How the Code works
The complex nature of the clothing and textile industry can disguise the person who is responsible for employing and paying outworkers and this can lead to exploitation.
The Code protects outworkers by identifying every person involved in the supply of an order. It requires everyone along the supply chain to provide information about the manufacture of clothing products including whether outworkers were used and who their employer was.
In this way, regulators or the union can check to ensure that outworkers are being treated fairly and are receiving their proper entitlements.
The Code also protects good employers who do the right thing, stopping unscrupulous employers from shopping around for the cheapest person to make clothing products without being identified and being held accountable if outworkers are not paid correctly.
Who does the Code apply to?
The Code applies to all Queensland retailers, suppliers and contractors for clothing products made in Australia and intended for retail sale in Queensland except when:
- the business is a retail signatory to the National Retailers Ethical Clothing Code or is accredited by Ethical Clothing Australia.
- the business falls within the Code’s definition of a charitable organisation: ‘an organisation that carries out activities for religious, educational, benevolent or charitable purposes which are not also carried out for securing pecuniary profit for its members.’
- the clothing products were made entirely overseas and are to be retailed in Queensland without any work being done on them.
- the clothing products were made/embellished and retailed by the same party.
- the parties deal directly with Queensland Government agencies, in which case, the Code of Practice on Employment and Outwork Obligations, textile clothing and footwear suppliers (PDF, 962.0 KB) applies to those dealings.
Please note this is not an exhaustive list. Parties should always refer to the Code to determine their obligations.
Reporting obligations
Every retailer, supplier and contractor in the clothing supply chain (except the outworker) must provide information about the manufacture of clothing products, requiring them to:
- provide, maintain and make available for inspection information about the manufacture of clothing products
- disclose information about the use of outworkers in the manufacture of clothing products.
This must be done even if outworkers have not been used.
Penalties for not complying with the Code
Under Section 400I of the Industrial Relations Act 1999, it is an offence to breach the Code and you could face a fine. The maximum penalty for a breach is $10,000.
A range of fact sheets and flow charts have been developed to assist retailers, suppliers and contractors to understand and comply with the Code.
Retailer’s obligations
Fact sheet (PDF File, 94.6 KB)
Flow chart (PDF File, 132.4 KB)
Supplier’s obligations
Fact sheet (PDF File, 93.8 KB)
Flow chart (PDF File, 90.7 KB)
Contractor’s obligations
Fact sheet (PDF File, 92.2 KB)
Flow chart (PDF File, 129.1 KB)
Further information
To learn more about Ethical Clothing Australia’s national voluntary codes visit their website.