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Thursday 02 July 2020 9:16 am  |  Updated:  Thursday 02 July 2020 4:27 pm

Boohoo defends workplace practices after report of sick staff in Leicester

By: Emily Nicolle

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Online fashion giant Boohoo is set to announce the purchase of high street brands Oasis and Warehouse, which went bankrupt at the end of April.

Boohoo has been forced to issue a statement in defence of its supply chain practices, after a labour group alleged the firm was forcing staff sick with coronavirus to turn up to work.

Labour Behind the Label, a campaign group for workers’ rights, said it had received reports of “workers being forced to come into work while sick with Covid-19, workers wishing to isolate being denied pay, factories operating illegally throughout lockdown”.

The fast fashion chain said today it intends to investigate the allegations.

“The Boohoo group will not tolerate any incidence of non-compliance especially in relation to the treatment of workers within our supply chain and we have terminated relationships with suppliers where evidence of this is found,” it said.

Boohoo has a manufacturing hub in Leicester, where many of its suppliers have factories which stayed open during lockdown. Labour Behind The Label said little to no social distancing was enforced, putting workers at risk of infection.

Leicester has this week been put back under the UK’s strictest lockdown measures, after a spike in local coronavirus cases. No restaurants and pubs will be allowed to reopen there this weekend, and the easing of social distancing rules has been rolled back.

Workers at supplier factories spoke to the campaign group of staff being told to come in despite being sick or they would not be paid, and others being placed on furlough but told to work anyway.

“The majority of these reports are linked to suppliers producing for Boohoo and sister brands,” the report said.

Boohoo’s share price dropped more than two per cent as markets opened this morning.

Founded in 2006, the firm is the UK’s fastest-growing online fashion retailer, worth £5bn. It also owns brands such as Pretty Little Thing and Nasty Gal.

Its sales rose to £367.8m in the second quarter, 45 per cent higher than the same period last year, as online shopping boomed while physical stores were closed.

Read more

Debenhams owner could sell brands to slash debt

Debenhams Group was rebranded from Boohoo Group earlier this year

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