Why aren’t all designers and brand owners meeting with their suppliers?

Over the past week, Boohoo Group PLC has come under heavy fire for allegedly working with factories in Leicester, England, which have been accused of treating garment workers like modern-day slaves and not providing safe working conditions during the pandemic. The factories have been blamed for a rise in COVID-19 cases in the city, and several investigations are underway, including one by the National Crime Agency to determine if the working conditions in the factories will lead to criminal charges for the owners. Boohoo Group PLC sources roughly 50 percent of its clothing in Leicester and Manchester, and owns retailers boohoo, PrettyLittleThing, Oasis, and Nasty Gal. The Sunday Times accused Nasty Gal of sourcing from a factory in Leicester that is owned by Jaswal Fashions and pays garment workers just 3.50 pounds ($4.40) per hour, well below the minimum wage of 8.72 pounds ($10.97). All of this has culminated in a significant financial loss for Boohoo Group PLC, with stock prices dropping from $100.35 on July 2nd to $56.51 by July 8th. In addition, retailers like Amazon and ASOS have announced that they will stop carrying all Boohoo brands. In response, Boohoo Group PLC has tried to distance themselves from the scandal, launching an investigation of their own and saying that Jaswal Fashions is not a declared supplier. Still, they will cease work with any suppliers that don't meet their standards from now on.

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