Shein pledges funds to fix factory standards
SHEIN, the global fashion, beauty and lifestyle e-retailer, has announced plans to spend $15m over the next three to four years to help upgrade hundreds of factories in its supply chain. The $15m investment focuses on making physical enhancements to its suppliers’ factories, and is part of SHEIN’s Supplier Community Empowerment Programme (SCEP). More than 30 projects will be completed by the end of this year, 100 by the end of 2023 and up to 300 within four years.
The SCEP initiative builds on SHEIN’s Responsible Sourcing (SRS) program, which is designed to ensure that employees working for its suppliers are treated fairly and with respect in safe and comfortable working environments. As part of the SRS program, all contracted manufacturing suppliers agree to comply with the SHEIN Code of Conduct, which is aligned with International Labour Organization core conventions, and local laws and regulations. They also accept that violations of the Code could lead to their contracts being terminated if they fail to rectify serious infringements within a set timeframe.
SHEIN has also implemented a multi-channel feedback system for the workers at SHEIN’s contracted factories. It enables workers to anonymously submit complaints, feedback, and suggestions via email, phone, or WeChat, to support the company’s efforts in monitoring and managing compliance with its Code of Conduct and upholding the labor rights of workers.