A Denmark-based global fashion company, Bestseller, has identified non-payment of due wages, excessive overtime, unsafe work and transport, and discrimination and harassment of vulnerable groups as significant human rights risks in its supply chain in Bangladesh.
The company identified the 鈥榝our most salient human rights risks鈥� in a recently published report titled 鈥楨nhanced human rights due diligence report: Bangladesh鈥�.
鈥楤estseller has identified Bangladesh as a sourcing country that requires enhanced due diligence due to the challenges in fulfilling the UN Guiding Principles鈥� 鈥淧rotect, Respect, and Remedy鈥� framework amidst protests and a government transition,鈥� the report mentioned.
At its sourcing office in Bangladesh, Bestseller has a team of 65 employees, which includes five qualified social and labour specialists.
The company sources from 99 factories and 33 subcontracted units.
鈥楪iven Bestseller鈥檚 significant business presence in Bangladesh, the ongoing political instability and associated risks necessitate continuous assessment of emerging threats to human rights and a proactive approach to human rights due diligence,鈥� the company said in the report.
During the recent political unrest, the company maintained daily communication with its suppliers to reaffirm its commitment and provide support during this challenging time.
Orders have been delayed due to ongoing disruptions, but Bestseller is working with suppliers to adjust delivery timelines and will offer modified payment terms without penalties for delays during this period, the report said.
However, regarding the payment of due wages, the company stated that it has clearly communicated to suppliers that there should be no deductions from wages, including bonuses or attendance bonuses, for non-working days during government-mandated holidays.
Square Group CEO Tapan Chowdhury said that there was limited scope for excessive overtime in compliant factories, as globally recognised brands have imposed restrictions on this practice.
While some factories are offering overtime due to high demand and workers鈥� interest in earning extra income, he said.
Regarding wage payments, Tapan acknowledged that some factories might be behind on wages due to business losses, which can聽 occur in any factory under special circumstances.聽
He said that the Bangladesh Garment Manufacturers and Exporters Association was actively working to address the issue, and he urged the government to provide support to companies to help resolve the situation and protect the industry.
According to the report, Bestseller maintained clear expectations that factories had robust procedures in place to manage excessive working hours.
In cases of critical backlogs, the company engaged in dialogue with suppliers about potential adjustments to delivery times to find solutions.
鈥榃e are particularly concerned about the safety of factory security teams, especially given recent attacks on other manufacturing facilities in the Dhaka Export Processing Zone,鈥� it said.
Regarding discrimination and harassment of vulnerable groups, the company closely monitored the situation through worker interviews and stakeholder engagement, with particular focus on religious and ethnic minorities, the report mentioned.
It suggested that suppliers provide flexibility for workers regarding arrival and departure times and coordinate safe transportation to and from work.
All grievances must be adequately followed up, monitored, and effectively communicated to workers, with factories supporting industry-level resolution mechanisms and engaging in good faith, it suggested.
It also said that the factories should ensure that wages, bonuses, and benefits are paid on time each month.
