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ACM’s informal assessment: clothing and textile companies are allowed to collaborate to make sector more sustainable

Companies are allowed to collaborate in order to make their sector more sustainable within the context of the Alliance on Sustainable Garments, Textile, and Shoes (hereafter: the Textile Alliance). The Textile Alliance is a collaboration initiative among companies in the garments, shoes, leather, and textile sectors, trade associations and civil society organizations. The purpose of the collaboration is to improve compliance with human rights, environmental objectives, and animal-welfare requirements in the production and supply chains. ACM comes to the conclusion that this collaboration is in line with the competition rules. The initiative shows that the competition rules do not stand in the way of making sector-wide sustainability arrangements.

The Textile Alliance: sustainability arrangements

The Textile Alliance consists of arrangements between businesses, unions, and trade associations in the garments and textiles sectors with regard to international corporate social responsibility. International corporate social responsibility means that businesses combat negative effects on humans, nature and animals within the entire chain, also outside the Netherlands. The signatories to the Textile Alliance agree, for example, that employees are able to organize in unions and that they work towards transparent supply chains. In addition, they make a collective risk assessment. This means that an overview is made of the textiles sector’s most-important effects on humans, environment and society. As well as the effects of sustainability factors on companies in the textile sector. For example, the sector affects its environment through the emission of greenhouse gases and water pollution. Conversely, climate change can have an impact on the business models of garments and textile companies.

The signatories will further work out some of the arrangements, such as arrangements about living wages and the prevention of forced labor. Members are being recruited at the moment. The Textile Alliance will be launched as soon as sufficient companies have signed up.

ACM’s informal assessment

ACM has informally assessed the Textile Alliance in accordance with its Policy Rule regarding ACM’s oversight over sustainability agreements, and does not see any objections. Signatories to the Textile Alliance agree to make their own supply chain more sustainable. Each company does that for itself, for its own supply chain. That ensures that the arrangements made by the companies do not go beyond what is necessary for achieving the sustainability objective. For example, participants only use the collective risk assessment as a tool. It is not mandatory to use it, and it does not relieve participants from the obligation to explore how the assessment would work out for the own, individual situation. Participants are free to take further-reaching sustainability measures, if they wish to do so. Companies do not exchange any competition-sensitive information such as customer data.

Collaboration check

Are you a business owner and do you wish to assess whether a collaboration is allowed under the competition rules? Do ACM’s collaboration check (in Dutch). With the collaboration check, businesses can assess (anonymously) whether or not a collaboration is allowed according to the competition rules.

Are you unsure whether the collaboration is allowed, even after doing the collaboration check and after consulting with a legal advisor? If so, ACM can informally assess your sustainability agreement. ACM takes a quick and summary look, and you can launch the collaboration with more reassurance. More information can be found here: Having your sustainability agreement assessed (in Dutch).

More information about collaborations and sustainability can be found here: Arrangements between businesses regarding sustainability (in Dutch).

See also

Documents

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