Process for Responding to Reported Rights Violations
Fast Retailing discloses that it aims to respond to complaints to its hotline within 24 hours. It notes that it investigates root causes and informs the complainants of the action taken with the supplier. The company states that it committed to engaging with impacted workers, and that it asks complainants to inform the company if remedies have not been implemented. It also provides a flow chart of its hotline detailing how complaints from workers are dealt with at the factory and at Fast Retailing; the process includes escalation to Fast Retailing’s Business Ethics Committee and/or Human Rights Committee if no remedy is achieved.
Adidas stated that at a sub-contractor of a first-tier supplier in Myanmar, four workers had been dismissed as they had tried to form a union. It stated that it initially asked that the workers be reinstated, but as the supplier then closed the factory, remedy efforts focused on compensation instead. The company disclosed that a severance package was agreed with the dismissed workers that included back-wages from the date of dismissal, annual leave, and other allowances. The company reported that the dismissed workers were satisfied with the settlement. Adidas stated that it worked with a supplier to repay workers approximately US$697 each for transport fees they had been made to pay.