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Babyface Annual ESG Report 2021

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<strong>Babyface</strong> <strong>Annual</strong> <strong>ESG</strong> <strong>Report</strong> <strong>2021</strong>


FOREWORD<br />

We are proud to present <strong>Babyface</strong>’s third <strong>ESG</strong> (environmental, social and<br />

governance) annual report, which gives an account of the efforts we have made<br />

to make <strong>Babyface</strong> gradually more sustainable in the tumultuous year <strong>2021</strong>.<br />

With our <strong>Babyface</strong> brand, we want to encourage children to go on adventures,<br />

to discover themselves and the world! <strong>Babyface</strong>’s <strong>ESG</strong> policy focuses on the<br />

development of children and is committed to a sustainable planet.<br />

In <strong>2021</strong>, the COVID-19 pandemic demonstrated once again the extent of<br />

interdependence within the global supply chain and also the vulnerability of<br />

the chain itself. Lockdowns in our manufacturing countries and in Europe had<br />

a direct impact on our partners and on us as a brand. It made us see the<br />

consequences of our actions deeper in the chain and we have taken<br />

responsibility for them.<br />

Despite these changes, we have managed to continue to grow <strong>Babyface</strong> together<br />

and to safeguard our relationships with suppliers. This year too, I would like to<br />

thank all employees and our partners for their cooperation and their<br />

commitment to <strong>ESG</strong>. But above all for their flexibility, because the world around<br />

us changes very quickly. Today more than ever.<br />

The <strong>ESG</strong> agenda still has some challenging items, but we are proud of our<br />

achievements over the past year and the positive impact we have been able to<br />

make as a brand. For example, we have made great strides in the traceability of<br />

our supply chain, provided training with our partners for suppliers in India and<br />

started a great partnership in the field of circularity.<br />

Enjoy reading this report!<br />

Leonie van Wijk<br />

International Sales and Brandmanager Baby & Kids<br />

EK Fashion<br />

2 3


<strong>2021</strong> AT A GLANCE<br />

Summer <strong>2021</strong><br />

278.083<br />

items produced<br />

Winter <strong>2021</strong><br />

315.220<br />

items produced<br />

6,5%<br />

transport by air<br />

93,5%<br />

transport<br />

by sea<br />

35%<br />

turnover growth in <strong>2021</strong><br />

compared to 2020<br />

16%<br />

revenue growth in <strong>2021</strong><br />

compared to 2019<br />

18%<br />

Better Cotton<br />

100%<br />

of all tier 1/2/3 suppliers<br />

are known to <strong>Babyface</strong><br />

32 QR-Codes online<br />

8<br />

training courses for senior<br />

and middle management<br />

4<br />

training courses<br />

for factory workers<br />

14<br />

training sessions for<br />

worker committees<br />

12<br />

female<br />

<strong>Babyface</strong> employees<br />

16%<br />

organic<br />

cotton<br />

Certified for the Global<br />

Recycling Standard<br />

4 5


THE ROAD TO SUSTAINABILITY<br />

2017<br />

2018<br />

DE DUURZAME REIS IN EEN NOTENDOP<br />

We first embarked on this journey to make <strong>Babyface</strong> a more sustainable<br />

brand in 2017. We accept our responsibility and work hard to realise<br />

sustainable growth. The first step we took was signing the Dutch<br />

Agreement on Sustainable Garments and Textile. This initiative<br />

stimulated us to gain more insight into the supply chain and analyse<br />

and tackle potential risks.<br />

2018 saw the creation of finding internal support and consensus, appointing<br />

staff, and making a budget available to properly carry out our<br />

sustainability targets and tasks. We had intensive conversations with<br />

experts in this field to gain more advice and knowledge. And lastly, we<br />

established a company-side CSR policy. Now, everyone who works at<br />

EK Fashion knows our strategic pillars and which goals we want to<br />

realise. Not just for <strong>Babyface</strong> but also for all the other brands and<br />

departments. Such a policy gives guidance and structure.<br />

2019<br />

2020<br />

<strong>2021</strong><br />

In 2019, we started conversations with our suppliers and established<br />

new codes of conduct. We critically reviewed our own work methods and<br />

sought ways to improve them (including our procurement activities).<br />

We have identified and prioritised the potential risks in our supply chain.<br />

This risk analysis has resulted in five key pillars that now form the core<br />

of our list of priorities.<br />

In 2020, we started to take specific steps and set up several projects to<br />

achieve the goals concerning the five pillars. The projects we focus on<br />

are transparency, living wage, and training programmes to improve the<br />

labour conditions in the factories, which we set up together with human<br />

rights organisation Arisa and the local social organisation SAVE in India.<br />

In <strong>2021</strong>, we made further progress in line with the activities in 2020 and<br />

professionalised our work on sustainability. The various projects have<br />

become further integrated into the daily work of the <strong>Babyface</strong> team,<br />

making <strong>ESG</strong> increasingly a standard rather than an additional task.<br />

