Boohoo’s decision to reconnect with a previously dismissed supplier has drawn criticism, raising concerns about governance and ethics.
- The fast fashion retailer had severed ties with GN Euro in 2021 following allegations of modern slavery and poor labour conditions.
- Reports indicate that GN Euro, now operating under a new name, has established a facility in Morocco, allowing Boohoo to renew their partnership.
- Investigations have historically revealed that some Boohoo suppliers were paying workers below minimum wage, prompting widespread industry concern.
- The renewed partnership highlights ongoing challenges Boohoo faces in maintaining ethical supply chain practices.
Boohoo’s recent move to resume business with a supplier previously associated with controversy has sparked debate in the fashion industry. Boohoo had initially cut ties with GN Euro, a supplier, after allegations of poor working conditions emerged, including a modern slavery scandal. This decision was the culmination of several investigations which shed light on unacceptable labour practices within the supply chain.
GN Euro, now rebranded as Euro Touch, has opened a new site in Morocco, specifically in the city of Tangier. This development has allowed it to re-establish a commercial relationship with Boohoo. The retailer has confirmed that all goods sourced from GN Euro are now produced at this new Moroccan facility. This move has nonetheless attracted criticism, with stakeholders questioning Boohoo’s commitment to ethical sourcing practices.
Past audits, particularly between 2017 and 2020, uncovered that affiliated factories with Boohoo were compensating workers at rates below the legal minimum wage, with some being paid as little as £3-£4 per hour. Such findings were brought to light by third-party auditors as well as investigative reports by news outlets. The decision to re-engage with GN Euro has thus raised eyebrows, considering the historical backdrop.
The re-engagement with the supplier is indicative of the complex challenges Boohoo contends with in its supply chain management. Despite efforts to overhaul its supply chain after the 2020 findings, Boohoo continues to face scrutiny from the public and industry observers regarding its ethical practices. The company’s actions underscore broader issues within the fast fashion sector, where speed often conflicts with ethical obligations.
The renewed partnership between Boohoo and its previously disengaged supplier underscores the continuing challenges in balancing rapid fashion production with ethical corporate practices.
