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Home Sources Business & Entrepreneurs

Groupe Auchan announces its plan to combat opaque subcontracting

by PressCenter.com
July 26, 2013
in Business & Entrepreneurs, Categories, Economy & Finances, Sources
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In accordance with the undertakings entered into on 23 May, and to combat the phenomenon of undeclared subcontracting within the textile industry, Auchan, in line with its responsible discounting policy, is today announcing the launch of an action plan to strengthen the current checks applicable to its own brand products.

This plan extends and strengthens the supervision arrangements put in place by Auchan a number of years ago, within the framework of its responsible purchasing policy. The intention is not to prevent the company’s suppliers engaging in subcontracting, but to combat undeclared subcontracting, where work is carried out in factories not previously audited by Auchan.

This pro-active action plan is made up of 8 separate components, each with its own timetable for implementation.
With regard to Bangladesh in particular, Auchan has:

  • confirmed to the Bangladeshi ambassador that it wishes to continue sourcing goods from this country, working with its Bangladeshi partners to develop a safe and sustainable textile industry, 
  • signed the Fire and Building Safety Agreement (on 5 June this year) and is actively involved in meetings being held and actions being taken by all signatories to this agreement.
  • set up a team of experienced professionals in Dhaka to carry out unannounced inspections of all its production sites.

Lastly, Auchan promises to communicate on the progress made with the implementation of this plan, at the end of the 1st quarter of 2014.

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Tags: Bangladeshbrand productsFire and Building Safety AgreementGroupe Auchanopaque subcontractingtextile industry
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