This year we have also been able to buy organic cotton on a small scale<br />

again and have sourced a large proportion of cotton from Better Cotton.<br />

In addition, we have been certified by the Global Recycled Standard to<br />

meet our ambitions for more sustainable materials and circularity.<br />

be<br />

silly!<br />

6 7


<strong>2021</strong><br />

Table of contents<br />

Foreword3<br />

<strong>2021</strong> At a glance4<br />

Table of contents 8<br />

1 Brand Story 10<br />

Vision 15<br />

Mission 15<br />

Brand Values 15<br />

Sustainable values of <strong>Babyface</strong> 16<br />

Euretco now EK 16<br />

2 <strong>Babyface</strong>’s playing field 18<br />

Stakeholders 20<br />

Sustainable Development Goals 22<br />

Interview with Alexandra Clot from tex.tracer 24<br />

3 Deep dive: goals, achievement, next steps 26<br />

No Child Labour 28<br />

Living wage for factory workers 33<br />

Greater sustainability of materials 38<br />

Circularity 41<br />

Reduction of CO 2<br />

, water, energy and chemicals 43<br />

Appendices:<br />

Responsible Business Conduct EK Fashion46<br />

babyface.nl<br />

8 9


01<br />

Brand Story<br />

10 11


1 Brand Story<br />

Children and their development are our focal points. And this doesn’t just apply to the children wearing our<br />

clothes but also to the children of the people who produce our clothes. The future we see is a sustainable one.<br />

We contribute to a sustainable future by manufacturing our clothing sustainably - by using eco-friendly<br />

fabrics and materials and in factories where the employees are treated well and fairly. This is how we ensure<br />

that factory workers can also realise a wonderful future for their own children. We want to help these children<br />

to contribute positively to their own future. One way of doing this is by helping parents explain to their<br />

children why it is so important to take good care of our planet and nature, and how to do this in a playful<br />

manner together with your child.<br />

Dream big<br />

and explore<br />

shoot for<br />

the stars<br />

12 13


1 Brand Story<br />

THE<br />

BABYFACE<br />

VISION &<br />

MISSION<br />

VISION We want to make sure that children around the world can explore the<br />

world in a playful and comfortable manner and, thus, create their own future.<br />

<strong>Babyface</strong> - Merkwaarden<br />

MISSION We help children embark on an adventure and become more<br />

resilient through play while supporting the parents at the same time. As<br />

children experience our clothes - by seeing the prints, playing games, and<br />

reading our stories - they will experience how it feels to be a 21st-century<br />

<strong>Babyface</strong> - Merkwaarden<br />

explorer.<br />

zorgen voor elkaar<br />

zorgen voor elkaar<br />

<strong>Babyface</strong> - Merkwaarden<br />

zorgen voor elkaar<br />

BRAND VALUES<br />

een beetje ondeugend is leuk<br />

een beetje ondeugend is leuk<br />

Care for each other<br />

You can only explore the world from a safe place. A place you can call home<br />

and a safe harbour when you’re unsure about what to do next. We want to<br />

contribute to this safe place with comfortable clothes that last a long time and<br />

made of wonderful materials. This is how we make sure that, whenever you’re<br />

ready, you can learn to crawl, clamber around in playgrounds, and learn how to<br />

ride a bicycle. We also want to create a safe place for the people who make your<br />

clothes. Together with our suppliers, we guarantee that your clothes are<br />

manufactured responsibly and in a safe environment.<br />

een beetje ondeugend is leuk<br />

droom groots, speel en ontdek<br />

Never mind a bit of mischief<br />

What about some small surprises that are sure to make you smile from ear to<br />

ear? The grin on your face when you do something that you’re not supposed to<br />

do, but you do it anyway? Isn’t that what makes life fun? This is also reflected<br />

in, on, and around our clothes. In the drawings, the packaging, and in the<br />

stories we tell. We want you to get a positive view of the world because that’s<br />

exactly what we have!<br />

droom groots, speel en ontdek<br />

droom groots, speel en ontdek<br />

Dream big, play and discover<br />

We firmly believe that by trying out new things and going on an adventure, you<br />

will find out what you enjoy doing and what kind of person you are. If you dare<br />

to dream, you can create your own world. Dream big, play and discover. We will<br />

help you do that! We also dream of a wonderful future for you. So when we are<br />

