Sample Letter Introducing Company FLA Audit Profile Country Taiwan by ohd39540

VIEWS: 0 PAGES: 8

Sample Letter Introducing Company document sample

More Info
									FLA Audit Profile
Country                                                    Taiwan R.O.C.
Name of Factory                                            360273596F
Independent External Monitoring Organization               Global Standards
Date(s) in Facility                                        September 5-6, 2007
FLA Affiliated Compan(ies)                                 Nike, Puma
Number of Workers                                          198
Product(s)                                                 Apparel
Production Processes                                       All process

FLA Code/Benchmark                                         Compliance Status Describe noncompliance, risk of           List sources/documentation used     Cite and describe local and/or   Describe notable features
                                                                             noncompliance or uncorroborated           for reference and corroborating     country laws used for additional implemented by factory
                                                                             evidence of noncompliance                 evidence (e.g. worker interviews,   reference                        management or Company
                                                                                                                       factory walkthrough, records
                                                                                                                       review, etc.)
1. Code Awareness
GEN 1: Establish and articulate clear, written             Risk of           Factory has posted a code and is           Management & Workers
workplace standards. Formally convey those                 noncompliance     responsible for educating the workers on interviews and records review
standards to Company factories as well as to                                 the code requirements. However, there
licensees, contractors and suppliers.                                        are not very clear procedures related to
                                                                             the FLA and they are not familiar with the
                                                                             FLA.
GEN 2: Ensure that all Company factories as well as Risk of                  Factory has conducted awareness           Workers interviews
contractors and suppliers inform their employees      noncompliance          training to its workers about standards
about the workplace standards orally and through the                         and basic rights but workers can not
posting of standards in a prominent place (in the                            remember the articles or laws.
local languages spoken by employees and
managers) and undertake other efforts to educate
employees about the standards on a regular basis.
2. Forced Labor
There will not be any use of forced labor, whether in
the form of prison labor, indentured labor, bonded
labor or otherwise.
3. Child Labor
No person will be employed at an age younger than
15 (or 14 where the law of the country of
manufacture allows) or younger than the age for
completing compulsory education in the country of
manufacture where such age is higher than 15.
4. Harassment or Abuse
Every employee will be treated with respect and
dignity. No employee will be subject to any physical,
sexual, psychological or verbal harassment of abuse.

5. Non-Discrimination
No person will be subject to any discrimination in
employment, including hiring, salary, benefits,
advancement, discipline, termination or retirement,
on the basis of gender, race, religion, age, disability,
sexual orientation, nationality, political opinion, or
social or ethnic origin.
6. Health and Safety
Employers will provide a safe and healthy working
environment to prevent accidents and injury to health
arising out of, linked with, or occurring in the course
of work or as a result of the operation of employer
facilities.
                                                                                                              1
FLA Code/Benchmark                                      Compliance Status Describe noncompliance, risk of             List sources/documentation used     Cite and describe local and/or   Describe notable features
                                                                          noncompliance or uncorroborated             for reference and corroborating     country laws used for additional implemented by factory
                                                                          evidence of noncompliance                   evidence (e.g. worker interviews,   reference                        management or Company
                                                                                                                      factory walkthrough, records
                                                                                                                      review, etc.)
H&S.17 Ventilation/Electrical/Facility Installation and Risk of           There are three dirty ventilators on the    Factory walkthrough                                                 They are clean at the next
Maintenance                                             noncompliance     ceiling of ironing dept.                                                                                        day

Other                                                   Risk of           There are no fire extinguishers in the      visual inspection                                                   Factory has asked for the
                                                        noncompliance     kitchen, although there are four                                                                                supplier to add two fire
                                                                          extinguishers located in front of canteen.                                                                      extinguishers in the
                                                                          It is suggested that they are moved inside.                                                                     kitchen at the next day.


