SAN FRANCISCO/WASHINGTON, DC "“ January 29, 2008 "“ Business for Social Responsibility (BSR) and FIAS, the World Bank Group's investment climate advisory service, have released a new report that outlines strategies for improving labor practices and competitiveness among textile and apparel manufacturers in Jordan while reducing inspection and private auditing.

"Competitiveness and CSR in the Jordanian Apparel Industry aims to assist the Jordanian government, manufacturers and international buyers move toward a more sustainable supply chain management model," said Tara Rangarajan, Managing Director of BSR's Advisory Services. "It contains recommendations to the government on how it can leverage buyer and manufacturer initiatives to strengthen compliance, while at the same time build capacity in its public inspectorate."

In 2006 the National Labor Committee (NLC), a U.S.-based NGO, released a report that alleged abusive treatment of migrant workers in Jordan's textile and apparel industry. Subsequently, factories were exposed to sharp increases in public inspections and auditing visits from buyers and their agents. Some buyers removed orders as a result of increased compliance costs and lack of trust in the public inspectorate. The NLC continues to publish similar allegations.

The Government of Jordan has taken measures to improve overall labor administration and is working with the International Labour Organization (ILO) on a review of its labor law. It has also committed to implementing and co-funding the ILO/IFC Better Work Jordan program, with additional support from USAID and international buyers (see www.betterwork.org for more information). At the same time, the Ministry of Trade and Industry and Ministry of Labor are implementing a comprehensive licensing and inspection reform program with support from IFC Advisory Services, IFC PEP-MENA.

The BSR/FIAS report is the result of that program's corporate social responsibility (CSR) component and is based on more than a year of research and in-depth interviews with manufacturers, buyers, government, civil society and unions.

"The issues facing buyers and manufacturers in Jordan are not unique," says Kristina Svensson, Project Manager, FIAS. "At this time, the country has the opportunity to turn around the negative attention from the NLC reports and take proactive attitudes to address the issues and restore the industry's repuation."

Competitiveness and CSR in the Jordanian Apparel Industry, which outlines specific recommendations for buyers, manufacturers and government, is available for download at http://www.bsr.org/reports/BSR_FIAS_Jordan-Report.pdf.

About BSR

Since 1992, Business for Social Responsibility (BSR) has been providing socially responsible business solutions to many of the world’s leading corporations. Headquartered in San Francisco and with offices in Europe, China and Hong Kong, BSR is a nonprofit business association that serves its 250 member companies and other Global 1000 enterprises. Through advisory services, convenings and research, BSR works with corporations and concerned stakeholders of all types to create a more just and sustainable global economy. For more information, visit www.bsr.org.

About FIAS

Foreign Investment Advisory Service (FIAS) is a multidonor service of IFC, the private sector arm of the World Bank Group; the Multilateral Investment Guarantee Agency; and the World Bank. FIAS advises governments of developing and transition countries on how to improve their investment climates for domestic and foreign investors. FIAS focuses on regulatory simplification, industry-specific investment climate issues, and investment policy and promotion. Since 1987, FIAS has assisted over 130 countries in increasing the level and impact of private investments through more than 680 projects. For more information, visit www.fias.net.

BSR

BSR

Since 1992, Business for Social Responsibility (BSR) has been providing socially responsible business solutions to many of the world's leading corporations. Headquartered in San Francisco, with offices in Europe and China, BSR is a nonprofit business association that serves its 250 member companies and other Global 1000 enterprises. Through advisory services, convenings and research, BSR works with corporations and concerned stakeholders of all types to create a more just and sustainable global economy. For more information, visit www.bsr.org.

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