OUR FINDINGS

We are aware that our industry is complex. Prioritizing one or more risk areas based on severity does not mean that some risks are more important than others. Mapping and prioritization is a continuous process.

Our prioritized risk areas are defined based on the risk of negative impact in relation to geography, production and our own impact.

Employee rights

▪ Freedom of association and collective bargaining.

▪ Health, safety and environment.

▪ Wages

▪ Working Hours

▪ Regular employment

China Turkey Bangladesh

Huma rights violation

• Forced labour

• Child labour

• Discrimination

• Brutal treatment

• Marginalized population group

China

Turkey Bangladesh

India

Environmental impact

▪ Environment

▪ Emissions

▪ Greenhouse gases

▪ Energy

▪ Waste

▪ Water

▪ material consumption

Global

IDÉ Group carry out ongoing risk assessments of existing partners and products.

Before entering cooperation with new suppliers, a qualification process is carried out where the manufacturer answers an ESG survey.

CEMAsys' ESG platform helps us to evaluate suppliers based on quality standards and business practices, including information on environmental and social conditions. The system helps us to map our partners and to have an overview of the information and documentation obtained. This information is used in the risk assessments, together with EHN's risk mapping tool, which helps us to identify the business' priority risk areas, which is employee rights, violations of human rights and environmental impact. Other sources we often use are CSR Risk checker and Forced/Child labour risk

Workers' rights: Low wages and overtime work are a major challenges in China, Bangladesh and Turkey. The same applies to health, environment and safety in the workplace.

Violation of human rights: In India, our concern is child labour, discrimination and unhealthy working conditions. Tanneries are very dangerous, where workers often work without adequate protection. There is also a great danger of child labour in Bangladesh, China and Turkey. These are countries where IDÉ has partners.

Environmental impact is a global challenge. Climate change is visible and knows no national borders. The use and release of harmful chemicals is widespread in all parts of the supply chain. Another challenge is waste, material use and lack of raw materials. As a result of our desire to contribute in a positive way we’ve become a bluesign®systempartner. Bluesign works long-term in close collaboration with system partners to exclude materials that are hazardous to health or the environment in the entire textile production chain from fiber, yarn, dyes and additives, to finished fabric and product. In addition, emissions into water, land and air are also minimized and the use of resources such as water and electricity. A third aspect is working conditions in the factories in terms of health and safety.

The parts of our business that’s not covered in this report are rental of computer equipment, purchases for office operations, catering, specific brand suppliers where we do not have a collaboration agreement, our own warehouse, printing and transporters. These parts of the operation are not prioritized because the turnover volume is low.