Levi Strauss Shuts All U.S. Plants
September 26, 2003
Levi Strauss is one of several clothing companies nationwide
that has been shutting down U.S. plants and moving production
to other countries with cheaper labor in recent years.
(AP) Levi Strauss & Co. will close its last manufacturing
plants in the United States and Canada, eliminating
nearly 2,000 jobs, the struggling jeans maker said Thursday.
The company will close two sewing and finishing plants in
San Antonio by year's end and lay off 800 workers. It will
also shutter its three remaining plants north of the border
that employ 1,180 people. The company will contract with
foreign plants to make up for the closings.
The move will allow the company to focus more on product
design, marketing and sales of its jeans, said Julie Klee,
general manager of Levi Strauss & Co. in Canada.
"The closures are an absolutely necessary part of ensuring
the long-term competitiveness of our business," Klee said.
San Francisco-based Levi Strauss, which just turned
150 years old, became one of America's iconic brands
in the 1950s and '60s as Levis became a wardrobe staple
of baby boomers.
But the company has struggled in recent years to
connect with younger consumers. Sales peaked at
$7.1 billion in 1996 but have fallen for six straight years
to $4.1 billion. In 2002, Levi's U.S.-based parent company
closed six U.S. manufacturing plants, eliminating 3,600 jobs.
In an effort to bounce back, the company has designed
more clothes to appeal to teenagers and young adults,
and cut costs to lower the prices of its jeans. The company
also entered the discount jeans market earlier this summer
with a new brand called Signature that is sold in Wal-Mart stores.
Levi Strauss is one of several clothing companies nationwide
that has been shutting down U.S. plants and moving production
to other countries with cheaper labor in recent years.
What they USED to stand for - - - http://www.levistrauss.com/responsibility/
Our corporate values -- empathy, originality, integrity and courage --
are the foundation of our company and define who we are.
They underlie how we compete in the marketplace and how we behave.
They enable our vision of the future and reflect the legacy of our founder,
Levi Strauss, who devoted substantial time and resources to charitable
and philanthropic activities.
These values guide our foundation's giving programs,
the support we provide to communities where we have
a business presence, our employee community-involvement programs,
and our code of ethical conduct for manufacturing and finishing contractors working with the company.
FOR EXAMPLE
Our commitment to equal employment opportunity
and diversity pre-dates today's programs and began
in the 1940s when we desegregated our factories in California.
In 1968, we pioneered an employee volunteer effort called
"Community Involvement Teams" or CITs.
There are now 80 CITs worldwide.
For the past three years, we have been ranked as
one of "America's 50 Best Companies for Minorities"
by Fortune Magazine.
We have played a leadership role in educational programs
and policies regarding AIDS in the workplace.
We have made more than $25 million in grants for AIDS
care and prevention in the last two decades and have
received numerous awards and recognition for our efforts
to combat the HIV epidemic.
In 1991, we became the first worldwide company to
establish a comprehensive ethical code of conduct
for manufacturing and finishing contractors working
with the company.
In 1998, we received the U.S. President's Ron Brown Award
for Corporate Leadership for outstanding achievements
in employee and community relations. We were recognized
for creating Project Change, an initiative of the Levi Strauss
Foundation that combats institutional racism.
For more than three decades, we have promoted the active,
local involvement of our 12,400 worldwide employees.
In September 2000, LS&CO. inaugurated Volunteer Day
at our San Francisco Headquarters and has since expanded
it beyond the United States and Canada to include sites
throughout Latin America and Asia, as well as our Brussels office.
In 2002, more than 2,300 employees volunteered more than
10,000 hours to 66 charitable organizations.
The Levi Strauss Foundation
The Foundation is an independent legal entity that provides
grants to community-based organizations working to create
meaningful social change. The Levi Strauss Foundation
funds programs worldwide where LS&CO. has a business
presence and gives approximately $15 million annually.
The Foundation also funds disaster relief efforts, makes
charitable donations to organizations where employees
volunteer, matches cash donations by employees to
local charitable organizations, provides grants to community
organizations located in LS&CO.'s sourcing communities,
and funds college scholarships for the dependents of
LS&CO. employees.
Corporate Giving
LS&CO. makes charitable donations to smaller community
organizations outside the United States. We also support
branded philanthropy initiatives and sponsor select charitable
fundraising activities throughout the world. LS&CO. has an
annual charitable giving budget of approximately $3 million
and supports the Levi Strauss Foundation with periodic
contributions.
Employee Community Involvement
Our employees are a big part of how we give back to our communities --
we invest in what is important to them. We encourage employees
globally to give back to their communities through employee-led
Community Involvement Teams and through the sponsorship
of an annual volunteer day.
I sent this e-mail to them.
Its very sad that yet another company
is selling out.
You may as well take this page down:
http://www.levistrauss.com/responsibility/
If this type of thing keeps happening
the US and Canada are going to be in
major financial trouble !
This was a company that really cared at one time.
Dave Kaspersin
If you have a story to tell send it to me and I'll add it to this list.
I do not publish names or email addresses unless requested.
by you.
Dave Kaspersin
Email to:drk@dyrec.com
Click here to send me a letter.