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The devastating effect the Labor government has had on the Australian fashion industry…


Thiis is an opinion piece written by Phoebes Garland co-owner of Garland & Garland Fashion, with Robert Garland who was described by Ragtrader as a “veteran rag trader” with over 30 years experience in the fashion industry. While Phoebes Garland was described as a “Power Agent” by Assia Benmedjdoub, editor of Ragtrader. Between the two of them, Phoebes & Robert Garland have over 50 years sales experience in fashion, publishing and advertising. Garland & Garland Fashion is a leading fashion agency based in Sydney and they are regularly sought for comment from various media on the latest business fashion topics and issues.

If the Liberal party needs to pick up some votes, they would probably gain quite a significant amount from the rag trade at the moment. With the Gillard government just recently passing an uncompromising amendment bill, under the Fair Work Amendment (Textile, Clothing and Footwear Industry) 2011, which has effectively banned outworkers working from home, as well as several other provisions which includes outworkers being paid superannuation, leave entitlements, and also insisting they must have a minimum of 20 hours a week to be paid from manufacturers.

This has pretty much put a nail in the coffin to whatever small manufacturing is left in Australia. And we should know, as not one of our labels our agency represents is Australian made anymore. And, aside from Cue, the majority of the Australian made manufacturing in textiles is very small indeed. We are definitely no longer talking large corporations anymore. Whilst in the interest of ‘protecting workers’, the Gillard government in conjunction with the TCFUA, has effectively managed to do the complete opposite. Our concern is whether the question of protecting workers rights is the real issue here? I think we also need to look at why the unions are instigating this, considering it’s timely that the union membership is down 50%. It begs to question, is this merely a way of gaining union membership by ensuring workers are working in a controlled union endorsed environment? Some would say Labor, has always been controlled by the unions.

CUE are manufactured in Australia

The other side of the coin is that small designers, pattern makers and any small manufacturing in the garment industry in Australia simply cannot afford to pay these entitlements. Nor decipher the red-tape rules, which have been enforced with textile manufacturing in Australia, without the fear of hefty fines. Where does the responsibility stop and start for ethical manufacturing in Australia? It’s such a grey area and so difficult to adhere to, regardless of manufacturers wanting ethical working conditions for their makers.

The Australian fashion industry has had a notoriously bad relationship with the Labor governments, mainly with Bob Hawke and John Button, effectively ending manufacturing in Australia, courtesy of the Button Plan, which resulted in the large volume of garment manufacturing being sent off shore.
Simply, the government wanted to sell minerals, oil and gas to China and what could we take from China in return? Answer = Clothing. Hence the protection offered by import tariffs was eradicated and the massive invasion of “landfill” garments began. Now there is barely a heartbeat to the fashion industry in this country.

Let us not also forget the recent changes the Gillard government’s new AWARD wages on Sundays and public holidays, which are also having a devastating, effect on retailers. Not to mention the effect the impending Carbon Tax is having on consumer confidence to spending, which in turn is impacting retailers enormously.

Whilst back on the subject of makers, with most of the larger corporations manufacturing offshore, there is still a question of an impact of the jobs of 40,000 makers and workers in Australia, which is what is at stake. Essentially, in a twist of irony, this bill has threated their livelihood.

Dominic Beirne, Managing Director of Australian Fashion Partners gave this insight into his thoughts on the issue.

“No doubt some of you will have seen my comments on my facebook, linked in and twitter profiles as well as Save the Australian Fashion Industry Facebook page.

I think it is imperative that as an industry we understand what the political realities are we are facing. Very few of us want to exploit our workers, they are all that stands between our ongoing success and industrial oblivion.

There is one side of politics that will not let us work with our business partners and the latest changes they have made to the Fair Work Act (FWA) and federal award means that our flexibility and respectful working relationships are history.

The TCF industry did not engage in political sniping in the 2007 election. We didn’t enthusiastically support the coalition Work Choices policies. Perhaps we should have, well not really because they weren’t that great. The policy however did give the ability and authority to individuals to negotiate with employers their conditions of employment. It recognised that some people want to contract, some people want to be part of a union and that some people just want to get on with things in their own way.