making your clothes, we also take good care of nature and our planet.<br />

14 15


1 Brand Story<br />

CHILD DEVELOPMENT<br />

AWARENESS & EDUCATION<br />

EK<br />

As a baby and children’s brand, <strong>Babyface</strong><br />

A sustainable future requires changes that are<br />

EK supports around 4,200 retailers in<br />

and EK Books. EK Netherlands works together<br />

wants to contribute to the development and<br />

supported and joined by everyone involved. And<br />

various European countries with a wide range<br />

with about 1,500 independent entrepreneurs<br />

skills of children. Children are our future.<br />

this includes you, the consumer, as you play a<br />

of back-office services. EK provides services to<br />

and franchisees. In total, they run almost 2,200<br />

That’s why we don’t just want to take good<br />

vital role in the transition towards a more social<br />

local retail entrepreneurs and is a purchasing<br />

shops in the branches of living, fashion, sports,<br />

care of them ourselves, but also want to help<br />

and greener economy. As our future consumers,<br />

organisation, marketing organisation and<br />

DIY and books.<br />

them discover the world, stand on their own<br />

we also want to get children involved in this<br />

competence network in one.<br />

two feet and discover who they are.<br />

process and topic, in a playful and adventurous<br />

Core activities are retail services, franchising,<br />

Sadly, there is much inequality in the world<br />

manner, so they can learn how to treat and care<br />

EK’s business model is featured by its focus on<br />

wholesale and financial services to independent<br />

and there are many children who don’t have<br />

for others and nature. After all, we are talking<br />

six strategic business segments:<br />

entrepreneurs. Around 300 people at EK Ned-<br />

equal chances to a great future. Both here and<br />

about their future.<br />

EK Home, EK Fashion, EK Living, EK DIY,<br />

erland work with great passion to relieve EK’s<br />

in the countries where our products are made.<br />

EK Sport and EK Books.<br />

retail partners of work where they can, both in<br />

The highest priority in our <strong>ESG</strong> policy is no<br />

their shops and online.<br />

child labour and a living wage (for the parents).<br />

Approximately 650 employees put in great efforts<br />

CIRCULARITY<br />

to support retail partners and brand suppliers<br />

the best they can. As a service provider for<br />

The shop formulas and floor concepts include<br />

INTERSPORT, Runnersworld, The Athlete’s Foot,<br />

Our aim is to contribute to a sustainable planet<br />

for future generations. This means dealing<br />

EURETCO NOW EK<br />

independent small and medium-sized retailers,<br />

specialist markets and department stores, one<br />

Hubo, Decorette, Topform and Libris/Blz. In<br />

addition, EK Netherlands, through its fashion<br />

responsibly with raw materials, energy and<br />

<strong>Babyface</strong> is part of the retail service organisa-<br />

of EK’s most important tasks is to lead local<br />

division including <strong>Babyface</strong>, Born with Appetite,<br />

water. More sustainable materials are relevant<br />

tion Euretco, which has been owned by<br />

independent retailers into the digital future.<br />

Marco Manzini and Inshape, offers top interna-<br />

in this respect, as is the reuse of materials and<br />

other resources such as water and energy.<br />

EK since 2015. In order to further strengthen<br />

the international brand identity, the companies<br />

EK NETHERLANDS<br />

tional brands in the women’s, men’s, baby and<br />

children’s clothing segments.<br />

Step by step, we are working towards circular<br />

will continue under a common name from<br />

On the Dutch market, EK operates with the<br />

initiatives and business models.<br />

April 2022: EK.<br />

divisions EK Fashion, EK Living, EK DIY, EK Sport<br />

16 17


02<br />

<strong>Babyface</strong>’s playing field<br />

18 19


2 Het speelveld van <strong>Babyface</strong><br />

2 <strong>Babyface</strong>’s playing field<br />

<strong>Babyface</strong> is in close contact with the world around us. We are committed to a sustainable planet for future<br />

generations. We cannot do this alone. Our stakeholders are vital in order to continue to develop on an<br />

environmental, social and governance level. Every cooperation is characterised by trust, respect and open<br />

conversations. For example, we have been working with all suppliers and agents for at least ten years.<br />

Retailers<br />

NGOs & Institutions<br />

Stakeholders<br />

Tex.tracer<br />

SUPPLIERS<br />

AGENTS<br />

Suppliers<br />

The majority of the <strong>Babyface</strong> collection is We work with two agents in total through the<br />

produced by suppliers in India and China. The agency Goldvex in China and through the<br />

last stage of the production of the tights takes agency Top Notch in India. We are in close<br />

place in Germany. We work closely with our contact with our agents and greatly appreciate<br />

suppliers and our cooperation is constantly the way they work with us to promote<br />

intensified by various social projects that we sustainability among suppliers.<br />

