Uniqlo owner Fast Retailing has launched robust program in place to ensure suppliers get the money they’re owed. The brand is committed to payment for completed orders and orders where production has commenced, with no change to payment schedules in place prior to Covid-19 disruptions”.
It will use fabrics or materials already purchased by partners to fulfill orders or will provide compensation should they later become unnecessary. It also plans to consult each of its production partners, in accordance with ‘Responsible Procurement Policy’, to understand the current financial health of the partner, and to offer support if needed.
The company has engaged with BetterWork, a joint program between the International Labor Organization (ILO) and the World Bank Group's International Finance Corporation (IFC). It has provided factories with guidelines to strengthen their sanitisation measures and to help them understand their obligations to employees in case of factory closure.
