Factory workers denied £27m in wages since July, BRC warns

The industry group and Dr Lisa Cameron, chair of the all-party parliamentary group for textiles and fashion, have written to Priti Patel to demand action and ensure that garment factory workers are not exploited. 

The BRC first wrote to Patel in July, with a joint letter signed by more than 50 MPs and peers, plus 40 retailers, investors and non-government organisations. It called for the government to introduce a licensing scheme for garment factories in the UK.

The ‘fit-to-trade’ licensing scheme suggested “would protect workers from forced labour, debt bondage and mistreatment, ensuring payment of National Minimum Wage, VAT, PAYE, National Insurance, holiday pay and health and safety”, the BRC said. 

It would also encourage retailers to source more of their clothing from the UK, it added.  

The BRC estimated that more than 10,000 factory workers are being paid an average of just £3.50 an hour.

It comes after Boohoo was embroiled in a modern slavery storm earlier this year when an investigation found workers at garment factories in Leicester were being paid well below the National Minimum Wage of £8.72 per hour. 

The etailer launched an independent review of its supply chain, led by Alison Levitt QC, and has vowed to make a series of improvements to its corporate governance, compliance and monitoring processes. 

As reported last week, Boohoo has already appointed former Primark executive Andrew Reaney to the newly created role of responsible sourcing director as part of those efforts. 

BRC chief executive Helen Dickinson said: “The BRC has repeatedly called on the government to do more to prevent labour exploitation in the UK garment manufacturing industry. Despite numerous reports in the media, and a previous letter to the home secretary signed by over 50 MPs and peers and more than 40 retailers, investors and NGOs, we have not seen any significant action from government to bring this injustice to an end. All the while garment workers are robbed of tens of millions of pounds in wages.

“Our members continue to stand firm against labour exploitation. Implementing statutory licensing of UK garment factories would ensure they are all ‘Fit to Trade’. We hope the home secretary joins us in this fight.”

Dr Cameron added: “Right now, we have an opportunity to create a more ethical and sustainable fashion manufacturing industry in the UK, providing better jobs and boosting the economy at a time when it is needed most. 

“It is vital the Home Secretary takes action to introduce a licensing scheme for UK garment manufacturers and puts the rights of workers at the heart of the industry. Without urgent action thousands more people face exploitation.”