Rugmark Is a Nonprofit a MESSAGE from the EXECUTIVE DIRECTOR Few Years Ago, Man Maya Didn’T Dare to Dream a Life Beyond the Carpet Factory
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www.RugMark.org 347-4885 (202) Fax: 234-9050, (202) Tel: 20009 D.C. Washington, 430 Suite NW, Street S 2001 R UG M ARK F OUNDATION USA RUGMARK FOUNDATION NorthAmerica ANNUAL REPORT 2008 RugMark is a nonprofit A MESSAGE FROM THE EXECUTIVE DIRECTOR few years ago, Man Maya didn’t dare to dream a life beyond the carpet factory. She endured the hardships of homelessness, which led her to work on the looms. Then RugMark rescued Man Maya and everything changed. She entered school, completed the seventh grade, received vocational training and is now a seam- organizationworking to A stress and entrepreneur in her home town in Nepal. Man Maya’s smile, seen on page eight of this report, reminds us that we consumers have the power to liberate child workers on the other side of the world. At RugMark we call the exercise of this power “responsible luxury.” To satisfy the growing desire for buying responsibly, RugMark offers a certification program that gives the rug buyer, whether a designer, retailer or consumer, end exploitative child laborin assurance that the beautiful rug was made free of child labor. And it’s working.This year, RugMark’s U.S. rug sales increased by 22 percent while the overall market was dropping by 19 percent. Every certified rug sold generates funds to educate rescued and at-risk children. In 2008 this amount totaled $126,000, a 20 percent increase over 2007. But we can do more, especially in bringing our message to a broader public. RugMark’s Most Beautiful Rug awareness campaign does just that, deploying the the carpet industry and offer full range of media to publicize both certification and the rescue and education facets of our work in South Asia. Part of the campaign is the Faces of Freedom traveling photo exhibition featuring many of the 3,400 children rescued by RugMark, several profiled in this report. Since RugMark began, in 1995, the number of children laboring in South Asia’s carpet industry has dropped from 1 million to 300,000. educational opportunities to What will it take to reach zero? We know from crusades in other business sectors that once enough key purchasers, about 15 percent, make a formal commitment to change, the rest of the industry will follow. children in India and Nepal. We’re approaching that magic 15 percent, and to help reach it we are re-branding and expanding our efforts. Next year we will launch GoodWeave to eventually replace the RugMark label. GoodWeave will address an enhanced set of humanitarian and environmental criteria and offer the potential for reaching more industry sectors and producer countries. The RugMark label is your GoodWeave will bring a new look and logo, but our core mission and structure will remain the same: To grow the market for child-labor-free rugs and shrink the number of children exploited on the looms. Only then will Man Maya’s story become the exception among South Asia’s best assurance that no illegal children, instead of the familiar one it is today. Rug images (in order of appearance) by GuildCraft Carpets, IN PURSUIT OF ‘RESPONSIBLE LUXURY’ . 2 RugArt, Judy Ross Textiles, notNeutral, emma gardner design llc, WHAT’S IN THE LABEL . 3 child labor was used in the Khaden Carpets, Liza Phillips Design. ‘THE MOST BEAUTIFUL RUG’: CONTINUING THE CAMPAIGN . 4 RugMark is grateful to Robin Romano whose copyrighted photo- graphs are featured throughout this report. Additional photography THE MOST BEAUTIFUL LABEL: GOODWEAVE . 5 manufacture of a carpet orrug. by Kelly Kinnunen, NEED magazine and RugMark USA. WEAVING A BETTER FUTURE FOR THE PEOPLE BEHIND THE LOOMS . 6 KATHMANDU’S MOTORCYCLE GIRL . 7 ‘FACES OF FREEDOM’: VISIONS OF HOPE . 8 RUGMARK MEMBERS: CATALYSTS FOR CHANGE . 10 FINANCIAL INFORMATION . 14 SUPPORTERS LISTING/BOARD AND STAFF . 16 IN PURSUIT OF ‘RESPONSIBLE LUXURY’ WHAT’S IN THE LABEL? merican consumers carefully research before spending money on luxury fication of manufacturing conditions, making the choice easy and assuring a rug onsumers who purchase RugMark certified rugs are helping not only exploited RugMark’s holistic strategy has five parts, which address all key aspects of the problem: items like jewelry, cars or carpets. It only makes sense to be sure you get the buyer that no child had a hand in the carpet’s making. child laborers, but their families as well. RugMark integrates community • Promote: RugMark offices in the U.S. and Europe ask importers and retailers to A high-quality product you’ve paid for. Now, shoppers are looking beyond RugMark’s holistic approach to ending child labor, embracing both rescue from the C development and education programs into its standard for doing business. carry products certified child-labor-free and promote the label to consumers, designers the product to the process of its creation: Was this product made responsibly? factory and placement in schools, has freed thousands of children from the looms while Certification fees from licensees