embrace together.<br />

Agents<br />

TEX.TRACER<br />

With tex.tracer we are actively working on<br />

making our supply chain traceable and<br />

transparent. Through a blockchain-driven<br />

platform and the data provided by suppliers,<br />

the <strong>Babyface</strong> team gains an increasingly better<br />

understanding of entire chain. This enables us<br />

to make well-considered decisions to become<br />

more sustainable.<br />

NGOS & INSTITUTIONS<br />

Amfori is a global business association for<br />

the promotion of open and sustainable trade.<br />

Amfori enables 2,400 companies to operate<br />

as successful and sustainable businesses by<br />

helping them to monitor and improve the social<br />

and environmental performance of their supply<br />

chains. Through Amfori, <strong>Babyface</strong> conducts<br />

social audits at suppliers where we produce<br />

our clothing with the aim of improving<br />

working conditions.<br />

Arisa is an independent non-governmental<br />

human rights organisation that has been<br />

committed to defending human rights in<br />

South Asia since 1976. Arisa does this through<br />

advocacy and policy influencing with politicians<br />

and companies, research, critical conversations<br />

and raising social awareness of human rights<br />

violations. Together with other clothing brands,<br />

Arisa and SAVE, <strong>Babyface</strong> is committed to<br />

improving the working conditions of suppliers<br />

in India and to paying them a living wage.<br />

Social Awareness and Voluntary Education<br />

(SAVE) is a non-profit organisation established<br />

in 1933. SAVE runs various development<br />

programmes to eliminate child labour, support<br />

women and youth and promote fair working<br />

conditions. SAVE is the local presence in the<br />

cooperation with Arisa and <strong>Babyface</strong> to improve<br />

working conditions at suppliers in India and to<br />

pay a living wage.<br />

Modint is the entrepreneurs’ organisation<br />

for manufacturers, importers, agents and<br />

wholesalers in (company) clothing, fashion<br />

accessories, carpets and (interior) textiles.<br />

Together with over 400 members, Modint is<br />

building a valuable future for our sector by<br />

positively contributing to the policy of relevant<br />

and social issues and by innovating and<br />

expanding the market. <strong>Babyface</strong> is a member<br />

of Modint and receives support on topics such<br />

as chemicals, impact measurement and more<br />

sustainable material choices.<br />

The Covenant on Sustainable Clothing and<br />

Textiles (CKT) ran from 2015 to 31 December<br />

<strong>2021</strong>. A broad coalition of companies and other<br />

organisations, including <strong>Babyface</strong> from 2018<br />

onwards, have joined forces to prevent abuses<br />

such as exploitation, animal suffering and<br />

environmental damage.<br />

RETAILERS<br />

Without retailers, who sell our products and tell<br />

our story to consumers, we are going nowhere.<br />

We are pleased with our international reach<br />

in Europe and America, which allows as many<br />

parents and children as possible to enjoy our<br />

products. On the map you can see where you<br />

can find <strong>Babyface</strong>, including our top countries<br />

Germany, The Netherlands and Belgium.<br />

20 21


2 Het speelveld van <strong>Babyface</strong><br />

RETAILERS BABYFACE<br />

us<br />

United States<br />

Belgium<br />

Luxembourg<br />

Spain<br />

es<br />

BE<br />

Netherlands<br />

lu<br />

Italy<br />

nl<br />

it<br />

Germany<br />

DE<br />

gr<br />

Greece<br />

at<br />

ch<br />

Austria<br />

Czech<br />

Republic<br />

Goal 12 is about sustainable consumption<br />

and production. <strong>Babyface</strong> contributes to this<br />

by producing high quality clothing that<br />

consumers can enjoy wearing for a long time. We also<br />

work with more sustainable materials such as organic<br />

cotton and Better Cotton. These materials have less<br />

negative impact on the environment than conventional<br />

cotton. Read more about this o pages 38 and 41.<br />

Goal 13 is about tackling climate change.<br />

<strong>Babyface</strong> contributes to this by working<br />

towards processes that emit less CO 2<br />

and use<br />

less water, energy and chemicals. An example of this is<br />

our Restricted Substances List, a list of chemicals that<br />

we do not want to be found in our clothing. We also<br />

work with more sustainable materials that have a<br />

smaller footprint than conventional materials. Read<br />

more about our next steps on pages 38 and 43.<br />

Goal 17 includes strengthening global<br />

partnerships to achieve goals. <strong>Babyface</strong><br />

contributes to this through its partnerships<br />

with stakeholders such as Arisa and SAVE with whom<br />

we implement projects in India on issues such as forced<br />

labour, discrimination & gender, child labour, freedom<br />

of association, living wages and occupational health<br />

and safety. Read more on page 33.<br />

Sustainable Development Goals<br />

The Sustainable Development Goals (SDGs) are<br />

17 targets to make the world a better place by 2030.<br />

They are a global compass for challenges such as<br />

poverty, education for all and the climate crisis. The<br />

goals were established by the United Nations in 2015<br />

as a follow-up to the Millennium Development Goals.<br />

<strong>Babyface</strong> wants to contribute to the achievement of<br />

SDGs with a focus on SDG 1, 3, 6, 8, 10, 12, 13 and 17.<br />

Goal 1 is about eliminating all forms of<br />

(extreme) poverty. <strong>Babyface</strong> contributes to<br />

