ROMANIA'S GARMENT INDUSTRY: A MAJOR EMPLOYER AND EXPORTER The Romanian textile, clothing and leather industry is an industrial branch with a centuries-old tradition. After the changes in 1989/90, this industry survived mainly as the“sewing sweatshop” of West European brands and fashion retailers, working under“ Lohn contracts”/ Outward Processing Trade. Top export destinations of garments in 2016 were Italy(18%), UK(20%), France(8%), Spain (6%) and Belgium(8%).¹⁷ Romania is Europe's biggest garment production country. Armani, Arcadia, Aldi, Asos, Benetton, Betty Barcley, Brax, Bershka, Basler, C&A, Comptoir de Cottoniers, Cop Copine, Dolce Gabbana D&G, Drykorn, Delmod, Dressmaster, Eugen Klein, Esprit, Hucke, H&M, French Connection, Gerry Weber, Hugo Boss, Louis Vuitton, Levi Strauss, Nike, Next, Massimo Dutti, Marc Cain, Max Mara, Marks& Spencer, Max&Co, Naf Naf, ODLO, Peter Hahn, Primark, PVH, ROFA(workwear), Rene Lezard, Strellson, Sisley, Stradivarius, Trussardi, TESCO, Tiger of Sweden, Versace, Windsor, Zara are just some of the brands/buyers we found during field research and while studying the websites of production firms and supplier lists of brands and retailers. The garment production peaked at the beginning of the 21 st century with around 450,000 registered employees, therefore an estimated one million informal and formal workers. Although the economic crisis hit this industry in 2008/2009, it is still one of Romania's major export and manufacturing industries. In 2016, the number of employees in the garment production continued to decrease(by 40% compared to 2008).¹⁸ The share of Romanian owned capital in the textile, clothing and leather export industry is 36%¹⁹ A SUCCESS STORY OF THE ROMANIAN ECONOMY BUILT ON POVERTY AND MISERY Recent media coverage of Romania tells the story of economic success.²⁰²¹²² The Guardian wrote in 2017 that Romania was“no longer Europe's needy”, while The Economist reported on Romania's“booming“ economy that had seen EU's fastest growth rate. The economic growth has not improved the living standards of workers. On the contrary, a large number of Romanian workers live far below the poverty line(see wage ladder above). Studies show that at the end of 2017, 30.2% of the Romanian employees were only earning the minimum wage, compared to 28.4% at the end of 2016 and 7.7% at the end of 2011 – one of the highest rates in the EU – many of whom are garment workers. Some sources suggest the number of workers earning the minimum wage or less is much higher: 50%.²³ About 3 million Romanians or 17% of the population left the country between 2007 and 2017 alone, looking for a life without poverty elsewhere.²⁴ In 2018, more than 50,000 people took to the streets in Bucharest and other Romanian cities to protest against what they described as entrenched corruption and low wages.²⁵ Romania has been more accurately described as a social disaster, sharply contrasting with the economic success story.²⁶ 7 ROMANIA 2018