RMG Case Study
USAID signs MoU with US consortium to help Asian supply-chain workers
CHALLENGE
The COVID-19 pandemic significantly disrupted the global garment manufacturing sector, imperiling the livelihoods of millions of predominantly women workers throughout the world. Global apparel brands and retailers recognized that there would have to be an international effort to support these workers through the pandemic and the United States would have to be a leader in this effort.
OUR APPROACH
KHG initiated an industry coalition effort to partner with the U.S. government’s leading development agencies to mount a coordinated response. This initiative was the result of ongoing, regular communications between the KHG team and leadership in the U.S. Agency for International Development (USAID), the U.S. International Finance Corporation (DFC), and senior officials at the White House and State Department regarding the executive branch’s global COVID-19 response plans.
Over a period of three months, KHG established the Consortium coalition of nine leading brands and four industry associations, initiated communications and negotiations with leadership at USAID and the DFC and developed the scope and justifications for innovative new grant and loan facilities, to provide urgent relief for garment workers. KHG leveraged its broad and deep relationships at USAID and DFC to build coalitions of support within the agencies, and also managed the complex bureaucratic processes of both agencies to put the new partnership proposals on a trajectory towards approval and launch.
““The MOU establishes an intent for USAID and the consortium to work together to alleviate hardships faced by AFFA workers in Bangladesh, Cambodia, Sri Lanka, and Vietnam””