this by making efforts to achieve a living<br />

wage and a safe workplace in parts of the world where<br />

extreme poverty has a strong impact on lives. Read<br />

more about this on page 33.<br />

Goal 3 is about good health and well-being<br />

for all. <strong>Babyface</strong> specifically contributes to<br />

target 3.9 by encouraging suppliers to reduce<br />

the use of harmful chemicals and to purify used water.<br />

Read more about this on page 43.<br />

Goal 6 includes clean water and sanitation<br />

for all. <strong>Babyface</strong> contributes to this by<br />

encouraging suppliers to reduce the use of<br />

harmful chemicals and purify used water. Read more<br />

about this on page 43.<br />

Goal 8 includes inclusive economic growth,<br />

employment and decent work for all.<br />

<strong>Babyface</strong> contributes to this by creating jobs<br />

for the people who make our clothes. Our ambition is to<br />

achieve the payment of of a living wage, to ensure a safe<br />

workplace and provide equal opportunities. Read more<br />

on page 33.<br />

Goal 10 includes reducing inequality within<br />

and between countries. <strong>Babyface</strong> contributes<br />

to this goal by not allowing discrimination on<br />

the basis of religion, belief, political opinion, race,<br />

gender or any other ground among the business<br />

partners with whom we work. Read more about<br />

this on page 33.<br />

22 23


2 Het speelveld van <strong>Babyface</strong><br />

Interview<br />

Alexandra Clot<br />

What does sustainability mean to you?<br />

Can you describe the collaboration between<br />

Evidently, it’s a very broad concept. For me personally,<br />

tex.tracer and <strong>Babyface</strong>?<br />

it’s effectively about making better choices, in view of<br />

<strong>Babyface</strong> has joined us as a launching customer, so<br />

the future, but also of the present. In order to make<br />

really since the start of tex.tracer. With our platform<br />

better choices in fashion, I have made some rules for<br />

we support <strong>Babyface</strong> in making the whole supply chain<br />

myself: I buy little, I only buy things that I “really”<br />

transparent. First of all, <strong>Babyface</strong> gains a better<br />

need. Then you can always ask yourself: do you really<br />

understanding, which it can act upon. Of course, the<br />

need that T-shirt? And if I do buy something, it’s<br />

platform also supports you with the compliance<br />

usually second-hand. If I buy something new, it has to<br />

modules, and therefore reduces your workload.<br />

be of high quality and have a timeless design. That<br />

way, in ten years time, so to speak, I can still enjoy it as<br />

What is the strength of our partnership?<br />

much as I do now. And then I also do some research<br />

beforehand to see if there are certain standards for<br />

materials and working conditions at the brand.<br />

Once you have done the research which<br />

yields several good brands, which element<br />

of sustainability is decisive for you?<br />

Design and quality, because I think you get more use<br />

out of a product if it’s really well made from really<br />

good materials. And the longer a garment can last, the<br />

less likely you will need something new. So I think<br />

durability is very important.<br />

A very good example of the strength is that we have<br />

effectively taken leaps with <strong>Babyface</strong>, and I think that<br />

is because we have the same goal and the same<br />

motivation. We’re all on the same page and we really<br />

want the industry to improve. tex.tracer can be used as<br />

a tool to achieve this. So I think that at <strong>Babyface</strong>, this is<br />

your genuine belief, and that is why there is progress<br />

and why things are being achieved. We also<br />

communicate very openly and honestly with each<br />

other. If something is not good enough with tex.tracer,<br />

then you will let us know fair and square. Your<br />

feedback is extremely valuable to us.<br />

What opportunities and obstacles do you<br />

see in making <strong>Babyface</strong>’s value chain more<br />

transparent?<br />

There are several obstacles in getting all the suppliers<br />

in the value chain on board. For example, the language<br />

barrier, but also the fear that suppliers have of making<br />

mistakes and losing customers as a result. These kinds<br />

of obstacles also exist in other aspects of sustainability,<br />

such as obtaining a GOTS certificate for the entire<br />

chain.<br />

In terms of opportunities, you really need to look at<br />

the combined strength of all the retailers. If they all<br />

demand more transparency as well, this gives you even<br />

more power in the supply chain and a lot of potential<br />

for new collaborations.<br />

In order to bring about such collaborations, the entire<br />

industry’s mindset really needs to change, because at<br />

the moment, everyone is fighting for their own cause.<br />

I think that a competitor is not your enemy, but can be<br />

a good ally when you know where he makes the<br />

purchases or where he produces.<br />

24 25


03<br />

Deep Dive<br />

26 27


3 Deep Dive<br />

3 Deep dive: goals,<br />

achievement, next steps<br />

Based on a risk analysis of the supply chain and <strong>Babyface</strong>’s brand values, we formulated<br />

a multi-year plan with specific targets on five pillars in 2019. At the beginning of 2022, we<br />

further specified these objectives. In this chapter, we explain the objectives for each pillar,<br />

our achievements of last year and what steps we want to take in the coming year to<br />

