Just Transition and Decent Work for Garment Value Chain Workers in India

The garment industry's global value chain (GVC) is fragmented among various production units and countries. Manufacturers in the global south often undertake production work at the lower end of the chain. It has resulted in an imbalanced relationship where significant power is concentrated with buyer firms far removed from factories in low-income Asian countries.

The study states that the Indian textile and garment industry stands second globally in manufacturing. It employs 45 million people directly and around six million in allied sectors, about 40-70 per cent of whom are women in informal, unorganised or home-based units.

As per an Asia-Pacific report by the International Labor Organization (ILO), the garment industry accounts for 10 per cent of global carbon emissions and is highly water-intensive, consuming 79 billion cubic meters of fresh water annually. Another ILO working paper from 2022 stated that between 2005 and 2016, the garment industry's climate impact increased by 35 per cent.

The ILO defines ‘just transition’ as a fair and inclusive transition to a green economy that includes job opportunities and social protection for workers. Additionally, the Just Transition Research Collaborative has identified four broad approaches: status quo approach, managerial reform approach, structural reform approach, and transformative approach.

According to an ILO report from 2023 which assesses green jobs and just transition policies in India, the country’s progress is uneven. The current study found that the proposed green policies lacked inclusion of workers’ needs, discussions on buyers’ power and influence across the GVC, and made no mention of the fast fashion production system or the reskilling of workers to prepare them for new careers.

In 2023, the Apparel Export Promotion Council published a handbook addressing the challenges faced by suppliers in India. The handbook highlighted the sustainability-related legislations implemented in the European Union, United Kingdom and the United States and their impact on the global value chain and the garment industries in countries outside their jurisdictions. The report found that these laws did not adequately address buyer accountability, union participation, living wages or collective bargaining for decent work and sustainability.

Union representatives are wary of green transitions as they are worried about more immediate needs and fundamental rights of garment workers. Adding to their hesitancy is the knowledge of policies introduced in the past which have often remained unimplemented or been ineffective in bringing about meaningful changes in the industry.

The paper concludes with recommendations for a more worker-focused approach to a green and just transition, emphasising the importance of including garment workers and ensuring social benefits for them. Essential requirements for such a just transition include: living wages and decent work, occupational safety and health, the right to unionize and representation, and restructuring of production priorities.

Focus and Factoids by Prathima Appaji.