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56 I Central Europe bne February 2019
demand. New markets have been found further afield in Eastern Europe, the Middle East and Africa,” says the Nordic Cabinet of Ministers report.
That said, there is no sign of govern- ments in the region seeking to curb imports of used clothes in the way that several African countries attempted recently. East African Community (EAC) states, which make up one of the world’s biggest markets for used clothing, said they planned to phase out all imports
of secondhand clothing by 2019. While politicians talked of hygiene and dignity, the move appeared mainly motivated by the need to give local textiles industries room to develop. Economists have point- ed to the stifling effect large inflows of cheap secondhand clothes have on local producers.
This, however, raised the ire of the US, the world’s biggest exporter of used textiles accounting for $632mn in 2017
alone. Under pressure from the Office of the US Trade Representative, which in turn was lobbied heavily by US clothing recyclers, Kenya, Tanzania and Uganda backed down, but Rwanda persisted with plans to phase out used clothing imports, and earlier in 2018 was sus- pended from selling clothing to the US duty free under the Africa Growth and Opportunity Act (Agoa).
Eastern Europe is in a rather different situation from Africa, as many countries in the region had strong local textiles and apparel manufacturing industries built up in the communist era. While many of these struggled or even closed down during the upheavals of the early transition period, others continued to go strong, and the region has also become an important manufacturing location for west European brands including fast fashion retailers due to its combination of relatively low costs and proximity to western markets.
Wages in the clothing and textiles industries of the region are low, however, and ironically workers at such factories – along with millions of other low income citizens of the region – find the garments they produce are priced far beyond their means new, and only affordable once they have been sold and worn in the west, cast off and transported back to the east for resale. For example, Albania is an important location for the lower value add parts of the Italian fashion manufac- turing chain, with many garments, shoes and other accessories bearing “Made in Italy” labels (such as those in the thrift shops of Porcelana) being partly made in Albania. Meanwhile a quick search of the racks in a Bucharest secondhand shop reveals “Made in Romania” labels, along- side labels from Lithuania, Turkey and other countries from the wider region. The burgeoning international trade in clothing, new and used, means these garments have travelled first from east
to west, and finally come full circle.
Hungarian president signs controversial law raising overtime threshold
bne IntelliNews
Hungarian President Janos Ader on December 20 signed the contested overtime regulation, which raises the upper threshold for annual overtime by 60% to 400 hours and extends the period employers may account overtime for the purpose of calculating wages and rest days from twelve months to three years.
The change in the labour code is
not in conflict with provisions in the Constitution, Ader said in a statement, adding that it does not weaken
the protective regulations affecting employees. Increased overtime can only be applied after preliminary written approval by the employee and the
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employer must not punish those who
are unwilling to work overtime, he said. Similar overtime regulation exist in other EU countries such as the UK, Denmark, Ireland, and the Czech Republic, he added.
Parliament approved the legislation amid chaotic and the longest anti-government protests since the right-wing government
of Viktor Orban took power in 2010.
The protests are drawing a few thousand people, but discontent is clearly grow- ing and demonstrators look resolute to continue to take to the street.
Unions have also threatened road blockades and steps have been taken to organise strikes.
“Parliament approved the legislation earlier
this week amid chaotic and the longest anti- government protests since the right-wing government of Viktor Orban took power in 2010”