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Thursday, 4 August 2022

Boohoo being investigated for underpaying workers

British online fashion brand, Boohoo has promised to act on any recommendations made to them by their legal counsel who are investigating their supply chain in the UK after allegations were made that they were paying workers in their Leicester factories below the minimum wage. Boohoo has not yet published the results of the report or findings on the current investigation into the allegations.

The independent review by the brands lawyers is being managed by Alison Levitt QC who said that results of the investigation would be finalised by September and will include recommendations for Boohoo to assess. The finalization of the report is ahead of the originally expected schedule which would have seen results a full four months later. Boohoo has promised to provide updates on the report along with their half year results at the end of September.

The independent review aims to examine the fashion brands obligations and duties to their workforce in Leicester and will involve public calls for evidence. The review will try to determine if the allegations of underpayment are true and will also try to work out whether or not Boohoo was aware, or should have been aware of the issues at their Leicester supply chain if underpayment was occurring. The review will also look at whether Boohoo has been properly complying with laws in the UK. A number of clear and actionable recommendations are expected to come out of the report. Boohoo has grown exponentially in just fifteen years, going from being a small three person business to be a huge operation with more than 5,000 workers. The retailers share price has taken a considerable hits since the allegations were made after an undercover reporter revealed that factory workers were allegedly being paid well below minimum wage.

Sienna Flynn
Sienna Flynn
Sienna Flynn is an arts and style reporter, covering everything from style and entertainment to fashion. She's interviewed industry leading stars for news stories, features and profiles and covered events including red carpet premieres and awards including the Brits and BAFTAs. Before specialising in style & fashion, she started at British Journal as a chief sub-editor in 2019 and has also worked as an assistant editor.

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