1 July 2003

Please find below an appeal for action from the Free Trade Zone Workers Union (FTZWU) in Sri Lanka regarding an anti-union campaign at a factory producing for VF (for their Red Kap workwear brand) and Nike. Immediate action is needed on this case -- please send your protest letters BEFORE the July 9th union recognition referendum takes place. For more information on this case, please see the CCC website or contact the FTZWU <ftzunion@diamond.lanka.net>.

source: FTZWU, July 1, 2003

Dear Friends

Free Trade Zone Workers Union (FTZWU) members of the Jaqalanka factory in Sri Lanka's Katunyake Free Trade Zone (FTZ) need your urgent action NOW.

On July 9th 2003 a referendum (ballot) will be held to determine if the union has 40% membership and can therefore be recognised as a collective bargaining agent.

Workers are facing threats, intimidation and harassment from management who are threatening to close the factory if they vote for the union.

This is a serious test case for the Right to Organise and Collective Bargaining in the Free Trade Zones of Sri Lanka. It appears from the actions of the Jaqalanka company and others involved, including the Board of Investment (BOI) of Sri Lanka that they are determined to prevent the formation of trade unions in the FTZs.

Management has intimidated workers by holding captive audience meetings, in which they asked workers to disaffiliate themselves from the union. The following day management spoke with the union branch secretary and two committee members and told them that they must either resign from the union or resign from the company.

Given the current situation, the union feels that the following actions should be undertaken within the upcoming few days, prior to the scheduled election in order to ensure a free and fair election process: These conditions are to be presented to the Assistant Commissioner of Labour, Negombo, today (1st July 2003):

- General Secretary of the union, Mr. Anton Marcus be given access to meet with workers and worker representatives within the factory daily from July 3rd to July 8th, in the presence of the Labour Commissioner. - The election be held in a neutral location, such as the canteen, as had been agreed upon previously by both parties. - With due respect, the union is of the opinion that the handling of the elections should be handled by the Colombo Labour Minister.s Office with the supervision of the Commissioner General of Labour. - On the date of the election, those persons involved in these allegations of intimidation should not be allowed on factory premises, except in order to cast his vote. Additionally, in the days leading up to the election, it is imperative that these parties refrain from holding captive audience meetings. - On the day of the election, 8 people be allowed to monitor the elections on the side of the union. These will include both independent local and international observers.

The union's demands to management are:

1. To stop intimidation and harassment of union members. 2. To create an atmosphere where the workers can vote freely without any fear in the referendum. 3. To agree to the conditions put forward by the union (as listed above) to ensure a fair election.

The union's demands to the Honourable Minister of Employment and Labour are:

1. To advise the Department of Labour to take action against the unfair labour practices of the management of Jaqalanka Ltd, as complained by the union.

2. To ensure a fair election and to hold the referendum under the conditions proposed by the union.

BACKGROUND

Jaqalanka Ltd company has two factories in the Katunayake FTZ and another in a regional area of Sri Lanka: 1. Jaqalanka Ltd 2. Jaqalanka International Private Limited 3. Jaqalanka Apparel - Balangoda

The company was established in Sri Lanka in 1978 with Jaqalanka Ltd, followed by Jaqalanka International and Jaqalanka Apparel.

Ownership: It is owned by Sri Lankans, all of whom are British citizens. Management: Local management No. of workers: Jaqalanka Ltd has about 400 workers in the factory including staff. Jaqalanka International Private Limited has about 1000 workers.

Jaqalanka produces jackets for brand label Red Kap, owned by US based company VF Workwear, which distributes safety equipment and clothing throughout the US. Parent company VF Corporation owns several brands including well know jeans brands such as Lee, Wrangler, Rustler, Riders and Britannia, Chic, and Gitano brands, VF holds more than 25% of the U.S. jeans market.Other VF brands include lingerie lines - Vanity Fair, Vassarette, Bestform, Lily of France, and outdoor wear and equipment of JanSport, Eastpak, The North Face.

Additionally Jaqalanka are producing underwear for the New Time label, and also underwear samples for Nike.

ACTION REQUEST

The union urges you to send protest letters to Jaqalanka management, the Board of Investment of Sri Lanka, the Minister of Labour, and the VF Corporation.

Addresses and fax numbers listed below :

Dinesh Senaratne Managing Director Jaqalanka Ltd
Fax: 94 1 22 52 461
Email: jaqa@jaqalanka.com dinesh@jaqalanka.com

Arjunna Mahendran Chairman/Director General The Board of Investment of Sri Lanka
Fax: 94 1 329795

Minister of Employment and Labour Honourable Mahinda Samarasinghe Fax: 94 1 588 950

VF Workwear P.O. Box 140995 Nashville, TN 37214-0995 United Sates
Tel. 615-565-5000 Fax: 615-565-5263

Also contact VF headquarters:

VF Corporation 628 Green Valley Rd., Ste. 500 Greensboro, NC 27408
Phone: 336-424-6000 Fax: 336-547-7630

Please send copies of your letters to FTZWU (ftzunion@diamond.lanka.net), together with letters of solidarity to encourage the workers who are facing this struggle.

In Solidarity,

Anton Marcus General Secretary Free Trade Zone Workers Union