7. Freedom of Association and Collective
Bargaining
Employers will recognize and respect the right of
employees to freedom of association and collective
bargaining.
8. Hours of Work
Except in extraordinary business circumstances,
employees will (i) not be required to work more than
the lesser of (a) 48 hours per week and 12 hours
overtime or (b) the limits on regular and overtime
hours allowed by the law of the country of
manufacture or, where the laws of such country will
not limit the hours of work, the regular work week in
such country plus 12 hours overtime; and (ii) be
entitled to at least one day off in every seven day
period.
HOW.9 Overtime/Positive Incentives                      Risk of           The wages with overtime premium is paid Management/workers interviews
                                                        noncompliance     on 10th of every month in workers' bank and documents review
                                                                          account. However, the overtime premium
                                                                          for piece rate workers are based on basic
                                                                          wages for calculation first. The actual
                                                                          overtime premium will be verified by
                                                                          workers at the beginning of month. Then,
                                                                          factory will pay the discrepancy to workers
                                                                          in cash with workers' signature on the
                                                                          same week. It is recognized by workers
                                                                          and management. Although the factory
                                                                          did pay the full wage with O/T premium to
                                                                          workers, the way they process payment is
                                                                          not normal practice.




9. Wages, Benefits and Overtime Compensation

WAGES AND BENEFITS: Employers recognize that
wages are essential to meeting employees’ basic
needs. Employers will pay employees, as a base, at
least the minimum wage required by local law or the
prevailing industry wage, whichever is higher, and
will provide legally mandated benefits.

                                                                                                           2
FLA Code/Benchmark                                          Compliance Status Describe noncompliance, risk of            List sources/documentation used     Cite and describe local and/or   Describe notable features
                                                                              noncompliance or uncorroborated            for reference and corroborating     country laws used for additional implemented by factory
                                                                              evidence of noncompliance                  evidence (e.g. worker interviews,   reference                        management or Company
                                                                                                                         factory walkthrough, records
                                                                                                                         review, etc.)
OVERTIME COMPENSATION: In addition to their
compensation for regular hours of work, employees
will be compensated for overtime hours at such
premium rate as is legally required in the country of
manufacture or, in those countries where such laws
will not exist, at a rate at least equal to their regular
hourly compensation rate.
WBOT.1 General Compliance Wages, Benefits and               Risk of           The wages with overtime premium is paid Management & workers interviews
Overtime Compensation                                       noncompliance     on 10th of every month in workers' bank and documents review
                                                                              account. However, the overtime premium
                                                                              for piece rate workers are based on basic
                                                                              wages for calculation first. The actual
                                                                              overtime premium will be verified by
                                                                              workers at the beginning of month. Then,
                                                                              factory will pay the discrepancy to workers
                                                                              in cash with workers' signature on the
                                                                              same week. It is recognized by workers
                                                                              and management. Although the factory
                                                                              did pay the full wage with O/T premium to
                                                                              workers, the way they process payment is
                                                                              not normal practice.




WBOT.10 Premium/Overtime Compensation                       Risk of           The wages with overtime premium is paid Management & workers interviews
                                                            noncompliance     on 10th of every month in workers' bank and documents review
                                                                              account. However, the overtime premium
                                                                              for piece rate workers are based on basic
                                                                              wages for calculation first. The actual
                                                                              overtime premium will be verified by
                                                                              workers at the beginning of month. Then,
                                                                              factory will pay the discrepancy to workers
                                                                              in cash with workers' signature on the
                                                                              same week. It is recognized by workers
                                                                              and management. Although the factory
                                                                              did pay the full wage with O/T premium to
                                                                              workers, the way they process payment is
                                                                              not normal practice.




WBOT.11 Overtime Compensation Awareness                     Noncompliance     Workers are not familiar with OT           workers interviews
                                                                              compensation methods, especially the
                                                                              piece rate workers mentioned they get
                                                                              around NT$24/hr for O/T. However, it's
                                                                              not reflected correctly in their payroll
                                                                              records




