New HWCP fees aim for fairness

MELBOURNE: Outworker protection scheme the Homeworkers Code of Practice (HWCP) has introduced a series of changes it hopes will better reflect the size range of Australian fashion companies.

The HWCP Committee, which administers the accreditation of the No Sweat Shop label - the branding initiative designed to assure consumers that signatory fashion labels have not exploited outworkers in the production of their garments - would introduce a new fee structure early next year, confirmed HWCP project officer Tommy Clarke.

"I think 2008 is going to be an exciting year for the No Sweat Shop label. We're speaking with a number of small, innovative designers that have a commitment to local and ethical manufacturing, and now with a the new fee structure, they'll be able to utilise the Homeworkers Code of Practice to ensure they have the appropriate systems in place
during their seminal years," he said.

While the standard flat rate of $2,000 per annum would remain in place, companies at either end of the size scale would be subject to new fees. Start-up companies in their first year would pay an application fee of $800, before moving up to $1,200 in their second year. Meanwhile established and large brands would be "invited to lead the way in supporting the HWCP's efforts" by contributing to a patrons' scheme with a fee of $4,000 per annum, he said.

The changes were designed to make the accreditation process more affordable for emerging small to medium sized fashion houses and designers as part of an overall strategy including a $500 HWCP designer scholarship introduced earlier this year, Clarke said. The scholarship had already attracted applications from small businesses including not-for-profit sustainability company Rise Up Productions, and emerging label New Model Beauty Queen, he said.

With the HWCP continuing to represent a pressing industry issue - recent weeks have seen prominent brands including Sydney designer Lisa Ho under fire from TCF lobby group Fairwear for her alleged failure to become accredited  - growing demand from environmentally and ethically conscious consumers would give early adopters of codes of practices such as the HWCP a distinct competitive advantage, Clarke claimed.

"Based on the enquiries I get through the No Sweat Shop label website, it's clear clean, green and sweat-free products are finding an increasingly strong foothold in the market."

While industry commentators and young designers spoken to by Ragtrader described the $800 starting fee for fledgling designers as "too high" for young businesses, Fairwear campaign co-ordinator Liz Thompson said the new fees structure would encourage young designers to sign up to the code.

A view echoed by the Textile Clothing and Footwear Union of Australia (TCFUA).

"We think the changes are good changes. It's important to give the opportunity of being ethical to new market entrants so they can adopt those principles from the ground up. If they start that way it prevents accreditation being a burden later on," said TCFUA Victorian state secretary Michele O'Neil.

While many companies were still "in transition" in terms of implementing ethical strategies the patrons' fee had also received "positive interest" from larger industry players, she said.

"They're recognising that ethics is an area of growing global interest and increasingly wanting to take an industry leadership role on it."

By Belinda Smart