achieve more of the set objectives.<br />

1. No child labour<br />

Unfortunately, there are no international standards<br />

yet to make transparency and traceability measurable<br />

and to be able to report it. That is why <strong>Babyface</strong>,<br />

together with tex.tracer, has drawn up standards that<br />

we use to report on traceability and transparency.<br />

These standards consist of three levels of traceability<br />

and transparency (abbreviated to T.T levels) and a<br />

clear division of production processes into tiers.<br />

Defining production processes in tiers is still complex<br />

due to the various types of supply chains.<br />

Nevertheless, the tiers that have been established<br />

help to set clear goals.<br />

<strong>Babyface</strong> never accepts child labour. We work together<br />

with stakeholders tex.tracer, Arisa, SAVE to detect, stop<br />

and prevent child labour.<br />

For the detection of child labour, knowledge of the<br />

production chain is essential. After all, we will only<br />

know whether child labour occurs if we know where our<br />

products are made. To develop an understanding of the<br />

chain, we have been working with tex.tracer since April<br />

2020. Tex.tracer helps us to encourage suppliers to<br />

share their suppliers with us.<br />

With tex.tracer we are actively putting in efforts to<br />

make our supply chain traceable and transparent.<br />

Through a blockchain-powered platform and the<br />

data provided by suppliers, the <strong>Babyface</strong> team is<br />

gaining more and more insight into the entire chain,<br />

allowing us to make informed decisions to become<br />

more sustainable.<br />

Tiers:<br />

• Tier 0: Logistics (transport/importers/storage),<br />

agents<br />

• Tier 1: Assembly facilities: cutting, sewing,<br />

assembling and packing for shipment<br />

• Tier 2: Processing facilities: fabric production:<br />

printing, dyeing, washing, embroidery<br />

• Tier 3: Processing facilities: yarn spinning, knitting<br />

and weaving<br />

• Tier 4: Raw material suppliers: cotton cultivation,<br />

farms, cattle breeding<br />

T.T Levels:<br />

• T.T Level 1: the partner in the supply chain is<br />

known to <strong>Babyface</strong>, but has not yet registered with<br />

tex.tracer<br />

• T.T Level 2: The supply chain partner has created a<br />

tex.tracer account. This account includes<br />

information such as the partner’s name, contact<br />

information, address, trade register number and<br />

product groups.<br />

• T.T Level 3: the supply chain partner has uploaded<br />

and verified the order information<br />

28 29


3 Deep Dive<br />

Achievement<br />

The above specification shows that <strong>Babyface</strong> has<br />

achieved most of its targets for <strong>2021</strong>. Achieving these<br />

goals is particularly successful thanks to the<br />

cooperation of our agents in India and China. In<br />

addition, personal contact with our suppliers is<br />

essential. In those personal contacts we can explain<br />

the added value of traceability.<br />

It has not yet been possible to get all tier 1 suppliers<br />

to create a tex.tracer account, because some suppliers<br />

believe it is a lot of work or are afraid of losing their<br />

good position in the market. Especially in uncertain<br />

times due to the COVID-19 pandemic, we noticed that<br />

suppliers were even more reluctant to cooperate with<br />

tex.tracer.<br />

QR-codes<br />

In 2020, <strong>Babyface</strong> started to provide a number of<br />

products with QR codes linked to data from tex.tracer.<br />

When the consumer scans the QR code, he sees the<br />

entire journey that the article has made: from the cotton<br />

field to the warehouse. In this way, we also offer the<br />

consumer 100% transparency. This was continued in<br />

<strong>2021</strong> and at the time of reporting, 32 QR codes are online.<br />

