Earlier this week Chinese ultra-fast fashion e-tailer Shein once again found itself at the centre of headlines with concerns over the prevalence of forced labour in its supply chains, despite it making a $70m commitment a week earlier aimed at empowering supply chain workers.

Shein attracted attention as it is speculated to be mulling an initial public offering later this year with US lawmakers insisting the retailer be investigated over concerns of its links to the Xinjiang Uyghur Autonomous Region (XUAR), which allegedly engages in forced labour practices.

The brand has vehemently denied it has any suppliers in the Xinjiang Region and insists it takes visibility across its entire supply chain seriously, adding it has a zero-tolerance policy for forced labour.

But later in the week, Shein hit the headlines again, along with Nike, Adidas and China’s Temu, which all received a letter from US Senators asking them to address concerns of forced labour in their supply chains.

The news makes one thing clear; the movement around supply chain transparency is gathering pace and brands must respond quickly to remain relevant.

And it’s not just a China issue either. In March, the Cambodian Government moved to quell concerns of forced labour in its garment production sector, following calls for a probe by international trade bodies and brands, and with the footwear and garment sector accounting for more than half the country’s total exports in 2022, it’s no surprise the government is keen to hush any noise over labour ethics.

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Fashion brands can no longer afford to pay lip service to the issue, coming under increasing pressure from several angles to prove supply chains are squeaky clean.

But the only way to ensure supply chains are watertight on the issue of forced and child labour is by mapping supply chains, ensuring audits are actually happening, correctly, and harnessing technology such as blockchain; an expensive – and probably lengthy – process, particularly for those brands with globally sprawling, opaque supply chains.

Options like enabling science-based and data-driven technologies- such as DNA and cotton origin fingerprinting using DNA genotyping or isotope or trace element analysis – to check the physical goods themselves before submitting data to a blockchain, is the way to go. There’s also RFID that helps increase supply chain transparency thanks to real-time product tracking and identifying potential issues.

It’s tedious no doubt. According to the annual Fashion Transparency Index 2022, of 250 fashion brands in the survey, 58% indicated they are tracing one or more raw materials – but less than 10% actually disclosed the raw material fibre (or products), and less than 13% published their raw material suppliers.

But taking the right steps now, could reduce costs and complexities later on.

Top stories on Just Style this week

New transparency programme targets garment workers, smaller fashion brands
Glasgow Caledonian New York College (GCNYC) and eco community investment firm Able Ecosystems have launched a global fellowship programme to bring community-led transparency to garment workers and smaller fashion brands.

Is the multichannel retail model more crucial now than ever before?
Retail Economics CEO Richard Lim says UK retailers Next and Marks & Spencer are prime examples of how to master multichannel fashion retailing and argues a digitised and lean supply chain is essential given the amount of time consumers spend browsing as opposed to purchasing.

Navigating fashion retail’s new growth opportunities  
As China’s new privacy laws take their toll and high inflation continues to bite, Nikki Baird, vice president of strategy at retail technology provider, Aptos, tells Just Style exclusively how global fashion retailers can think outside the box to boost profitability.

Boohoo agrees settlement in US class action lawsuit over ‘fake discounts’
UK online fashion retail company Boohoo Group has reached a settlement on a class action case in the US where it was alleged to have been faking discounts.

Shein makes $70m commitment to empowering supply chain workers
Shein is allocating an additional sum of $55m to the Supplier Community Empowerment Program (SCEP) initiated last year with an investment of $15m to “support and empower” its third–party manufacturing suppliers, their workers, and families.

Nike, IndustriALL intervention reinstates Cambodia garment factory union leaders
Cambodian garment manufacturer T-win has reinstated eight local union leaders affiliated with the Collective Union of Movement of Workers (CUMW) following interventions from US fashion brand NIKE and the IndustriALL Global Union.

Is the multichannel retail model more crucial now than ever before?
Retail Economics CEO Richard Lim says UK retailers Next and Marks & Spencer are prime examples of how to master multichannel fashion retailing and argues a digitised and lean supply chain is essential given the amount of time consumers spend browsing as opposed to purchasing.

Ensuring fashion supply chain grievance mechanisms are truly effective
The well-intentioned efforts of fashion brands and retailers to put in place grievance mechanisms in their supply chains are missing the mark. Companies should consider sector wide approaches, writes corporate responsibility consultant, Doug Cahn.