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Offenlegung

16 Apr 2024

Next's response to Bangladesh minimum wage outreach

[...]

How you have adjusted your prices to factor in the updated minimum wage across your suppliers in Bangladesh.

NEXT’s suppliers have incorporated changes in minimum wage into their labour cost and NEXT has factored these into its selling prices. The broader context, however, also needs to be taken into consideration, namely that basic commodity prices have fallen and exchange rates are favourable. The overall impact on NEXT’s selling prices, due to this increase in minimum wages, has therefore been minimal. NEXT confirms that all its contracted factories in Bangladesh are paying the revised minimum wage and have paid all back wages as well.

How you have undertaken or plan to undertake due diligence to ensure that workers receive their entitled wage allowance.

NEXT’s directly employed ethical team who are on the ground in Bangladesh, carry out unannounced audits and check...the adherence by its suppliers to paying legal minimum wages. NEXT confirms that all its contracted factories in Bangladesh are paying the revised minimum wage and have paid all back wages as well.

How you have supported your suppliers in the country to ensure that the updated minimum wage is being paid to workers.

NEXT confirms that all its contracted factories in Bangladesh are paying the revised minimum wage and have paid all back wages as well. NEXT’s directly employed ethical team who are on the ground in Bangladesh, carry out unannounced audits and check...the adherence by its suppliers to paying legal minimum wages. Our business teams have factored in the revised minimum wages into NEXT’s selling prices and therefore NEXT believes it has provided the necessary support to its suppliers. NEXT has regular engagement with its suppliers to allow for conversations on topics such as this to take place.

How you are engaging with workers and their trade union representatives in ensuring that minimum wages are paid and workers’ rights to organise and protest are protected.

...NEXT confirms that all its contracted factories in Bangladesh are paying the revised minimum wage and have paid all back wages as well. NEXT is a members of multiple MSI's (Multi Stakeholder Initiatives ) such as ACT (Action, Collaboration and Transformation), ETI (Ethical Trading Initiative) and International Accord, that enables NEXT to engage with relevant stakeholders (including but not limited to trade unions) to protect the human rights of people in NEXT’s supply chain.

How you currently implement or plan to implement support for suppliers, workers and their trade union representatives in Bangladesh to ensure living wages are paid, in line with good practice.

As an active member of ACT (Action, Collaboration and Transformation), NEXT is engaged at a global level with Industriall (the international trade union) that include discussions about wages generally and not just those in Bangladesh.

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