As an industry we have had one more nail put into our coffin. It is time that we started becoming activists for our own survival. Write, call visit and email your coalition Senators and Members of Parliament. Tell them what is happening to your business. Let them know how many of us there are and what is happening to our industry. Get them to help and VOTE FOR THEM.

There is essentially only one way to eliminate the despicable, anti-competitive and discriminatory amendments to the FWA. We must remove the ALP and their minority party and independent hangers on from government. Elect the coalition of Liberal and National parties to be our representatives and voices in parliament. Get some balance back.”

While, over the last few days, through social media, here are some thoughts of the new amended bill from fashion designers, pattern makers and various members of the Australian Fashion Industry.

Jo-Ann Kellock – C.E.O – Council of Textile and Fashion Industries of Australia

Flexibility and quality are the key competitive advantages of local industry. The TCF Labour Regime creates a barrier to entry for new entrants and locks the industry into one employer/employee relationship model when a balance between both contractors and employee arrangements are needed to maintain flexibility. This is a devastating blow to SMEs in particular.

Marie Astrid – Pattern Maker

This TFC bill will affect a lot people that I work closely with. My Patternmaking Studio is a small business that is already suffering due to our financial economy. This bill will make it even harder for outworkers. I actually think people working from home will go further underground and get paid less for hiding their business as they will live in fear of been discovered by the authorities.

Jenny Bannister – Iconic Fashion Designer

Contractors, i.e., people with their own CMT businesses based at home are now only classified as Outworkers and must only work as factory types and follow the hours and pay and entitlements of the award. The union is saying, “No one can have a business at home, but they can work in a rented premises and have their own business?” You would have to think the Union is in rentals, but it’s about being able to gain admittance to inspect and try and sign up union members – It’s ludicrous

Jayson Brunston – Fashion Designer

At Jayson Brunsdon we pride ourselves on quality garments made in Australia. This law will kill off what little is left of the clothing manufacturing small business in this country. Not everyone wants to produce off shore. Australian niche labels are struggling already and the local businesses they support are also finding it difficult to survive in this retail environment.

Weave Dibden Neck – Fashion Designer

I am horrified with the latest move by the government. As an emerging designer in Australia, I have relied solely on the small manufacturing businesses that have allowed me to do small runs with my label. The Sydney rental issue is also a huge factor here and to have some of these businesses forced out to find a factory, will be impossible for them to survive. As a small business I cannot fathom offshore production yet, and how will I get to that level if I cant have my collections made here first. There is no sense to this. I fly the flag for an Australian made industry, but this only encourages me to leave.

Ronnie Sansonetti – Director & Owner Andiamo Fashion label

ANDIAMO is fiercely proud of being Australian made…we have resisted taking our label off shore for 20 years. Being an Australian manufacturer is an integral part of our success and is part of who we are. We work with several TCFU approved Sydney Clothing Manufacturing factories. Home workers have always been part of the Rag trade, providing a viable income for women who would otherwise be unable to work due to language or skill barriers, as well as allowing the opportunity to work from home with small children or aged parents…. My mother in law was a ”home worker “ when she arrived here from Italy in the 50’s, my pattern maker is a ‘”home worker ”, her livelihood is dependent on manufacturers like myself keeping her employed in an Industry where no one can afford the luxury of a full time in- house pattern maker. The Australian clothing industry is disappearing before our eyes. Do we want everything MADE IN CHINA???

In summary, we urge the Australian fashion industry to lobby against this bill to the opposition, to give flexibility to working women with small children, who actually like working from home, give emerging Australian designers a chance to manufacture here and produce “Australian Made” and keep the Australian fashion industry alive for the next generation.

We welcome your immediate thoughts on the Gillard Government’s impact to the Australian Fashion Industry

Contact: Phoebes & Robert Garland – Garland & Garland Fashion

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