1. Executive Summary

When the COVID-19 pandemic struck, global supply chains in the garment sector were hit hard. Throughout 2020 and into 2021, lockdowns in the UK resulted in lower demand for clothing. Lockdowns across Asia also meant factories had to close for long periods in 2020 and 2021. For garment workers in countries like Bangladesh and Myanmar, where textiles represent 91%¹ and 24%² of the exports respectively, the impact has been devastating from both a livelihoods and health perspective. In April 2020, a million garment workers had lost their jobs in Bangladesh of which 60% were women. Those who continued to work faced the risk of contracting COVID-19 in factories where implementing social distancing was difficult and health and safety measures inadequate. The pandemic also put a strain on other aspects of workers’ health, with reports of increased physical abuse, increased mental pressure, and reduction of maternal health care services.

In early 2020, the UK’s Foreign Commonwealth and Development Office (FCDO) established the Vulnerable Supply Chains Facility (VSCF) under the auspices of its Busines Partnerships for Global Goals (BP4GG) programme to tackle the immediate effects of the COVID-19 crisis whilst also testing and scaling shared value initiatives that support the achievement of the Global Goals (GG). The VSCF partnered with 20 UK and international retailers and brands and five not-for-profit organisations, supporting 296 suppliers in Africa and Asia. Four of these partnerships were formed in the garment sector in Asia, delivering support to the most vulnerable workers within garment supply chains. The VSCF implemented several studies through which the FCDO and implementing partners could learn from the experiences gained through projects.

This case study sets out lessons learned from the VSCF projects in the garment projects portfolio. It identifies strategies that have been effective in the context of an immediate response to COVID-19 but which also have potential for the garment sector’s achievement of its goals for improved environmental, social and governance (ESG) practices in the future. The lessons have been generated through reflections on information from a range of sources, including learning documents produced by VSCF partners, impact data collected through telephone surveys, and interviews with staff involved at both private and not-for-profit partner organisations. The case study identifies four strategies that have been particularly effective in delivering impactful change:

• Partner with supplier factories to improve working conditions and protect workers • Tackle Gender-Based Violence (GBV) and harassment through proven tools • Review and include all supplier tiers to address transparency issues for decent work • Encourage implementation of responsible policies, standards and Environmental, Social and Governance (ESG) initiatives through communication across all tiers of the supply chain

This study ends with a concise set of recommendations for businesses, governments, and NGOs relating to positive aspects of the garment sector which VSCF projects leveraged, and which contributed towards their success. Continuing sector level reform will be essential if VSCF interventions are to be as effective at scale.

¹https://oec.world/en/profile/country/bgd/ ²https://oec.world/en/profile/country/mmr/