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BHRRC survey said most apparel buyer did not shift orders from Bangladesh

BTJ Desk Report
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BHRRC survey said most apparel buyer did not shift orders from Bangladesh

A survey by the Business and Human Rights Resource Centre (BHRRC) found that 12 out of 20 global apparel buyers, including major brands like Adidas, H&M, and Walmart, have not shifted work orders from Bangladesh despite recent domestic unrest. These brands have maintained order stability, while others were reluctant to disclose how they ensured responsible purchasing practices and worker welfare during the disruptions.

Thirteen brands indicated they have not imposed penalties for delayed deliveries caused by supply chain issues. However, only seven brands, including Gap, PUMA, and H&M, confirmed full and on-time wage payments for July. Other brands like Adidas and M&S monitored wage payments but did not confirm timely disbursement.

Some brands offered financial support to suppliers, such as Primark’s extended timelines and C&A’s low-interest financing. Despite this, industry insiders highlight indirect losses, such as costly air shipments. Concerns include mandatory overtime, higher production targets, and wage delays.

Fazlee Shamim Ehsan of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) noted that small factories are particularly struggling, facing wage arrears and losing buyers. Approximately 70 factories had not paid July wages, and 93% had paid August wages so far.

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