PVH Corp. Announces Landmark Agreement with Coalition of NGOs and Bangladesh Labor Unions on Fire and Building Safety
PVH is the initial company to commit to this first-of-its-kind program
NEW YORK--(BUSINESS WIRE)--Mar. 21, 2012--
PVH Corp. [NYSE: PVH] announced today that it has entered into a Joint
Memorandum of Understanding with a group of non-governmental
organizations consisting of Clean Clothes Campaign, Worker Rights
Consortium, The International Labor Rights Forum, and Maquila Solidarity
Network, as well as a group of eight international and Bangladeshi trade
unions, regarding fire and building safety in Bangladesh’s apparel
The agreement recognizes the need for the Bangladeshi government, the
Bangladeshi Ready-Made Garment (RMG) industry, brand owners and
retailers, and labor to work together to create a safe and sustainable
work environment within the Bangladeshi RMG industry. The agreement
establishes a two-year program to be led by a multi-stakeholder task
force for the purposes of establishing an in-factory training program;
facilitating the creation of factory health and safety committees;
reviewing existing building regulations and enforcement; developing a
worker complaint process and mechanism for workers to report health and
safety risks; and advising a Chief Inspector.
The Chief Inspector will design and implement a fire safety inspection
program based on internationally recognized workplace safety standards.
The Chief Inspector will also direct and oversee the various other
elements of the program.
The program, which will be financed by the participating companies, will
go into effect when at least three other well-known international brand
owners or retailers sign onto the agreement. PVH has committed up to
$1.0 million to underwrite the program.
PVH and the other participating brand owners and retailers will identify
the RMG facilities they use in order to implement the various aspects of
the program and will also require these facilities to create health and
safety committees to reduce illness and injury. If a facility fails to
remediate high safety risks or implement other aspects of the program
after efforts of the companies, then, as a last resort, the companies
will move production to a qualified, safe facility in Bangladesh.
Efforts will be made to protect the workers displaced (if any) as the
result of the move of production.
PVH has committed to using good faith efforts to advance the purposes of
the agreement on its own if other brand owners and retailers do not join
Emanuel Chirico, Chairman and Chief Executive Officer of PVH, said “We
wish to commend Clean Clothes Campaign, Worker Rights Consortium, The
International Labor Rights Forum, Maquila Solidarity Network and the
international and Bangladeshi unions for their commitment and insight in
helping to create this landmark agreement. We hope this agreement will
find cooperation from the Bangladesh Manufacturers & Exporters
Association, its members and the Bangladeshi Government to put into
effect its terms and that it will result in safer factories and
establish a benchmark for fire and building safety standards and
practices throughout Bangladesh.”
PVH Corp., one of the world’s largest apparel companies, owns and
markets the iconic Calvin Klein and Tommy Hilfiger brands
worldwide. It is the world’s largest shirt and neckwear company and
markets a variety of goods under its own brands, Van Heusen, Calvin
Klein, Tommy Hilfiger, IZOD, ARROW, Bass and G.H. Bass & Co.,
and its licensed brands, including Geoffrey Beene, Kenneth Cole New
York, Kenneth Cole Reaction, MICHAEL Michael Kors, Sean John, Chaps,
Donald J. Trump Signature Collection, JOE Joseph Abboud, DKNY, Ike Behar
and John Varvatos.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
Forward-looking statements made in this press release, including,
without limitation, statements relating to the Company’s plans,
objectives, expectations and intentions, are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of
1995. Investors are cautioned that such forward-looking statements are
inherently subject to risks and uncertainties, many of which cannot be
predicted with accuracy, and some of which might not be anticipated,
including, without limitation, the following: (i) the Company’s plans,
strategies, objectives, expectations and intentions are subject to
change at any time at the discretion of the Company; (ii) the Memorandum
of Understanding discussed in this release may not be implemented if
other companies do not agree to be bound by its terms or the terms may
be materially changed prior to their being implemented or afterwards;
and (iii) other risks and uncertainties indicated from time to time in
the Company’s filings with the Securities and Exchange Commission.
The Company does not undertake any obligation to update publicly any
forward-looking statement, including, without limitation, any estimate
regarding earnings, whether as a result of the receipt of new
information, future events or otherwise.
Source: PVH Corp.
Dana Perlman, 212-381-3502
SVP – Business Development and Investor Relations