Dive Brief:
- Penn State University has ended a licensing agreement with apparel company JanSport because the company did not sign the Accord on Fire and Building Safety in Bangladesh, a spokeswoman told the university newspaper.
- A student group had pushed for the accord, which is a safety agreement between brands and trade unions over working conditions in Bangladeshi textile factories.
- Penn State already had ended licensing agreements with other VF Corp. brands for failure to sign the accord. VF Corp. is the parent company of JanSport.
Dive Insight:
Given Penn State's large student body, massive alumni size and its major presence in big-time college sports, this decision is an attention-getter. JanSport is a major manufacturer of the ubiquitous backpacks used by students everywhere.
A company spokesman told the Penn State Daily Collegian that "an understanding of the corporate relationship of JanSport to VF" was key to understanding why the company had not signed the accord. The accord is legally binding and is intended to reduce "sweatshop" conditions in Bangladesh.
