Sticking to certain set of standards, good practices and governmental regulations is crucial, no matter which industry we are talking about. However, in the apparel industry, companies often face one challenging turning point by outsourcing some of their processes, such as: sewing, washing, embroidering, etc. When choosing a third-party company to provide these services, brands and designers should secure the facility’s adherence to certain practices.
One of the biggest challenges considered by social schemes (BSCI, SMETA) is to guarantee the safety of the company’s workers. For certain regions, the textile industry is mostly underpaid, meaning the workers are paid under the minimum stablished wage, or even paid per worked piece. Therefore, part of the social auditor’s job is to verify that the workers are allowed a salary that meets the minimum requirements for them to access a decent living.
In other regions, the main disadvantages come from staff rotation rates, which are immensely high. The direct and indirect costs involved with replacing staff members every often includes the cost of retirement, selection processes, training and loss of productivity. In order to secure that the production of high-quality products while achieving production goals and maximizing their profitability, it is essential for garment factories to consider conducting a social compliance audit such as the ones provided by ALGI, as this can be used as a measuring tool for determining whether a factory’s social compliance standards are being met and helps stablishing a difference in the industry.