As soon as a supplier has registered with the platform<br />

Compliance Initiative (BSCI) platform with respect to<br />

(T.T. level 2), we ask them, among other things, to sign<br />

our Responsible Business Conduct if they have not<br />

this. Read more about this on page 34.<br />

From cotton harvest<br />

in Gujarat, India<br />

already done so. The Responsible Business Conduct<br />

Fair wages for the people who make our products is one<br />

comprises agreements between <strong>Babyface</strong> and suppliers<br />

on thirteen <strong>ESG</strong> themes, and child labour is one of them<br />

(see attachment).<br />

Suppliers agree to comply with our standards and we<br />

of the most important means to stop or prevent child<br />

labour. <strong>Babyface</strong> works together with Arisa and SAVE on<br />

a project basis towards paying a living wage, so that<br />

children of these workers do not have to work<br />

(anymore). Read more about this on page 33.<br />

A Tiny<br />

Story<br />

continue to have conversations about this subject with<br />

our suppliers. We ask suppliers to make our standards<br />

Also by using GOTS-certified organic<br />

Do you know the origin of your garment?<br />

All of our products will get a QR code on<br />

the hangtag. When you scan it you can<br />

see his journey.<br />

To warehousing in<br />

a subject of discussion with their suppliers.<br />

cotton, the chance that child labour<br />

occurs in the chain is much lower.<br />

In addition, <strong>Babyface</strong> monitors whether suppliers have<br />

The GOTS certificate imposes strict<br />

a valid audit on social issues such as child labour and<br />

requirements on both material<br />

whether there is an action plan for improvement.<br />

use and working conditions. Read more about this<br />

<strong>Babyface</strong> collaborates with the Amfori Business Social<br />

on page 38.<br />

DOELEN<br />

TIER 1 TIER 2 TIER 3<br />

<strong>2021</strong><br />

2022<br />

Level 1: 100% ✓ Level 1: 100% ✓ Level 1: 100% ✓<br />

Level 2: 100% ✗<br />

Level 1: 100% ✓ Level 1: 100% ✓ Level 1: 100% ✓<br />

Level 2: 100%<br />

Insight into the social risks per supplier where we have reached level 1<br />

2023<br />

2025<br />

Level 1: 100% ✓ Level 1: 100% ✓ Level 1: 100% ✓<br />

Level 2: 100% Level 2: 10% Level 2: 10%<br />

Level 1: 100% ✓ Level 1: 100% ✓ Level 1: 100% ✓<br />

Level 2: 100% Level 2: 33% Level 2: 33%<br />

30 31


3 Deep Dive<br />

wereldkaart<br />

Germany 0,3%<br />

1 tier 1 producent<br />

utilities<br />

food<br />

housing<br />

a living wage<br />

for a worker and their<br />

family should provide.<br />

savings<br />

healthcare<br />

vrachtwagen / boot / vliegtuig<br />

Next steps<br />

The next steps for <strong>Babyface</strong> in 2022 mainly include<br />

encouraging the tier 1 suppliers who have not created<br />

an account for tex.tracer to do so. These are still five<br />

suppliers. In addition, in 2022 we want to analyse all the<br />

suppliers we have in mind for possible social risks. We<br />

will do this through social audits, about which you can<br />

read more in the next objective.<br />

We will also make efforts to increase the number of<br />

QR codes on products to enable more consumers to<br />

trace the origin of the product.<br />

india 76,8%<br />

5 tier 1 producenten<br />

china 22,6%<br />

7 tier 1<br />

producenten<br />

Achievements<br />

in <strong>2021</strong><br />

100% of all tier 1/2/3<br />

producers in the supply<br />

chain are known to<br />

<strong>Babyface</strong><br />

transport<br />

education<br />

clothing<br />

2. Living wage for factory workers<br />

<strong>Babyface</strong> aims to achieve that everyone who makes Factory Support Programme in Tamil Nadu,<br />

<strong>Babyface</strong> products is paid a living wage. In some<br />

India<br />

countries, the minimum wage is not enough to provide In October 2020, <strong>Babyface</strong> started a three-year Factory<br />

decent living standards. By receiving a living wage,<br />

Support Programme with the above parties to improve<br />

excessive overtime should decrease. It would also allow working conditions in its factories in the Tamil Nadu<br />

the children of workers to go to school instead of having region of India. The aim of the project is to address<br />

to work to contribute to the upkeep of their<br />

various social issues including discrimination & gender,<br />

communities.<br />

child labour, forced labour, freedom of association,<br />

living wage & safety and occupational health.<br />

That is why <strong>Babyface</strong>, together with Fabienne Chapot,<br />

HEMA, O’Neill, Prénatal, The Sting, WE Fashion, Modint, <strong>Babyface</strong> is expected to map out the entire supply chain<br />

Arisa, SAVE and our four factories in India, is committed and improve its own (procurement) best practices.<br />

to paying a living wage. We want to achieve this main Suppliers are supported by SAVE to establish properly<br />

objective together by carrying out the following projects. functioning consultation committees between labourers<br />

