Statement: SLCP welcomes Transformers Foundation’s new report
SLCP welcomes the report ‘Collective Action Reimagined: A Call For Fair Process And Supplier Inclusion In Fashion’s Multi-Stakeholder Initiatives’ by the Transformers Foundation that shines a light on the important topic of the inclusion of manufacturers in MSIs.
SLCP strives to be an inclusive MSI which gives manufacturers an equal seat at the table, and we are continuously seeking ways to improve manufacturer engagement. We actively engaged with Transformers as they were researching and drafting the report and were grateful for the opportunity to provide input.
We welcome further support from Transformers Foundation to help us implement some of the report’s recommendations. We encourage our stakeholders to read our comments in full on page 100 of the report, and as listed below.
SLCP’s full response:
Compliments to Transformers Foundation for putting this important topic on the agenda.
At SLCP, we acknowledge that structural inequity and (brand) bias limits supplier engagement, which is a barrier to achieving our mission.
The case study in the report clearly shows the struggles, but also the learnings and progress SLCP has made since the early days. We have further developed our governance, staff sensitivity and principle of facility ownership to address supplier inclusivity. Some of these efforts have been more successful than others. We want to continue improving in this domain and in fact, a more ‘manufacturer-centred’ approach is one of the focus areas for 2025.
Therefore, the report is timely. We welcome the structured analysis in the report and appreciate the step-by-step guide to fair process for MSIs. It provides a good reference for us on where we’ve made progress (e.g. transparency, facility ownership, governance) and where we have opportunities to improve (e.g. mitigation strategies to reduce bias, openness to different outcomes).
We would like to invite Transformers Foundation to support us in the implementation of these guidelines. This could take different forms, but ideally would include joint conversations with the Board and leadership team, following which we can identify and implement additional recommendations and joint activities.
Audit fatigue has been a burden for suppliers for decades. Reducing the duplications in social audits is at the heart of our Program and the reason for creating and deploying the Converged Assessment Framework (CAF). Collecting and sharing data can only happen in the context of a trusted relationship between brands and suppliers. We are very aware of the unequal power dynamics and ‘supply chain resilience’ is a corner stone of our 2024-2028 strategy. This means that collecting and sharing data is not a one-way street: Credible and actionable data can enable change, but good purchasing practises are a precondition for structural improvement of working conditions. SLCP is aware it cannot work in isolation and therefore our collaborations with organizations like BBI, Fair Wear, IAF & ITMF are key.
We are proud of the achievements we’ve made on reducing audit fatigue. We’ve mapped progress and challenges, and publicly reported. Our most recent Impact Report demonstrates the fast growing uptake of the CAF (13,000 facilities in 52 countries) and benefits for the supply chain (26 M USD unlocked for improvements & supplier testimonials) in only 5 years of operation. It also reveals the challenges ahead of us, particularly where upcoming legislative requirements with added demand for good supply chain data risks triggering a new wave of social audit duplications.
For the sake of the workers and the industry, we need to streamline more and faster. A more supplier-inclusive approach is essential to this and SLCP is committed to be at the fore front of that journey.