                                                                                                               3
FLA Code/Benchmark                              Compliance Status Describe noncompliance, risk of              List sources/documentation used     Cite and describe local and/or   Describe notable features
                                                                  noncompliance or uncorroborated              for reference and corroborating     country laws used for additional implemented by factory
                                                                  evidence of noncompliance                    evidence (e.g. worker interviews,   reference                        management or Company
                                                                                                               factory walkthrough, records
                                                                                                               review, etc.)
WBOT.12 Overtime Compensation for Piece Rates   Noncompliance     Workers are not familiar with OT             workers interviews
and Other Incentive Schemes                                       compensation methods, especially the
                                                                  piece rate workers mentioned they get
                                                                  around NT$24/hr for O/T. However, it's
                                                                  not reflected correctly in their payroll
                                                                  records

WBOT.23 Posting Notices                         Risk of           There is no wage calculation method          Workers interview and documents
                                                noncompliance     posted on bulletin board                     review

WBOT.27 Wage Receipt                            Risk of           There is no translation of wage receipt in   Workers interviews
                                                noncompliance     their language. But factory provides a
                                                                  translator to explain payment information
                                                                  to migrant workers.

10. Miscellaneous
Subcontracting, homework and other issues not
covered by above benchmarks and code
requirements.
MISC.1 Illegal Subcontracting                   Risk of           Factory is using subcontractors for sewing Management interview and
                                                noncompliance     operations. However, they stated this      documents review
                                                                  information openly.




                                                                                                   4
FLA Audit Profile
Country                                                         Taiwan R.O.C.
Name of Factory                                                 360273596F
Independent External Monitoring Organization                    Global Standards
Date(s) in Facility                                             September 5-6, 2007
FLA Affiliated Compan(ies)                                      Nike, Puma
Number of Workers                                               198
Product(s)                                                      Apparel
Production Processes                                            All process

FLA Code/Benchmark                                              Compliance Status                                                                                                        Remediation                                                                                                            Status
                                                                                      Description of noncompliance, risk of                    Company Internal Audit Findings                   Company Remediation Plan                     Target       Factory Response   Company Follow-Up Documentation   Completed, Pending,
                                                                                      noncompliance or uncorroborated evidence of                                                                                                             Completion   (optional)         (cite date of follow-up)          On-going
                                                                                      noncompliance                                                                                                                                           Date


GEN 1: Establish and articulate clear, written workplace        Risk of               Factory has posted a code and is responsible       The factory representatives were briefed
standards. Formally convey those standards to Company           noncompliance         for educating the workers on the code              about the FLA, the nature of FLA audits
factories as well as to licensees, contractors and suppliers.                         requirements. However, there are not very          and FLA reporting system during Puma's
                                                                                      clear procedures related to the FLA and they       visit at the factory on May 10, 2007. The
                                                                                      are not familiar with the FLA.                     factory was also provided a letter
                                                                                                                                         introducing the FLA and it signed as well an
                                                                                                                                         FLA access letter


GEN 2: Ensure that all Company factories as well as contractors Risk of               Factory has conducted awareness training to                                                        Workers' training should include a brief             Dec. 31,
and suppliers inform their employees about the workplace        noncompliance         its workers about standards and basic rights                                                       evaluation test to check participants'               2007
standards orally and through the posting of standards in a                            but workers can not remember the articles or                                                       understanding and retention of the training
prominent place (in the local languages spoken by employees                           laws.
and managers) and undertake other efforts to educate
employees about the standards on a regular basis.




H&S.17 Ventilation/Electrical/Facility Installation and         Risk of               There are three dirty ventilators on the ceiling                                                   Factory should adopt a regular maintenance           Dec. 31,
Maintenance                                                     noncompliance         of ironing dept.                                                                                   and cleaning schedule which shall cover not          2007
                                                                                                                                                                                         only the machineries but also the fixtures and
                                                                                                                                                                                         working areas
                                                                                                                                                                                         Note: Comment from FLA monitors indicated
                                                                                                                                                                                         that the units were already clean the following
                                                                                                                                                                                         day


