TCFUA national secretary Michele O'Neil said the union had met with Scanlan & Theodore in particular a number of times over the last two to three years to identify legal obligations that were not being met by the label.
“We've had issues with Scanlan & Theodore in regards to their supply chain for some time, and over the last few years, the union has met with representatives of Scanlan & Theodore and indicated to them that there are problems with their supply chain,” she said.
“We are concerned that those problems haven't been fixed and they continue to be in breach of the Textile Clothing and Footwear Allied Industries Award. I do not understand why a brand like Scanlan & Theodore would not want to make sure that their supply chain is squeaky clean and ethical, when there is plenty of opportunity for them to do so.”
If obligations are not met, Scanlan & Theodore could face charges in federal court on the matter. While O'Neil declined to comment on whether the case had reached that stage, she did confirm that at the time of writing Scanlan & Theodore was in hot water in regards to “a whole range of issues”.
This includes failure to provide a quarterly list of all workers and details on its supply chain to Fair Work Australia and to the union since June of last year, which is a requirement under the award.
However, when contacted for comment, Scanlan & Theodore general manager Sener Besim vehemently denied the allegations.
“We believe we had made an administrative oversight which has now been rectified,” Besim said. “We believe we are compliant in all other obligations to ensure the objectives of the TCFU.
“Scanlan & Theodore have been registered with the Clothing Trades Award Board of Reference since November 16, 2006, and from that time to the present day we believe we have complied with our obligations to ensure the objectives of the TCFUA.”
O'Neil also revealed that the union has given details to Myer regarding 24 suppliers in its supply chain which are in breach of the award, and identified womenswear label Anthea Crawford as one of the companies connected to the investigation. The union alleges that there issues in relation to Anthea Crawford's supply chain where it has identified a combination of problems, including parties who have not been registered to give work out, as well as breaches of minimum award conditions and underpayment of workers.
When Anthea Crawford was contacted for a statement, Rael Wertheimer, an accountant for the label from Voyager Distributing, sent the following response: “We confirm that Anthea Crawford takes its obligations arising under the Fair Work Act seriously and actively seeks to ensure that any contractors we utilise in our production process fully comply with their legal obligations. Anthea Crawford considers it has a constructive relationship with the TCFUA.”
He also said “the onus is on the TCFUA to provide proof [of such breaches] and they haven't done that”. Other labels currently under investigation include exclusive Myer brands such as Hi There by Karen Walker and Basque.
“In relation to Myer's own brands – Basque and Hi There – we have raised concerns in regards to their supply chain, and I don't think Myer seems to fully understand their obligations. We continue to say that there are very serious problems in their supply chain in regards to workers in their supply chain being unsafe and in relation to insufficient money being paid to workers.” O'Neil said.
In response, Myer general manager of corporate affairs Jo Lynch said the retail giant understands its obligations and is taking steps to rectify the issue.
"Myer is a signatory to all relevant binding codes of practice with regard to the sourcing of its product, and we require all of our suppliers to do the same,” Lynch said.
“There are well practised standards of inspection for local manufacturers of apparel which have served the industry well for a considerable time and we recognise the role that the various industry bodies play in ensuring all standards are being met.
"We believe the review processes undertaken ensures that our suppliers are informed of any irregularities and importantly, the steps necessary to rectify any irregularities are taken. We thoroughly investigate all matters that are raised with us in this regard."
Daniela Aroche