Skip to content
Search

Latest Stories

Boohoo cuts ties with hundreds of suppliers; Claudia Webbe MP demands compensation for workers

ONLINE Fashion brand Boohoo has cut ties with hundreds of companies following a damning review of its supply chain in 2020.

The company has published a full list of 78 UK suppliers it works with after the review by Alison Levitt QC found the fast fashion retailer had been working with up to 500 UK suppliers when subcontractors were included, reported The Guardian.


According to the review, there were'endemic' problems at Leicester factories in its supply chain, including minimum wage and life-threatening fire risk.

Meanwhile, Claudia Webbe, MP for Leicester East, has said that cutting ties with suppliers will not bring justice to the Leicester workers whose exploited labour has built the companies fortune.

“It is not enough for boohoo to terminate ties with suppliers without paying back wages. Under the UN guiding principles on business and human rights, employers have a duty to remedy human rights violations that are uncovered. Therefore, boohoo must make funding immediately available to ensure that all workers who have enabled their huge profits are fully compensated for years of working at less than half the minimum wage," she said.

Boohoo said the reduction in suppliers would 'strengthen oversight and ownership and provide greater protection to workers'.

Sir Brian Leveson, the retired judge who has been appointed by Boohoo to oversee the overhaul of its supply chain, said he thought Boohoo was making 'very real progress' but added: 'There is some way to go to ensure the changes put in place become business as usual'.

In his second progress report published on Thursday (25), Leveson praised better monitoring of factory staff, including fingerprint recognition systems, and new contracts that included overtime pay, but he flagged concerns about some factory workers being signed up to zero-hours contracts, The Guardian report added.

Claudia Webbe MP said: “The company continues to deny trade union rights and refuse to recognise unions in their workplaces. Indeed, in their 13-page Modern Slavery Statement – trade unions were not mentioned once. Until companies such as boohoo adopt a more welcoming approach to the labour movement, I fear that exploitation will remain rife in Leicester and across the country.

“I hope to see much more for the company to be held to account, including a mandatory Human Rights and Due Diligence responsibility, the establishment of a Garment Industry Trade Adjudicator and full compensation for all Leicester workers who have been exploited within boohoo’s supply chains.”

Boohoo said it remained committed to UK manufacturing and now ordered a higher volume of goods from Leicester despite reducing supplier numbers.

“We have faced up to the problems of the past and are now driving positive change in the industry. We want to play our part in rebuilding a vibrant manufacturing base in Leicester, one that offers good employment and great prospects for the workers and the industry in Leicester as a whole," John Lyttle, Boohoo chief executive, told The Guardian.

More For You

Anil Agarwal

Vedanta Resources, which is based in the UK and owned by Indian billionaire Anil Agarwal, has been working on reducing its debt. (Photo credit: Getty Images)

Getty Images

Anil Agarwal’s Vedanta Resources signs £438 million refinancing deal

VEDANTA LTD said on Thursday that its parent company, Vedanta Resources, has signed a loan facility agreement worth up to £438 million with international banks to refinance existing debt.

The refinancing move, where old loans are replaced by new ones, often at better terms like lower interest rates, has led ratings agencies such as S&P Global Ratings and Moody's to upgrade their outlook on the company this year.

Keep ReadingShow less
Trump-Getty

Trump said that while deals are being made with some countries, others may face tariffs.

Getty Images

Trump says major trade deal with India may be finalised soon

US PRESIDENT Donald Trump on Friday said a "very big" trade deal could be finalised with India, suggesting significant movement in the ongoing negotiations between the two countries.

“We are having some great deals. We have one coming up, maybe with India. Very big one. Where we're going to open up India," Trump said at the “Big Beautiful Bill” event at the White House.

Keep ReadingShow less
Asda suffers nearly £600m loss as debt and IT costs surge

Asda co-ownerMohsin Issa. (Photo: Asda)

Asda suffers nearly £600m loss as debt and IT costs surge

ASDA, one of Britain’s largest supermarkets, has reported a pre-tax loss of £599 million for 2024, swinging sharply from a £180 million profit the previous year.

The loss comes despite total sales rising by over £1 billion to £26.8bn, as the retailer faces mounting debt costs, falling sales, and spiralling spending on a major IT overhaul, the Telegraph reported.

Keep ReadingShow less
Mounjaro

Mounjaro, or tirzepatide, is part of a new class of weight-loss medications, with trials showing patients losing an average of 20 per cent of their body weight after 72 weeks.

Reuters

Lilly to sell Mounjaro pens in India as Wegovy enters market

ELI LILLY said on Thursday that it has received approval from India's drug regulator to launch pre-filled injector pens of its weight-loss drug, Mounjaro.

The move gives the company more options to compete with Novo Nordisk, which recently launched its weight-loss drug Wegovy in the country.

Keep ReadingShow less
Grant Thornton's Anuj Chande urges UK firms to tap booming India

Anuj Chande

Grant Thornton's Anuj Chande urges UK firms to tap booming India

INDIAN companies are well placed to support the UK’s economic growth, Eastern Eye has been told by Anuj Chande, partner and head of the South Asia Business Group at Grant Thornton.

He was speaking after the publication of Grant Thornton’s India Meets Britain Tracker 2025: The latest trends in Indian investment in the UK, which was released last week. While companies in India need little encouragement to enter the UK market, the reverse is not true.

Keep ReadingShow less