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Aug 9, 2021
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Boohoo opens up criticised supply chain to customer viewing

By
Reuters
Published
Aug 9, 2021

British online fashion retailer Boohoo is to give customers the opportunity to look behind the scenes of its UK suppliers’ factories, as it seeks to improve its image after negative publicity over its supply chain failings.


Boohoo Group's Karen Millen brand - Karen Millen/Boohoo Group



Last September, Boohoo, which sells clothing, shoes, accessories and beauty products aimed at 16 to 40-year olds, accepted all the recommendations of an independent review that found major failings in its supply chain in England after newspaper allegations about working conditions and low pay in factories in the Leicester area.

The group pledged to fix the problems with its ‘Agenda for Change’ programme and in March revealed a major consolidation in its list of British suppliers.

It has now said it would select a group of interested customers for an “all access” day in Leicester next month, so they can see fabric weavers and printers, pattern cutters and machinists in action.

“We are committed to transparency and this initiative is another demonstration of this,” said Chief Executive John Lyttle.

“We are proud of the work we have done in the UK and we want the opportunity to showcase it. Customers can be confident in our operations and the way in which we are working with suppliers to drive positive change,” he said.

Some shareholder advisory groups remain dissatisfied with the progress Boohoo is making and at its annual shareholders’ meeting in June some 12% of votes cast opposed the re-election to the board of co-founder and executive director Carol Kane.

And despite strong sales growth during the COVID-19 pandemic Boohoo’s shares are down 23% so far in 2021.

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