Madrid, Spain – Spanish fashion group Inditex promised on Wednesday to preserve workers’ rights across the supply chain and the stability of payments to suppliers, as the apparel industry struggled with a plunge in orders during the Covid-19 crisis.
In a joint agreement with the worldwide union IndustriALL, Inditex reiterated a commitment to ensure that health and safety standards are adhered to and that the collective labor and labor rights of the unions are maintained in all their supply chains.
It has also committed to stable payment terms in a way that allows suppliers to honor payments to employees, it said.
The agreement builds on a partnership that was first signed in 2007 and last renewed in 2019, Inditex and IndustriALL said in a joint statement.
The pandemic and related lockdowns have left a gap in the garment manufacturing sector, with many retailers canceling their orders closing stores around the world, leading to the closure of thousands of factories and massive job losses.
In May, when stores across Europe and the United States closed in response to the corona virus, Inditex said it had paid all orders from suppliers, both finished and in production.
Inditex and IndustriALL, representing 50 million mining, energy and production workers, said they will honor their commitments to minimize the impact of the pandemic.
By Sonya Dowsett