Boohoo is launching an immediate review of its UK supply chain.
Earlier this week, the listed fashion giant responded to claims a supplier is paying workers below minimum wage at a manufacturing facility in Leicester.
The company said it was “grateful” that the conditions had been highlighted, adding that if they are as observed, they are “totally unacceptable and fall woefully short of any standards acceptable in any workplace”.
Now, Boohoo has launched an independent review of its UK supply chain with the objective being to “identify areas of risk and non-compliance, take action to strengthen future compliance, and to provide stakeholders with comfort that similar allegations will not recur in the future”.
The review will be led by Alison Levitt QC with Boohoo board representation from Brian Small, the group’s deputy chairman and senior independent director.
Boohoo has also provided further responses to the initial claims, nothing that its findings “show some inaccuracies” in the report.
“The garments featured were not actually manufactured in Leicester, but in Morocco,” it said. “Post-production, the garments were shipped back to the UK by the supplier to be repackaged into compliant boxes for delivery to the group’s international distribution centre in Burnley.
“This was the process that was filmed at a premises formerly operated by Jaswal Fashions.
“Jaswal Fashions Limited, contrary to the media report, is not and has never been a supplier for the group, and does not operate in the unit stated.
“Investigations over the last 72 hours have highlighted that the order from Nasty Gal was placed with Revolution Clothing Co, who then instructed Morefray Ltd to manufacture in Morocco and repackage the garments on their behalf in Leicester.
“Our investigation to date has not found evidence of suppliers paying workers £3.50 per hour. However, we have found other evidence of non-compliance with our code of conduct and the group has taken the decision to immediately terminate its relationship with both suppliers.”
