Boohoo Company
The Boohoo Group plc is an online fashion retailer United Kingdom-based company targeting 16-30 years old clients. It was started in 2006, and by 2019, the company had sales amounting to £856.9m. Indeed, the company has over 36000 products, which it specializes in with its brand. John Lyttle is the current chief executive officer from 15 Mar 2019. The founders of the company include Carole Kane and Mahmud Kamani. More importantly, the company also has several subsidiaries such as Nasty Gal, PrettyLittleThing, and Karen Millen, just mentioning a few. The headquarters of the company is located in Manchester, United Kingdom. This article addresses the core cultural issues associated with Boohoo Group plc.
Research implicates that Boohoo Group Plc has grown since its foundation in 2006. Its growth can be attributed to the acquisition of subsidiaries such as Nasty Gal and PrettyLittleThing, some of the fast fashion brands back in 2017. Notably, there are various issues associated with the company. For instance, in 2019, the EAC (Environmental Audit Committee) stated that the company is among the least fashion brands which are least sustainable in the United Kingdom. In 2020, the company was also associated with various allegations of workers’ exploitation through its supplier in Leicester. It is also reported that the situation got worse. After the coronavirus pandemic’s striking, most businesses were affected, but the contrary happened to Boohoo Group. Instead, its sales went 44% higher despite the lockdown. The attribute associated with this factor is that the workers were forced to work without any social distancing as required by the authority without PPE (personal protective equipment).
Critics argue that Boohoo’s fast fashion practices have a significant negative impact on the planet, animals, and people. Various implications question the ethical status of Boohoo Group. For instance, the environmental effects of Boohoo are described as being not being good enough. Multiple aspects indicate that the company does not employ eco-friendly materials. Research shows that the company has not yet provided evidence suggesting that it has taken sufficient actions to reduce or eliminate the hazardous chemicals it uses in its production. More importantly, the company has not set effective measures to take care of its greenhouse emissions reports. Instead, it is supposed to take care of its direct operation emissions but not from its supply chain operation. Besides, the company does not also implement strategies that are important in introducing water reduction initiatives.
Boohoo Group plc rating is poor when it comes to the labor front, meaning that it has the lowest rating. The SMETA (Sedex Members Ethical Trade Audit) has certified some of its suppliers; it receives 0-10% in its final production stages by the Fashion Transparency Index. Best Practice Guidance describes this aspect. It is important to note that the company publishes limited info regarding its audits and supplier policies. The analysis shows that the company does not disclose precise information regarding various labor aspects such as freedom of association, gender equality, and forced labor, just mentioning a few. On top of this, it can be added that the company’s reactions towards the coronavirus pandemic were also poor. In this case, the firm also discloses less information about the safeguards or the policies made to protect its workers and suppliers from the coronavirus. Critics also argue that there is less evidence on ensuring payment of the living wage associated with its supply chain.
Besides, there is less evidence that the company has adequate policies for minimizing animals’ suffering. Indeed, the company does not use exotic animal hair or skin, angora, down, or fur, but it uses wool and leather, although it does not trace the animals’ products to their first production stages. As a result, it is argued that the company’s animal welfare is not right, although it is not that bad. Notably, it can be argued that the firm is opaque when it comes to its labor and environmental impacts, not forgetting to mention its policies. The company needs to impose and practice strategies that ensure transparency when disclosing its information about its practices. Boohoo Group plc is an example of a pro
| fitable fast-growing fashion brand. Indeed, the company plays a critical role in designing its products and service | |
| s in the market with a fast fate than ever before.
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The exploitation of Employees in Boohoo Group
In connection to this, it can be argued that the company is encouraging a “throw away” culture, which is making people believe that they need to shop more and always be on top when it comes to trending and creating a constant sense of ultimate dissatisfaction and need. Research indicates that there are several aspects of cultural insensitivities that are associated with the company. It is an aspect that has created fears in different areas, such as in the home secretary worries where the police are tackling illegal sweatshops in Britain’s fashion industry. The core reason is that there are several concerns because some of them, such as Boohoo Group plc, is being accused of racism. Critics argue that the government agencies and the police turn a blind eye to Leicester’s factories and warehouses exploitation features. It is not a new aspect because the same was experienced years ago in Rotherham grooming scandal.
Study shows that Boohoo Group plc is neglecting the new laws of slavery in modern time because of diverse fears existing in the fashion industry legislation. However, some of the aspects and images created by the company’s operations, actions, and policies are not fit for the purpose. However, various elements concerning the company have made the government launch an investigation concerning modern slavery. After an investigation, the company is being investigated for the slavery scandal proved that Leicester workers linked to the company were being waged as little as £3.50 an hour. More importantly, research shows that this clothing brand has remained a financial success even after the coronavirus crisis. After a story emerged, the company was also putting some of its workers at the risk of the pandemic by forcing them to work without being provided with the proper conditions during the United Kingdom lockdown.
Investigations proved that a factory in Leicester was operating during the lockdown under the “Jaswal Fashions” sign without imposing social distancing measures. An underworker journalist working for the company was told to expect a £3.50 an hour pay, which is far below the minimum wage of the workers above 25 years in the UK. Indeed, several aspects show that the factory’s clothes were for the Nasty Gal label, and the Boohoo Group plc owns it. In this case, the company is being accused of exploiting its employees and working with racism. In connection to this, the NCA (National Crime Agency) is working around the clock to investigate any evidence of modern slavery in Boohoo Group and the other clothing factories across the city. Notably, Leicester factories’ situation is appalling, and the companies are forcing innocent employees to work as slaves, not forgetting to mention that they are exploiting them.
Several concerns are assessing the circumstances of human trafficking and modern slavery. The employment practices in Boohoo and other factories in Britain are not ethical, and they are violating human rights aspects when viewed from a cultural aspect. Some of the issues associated with Boohoo company’s operation include opening during the lockdown, modern slavery, low wages, and racism aspects. Reports also show that some of the employees are being forced to work even when showing coronavirus symptoms. There is a high level of inequality grotesque while the company is making profits and, in the process endangering the workers’ lives. More importantly, there are also several cases of non-compliance when it comes to the relationship between the management and the workers. The company is breaking the rules for its benefit.
Group Task
The members’ task is exploring and presenting the findings on the issues (cultural) facing Boohoo Group plc. The team members’ roles were assigned with their abilities when it comes to handling frustrated employees, amongst other problems associated with companies when dealing with their employees. On the other side, the members’ competencies are assigned concerning their experience and ability to deal with employees by utilizing some tools techniques such as support and stimulation, performance management, role model, motivation, compelling visionary, emotional intelligence and positive attitude and outlook just mentioning a few. The group’s core aim is to come up with an informative and well-researched presentation on the exploitation of employees in Boohoo company. The following is a breakdown structure that is employed by the team to divide their tasks. It emphasizes effective management, tracking, and planning of the project.
Project Outcome
The outcome of this project is judged by the desirability and success of the team’s results. The outcome matrix was employed to map the project’s consequences with the degree of their desirability and success. The matrix shows that the group was successful in carrying out a practical project.
Reflection
The team members have been able to identify and define various cultural issues that are associated with Boohoo. Indeed, these issues impact several aspects that regard the culture of people in Britain and across the world. It is also notable that the team has been able to thoroughly discuss the impact of different cultural issues associated with Boohoo. There are different resolutions of the problems related to the exploitation of workers at Boohoo company. The Gibbs Reflective cycle forms the core structure, which the team members employed to explore the team members’ perspectives.