Wednesday, January 8, 2025

Shein chided by MPs for lack of respect in grilling on labour practices

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Shein has been criticised by MPs for “not respecting” a cross-party parliamentary committee as the online fast-fashion retailer was quizzed about its working practices and plans to float on the London stock market. 

The company, which works with thousands of factories in China to make its garments, was questioned alongside rival Temu by the House of Commons business and trade select committee as part of a wider inquiry into employment rights in the workplace. 

Yinan Zhu, Shein’s general counsel for Europe, the Middle East and Africa, refused to answer multiple questions about whether the cotton it uses in some of its products was from China or the Xinjiang region, and whether it acknowledged there was forced labour in the region, as well as plans to pursue a listing in London this year. 

This attracted the ire of Liberal Democrat MP Charlie Maynard, who accused Shein of disrespecting the committee, saying he found the lack of responses “completely ridiculous”.

“It’s wilful ignorance. Do you think you are being disrespectful by being so . . . void of answers?” he asked.

Both companies, which sell clothes and general merchandise at ultra-low prices, have boomed since the Covid-19 pandemic but have also faced allegations of poor working practices in their supply chains.

Stephen Heary, senior legal counsel at Temu, said “we do not permit sellers from the Xinjiang region to sell products on Temu”.

Committee chair Liam Byrne said that although Temu had given “some reassurance about supplier agreements”, he told Shein the committee was “pretty horrified by the lack of evidence that you have provided today”.

He added: “You have given us almost zero confidence in the integrity of your supply chains, you can’t even tell us what your products are made from, you can’t tell us much about the conditions which workers have to work in, and the reluctance to answer basic questions has frankly bordered on contempt of the committee.” 

Zhu asked the group of MPs several times to allow Shein to follow up with written responses. Shein has previously told the Financial Times that it has a “zero-tolerance policy” regarding forced labour and much of its cotton is understood to come from Australia and the US.

Both Shein and Temu insisted to the committee that they adhered to the law in the markets they operate in.

The fashion group works with Oritain, a company that tests the origin of its cotton supply chains, which found in November 2023 that less than 2 per cent of Shein’s cotton came from unapproved regions — significantly lower than the industry average.

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