, businesses/brand holders, government agencies.

Type of assessment:

Third party evaluations.

Methods:

Analysis of the documentary system, pre-announced and random site visits, interviews with internal and external stakeholders.

Sector activities concerned:

Production, import/export, processing, distribution, public awareness.

Requirements:

The SA8000 standard can be downloaded from the Internet site.

Room for manoeuvre:

All elements of the SA8000 standard must be complied with.

Improvement procedure:

Continuous improvement is ensured by means of monitoring audits.

Did you know ?

It is puzzling to see that China, a country where freedom of association is not permitted, is in third place in the number of certifications. For countries affected by the absence of freedom of association, SA8000 encourages communication between employees and management as well as development.

For more information: www.sa-intl.org

How do I get the certification ?

A business wishing to obtain SA8000 certification should submit its application to an independent certifying organisation accredited by SAAS (Social Accountability Accreditation Services). A list of these can be found at www.saasaccreditation.org.
The certifying organisation visits the applicant organisation to assess the approach to be taken to achieve conformity with the standard. Once the improvements necessary to obtain the SA8000 certificate have been made, the certification process can begin. The certification is valid for 3 years, during which a number of monitoring audits will be carried out to ensure continuous improvement on the part of the organisation. The certification procedure can last from a few months to several years.

How much does the certification cost ?

A business wishing to become SA8000 certified pays for the audits carried out by an independent certification organisation. The cost depends on:
- The number of days necessary to prepare and carry out the audit: size of the business, number of employees, number of buildings, geographical distance, inherent risks of the activity, and the scope defined. The presence of other management system certificates may reduce the duration of the audit.
- Costs billed by the certification organisation, which can vary according to the geographical region (adaptation to ability to pay). A man/day rate may vary from 250 euros in India and Pakistan/Bangladesh to more than 1,000 euros in Western Europe (average about 975 euros man/day). Who pays?

The business being certified, as it is a voluntary undertaking on its part.
- Investment to be made to ensure conformity with the standard. SAI offers sliding scales of costs for annual participation in the SA8000 programme according to turnover:
- 0-100 million USD: 12,000 USD
- Less than 1 billion USD: 22,000 USD
- Less than 10 billion USD: 60,000 USD
- More than 10 billion USD: 77,000 USD

These costs cover: training (managers, suppliers, employees), the technical assistance to implement SA8000, access to a shared database of suppliers, the right to use the SAI and SA8000 logos in communications between the business and stakeholders. The logo may not be used for products.

Interview

Interview:

SA8000: A HUMAN STORY

Denim authority, a Tunisian company specialising in the development, manufacture and sale of finished textile products, employs 1400 people on its Ras Jebel site near Carthage Bashar Esshali, the company’s SA8000 representative describes the path leading to certification. The trade union representative Amor Grindi tells us about the changes he has seen in the company since then.

Denim Authority is the first Tunisian company to obtain SA8000 certification.

What were the reasons for choosing this form of certification?
There were two main reasons. On the one hand, the vision of the management, which is always seeking to improve working conditions and, on the other, the demand from customers– brands such as Lee Cooper, Chasin, Scotch & Soda, Tommy Hilfiger, Campus – who normally have their suppliers audited and who were relieved to hear that we were going to be certified SA8000. To these, we should add a fundamental economic and human dimension. One example: working in safe and hygienic conditions has a considerable effect on the health of workers. In 2008 – when we were not yet SA8000 certified – we had 75 accidents in the factory, whereas in 2009 we had only 17 (figures up to October).

The human impact is obvious and it results in better economic performance, since it represents more than 650 extra working days from our employees in one year. This clearly illustrates the benefits of certification. The management reports we have been using since certification allow us to manage production better while improving working conditions. Another example is even more telling. In the hot season, it becomes difficult to work in some workshops. We have therefore progressively installed ten or so cold water fountains which cool the atmosphere in the workshop and allow workers to quench their thirst when required.
The effect on absenteeism was immediate. This kind of small improvement has brought the rate of absenteeism down from 16% to around 6%. But, in more general terms, the results are indirect. Although the textile clothing sector largely ignores legislation on wages and working hours, we remain fully competitive, even though our wages are higher, we pay social security contributions, and we observe the 48-hour week by limiting the use of overtime …

Amor Grindi, you are the workers’ representative for the trade union, and also involved in SA8000 certification.

What has changed most as a result of this certification?
Many practical things, but the main difference is communication between workers and management. It is much easier now to communicate with the management to bring up workers’ grievances. Dialogue is simpler because it is organised. For example, we now have three suggestion boxes, and they are all full … although you can't do everything at once, we know that from now on answers will be given to our questions and demands.

What is the most difficult thing in getting SA8000 certification?
Training (response of both interviewees, editor's note). It takes time and effort to explain what certification can bring. For example, you have to show the benefits of wearing protective equipment to people who are unaware of the risks they are running. Wearing masks in the washing shop is a good example of this. The workers were breathing in cotton particles so fine that they couldn't see them. So for them the mask was unnecessary. We had to show them that the opposite was in fact the case.

How much did certification cost?
We already had an advantage as our factory is ISO 9001 and OHSAS certified. SA8000 certification itself cost 5000 euros. We were certified by the Italian company Rina.
But the true cost is indirect and difficult to assess: time, modification to certain processes, purchase of equipment, investment in infrastructures (e.g. the fountains which cost around 500 euros each).

> www.denimauthority.com
CERTIFICATION: SA8000

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