Fashion Transparency Index
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FASHION TRANSPARENCY INDEX 2020 EDITION A review of 250 of the biggest global fashion brands and retailers ranked according to how much they disclose about their social and environmental policies, practices and impacts. FASHION REVOLUTION | FASHION TRANSPARENCY INDEX 2020 01 CONTENTS 02 KEY FINDINGS 21 THE FINAL SCORES ACROSS THE 5 SECTIONS 04 EXECUTIVE SUMMARY 22 Average scores across the sections 23 1. Policy & Commitments 07 ABOUT THIS REPORT 30 2. Governance 08 Why transparency matters 34 3. Traceability 09 What do we mean by transparency? 39 Case Studies 10 Purpose of the research 41 4. Know, Show, Fix 11 About the methodology 47 Viewpoint: Ben Vanpeperstraete, Human Rights Expert 12 Annual updates to the methodology 48 5. Spotlight Issues 13 Weighting of the scores 60 Viewpoint: Garment Worker Centre 14 How the research is conducted 15 How brands and retailers are selected 61 FINAL THOUGHTS AND RECOMMENDATIONS 16 A-Z of brands 62 Take Action on Transparency 62 Brands and Retailers 17 THE FINAL SCORES 62 Governments and Policymakers 18 A guide to the scoring 63 Citizens 19 The final scores 64 Thank You 20 Quick findings 65 ANNEX 1 References 66 ANNEX 2 Definitions & Abbreviations 67 Disclaimer 68 About Fashion Revolution The content of this publication can in no way be taken to reflect the views of any of the funders of Fashion Revolution. © Fashion Revolution CIC 2020. All rights reserved. This document is not to be copied or adapted without permission from Fashion Revolution CIC. FASHION REVOLUTION | FASHION TRANSPARENCY INDEX 2020 02 KEY FINDINGS AVERAGE SCORE IN EACH SECTION overall average POLICY & GOVERNANCE TRACEABILITY KNOW, SHOW SPOTLIGHT score across the 250 COMMITMENTS & FIX ISSUES 23% brands reviewed Up 2 percentage points since 2019 (200 brands) 52% 29% 16% 17% 15% Up 3 percentage points since 2017 (100 brands) TOP 10 SCORES LOWEST SCORING TOP 10 MOVERS IN 2020 (%) BRANDS IN 2020 (%) SINCE 2019 H&M (H&M Group) 73% Bally 0 Monsoon +23 C&A 70% Belle 0 Ermenegildo Zegna +22 Adidas/Reebok 69% Elie Tahari 0 Sainsbury’s-TU Clothing +19 Esprit 64% Heilan Home 0 Dressmann +17 Marks & Spencer 60% Patagonia 60% Jessica Simpson 0 ASICS +15 Urban Outfitters / Max Mara 0 +15 The North Face / Anthropologie Timberland / Vans / 59% Mexx 0 Wrangler (VF Corp) Clarks +14 Puma 57% Pepe Jeans 0 Pimkie +13 ASOS 55% Tom Ford 0 River Island +13 Converse / Jordan / Nike (Nike Inc.) 55% Youngor 0 Russell Athletic +13 FASHION REVOLUTION | FASHION TRANSPARENCY INDEX 2020 03 HIGHEST SCORING BRANDS SINCE 2017 Percentage of brands publishing suppliers lists 2020 2019 2017 2018 2019 2020 H&M (H&M Group) 73% Adidas/Reebok 64% (100 brands) (150 brands) (200 brands) (250 brands) C&A 70% Patagonia 64% First-tier manufacturers Adidas/Reebok 69% Esprit 62% 40% Esprit 64% H&M (H&M Group) 61% 35% Patagonia / Marks & Spencer 60% C&A 60% 37% 32% 2018 2017 Adidas/Reebok 58% Adidas/Reebok 49% Processing facilities 24% Puma 56% Marks & Spencer 48% 19% H&M (H&M Group) 55% H&M (H&M Group) 48% 18% Esprit 54% Puma 46% 14% Gap 54% Gap 46% Suppliers of raw materials 7% 25% 28% 32% 5% overall average score overall average score overall average score across the 198 brands across the 148 brands across the 98 brands 1% reviewed in 2019 and 2020 reviewed since 2018 reviewed since 2017 0% Up 3 percentage points Up 7 percentage points Up 12 percentage points since 2019 since 2018 since 2017 FASHION REVOLUTION | FASHION TRANSPARENCY INDEX 2020 04 EXECUTIVE SUMMARY About the Fashion Transparency High street brands lead on The majority of brands and Participation in the Fashion Index 2020 transparency but luxury brands retailers lack transparency on Transparency Index is influencing are making progress social and environmental issues brands to disclose more social We are pleased to deliver our fifth annual and environmental information Fashion Transparency Index 2020, which H&M (H&M Group) is the highest scoring More than half (54%) of brands score brand this year at 73% of the 250 possible reviews and ranks 250 of the world’s 20% or less. However, there are fewer Brands that participated in the Fashion points, followed by C&A at 70%, Adidas largest fashion brands and retailers low-scoring brands this year compared Transparency Index 2020 (by completing and Reebok at 69% and Esprit at 64%. according to how much they disclose to 2019. 28% of brands score 10% or less, our questionnaire) have achieved an about their social and environmental compared to 36% of brands last year. overall average score of 35% (compared The overall average score among the 250 policies, practices and impacts. to 23% overall average among all 250 brands is 23% (up from 21% among the Of the new brands added to the Index brands.) Non-participating brands 200 brands in 2019). This year we reviewed an additional in 2020, 15 brands score 5% or less, achieved an overall average score of 11%. 