SUPPLY CHAIN

Shein supply chain workers paid as little as 3 pence for 18hr shifts

Workers supplying fast fashion brand Shein are paid as little as 3 pence and work shifts of around 18 hours, an investigation has uncovered. In its documentary ‘Untold: Inside the Shein Machine’, broadcasting network Channel 4 revealed that in some of the Chinese factories in Shein’s supply chain, workers earn a maximum of £500 per month to produce 500 items of clothing per day. Meanwhile, others do not have a basic salary, getting paid 0.27 yuan (3 pence) per garment produced. Employees can also see their daily salary reduced by two-thirds if they make a mistake, and have only one rest day per month with no weekends off. Valued at £100 billion, Shein is famous for selling thousands of new clothes every day for as little as £1. (City AM)

COMMUNITY

AXIS to stop insuring projects without indigenous community support

Reinsurer AXIS Capital has announced that it will refuse to underwrite energy, mining and other projects that do not have the backing of local indigenous communities, in a move welcomed by campaigners. The decision follows years of protests from communities, particularly in the developing world, that argue their voice is often ignored when banks, insurers and investors pursue projects that could negatively impact their lives. NGO Rainforest Action Network (RAN) said AXIS was the first North American insurer to adopt such a policy, setting a standard for the industry. Two insurers in Europe, Swiss Re and Allianz mention free, prior and informed consent (FPIC) in their human rights frameworks, but AXIS now references in detail the UN Declaration on the Rights of Indigenous Peoples. (Reuters)

BIODIVERSITY

WWF: Nature loss reaching ‘catastrophic’ levels globally

Nature degradation is happening more rapidly and more intensely, warns WWF’s new major report, with steep falls in animal populations in tropical forest regions especially. Nature NGO WWF published the latest edition of its ‘Living Planet Report’, following on from its previous 2020 edition which revealed the population sizes of animals (excluding insects) had decreased by an average of 68% between 1970 and 2020. The last two years have seen an acceleration of nature degradation and destruction in many regions, the report states. It puts the average population size decline for wildlife globally at 69% since 1970. WWF stated that it is “particularly concerned” that the average wildlife population size in Latin America and the Caribbean has dropped by 94% since 1970. (edie)

WASTE

Lidl launches discount laundry refill product to tackle plastic waste

Discount retailer Lidl has launched a trial of on-shelf refills for laundry detergent. On-shelf refill options for Lidl GB’s own-brand ‘Formil’ laundry detergents have been available at two stores in Staffordshire and Derbyshire where customers can refill flexible pouches instore that use 33% less plastic than its standard rigid plastic detergent bottles. Each pouch is fitted with a special chip, which the refill machines can scan to determine whether the pouch is new or being reused. Customers reusing their pouch will receive a 20p discount for refilling. In related news, PepsiCo-owned crisp brand Walkers is moving its 22-bag and 24-bag multipacks from plastic to cardboard outer packaging. Walkers estimates the changes will mitigate the use of 250 tonnes of virgin plastic each year. (edie)

TAX

Liz Truss reinstates corporation tax rise in a bid to bring stability

UK Prime Minister Liz Truss has reinstated the increase to corporation tax in a bid to stabilise the economy and reassure investors, following weeks of market turmoil. In a short speech announcing the U-turn, Truss said keeping the previous government’s planned increase to corporation tax would raise £18 billion per year, which would act as a “down-payment on our full medium-term fiscal plan” to be revealed on 31^st October 2022. She said she was committed to delivering a low tax, high wage, high growth economy, but acknowledged that the UK needed stability. The corporation tax U-turn was widely welcomed by organisations representing employers and workers. A spokesperson from the Confederation of British Industry said the tax will restore fiscal credibility for the country. (Personnel Today)

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