产辞辞丑辞辞听has slashed the number of clothing suppliers it works听with听to just 78听following the publication of the second report from听Sir Brian Leveson PC into its working practices.听
Following an听independent review of boohoo’s UK supply chain听by听Alison Levitt QC late last year, the listed Manchester-headquartered group set out an 鈥楢genda for Change鈥� programme to improve corporate governance, purchasing practices听and听supply chain standards.听听
The review was ordered听following a听Sunday Times investigation which听revealed poor conditions at a factory in Leicester听and led to several leading retailers dropping its clothes.听
Levitt鈥檚 review had found boohoo purchased garments from听a tangled web of听hundreds of听suppliers, most of which were based in the Leicester area.听
Retired judge Leveson鈥檚 first report, three months after the Sunday Times report, found that听64 suppliers had been removed from the group’s UK supplier list.听The second report has drastically reduced that to听just听78 approved manufacturers听operating across 100 sites in the UK.听
That is due, in part, to the abolition of a听complex听subcontracting structure:听Tier 2 and 3 suppliers听have been听removed, with some being transitioned to Tier 1.听
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Leveson is part of an 鈥楢genda for Change鈥� committee听which听includes听senior members of boohoo and KPMG.听It has worked with Bureau Veritas and听Verisio听to听map and audit the听group’s听supply base.听
The change programme听has听also pledged to听support听the听rights of听workers听in听the Midlands city.听听
鈥�The听group has ceased doing business with听a number of manufacturers who were听unable to demonstrate the high standard of transparency required, despite being听provided with opportunities to address any issues identified in the auditing process,鈥� boohoo said in a statement.听
鈥�The听group remains committed to UK manufacturing and growing volumes with听trusted and compliant suppliers who have demonstrated a desire to deliver the high听standards expected.鈥�听听
Leveson听wrote in听his second report: 鈥淚t is important to underline that听removal from the supply chain is being undertaken responsibly; existing contracts听are being honoured but no new orders can be placed other than with a supplier who听has been approved by the process.鈥�听
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boohoo CEO听John Lyttle听added: 鈥淭his is the not the end of a project for us at boohoo听but the beginning of a new way of working with our suppliers.听听
鈥�We have faced up to听the problems of the past and are now driving positive change in the industry.听听
鈥�We听want to play our part in rebuilding a vibrant manufacturing base in Leicester, one听that offers good employment and great prospects for the workers and the industry听in Leicester as a whole.鈥�听
Leveson outlined in his six-month report how premises acquired by the business a year ago in Leicester would be used to set an example to its supplier base.听
“It is intended that the site will听become an end-to-end garment production facility providing a benchmark to suppliers,听establishing the business model that garments can be produced at the price for which they听are being sold legally, ethically and safely,鈥� he wrote.听听
鈥�It is intended that it should be used as a base听for learning and development and to deliver business training for suppliers. It will also be听receptive to visitors and, hopefully, provide work experience to textile students.鈥�听听
boohoo has also announced the launch of a new sustainability strategy named ‘UP.FRONT Fashion Ready for the Future’. 听
It says this听establishes bold targets against priority issues in three key areas:听smarter manufacturing of clothes; better terms for suppliers; and action in responsible business practices to reduce听its听carbon footprint.听