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PostPosted: 01/16/10 7:20 am • # 1 
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I heard a brief report of this on my local news last week but didn't see any other media reports ~ I had no idea how HUGE and wide-spread this practice is ~ it is beyond deplorable ~ if retailers are so worried about their "brand", they can easily clip out labels while leaving the clothing useful ~ the same is mostly true for the newly revised "food laws" here ~ working in a large firm, we often had MUCH left over food from meetings ~ we used to be able to donate the food to local shelters on a "same day" basis ~ now, no "open" food can be donated or accepted ~ I know it's a safety issue, but it's an enormous waste ~ Sooz


H&M's 'Brand Integrity': Destroying Surplus Winter Clothes in New York Instead of Donating Them to the Needy

Posted by Liliana Segura, AlterNet at 11:39 AM on January 15, 2010.

Perfectly good shirts, sweaters and pants and winter jackets are ripped up and trashed instead of going to the city's huge poor population.

This post originally appeared in PEEK.

In a story that should have us all railing against the cancer of capitalism, it recently came to the attention of many, thanks to the New York Times, that ubiquitous fashion retailer H&M has apparently been destroying perfectly usable unsold clothing, in the middle of winter, in a city where one third the population is poor.

"Gloves with the fingers cut off," "warm socks," "cute patent leather Mary Jane school shoes, maybe for fourth graders, with the instep cut up with a scissor," and "men's jackets, slashed across the body and the arms" are among the items recently described by one New York resident to Times reporter Jim Dwyer as being among the countless pieces of merhandise purposely ruined and rendered unwearable, piled in trash bags behind the Herald Square location in Manhattan.

The article met with much outrage -- "H&M" topped the Trending Topics list on Twitter -- and shortly thereafter, H&M announced that that it would stop the practice and would "instead donate the garments to charities."

Quote:
"It will not happen again," said Nicole Christie, a spokeswoman for H&M in New York. "We are committed 100 percent to make sure this practice is not happening anywhere else, as it is not our standard practice."

Indeed, Christie said that it has always been standard practice to donate leftover clothing. Perhaps. But in fact, H&M is not alone in destroying unbought, unworn merchandise. In addition to mega-retailers like Wal-Mart (whose greedy corporate practices should come as no surprise to most consumers), numerous blogs tell stories of employees forced to trash expensive clothing -- even furniture -- at high-end stores once they've been marked as low as retailers are willing to go.

One such store is Anthropologie, purveyor of pretty, highly decorative, and almost aggressively feminine goods. Back in 2008, a couple of decor and fashion blogs picked up on Anthropologie and other retailers' policy of destroying leftover inventory.

A former seasonal employee wrote:

Quote:
I was on stock and we were clearing out a bunch of sale items that hadn't sold. I asked the manager what I should do with the clothing and she said "destroy it." Destroy it? I asked. Shouldn't we donate it? 'No,' the manager replied, 'we are only allowed to donate certain items. Corporate policy is to destroy everything else.'
Quote:
I didn't have a choice so I did it. Perfectly good shirts, sweaters and pants got ripped, torn and generally wrecked. It was really depressing! Another associate told me they destroy furniture too -- almost everything that doesn't sell. We couldn't figure out why. Later on another manager told me that Anthro does it to maintain their brand integrity. They don't want their brands at discount stores or anywhere that would cheapen the brand. Nothing is too common and they want to keep it that way.

As someone with an admitted weakness for Anthropologie's beautiful things (who has never to this day purchased anything there that was not on sale), this is pretty appalling. But it was not an isolated incident.

On a different blog a reader wrote the following about a former Anthropologie manager:

Quote:
After the store had had furniture and accessories for a long time, and after they had been slightly marked down on sale and not sold, he had to take the merchandise and mark it down to "ten cents" (I'm assuming for bookkeeping purposes). After that, he had to take it in the back room and DESTROY it. He says: "I've literally taken a hammer to plates, thousand-dollar chandeliers and more." Even the vintage stuff. If he had taken it home without destroying it, he would have been fired. If he had given it to a co-worker, he would have been fired. Do you want to know why they have this outrageous policy? Two words (their words): "Brand Integrity." They couldn't mark it down so low that people could "expect to walk in to Anthropologie and find a deal."

Granted, this is anecdotal evidence, but there's enough of it that it seems unlikely to be made up.

From a marketing and business standpoint, "brand integrity" makes sense: It's about preserving the legitimacy of a brand in consumers' eyes, so that people continue to buy, say, that $278 hat (whether they should or not).

But by what sort of sick measure does preserving "brand integrity" mean that a warm winter jacket is worth more cut up and in the trash than when it is worn by someone who could never afford to buy it? Do designers so jealously guard their products that they can't bear the thought of a homeless person wearing them for warmth? Screw "brand integrity"; what what about human integrity? If a retailer cannot allow their clothing to end up at Goodwill, lest their image be tarnished, do we really want to shop there?