Other                                                           Risk of               There are no fire extinguishers in the kitchen,                                                    Transfer the fire extinguishers outside the      Oct. 31,
                                                                noncompliance         although there are four extinguishers located in                                                   canteen to inside the kitchen. Include the units 2007
                                                                                      front of canteen. It is suggested that they are                                                    in the regular safety inspection.
                                                                                      moved inside.
HOW.9 Overtime/Positive Incentives                              Risk of               The wages with overtime premium is paid on                                                         No issue. This is done only for expediency to
                                                                noncompliance         10th of every month in workers' bank account.                                                      ensure that wages are not delayed considering
                                                                                      However, the overtime premium for piece rate                                                       the short time of 10 days for payroll preparation.
                                                                                      workers are based on basic wages for
                                                                                      calculation first. The actual overtime premium                                                     The system is acknowledged by both workers
                                                                                      will be verified by workers at the beginning of                                                    and management. Wages and overtime are
                                                                                      month. Then, factory will pay the discrepancy                                                      paid in full as mentioned by the monitors.
                                                                                      to workers in cash with workers' signature on
                                                                                      the same week. It is recognized by workers
                                                                                      and management. Although the factory did pay
                                                                                      the full wage with O/T premium to workers, the
                                                                                      way they process payment is not normal
                                                                                      practice.


WBOT.23 Posting Notices                                         Risk of               There is no wage calculation method posted                                                         Post sample of wage calculation on bulletin          Oct. 31,
                                                                noncompliance         on bulletin board                                                                                  boards                                               2007
WBOT.27 Wage Receipt                                            Risk of               There is no translation of wage receipt in their   The details of the pay slip are explained to
                                                                noncompliance         language. But factory provides a translator to     the workers during the briefing and the first
                                                                                      explain payment information to migrant             time that a new workers receives the wage.
                                                                                      workers.                                           Entries on pay slip are few and easy to
                                                                                                                                         identify.


MISC.1 Illegal Subcontracting                                   Risk of               Factory is using subcontractors for sewing
                                                                noncompliance         operations. However, they stated this
                                                                                      information openly.




                                                                                                                                                                        5
FLA Audit Profile
Country                                                     Taiwan R.O.C.
Name of Factory                                             360273596F
Independent External Monitoring Organization                Global Standards
Date(s) in Facility                                         2 days
FLA Affiliated Compan(ies)                                  Nike, Puma
Number of Workers                                           198
Product(s)                                                  Apparel
Production Processes                                        All process

FLA Code/Benchmark                                         Compliance Status [Status]     Description of noncompliance, risk of Updates (Cite Date of Follow-Up)          Third-Party Verification     Company Verification Follow-Up
                                                                             Completed, noncompliance or uncorroborated           Company Follow-Up       Documentation   External     Documentation   Company Follow-Up (cite      Documentation
                                                                             Pending, On- evidence of noncompliance                                                       Verification                 date of planned or follow-up
                                                                             going                                                                                        (Date)                       visit, if appropriate)
GEN 2: Ensure that all Company factories as well as        Risk of                        Factory has conducted awareness
contractors and suppliers inform their employees about the noncompliance                  training to its workers about standards
workplace standards orally and through the posting of                                     and basic rights but workers can not
standards in a prominent place (in the local languages                                    remember the articles or laws.
spoken by employees and managers) and undertake other
efforts to educate employees about the standards on a
regular basis.


GEN 3: Develop a secure communications channel, in a          In compliance              There is no method of communicating
manner appropriate to the culture and situation, to enable                               with the PC.
Company employees and employees of contractors and
suppliers to report to the Company on noncompliance with
the workplace standards, with security that they shall not be
punished or prejudiced for doing so.




H&S.17 Ventilation/Electrical/Facility Installation and     Risk of                      There are three dirty ventilators on the
Maintenance                                                 noncompliance                ceiling of ironing dept.

Other                                                       Risk of                      There are no fire extinguishers in the
                                                            noncompliance                kitchen, although there are four
                                                                                         extinguishers located in front of
                                                                                         canteen. It is suggested that they are
                                                                                         moved inside.


HOW.9 Overtime/Positive Incentives                          Risk of                      The wages with overtime premium is
                                                            noncompliance                paid on 10th of every month in
                                                                                         workers' bank account. However, the
                                                                                         overtime premium for piece rate
                                                                                         workers are based on basic wages for
                                                                                         calculation first. The actual overtime
                                                                                         premium will be verified by workers at
                                                                                         the beginning of month. Then, factory
                                                                                         will pay the discrepancy to workers in
                                                                                         cash with workers' signature on the
                                                                                         same week. It is recognized by
                                                                                         workers and management. Although
                                                                                         the factory did pay the full wage with
                                                                                         O/T premium to workers, the way they
                                                                                         process payment is not normal
                                                                                         practice.




