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Company Response

20 Jun 2024

L’Oréal’s response re. child labour in the Egypt jasmine industry

Question 1: Do you source jasmine from the Al-Gharbia region in Egypt AND/OR the factories reported in the documentary (A. Fakhry & Co, Hashem Brothers and Machalico), which have been highlighted as receiving jasmine from farms in locations where children under 15 were reported to have been working (Nagrid, Surad, Kom El-Naggar and Suubra Beloula)? This includes the farm directly owned by Machalico where the BBC identified child labour.

  • L’Oréal only sources indirectly a small percentage of jasmine in Egypt in the form of ‘olfactory compounds’ from fragrance houses (The Group’s tier-1 suppliers).
  • The majority of jasmine farms that fragrance houses source from in Egypt are found in Shubra Bilulah as Sakhawiyyah and surrounding areas, located about 97 km North of Cairo, in the Gharbiya governorate.

Question 2: What due diligence are you undertaking for your jasmine supply chain?

[...]

Focus on Due Diligence in Egypt:

As a result, since these potential issues first surfaced in Egypt, we have worked to put concrete actions in place ahead of the next jasmine harvest in June, in order to eliminate child labour whilst protecting the livelihood of the families who depend on jasmine picking.

  • We immediately took actions by:
  1. Visiting with external experts - all our processors as well as 9 out of the 10 sourcing villages.
  2. Interviewing and conducting focus groups with 323 stakeholders, including local workers and neighbouring communities.
  3. Working with 11 NGOs and multilateral organisations, two government organisations, and the managers of several jasmine processors;

This work that we have been doing in partnership with the Government of Egypt, the Fair Labor Association, the International Labour Organisation and other industry players has allowed us to put in place a detailed action plan with suppliers; who’s success will be evaluated by us.

Additionally, L’Oréal is also committed to buying jasmine in Egypt only from controlled farms belonging to responsible jasmine processors – whilst continuing to provide support to smallholders that we don’t buy from, through our sectorial partnership with the Fair Labor Association, the International Labour Organization, the Egyptian government and other local partners.

Question 3: How do you investigate and remediate allegations of child labour?

[...]

We have been a key player in setting up a coalition, in partnership with the Egyptian government, perfume houses and other industry players. This coalition is being led by the Fair Labor Association and the International Labour Organization, as part of their flagship ‘Harvesting the Future’ project (LINK).

Therefore, since this issue was first identified, we have put in place concrete actions in place to drive systemic change in support of local communities. We are working in partnership with the Government of Egypt, the Fair Labor Association, the International Labour Organisation and other industry players. These strategies include:

  • Promote fair compensation and build the economic resilience of families.
  • Strengthen child protection measures and improve children’s access to education and childcare.
  • Improve human rights due diligence systems at the processor level, and
  • Generate support for legal and policy initiatives, including socialprotection measures.

Question 4: How do you ensure that workers picking jasmine within your supply chain receive fair prices and a decent wage for the jasmine that they pick?

L’Oreal commits to paying a fair price for the ‘olfactory compounds’ which we source from fragrance houses. L’Oreal works with its suppliers to ensure that workers are being paid fairly, and working conditions are safe and there is access to healthcare.

Alongside many companies that use jasmine derivatives in their products, we work with the International Labour Organisation (ILO). We also work with the Fair Labor Association, an international network that champions human rights in farms and factories worldwide, to develop concrete solutions that swiftly can be implemented to improve the situation. These include strategies to promote fair compensation and build the economic resilience of families, which can eliminate one compelling driver of child labour; strengthen child protection measures and improve children’s access to education; improve human rights due diligence systems at the processor level; and generate support for legal and policy initiatives, including social protection measures.

The Fair Labor Association, the International Labour Organization (ILO) office in Egypt, and more than 15 national and international producers and purchasers of jasmine and jasmine derivatives are working together to promote child protection and decent working conditions in the jasmine sector in Egypt. The Government of Egypt and several local civil society organizations also are active partners in the project.

[The full response is attached]

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