***

Adding to the whole destroying-perfectly-good-clothing controversy, this week Dwyer published a new article titled: "Closing Pipeline to Needy, City Shreds Clothes," revealing that the practice of destroying clothes rather than donating them goes beyond retailers.

"New York City officials destroyed tons of new, unworn clothing and footwear last year that had been seized in raids on counterfeit label operations, abandoning a practice of giving knockoff garments to groups that help the needy," he wrote.

Quote:
Last summer, the Police Department rented an industrial shredder to destroy a dozen tractor-trailer loads of bootleg goods after they were no longer needed as evidence in legal proceedings. It also has been shipping truckloads of garments to an incinerator in Hempstead, on Long Island, where the city pays about $150 a ton to burn them. The lost clothing includes winter jackets, shirts, pants and underwear.

You read that right: The city is literally paying to burn perfectly good clothing rather than donating it to needy New Yorkers.

Incredibly, the New York Police Department claimed that there had been no requests for donations last year, an assertion that was "bewildering to operators of (a) clothing bank, who run a warehouse that supplies clothing to needy New Yorkers. They said they had made many requests."

According to Dwyer, part of the issue is the Bloomberg Administration's new efforts to crack down on counterfeit labels.

"Many major fashion brands have their headquarters in New York City, and Mr. Bloomberg has made prosecution of trademark infringement a priority for his administration. The companies also take actions in civil court against the pirates, an expensive process, to protect the designers' names."

Quote:
"These are people who spend hundreds of thousands of dollars, some of them millions, to get counterfeit goods off the street," said Robert Tucker, a lawyer with the firm of Tucker and Lafiti, whose fashion clients include Chrome Hearts, Steve Madden, Zac Posen and Ed Hardy. "Everyone wants to feed and clothe the homeless. But how are you going to spend all this money and then put it back on the street?"

Hmm ... clearly what Mr. Hardy meant to say is that everybody wants to clothe the homeless -- just not as much as they want to preserve the exclusivity of their brand.

Or, to put it another way, all those millions of dollars would be totally wasted if counterfeit clothing were worn by human beings instead of being thrown away. After all, as one expert told Dwyer, retailers "want us to see that the people wearing their brands are the people we aspire to be."

"They want to know, 'Who's wearing the clothing and how can that hurt my brand?'"

http://www.alternet.org/blogs/peek/1451 ... _the_needy



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PostPosted: 01/16/10 8:44 am • # 2 
This goes on a lot... and it's not just clothes - it's everything, even electronics. There was a time when you could "dumpster dive" for food, but now retailers have enclosed compactors to prevent the practice. Farmers have dumped millions of eggs or millions of gallons of milk, burned grain - you name it - all in an effort to support prices. I don't know what the answer is, but I do know one thing - it's an indictment of our "free-for-all" unfettered free enterprise system when it's more economically sound to destroy perfectly good products than turn the excess over to those who really need it.


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PostPosted: 01/16/10 8:55 am • # 3 
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How can they be "supporting prices" if those who have nothing cannot buy the goods/commodities in the first place?


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PostPosted: 01/16/10 9:19 am • # 4 
By reducing supply, they artificially increase demand. It's playing with the ratios.


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PostPosted: 01/16/10 4:53 pm • # 5 
Out of everything in that list, the saddest is not even giving the seized counterfeit clothing to the needy.

I know it really was a problem of people raiding the dumpsters and then trying to return the merchandise for cash, but there have to be better ways to address that. For example, when WalMart sells items to someone buying with clothing vouchers, they mark up the tags so the item can't be returned for cash, only exchanged for the same item (the first time I saw this, I was appalled they were treating someone poor so badly to make such a production of their purchases, but then found out it was really quite a big problem that people would get clothing vouchers and then return all the clothing for cash and buy cigarettes and alcohol, so in order to keep the program going, that was the solution to find ways to prevent the merchandise from being returned for cash). I would think just removing the store tags, or even doing something like punching a hole in the garment label or making a mark INSIDE the garment that doesn't ruin it from being worn and can't be seen from the outside, but just lets a clerk know it's not returnable merchandise would go a long way toward solving the problem.

I would also think it would be better for these companies to take a tax deduction for charitable donations for all the merchandise they are disposing of rather than just throw it away.

Or, if they're worried the merchandise is going to wind up showing up at flea markets rather than making it onto the backs of the needy, recycle the fabric for something else. Give me those slashed coats and I can sew up a pile of quilts/comforters for homeless shelters if they don't want them to be used as coats. T-shirts can be turned into soft baby blankets. There are so many more creative solutions that don't involve sending all that fabric to a landfill or incinerator.


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