pay for daycare and education programs for 3,400 and other key audiences. To practice “responsible luxury,” however, requires information about which preventing thousandsmore from ending up there. Since RugMark introduced its child-labor- children in India and Nepal, both in RugMark-sponsored centers as well as in local companies are offering ethically made products, and which are instead peddling “con- free certification in 1995, the number of child carpet-weavers has fallen by two-thirds. schools. RugMark supports weaving communities through adult literacy programs, • Certify: Inspectors in South Asia visit certified manufacturers on a surprise, random flict diamonds,” “dirty gold”–or “unclean” carpets made with illegal child labor. U. S. consumers have embraced responsible luxury. RugMark’s market health clinics and educational sponsorship for children of adult weavers. basis. Companies that join RugMark and meet its strict no-child-labor standards re- In the handmade rug industry of South Asia, some 300,000 children slave on share grew 116 percent since the Most Beautiful Rug launch in 2006, from 1.5 percent ceive unique, traceable labels for their carpets. rug looms every day. Kidnapped or sold into forced labor, these “carpet kids,” some to 3.25 percent in 2008, and 60-plus licensed importers retailed an estimated $52 • Rescue, Rehabilitate, Educate: RugMark inspectors rescue illegal child workers and as young as four years, spend their days not in classrooms million in certified rugs through some 1,300 outlets. offer them rehabilitation, education, vocational training and more. Children are re- or running free in playgrounds, but toiling in factories While the U.S. economy began to sag, and handmade united with their families when possible. and loom sheds where they often suffer physical and rug imports dropped 19 percent, sales of RugMark • Prevent: RugMark prevents child labor by raising awareness among producers and emotional abuse. For them, childhood is a luxury. certified rugs grew 22 percent. consumers, as well as by providing daycare and education for at-risk children, espe- How can socially responsible consumers know Each rug sale helps put education within another cially those of carpet weavers. which brands to trust? That’s where organizations like child’s reach. The following pages trace RugMark’s pro- RugMark come in. According to a recent report by the gress in 2008, and profile some of the children assisted A representative council from producing and consumer countries governs branding and marketing agency BBMG, 52 percent of by the organization. Please take a moment to read the com- RugMark’s international network and standards. RugMark International, the body concerned consumers surveyed said they use product pelling stories of children whose lives have been trans- overseeing RugMark’s country-level operations, is an associate member of the In- certification seals and labels in purchasing decisions. formed by the simple act of a consumer – maybe you – who ternational Social and Environmental Accreditation and Labeling Alliance (ISEAL), 2 The RugMark® certification provides third-party veri- asked for a rug reliably certified as free from child labor. a global leader in setting norms and best practices for certification. 3 “Corporations are beginning to realise that their reputations are not public relations banners to be rolled out when convenient through sponsorships and special events. Companies are trying to show that what they do can be judged in ethical terms, and what they make or produce.” – Peter Day, BBC “In Business” ‘THE MOST BEAUTIFUL RUG’: CONTINUING THE CAMPAIGN THE MOST BEAUTIFUL LABEL: GOODWEAVE™ nly an informed consumer can make an enlightened choice. In 2006, Although the Most Beautiful Rug campaign is consumer-focused, it also reaches After 15 years of promoting ethical rug facing brand and label. With the help of industry partners the world’s poorest and most vulnerable to labor abuses. RugMark USA launched The Most Beautiful Rug, a national campaign to out to market influencers such as interior designers and architects through trade production with the RugMark certi- and supporters, the GoodWeave label will become a widely For more information about GoodWeave poli- O raise awareness of RugMark certified rugs. Through editorials and ad- show events, private presentations and other vehicles. For example, RugMark USA fication label, RugMark will introduce recognized symbol of integrity, authenticity and social cies and procedures or to comment on standard-set- vertising in key print and online publications, RugMark’s name reaches millions Executive Director Nina Smith spoke about “A Beautiful Purchase That Makes a a new brand that will strengthen its justice. It will advance working conditions for the largely ting, please consult the new RugMark International of readers – who then have the power to choose responsible luxury. Difference” to designers at the 2008 International Contemporary Furniture Fair, work and help its member companies overlooked informal sector of workers who are among website, www.GoodWeave.net.