Boohoo has reignited controversy by reestablishing ties with a supplier linked to past scandals.
- The supplier, GN Euro, rebranded and relocated to Morocco after previous issues.
- Boohoo had severed connections with over 400 suppliers due to substandard working conditions.
- A past investigation highlighted wages below the legal minimum in associated factories.
- Boohoo now insists on sourcing solely from its new Tangier facility.
Boohoo, a prominent name in the fast fashion industry, is once again under scrutiny after rekindling its business relationship with GN Euro. This supplier was previously cut off amidst a wave of criticisms centered around labor practices labeled as modern slavery. The move has raised eyebrows as the supplier, now operating under the name Euro Touch, has set up operations in Tangier, Morocco, following a complete disengagement in 2021.
The decision to sever ties with GN Euro came in the wake of an infamous investigation that revealed poor working conditions and pay within Boohoo-associated factories. In reaction, Boohoo made a significant move, distancing itself from over 400 suppliers as part of a broader strategy to clean up its supply chain. However, The Telegraph reports Boohoo is now sourcing goods from Euro Touch’s newly established Moroccan facility.
Historical audits shed light on the gravity of the situation, uncovering that workers were being compensated below the minimum wage, with some earning as little as £3-£4 per hour. This revelation, spanning from 2017 to 2020, formed part of the basis for Boohoo’s earlier decision to cut ties. Since then, the company has committed to stricter oversight to avoid a repetition of such issues.
In the face of fresh governance challenges, Boohoo maintains that all products currently acquired from the reborn Euro Touch factory in Tangier adhere to the company’s revised ethical standards. The fast fashion giant emphasizes that this facility operates under a new management structure designed to better meet international labor standards.
Boohoo’s renewed partnership reflects ongoing challenges in balancing supply chain management and ethical commitments.