Boohoo committed to ‘proper renumeration’ in its supply chain

Online fashion retailer Boohoo has said it is committed to making sure “everyone working to produce clothing in [its] supply chain, is properly remunerated, fairly treated, and safe at work” after a report that staff at one of its garment suppliers are earning less than the minimum wage.

It has also said that it will not hesitate to terminate any contracts with its suppliers, if they fail to uphold safety standards.

BooHoo said that it it “grateful to The Sunday Times for highlighting the conditions at Jaswal Fashions”.

It said that if the allegations are true, are “totally unacceptable and fall woefully short of any standards acceptable in any workplace.”

“Our early investigations have revealed that Jaswal Fashions is not a declared supplier and is also no longer trading as a garment manufacturer,” the company said in a statement to investors.

“It therefore appears that a different company is using Jaswal’s former premises and we are currently trying to establish the identity of this company. We are taking immediate action to thoroughly investigate how our garments were in their hands, will ensure that our suppliers immediately cease working with this company, and we will urgently review our relationship with any suppliers who have sub-contracted work to the manufacturer in question.

“We are keen and willing to work with local officials to raise standards because we are absolutely committed to eradicating any instance of non-compliance and to ensuring that the actions of a few do not continue to undermine the excellent work of many of our suppliers in the area, who provide good jobs and good working conditions.”

BooHoo also said that earlier this year it had commenced a review of all tier one and tier two UK suppliers, which included a full audit of all  suppliers’ manufacturing facilities. It said the audit process is being carried out in accordance with its existing procedures and standards, including the mapping of people records and hours worked back to the electronic payment of wages into bank accounts to ensure full compliance with minimum wage regulations