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24 Apr 2024

Primark's response to Bangladesh minimum wage outreach

[...]

All Primark-approved factories in Bangladesh were required to implement the new minimum wage from the date it became effective on 1st December 2023 and our team in Bangladesh began to monitor that this was the case from that date. Concurrently, from the 1st December any new orders Primark placed with its suppliers in Bangladesh reflected the new minimum wage. For existing orders placed before 1st December, Primark consulted with its key suppliers and agreed how and where adjustments to the price of these orders would be made.

In addition to the regular monitoring activities of our local teams, including that in Bangladesh, we always investigate issues connected to our Supplier Code of Conduct including concerns around payment of wages that are brought to us by any third party. This includes specific grievances around wage payment raised by workers themselves through available grievance mechanisms or through their elected representatives in unions or appropriate representative committees. We encourage workers, suppliers and unions to direct specific issues with as much detail and evidence as possible to the ACT Dispute Resolution Mechanism (DRM) for Bangladesh so it can be most effectively handled and so that where relevant we can collaborate with other brands on any resolution needed.

We currently work with two of the factories identified in the list provided to us by the BHRRC, Shanta Denim and Denim Asia. In both cases, we are aware of the allegations and are confident that both issues have been resolved.

As a founding member of ACT, we recognise the importance of responsible purchasing practices in facilitating the payment of wages. We’re committed to pursue a living wage for workers in our supply chain. We’ve drawn up an approach focused on improving our purchasing practices in line with ACT’s global purchasing practices commitments; piloting the Fair Labor Association (FLA) Wage ; and proactive industry collaboration. More information can be found in our Primark Sustainability and Ethics Progress Report 22/23.

[The full response is attached]

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