Retail body accuses government on inaction on garment worker abuse October 11, 2020 The trade body for the UK retail sector has said that the government has carried out no “significant action” to protect textile workers from exploitaiton. In a letter to home secretary Priti Patel, the British Retail Consortium (BRC) said: “Despite numerous reports in the media, and a previous letter to the home secretary signed by [...]
MPs probe fast fashion industry after Boohoo’s Leicester factory scandal October 6, 2020 The fast fashion industry will be scrutinised by a committee of MPs in the wake of Boohoo’s Leicester clothing factory scandal, after the government dismissed most of the recommendations of an initial inquiry in 2018. The Environmental Audit Committee (EAC) has today launched a follow-up inquiry into sustainability and working conditions within the fashion industry [...]
Major Boohoo shareholders fail to denounce CEO over Leicester factory conditions October 5, 2020 Boohoo’s major shareholders today failed to denounce the fast fashion firm’s bosses following a report into poor working practices at Leicester clothing factories. Leicester West MP Liz Kendall called on investment firms Jupiter, Baillie Gifford and Invesco to remove chief executive John Lyttle and executive chairman Mahmud Kamani following an independent review into working conditions. [...]
Boohoo is on the wrong side of history when it comes to business ethics and sustainability October 5, 2020 It is alarming to see Bohoo’s profits surge despite confirmation of allegations of endemic abuse at every single step of their supply chain. Yet this outcome does not necessarily come as a shock given that Boohoo’s reputation has consistently been married to a culture of neglect and exploitative worker conditions. Once again, we see commitments [...]
H&M to close 250 stores as pandemic accelerates shift online October 1, 2020 H&M has announced plans to close around 250 stores globally next year, as the Swedish retailer looks to bolster its online presence following a slump in bricks-and-mortar sales during the pandemic. The announcement comes on top of the 50 H&M stores already permanently shuttered this year, and will likely add to the “tens of thousands” [...]
Boohoo profit soars during pandemic despite factory scandal September 30, 2020 Boohoo saw profit rocket more than 50 per cent during the pandemic, as the fast fashion retailer shrugged off a factory scandal earlier in the year that threatened to alienate its customer base. The results Revenue for the six months to the end of August rose 45 per cent to £816.5m, up from £564.9m in [...]
Anything to declare? The ‘S’ of ESG makes its move September 25, 2020 The central component of the increasingly prominent ‘ESG’ – the ‘S’ – is typically neglected in discussions about environmental, social and governance (ESG) data and non-financial disclosure. But developments such as the Boohoo garment workers controversy and Black Lives Matter movement, as well as the trends such as gender pay-gap reporting – not to mention [...]
Boohoo’s share price jumps as independent review absolves firm of deliberately allowing poor working conditions September 25, 2020 Boohoo’s share price rose by more than 13 per cent in early morning trading after an independent review absolved the fast fashioner retailer of allegations that it deliberately allowed poor working conditions and low pay at its suppliers. The review was conducted by Alison Levitt QC following the “sweatshop” scandal, which highlighted poor working practices at [...]
A New Look for high street retail? Here’s what matters in the Covid-19 world September 16, 2020 It has been what Sir Alex Ferguson used to call “squeaky bum time” for fashion retailer New Look these past few days. On Monday it was being reported that British Land and Landsec, two of the chain’s biggest landlords, were preparing to vote against the proposed company voluntary arrangement (CVA) which would have switched the [...]
Fifty years on, Friedman was right: businesses answer to shareholders September 14, 2020 Yesterday marked fifty years since the publication of one of the most important articles in business history, written by Milton Friedman, the pint-sized American economist, and published in the New York Times. Friedman’s article had a simple argument but one with a profound impact. “There is one and only one social responsibility of business,” he [...]