RE: Boohoo - Response16 Jul 2020 09:24
Response continued further
The Boohoo Group has launched an independent review of its UK supply chain. The objective of the review is to identify areas of risk and non-compliance, take action to strengthen future compliance, and to provide stakeholders with comfort that similar allegations will not recur in the future.
The review will be led by Alison Levitt QC with boohoo board representation from Brian Small, the Group's Deputy Chairman and Senior Independent Director.
It will focus on reviewing our UK supply chain, prioritising:
? Supplier compliance with minimum wage regulations
? Compliance with COVID-19 regulations
? Working hours and record keeping
? Right to work documentation and contracts of employment
As part of this review, the Group has retained additional services of compliance specialists, Bureau Veritas. This appointment will provide additional capacity to accelerate the review that is already underway with Verisio.
We are committed to providing our stakeholders with regular and informative updates on our supply chain initiatives in order to give as much transparency into our review as possible, with an indicative timetable outlined below.
Late July 2020
· Publication of Terms of Reference for the independent review
September 2020
? Update on supply chain review and Half Year results
January 2021
? Update on supply chain review and publication of the Group's peak trading performance
April / May 2021
? Update on Sustainability and publication of the Group's Full Year Results
May / June 2021
? Publication of the Group's Annual Report and Accounts, including dedicated Sustainability Report
Board composition and governance
The Group currently has a PLC board comprising three Non-Executive Directors, and four Executive Directors. T he Group is currently in the process of recruiting two additional Non-Executive Directors to provide an appropriate balance of independent Directors on the Group's board. Consideration will be given to experience in dealing with Environmental, Social and Governance (ESG) matters as part of the recruitment process.
The Group has a relatively small wholesale operation with almost all of our revenues coming from our own brand websites. In the last financial year, wholesale accounted for less than 4% of the Group's turnover, as we increased our focus on our direct to consumer proposition. In the first four months of the current financial year, wholesale accounted for just 1.4% of the Group's turnover.