Positive class compromise in globalized production? The Freedom of Association Protocol in the Indonesian sportswear industry

Abstract

This article investigates the role of voluntary initiatives (VIs) as nongovernmental systems of labour regulation in global value chains (GVCs). To identify the conditions conducive to a more active role for labour in VIs, the authors apply Wright's (2000) theory of the factors enabling positive class compromise to a VI implemented in the Indonesian sportswear industry and extend it to the more complex realities of GVCs. They conclude that if VIs are to create conditions under which decent work can be strengthened, the involvement of strong local labour organizations is required while producers' and/or buyers' dependence on workers' cooperation acts as a catalyst.