Missguided has been an ETI member since 2017 and has worked with them to develop standards in their supply chain to improve respect for human rights at work.

In a blog post, the ETI said it had been made aware of Missguided’s commercial struggles over the past year and its subsequent fall into the hands of administrators.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

“We understand this is the result of considerable debts to suppliers. Debts of this nature place garment workers, already subsisting on low wages, at an increased risk of unpaid work,” the blog states. “We have reached out to the company without success and will be suspending their ETI membership. The decision to terminate an ETI member sits with the ETI board which meets in June.  

“Unfortunately, this case raises familiar issues, that risks and costs within the fashion industry are too often passed onto suppliers, with long payment terms and unfair purchasing practices that ultimately cost workers. When a brand goes into administration, suppliers are typically left with little or no chance of payment, and certainly not at full value. This translates into significant financial loss, unpaid wages for workers, and often loss of employment. This is not a fair share of the risks of doing business.”

The online pureplay was acquired last week by Sports Direct-owner Frasers Group.

See Also:

ETI says it recommends any responsible business acquiring a company out of administration:

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
  • Adheres to international labour standards, such as those embedded in the ETI Base Code, and works to ensure no reduced access to human rights and work. Acts in accordance with the UN Guiding Principles on Business and Human Rights (UNGPs). 
  • Engages with suppliers to ensure they are paid for work completed, enabling workers to be paid for past work. 
  • Ensures future operations avoid debts to suppliers and establish steps to mitigate against any existing debt and remedy its negative impacts on workers to date.   
  • Engages with suppliers to ensure business practices and working conditions meet international labour standards and or ETI Base Code requirements. 
  • Engages with trade unions and or worker representatives where present and make joint decisions wherever possible. 
  • Conducts enhanced human rights due diligence, in line with UNGPs, to assess the immediate adverse human rights impacts on workers and place their safety, welfare and needs at the heart of business decision making. 
  • Engages with local and international NGOs working on issues identified within the acquired supply chain, to improve outcomes for workers moving forward. 

Frasers Group and Missguided did not return request for comment from Just Style.