Managing labour standards and human rights in the supply chain.
WE Fashion has a comprehensive set of policies and processes to monitor labour standards within its supply chain. The brand has a code of conduct which is communicated to its direct suppliers. This code is part of its overall strategy for the management of labour standards and human rights in the supply chain. The responsibility for monitoring and implementing WE Fashion’s policies has been assigned to specific roles. There remains scope for WE Fashion to further communicate its Code of Conduct to indirect suppliers e.g. mills, homeworkers etc. This wide-ranging foundation is reflected in a level 1 score of 88%.
WE Fashion has established a detailed strategy to monitor the social compliance of its direct suppliers (product assembly units). WE Fashion works to ensure all of its direct suppliers and their sub-contractors have a valid social compliance audit and has invested in internal capabilities and third-party auditing to deliver these policies. There remains scope for WE Fashion to strengthen its purchasing practice processes to ensure that factories have adequate lead time and to widen its capacity building projects. These activities resulted in a level 2 score of 84%.
WE Fashion has demonstrated some best practices activities and has conducted a detailed study on human rights risks relevant to its supply chain. The brand has also started to undertake some activities to calculate living wages for workers. There is opportunity for WE Fashion to initiate programmes to ensure workers are paid a living wage. Furthermore, the brand could develop its activities to ensure freedom of association and collective bargaining within its supply chain. This is reflected in a level 3 score of 20%.