NEWSROOM
DAI Labor Standards Project Highlighted in Gap Social Responsibility Report
Author: DAI
Date: July 19, 2005

Bethesda, Maryland—In its recently-released, second annual Social Responsibility Report, apparel giant Gap, Inc. highlighted its involvement with Development Alternatives, Inc. (DAI) through two projects in Central America. These projects seek to improve working conditions and enhance labor standards in their suppliers’ factories, or maquilas. The San Francisco-based retailer realized the complexity of social responsibility problems in the apparel industry and formed a partnership with DAI to tackle the issue. As Gap CEO Paul Pressler wrote in his introductory letter to the report, “…our goal is to help improve conditions across the apparel industry as a whole. And we know that’s not something we can do alone.” Gap has helped DAI launch two U.S. Agency for International Development (USAID) Global Development Alliance (GDA) projects aimed at capacity-building and social dialogue—Continuous Improvement in the Guatemalan Workplace (CIMGUAW) and Continuous Improvement in the Central American Workplace (CIMCAW). These programs receive $2.5 million in funding from USAID as part of their GDA Initiative to foster public-private partnerships.

The projects in Central America were launched in 2003 and are part of a three-year initiative that intends to improve working conditions to help garment factories meet growing demands for social compliance and increase their competitiveness. The program brings together U.S.-based apparel retailers, including Gap and Timberland, and a dynamic mix of leading international and local labor, training, and development organizations. It focuses on labor standards as a critical development issue that affects trade, market access, gender concerns, social and economic development, and basic human rights. CIMGUAW and CIMCAW will ultimately allow manufacturers to remain competitive in a post-quota era by offsetting higher operating costs with innovation, greater efficiency, and better compliance with labor laws and standards.

Leading clothing vendors such as Gap have come to realize the value of forging partnerships with companies like DAI to address social responsibility issues in their suppliers’ factories. As Mr. Pressler remarks, “Over the past year, we’ve learned the power of collective engagement, and of open, honest discussion about the issues that we and many other companies face. As such, we have been expanding our participation in collaborative efforts.”

About DAI
Development Alternatives, Inc. (DAI) is a global consulting firm providing social and economic development solutions to governments, communities, and companies with projects in developing and transitioning countries. Founded in 1970 and headquartered in the Washington, D.C., area, DAI now includes companies in Brazil, South Africa, Palestine, and the United Kingdom. DAI’s 2,000 employees work in 75 countries. Clients include international development agencies, international lending institutions, global corporations, and host-country governments.


For more information, please contact:
Jennifer D’Agostino, DAI
301-718-8699
jennifer_d’agostino@dai.com

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