SGMA welcomes external monitoring

The Saipan Garment Manufacturers Association welcomes the hiring of an independent monitor for the garment industry, which is one of the conditions stated in the settlement agreement between four retailers and the plaintiffs in the class action suit in California.

SGMA executive director Richard A. Pierce said the retailers which agreed to settle the class suit have smaller business operations compared to Saipan buyers.

“These companies were hurt by the continued bad publicity and they decided to cut their losses and move on in what they made clear is strictly a business move,” Pierce said.

Pierce said Verite, the firm being considered to be the independent monitor in the settlement agreement, was considered by SGMA for its own monitoring system.

“On the other hand, nearly every retailer or brand doing business in Saipan has their own monitoring systems in place and/or contracts for these inspections, where we believe they are assured of winning any suit if they can get it out of the media and into court.”

Under the proposed settlement agreement Verite, a non-profit firm based in Amherst, Mass., will monitor compliance with standards similar to those currently found within SGMA’s Code of Conduct.

Monitoring includes unannounced visits and surveillance as well as the establishment of a Verite ombudsman on Saipan.

SGMA “will retain its own monitoring systems and even considered Verite as a potential candidate for this work in the preliminary review of proposals submitted for this important work,” said Pierce.

He added, “that will give us a total of two ombudsmen to respond to problems of alien workers, including the one from the U.S. Department of the Interior that the CNMI funds. The U.S. Department of Labor has Saipan representatives to prevent wage and hour and other Fair Labor Standards Act violations, such as those alleged in the class action suits.

OSHA monitors workplaces and housing. The FBI and U.S. Justice Department have personnel charged with insuring that all alien contract workers receive all the protections of a U.S. citizen while in the Commonwealth.

The CNMI Department of Labor and Immigration enforces a wide range of laws that cover the workers as well.

“Many of the retailers who continue to do business with our factories have their own teams who make scheduled and unannounced inspections of conditions,” said Pierce.