Indonesia male worker male in a textile factory

MC CBA’s

How can we improve working conditions and workers’ rights in an efficient and effective manner?

A multi-company collective bargaining agreement (MC-CBA) is a form of collective agreement in which arrangements regarding working conditions are made that apply to several companies within a sector and region. A key advantage is that this means not every factory has to negotiate its own collective agreement. Trade unions, employers and local authorities can thus work together to improve the quality of social dialogue and strengthen terms and conditions of employment through a single, jointly negotiated collective agreement.

Find out on this page why this is important not only for workers and factories, but also for clothing brands seeking practical solutions to address human rights risks in their supply chains.

Why?

This concept of Multi-Company Collective Bargaining Agreements, or MC-CBAs, was developed by CNV Internationaal in collaboration with our local trade union partners. It is currently being successfully implemented in Vietnam and Indonesia, particularly in the garment industry. As a result, more than 37,500 workers at 48 companies now enjoy improved working conditions.

Thanks to our many years of experience in this process, in collaboration with our local trade union partners, we have seen that constructive cooperation between all parties involved ensures a lasting impact for workers and companies.

Impact

What is the impact of these MC-CBAs?

  • Improved working conditions for employees, with better agreements on, amongst other things, wages, gender equality and combating violence against women in the workplace, and the strengthening of trade union rights;
  • Improved dialogue and cooperation between employers and employees and/or trade unions;
  • Fewer labour disputes and strikes;
  • Higher productivity and quality through training and support.

Not just price, quality and speed, but better labour rights as a new sourcing criterion. That is the only way to make progress for the millions of female workers in this industry.

- Yen Nguyen, the consultant for CNV Internationaal in Vietnam

Becoming part of an MC-CBA

This positive impact is also relevant for clothing brands seeking practical solutions to address human rights risks in their supply chain. As a clothing brand, you can effectively put human rights due diligence commitments into practice by supporting an MC-CBA process amongst your suppliers.

Please contact us for further information or to work together:

Isabelle de Lijser
Regional Coordinator Asia, based in the Netherlands
Margot Offerijns
Programme Officer Asia, based in the Netherlands

See how we work in Indonesia and Vietnam

Challenges in Indonesia’s Textile Industry - Ensuring solutions with suppliers, brands and unions Textile factory in Indonesia
Multi-Company Collective Bargaining Agreements in Vietnam