50 brands and retailers, including including Canada Goose, Fashion Nova, Gucci is the highest scoring luxury brand major brands from Australia, India, New Pepe Jeans and DKNY. at 48%, up from 40% in 2019, and is the Every brand in the top 20% of scores in Zealand, Norway, Poland, South Africa only brand to score 100% on Policy and 2020 and all brands scoring above 40% and Switzerland for the first time. We Brands that disclose nothing at all Commitments. The other Kering Group participated in the Fashion Transparency also added in several e-retailers this include Swiss luxury brand Bally, brands we reviewed come in just behind Index this year. year, including Fashion Nova (USA), Koovs ready-to-wear brand Elie Tahari, Jessica Gucci, including Balenciaga (47%), Saint (India) and Pretty Little Thing (UK). Simpson’s eponymous brand, Dutch high However, the scores of approximately Laurent (47%) and Bottega Veneta (46%) street brand Mexx and Chinese retailers 30 brands have barely changed from Belle, Heilan Home and Youngor. 2017 to 2020, including Gap, Uniqlo and The Fashion Transparency Index Ermenegildo Zegna has become the Walmart, among others. This means they comprises 220 indicators covering a wide first luxury brand to publish a detailed have not taken significant steps towards range of social and environmental topics supplier list. However, Hermès has increasing transparency within the past such as animal welfare, biodiversity, disclosed many of its owned and three years, compared to other brands. chemicals, climate, due diligence, operated manufacturers and suppliers forced labour, freedom of association, for many years. Meanwhile, Balenciaga, gender equality, living wages, purchasing Bottega Veneta, Gucci and Saint Laurent practices, supplier disclosure, waste and have also published a handful of raw recycling, working conditions and more. material suppliers this year. We hope to see more luxury brands follow their lead. FASHION REVOLUTION | FASHION TRANSPARENCY INDEX 2020 05 Brands continue to publish more Information dumping is an Encouraging progress made on Continued lack of transparency about their policies than how they ongoing problem disclosing supplier lists on living wages for workers in implement them the supply chain Information and data dumping almost 40% of brands (101 out of 250) are As in previous editions of the Index, brands seems like a deliberate strategy by publishing their manufacturers (up As in previous editions of the Index, the disclose more about their policies than some of the brands. For quite a few from 35% in 2019). 24% of brands (60 majority of brands and retailers publish they do about how they put those policies brands, we have found information out of 250) are publishing some of their little information about their efforts, if into action. Brands disclose comparatively repeated over and over again across processing facilities and/or mills (up from any, to improve pay and achieve living less about the outcomes, results and different web pages and documents, 19% in 2019). 7% of brands (18 out of 250) wages in the supply chain. Less than progress they have made to address social often with slightly different terminology are publishing some of their raw material a quarter (23%) of brands disclose the and environmental issues in the business but no substantive difference. suppliers (up from 5% in 2019). company's approach to achieving the and across the supply chain. Sometimes brands use a large amount payment of living wages to workers in of filler words and fluffy explanations We have seen the overall average score the supply chain. This is illustrated by the fact that the and details that obscure what on traceability increase to 16%, up from overall average score among brands in information or data is actually relevant 12% in 2019 and 8% in 2017. Only 5 brands (2%) publish a time-bound, the Policy and Commitments section and useful to external stakeholders. measurable roadmap or strategy for is 52% while all other sections’ average We have even found instances of Next year, we hope to see 50% (or more) how they will achieve a living wage for scores are less than 30%. conflicting facts and statistics. of brands publishing a supplier list and all workers across their supply chains. more brands disclosing their processing Meanwhile, only 5 brands (2%) publish The good news is that brands are For whatever reason this happens, facilities, mills, tanneries and raw data on the percentage above the publishing more policies than they were it makes it extremely difficult for material suppliers further down the tiers minimum wage rate workers are paid in in previous years (52% section average people to make sense of what relevant of the supply chain. their supply chains.