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Ethical Question of Sweatshops

In: Business and Management

Submitted By klkennedy
Words 1141
Pages 5
Sweatshops in Bangladesh: An Ethical Dilemma
Kristy Kennedy
Legal, Ethical & Social Issues
EAMBA 24
February 15, 2014

On April 25th of this year, a garment factory in Bangladesh collapsed, killing hundreds of workers. Fearing a backlash of negative publicity, U.S companies that outsource to garment factories in Bangladesh are questioning whether they should continue operations there; association with unsafe factories could tarnish a company’s reputation. Nike, for one, has already addressed their concern over the working conditions in Bangladesh and is minimizing their outsourcing operations there.
An article in Forbes, “Sweatshops In Bangladesh Improve The Lives Of Their Workers, And Boost Growth”, discusses the negative consequences that would follow if companies abandon garment factories in Bangladesh. The 4 million workers in garment factories in Bangladesh could face a worse fate without the income from this job. The average “sweatshop” worker in garment factories in Bangladesh makes $2 a day. 77 percent of Bangladeshis make less then $2 a day. Moreover, if companies abandon these factories, they will slow the economic development needed to achieve improvements in safety for factory workers.
Calling for improvements in safety standards in these factories does not take into account the impact it will have on these workers. Increases in costs due to new safety measures will likely result in a lower income for workers already struggling to “feed, clothe, and shelter their families”. The trade-off of pay for increased safety standards is one that most low-income workers would prefer not to make.
This ethical question over sweatshops is a challenging and persistent corporate responsibility issue. Companies face the ethical dilemma of seeking the lowest prices from suppliers so they can offer low-priced products to their customers while upholding

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