Fair Trade, Corporate Accountability and Beyond

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Fair Trade, Corporate Accountability and Beyond This page has been left blank intentionally Fair Trade, Corporate Accountability and Beyond Experiments in Globalizing Justice Edited by Kate Macdonald University of Melbourne, Australia Shelley Marshall Monash University, Australia © Kate Macdonald and Shelley Marshall 2010 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise without the prior permission of the publisher. Kate Macdonald and Shelley Marshall have asserted their rights under the Copyright, Designs and Patents Act, 1988, to be identified as the editors of this work. Published by Ashgate Publishing Limited Ashgate Publishing Company Wey Court East Suite 420 Union Road 101 Cherry Street Farnham Burlington Surrey, GU9 7PT VT 05401-4405 England USA www.ashgate.com British Library Cataloguing in Publication Data Fair trade, corporate accountability and beyond : experiments in globalizing justice. 1. International trade--Social aspects. 2. Commercial policy. 3. Social responsibility of business. I. Macdonald, Kate. II. Marshall, Shelley. 382.3-dc22 Library of Congress Cataloging-in-Publication Data Fair trade, corporate accountability and beyond : experiments in globalizing justice / by Kate Macdonald and Shelley Marshall. p. cm. Includes index. ISBN 978-0-7546-7439-9 (hardback) -- ISBN 978-0-7546-9119-8 (e-book) 1. International trade. 2. Competition, Unfair. 3. Foreign trade regulation--Social aspects. I. Macdonald, Kate, 1976- II. Marshall, Shelley. HF1379.F343 2009 382'.3--dc22  ISBN ISBN 2009030156 9780754674399 (hbk) 9780754691198 (ebk.I) Contents List of Figures and Tables   Notes on Contributors   Preface   List of Acronyms   ix xi xvii xix Introduction 1 Social Governance in a Global Economy: Introduction to an Evolving Agenda   Kate Macdonald and Shelley Marshall Part I 3 Individual and Civic Action Through Fair Trade 2 Fair Trade at the Centre of Development   Steve Knapp 37 3 Developing Markets, Building Networks: Promoting Fair Trade in Asia   Claribel B. David and Hyun-Seung Anna Kim 57 4 Mainstreaming Fair Trade: Fair Trade Brands and the Problem of Ownership   Anna Hutchens 75 5 What Gives Fair Trade its Right to Operate? Organizational Legitimacy and Strategic Management   Alex Nicholls 6 Voluntarism and Fair Trade   Tim Wilson 93 121 Part II Responsible Consumers and Corporations 7 Corporations and Global Justice: Rethinking ‘Public’ and ‘Private’ Responsibilities   Terry Macdonald 137 8 Corporate Responsibility and Stakeholder Governance: Relevance to the Australian Garment Sector   Emer Diviney and Serena Lillywhite 149 Fair Trade, Corporate Accountability and Beyond vi 9 CSR and Policy Incoherence   Peter Utting 169 10 Fair Consumption? Consumer Action on Labour Standards   Gordon Renouf 187 Part III Mobilized Workers 11 Corporate Accountability and the Potential for Workers’ Representation in China   211 Anita Chan 12 The Threat Posed by ‘Corporate Social Responsibility’ to Trade Union Rights   Jeff Ballinger 13 Can CSR Help Workers Organize? An Examination of the Lessons Learnt and an Exploration of a New Way Forward   Andrea Maksimovic 245 14 Corporate Accountability through Community and Unions: Linking Workers and Campaigning to Improving Working Conditions across the Supply Chain   Annie Delaney 259 15 Triangular Solidarity as an Alternative to CSR and Consumer-based Campaigning  277 Apo Leong, Chan Ka-wai and Anna Tucker Part IV 223 A Strengthened and Transformed Role for the State  16 Regional Trade Agreements in the Pacific Islands: Fair Trade for Farmers?   Nic Maclellan 293 17 Crowding Out or Ratcheting Up? Fair Trade Systems, Regulation and New Governance   Orly Lobel 313 18 The Regulatory Impact of Using Public Procurement to Promote Better Labour Standards in Corporate Supply Chains   John Howe 329 19 CSR is Not the Main Game: The Renewed Domestic Response to Labour Abuses in China   Sean Cooney 349 Contents vii Conclusion 20 Experiments in Globalizing Justice: Emergent Lessons and Future Trajectories   Kate Macdonald and Shelley Marshall 365 Index   387 This page has been left blank intentionally List of Figures and Tables Figures 4.1 Typology of trader-participation in fair trade/Fairtrade markets The evolution of fair trade models: Certification to brand companies 4.2 5.1 A model of organizational legitimacy 5.2 Legitimacy tree nodes 11.1 Legal minimum wage per month for a 40-hour work week, Outer Shenzhen, Guangdong Province, 1993–2007 82 87 98 108 213 Tables 3.1 Bangladeshi fair trade organizations engaged in domestic activities   4.1 Fairtrade labelling criteria for Fairtrade certified traders    4.2 Standards for fair trade organizations (FTOs)   5.1 Legitimating competences   5.2 A typology of organizational legitimacy   5.3 Legitimating discourses in fair trade public statements   5.4 Data summary for legitimacy typology   11.1 Inflation adjustments to minimum wage, Outer Shenzhen, Guangdong Province, 1993–2007   14.1 Summary of homework regulation mechanisms to promote supply-chain regulation and homework protection   20.1 Extent of contribution to institutional transformation    59 78 79 99 101 103 111 213 268 380
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