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CHAIRMAN MENENDEZ: Mr. Secretary, we'll start off with you. Your full statements will be
included in the record without objection. We ask you to synthesize it to around 5 minutes
so that we can then have a good conversation.
ASSISTANT SECRETARY BLAKE: Well thank you Chairman Menendez, Ranking Member Corker and
all the members of this committee for this opportunity to speak with you today about
labor issues in Bangladesh. I am very honored to join my colleagues Eric Biel and Lewis
Karesh before this committee today.
Mr. Chairman, as you said, engagement on labor issues is part of our broad and expanding
partnership with Bangladesh's government and its people. Bangladesh works closely with
us on all of the President's signature development initiatives in climate, health and food security,
and in encouraging greater regional integration and connectivity. In the past two decades,
as you remarked in your very constructive op-ed, Bangladesh has made remarkable development
progress, in part because of the growth of its ready-made garment sector. Despite the
benefits the industry has brought, however, the tragedies at Rana Plaza and Tazreen Fashions
have made clear that significant challenges remain.
Our goal is to help Bangladesh continue to build on its economic achievements, but to
do so in a way that ensures the growth of its export sector does not come at the expense
of safe and healthy working conditions. We believe three key reforms are particularly
important to improving labor rights and conditions in Bangladesh: guaranteeing workers' rights
to organize, guaranteeing fire safety, and ensuring structural soundness of factories
and other facilities. Last month, Secretary Kerry underscored to
Bangladeshi Foreign Minister Moni that the recent tragedies and weak progress on labor
rights and safety had undermined the Bangladesh brand and placed the country's future development
at risk. He urged Bangladesh to make transformative and sustainable improvements in worker rights
and working condition. He pressed for further labor union registrations and the enactment
of amendments to the labor law that will address freedom of association and worker safety.
These changes would enable the International Labor Organization and the International Finance
Corporation to launch a "Better Work" program for the garment industry in Bangladesh that
would lead to still more improvements. We hope these changes will be enacted by Parliament
before the end of this month. We are seeing some results of our advocacy:
27 trade unions registered since September 2012; the signing of a comprehensive fire
safety plan; and a Bangladeshi commitment to dramatically increase the number of government
labor inspectors. We have also engaged U.S. companies sourcing
from Bangladesh. On May 8th, Special Representative for International Labor Affairs Barbara Shailor
and I, along with colleagues from USTR and the Department of Labor, organized a conference
call with U.S. buyers and we urged them to coordinate efforts with each other, and with
European counterparts, to communicate their concerns about labor conditions to key officials
in Bangladesh; and to provide assistance to independent safety and fire inspectors. We
shared our "Best Practices for Companies Operating in Bangladesh," which I have submitted along
with my written statement. Mr. Chairman, Bangladesh is now at a critical
moment in its history. Last week Ambassador Mozena met with leaders in a recently formed
union in the garment industry, one of the 27 unions that I mentioned. These workers
highlighted their successful efforts, since forming the union, to improve factory floor
conditions, such as obtaining potable water, a clean lunchroom, the removal of electrical
hazards, and the unblocking of exit stairwells. Their efforts show the potential for a broader
sea change in Bangladesh's approach to labor issues, but much more work needs to be done.
Our hope is that Bangladesh will seize the current moment to strengthen labor rights
and improve working conditions. This Administration wants to see Bangladesh succeed, and we will
remain engaged with all the relevant actors, both here and overseas, to support those efforts.
So again, I thank you Mr. Chairman for your interest in this important endeavor and I
look forward to taking your questions.