                                                                                                                            6
FLA Code/Benchmark                                  Compliance Status [Status]     Description of noncompliance, risk of Updates (Cite Date of Follow-Up)          Third-Party Verification     Company Verification Follow-Up
                                                                      Completed, noncompliance or uncorroborated          Company Follow-Up        Documentation   External     Documentation   Company Follow-Up (cite      Documentation
                                                                      Pending, On- evidence of noncompliance                                                       Verification                 date of planned or follow-up
                                                                      going                                                                                        (Date)                       visit, if appropriate)
WBOT.1 General Compliance Wages, Benefits and       Risk of                        The wages with overtime premium is
Overtime Compensation                               noncompliance                  paid on 10th of every month in
                                                                                   workers' bank account. However, the
                                                                                   overtime premium for piece rate
                                                                                   workers are based on basic wages for
                                                                                   calculation first. The actual overtime
                                                                                   premium will be verified by workers at
                                                                                   the beginning of month. Then, factory
                                                                                   will pay the discrepancy to workers in
                                                                                   cash with workers' signature on the
                                                                                   same week. It is recognized by
                                                                                   workers and management. Although
                                                                                   the factory did pay the full wage with
                                                                                   O/T premium to workers, the way they
                                                                                   process payment is not normal
                                                                                   practice.



WBOT.10 Premium/Overtime Compensation               Risk of                         The wages with overtime premium is
                                                    noncompliance                   paid on 10th of every month in
                                                                                    workers' bank account. However, the
                                                                                    overtime premium for piece rate
                                                                                    workers are based on basic wages for
                                                                                    calculation first. The actual overtime
                                                                                    premium will be verified by workers at
                                                                                    the beginning of month. Then, factory
                                                                                    will pay the discrepancy to workers in
                                                                                    cash with workers' signature on the
                                                                                    same week. It is recognized by
                                                                                    workers and management. Although
                                                                                    the factory did pay the full wage with
                                                                                    O/T premium to workers, the way they
                                                                                    process payment is not normal
                                                                                    practice.



WBOT.11 Overtime Compensation Awareness             Noncompliance                   Workers are not familiar with OT
                                                                                    compensation methods, especially the
                                                                                    piece rate workers mentioned they get
                                                                                    around NT$24/hr for O/T. However, it's
                                                                                    not reflected correctly in their payroll
                                                                                    records


WBOT.12 Overtime Compensation for Piece Rates and   Noncompliance                   Workers are not familiar with OT
Other Incentive Schemes                                                             compensation methods, especially the
                                                                                    piece rate workers mentioned they get
                                                                                    around NT$24/hr for O/T. However, it's
                                                                                    not reflected correctly in their payroll
                                                                                    records



WBOT.23 Posting Notices                             Risk of                         There is no wage calculation method
                                                    noncompliance                   posted on bulletin board



WBOT.27 Wage Receipt                                Risk of                         There is no translation of wage receipt
                                                    noncompliance                   in their language. But factory provides
                                                                                    a translator to explain payment
                                                                                    information to migrant workers.



                                                                                                                      7
FLA Code/Benchmark              Compliance Status [Status]     Description of noncompliance, risk of   Updates (Cite Date of Follow-Up)        Third-Party Verification     Company Verification Follow-Up
                                                  Completed, noncompliance or uncorroborated           Company Follow-Up         Documentation External     Documentation   Company Follow-Up (cite      Documentation
                                                  Pending, On- evidence of noncompliance                                                       Verification                 date of planned or follow-up
                                                  going                                                                                        (Date)                       visit, if appropriate)
MISC.1 Illegal Subcontracting   Risk of                        Factory is using subcontractors for
                                noncompliance                  sewing operations. However, they
                                                               stated this information openly.




                                                                                                8

								
To top