and management, which can handle complaints and<br />

develop preventive measures to reduce or avoid<br />

potential risks in the factories. Another goal is to<br />

Living Wage<br />

increase the workers’ knowledge on labour law so they<br />

A living wage is the remuneration received for a<br />

are better prepared to stand up for their rights. Finally,<br />

standard workweek by a worker in a particular place<br />

Arisa serves as a bridge between SAVE and the clothing<br />

sufficient to afford a decent standard of living for the<br />

brands by making visits to India and giving updates on<br />

worker and her or his family. Elements of a decent<br />

the progress of the project.<br />

standard of living include food, water, housing,<br />

education, health care, transportation, clothing, and<br />

other essential needs including provision for<br />

unexpected events (Source: Global Living Wage).<br />

32 QR-codes online<br />

32 33


4 Inzicht in de keten<br />

ACHIEVEMENT<br />

Factory Support Programme in Tamil Nadu<br />

India<br />

In mid-February <strong>2021</strong>, we introduced the Factory<br />

Support Programme at our Top Notch agency in India.<br />

After some critical questions, an appointment was<br />

immediately made to visit our four suppliers together<br />

with SAVE to introduce the programme. All suppliers<br />

responded positively and agreed to cooperate.<br />

Contact with the last of the four suppliers has been a<br />

little more difficult and no steps were taken towards<br />

training for the factory workers and setting up worker<br />

committees. Unfortunately, the visit of this last supplier<br />

to SAVE did not result in further developments.<br />

The implementation of the training courses has been<br />

slower than initially anticipated, partly due to the<br />

COVID-19 pandemic which hit India hard in <strong>2021</strong>. Our<br />

agent is keeping us updated on the current situation<br />

Living wage pilot in Tamil Nadu, India<br />

At the moment, the factory workers of the four<br />

companies in India we work with are following the<br />

training programmes set up by Arisa and SAVE. These<br />

factories provide us with all kinds of information such<br />

as the numbers of temporary contracts, employees<br />

working on an indefinite contract, and whether there<br />

is a substantial turnover in workers. This is useful<br />

information to make the project a success. We therefore<br />

intend to start the living wage pilot project with one of<br />

the four factories in 2023.<br />

Social Audits through Amfori BSCI<br />

In addition to these projects, <strong>Babyface</strong> is constantly<br />

aiming to achieve good working conditions by<br />

conducting social audits in the factories where the<br />

<strong>Babyface</strong> clothing is made. We do this through the<br />

platform of Amfori BSCI. On the basis of the Amfori<br />

BSCI Code of Conduct with eleven basic principles, our<br />

factories are audited by strictly selected auditors.<br />

geselecteerde auditors.<br />

GOALS<br />

Sociale Audits<br />

11 basic principles Amfori BSCI<br />

1. The right to freedom of association and<br />

collective bargaining<br />

2. No discrimination<br />

3. Fair remuneration<br />

4. Decent working hours<br />

5. Health and safety at work<br />

6. No child labour<br />

7. Special protection for young workers<br />

8. No precarious employment<br />

9. No bonded labour<br />

10. Protection of the environment<br />

11. Ethical business conduct<br />

Factory Support Programme & Leefbaar Loon Pilot<br />

<strong>2021</strong> 50% ✗ A living wage survey was conducted at four tier 1 suppliers. ✗<br />

2022 80% 4 tier 1 suppliers have followed the Factory Support Programme<br />

2023 100% 1 tier 2 supplier has followed the Factory Support Programme<br />

1 Tier 1 supplier has started a living wage project<br />

2025 100% 1 Tier 1 supplier pays a living wage to workers<br />

SPECIFICATION OF TRAINING CONDUCTED PER FACTORY<br />

Factory<br />

Number of training sessions Number of training Number of training<br />

for senior and middle<br />

sessions for factory sessions for worker<br />

management<br />

workers<br />

committees<br />

Milestone 3 2 6<br />

Geethalaya 2 1 8<br />

Coral Knitwear 3 1 -<br />

Greyfield 2 - -<br />

Up to April 2022, training sessions for senior and middle<br />

management have been held at the four selected<br />

suppliers. The first trainings were well received. Arisa<br />

and SAVE told us that such trainings were new for the<br />

suppliers and therefore very valuable. The suppliers’<br />

and its effect on the factories and their workers. From<br />

our side, we tried not to burden the suppliers too much<br />

with asking for information that is needed to make a<br />

start with the trainings within the Factory Support<br />

Programme and the research for the living wage project.<br />

management learned about the necessity of good<br />

planning and adapting planning and leadership to<br />

individual workers on the shop floor. After all, not every<br />

person can work equally hard. This has reduced the<br />

stress of the workers in the factory.<br />

Worker Committee<br />

A worker committee is a group of elected workers’<br />

representatives who are not members of any of the<br />

registered trade unions in the sector and who deal<br />

with workers’ rights and working conditions (see ILO<br />

Training was also given to factory workers and<br />

Convention 135 for a detailed definition).<br />

established worker committees. The relevance of such<br />

committees has been clearly explained and topics such<br />

as transgressive behaviour, proper sanitation and<br />

ensuring a good working temperature have been<br />

discussed. In conclusion, the trained suppliers<br />

mentioned that the training contains a lot of<br />

information, which is why it is important that it<br />

will be repeated.<br />

Living wage pilot in Tamil Nadu India<br />

In 2020, we started the pilot by talking to our agent<br />

and the relevant factory about starting a living wage<br />

pilot project. The factory is well organised and<br />

medium-sized in terms of the number of employees,<br />

which makes it manageable to start the pilot project<br />

34 35


3 Deep Dive<br />

and learn as much as possible from it. In 2020, in<br />

collaboration with Modint, we calculated the<br />

difference between the actual salary paid and the<br />

living wage at the factory (see illustration). This<br />

calculation was made on the basis of average prices for<br />

fabric, finishing, margins, packaging and working<br />

hours. The result of the calculation is that € 0.50 more<br />

must be paid per article to the supplier in order to pay<br />

the factory workers a living wage.<br />

WAGE LADDER<br />

Living Wage WI:<br />

Lower bound<br />

typical family<br />

Minimum<br />

Wage (SER):<br />

For <strong>2021</strong>, the intention was to conduct research with<br />

four tier 1 suppliers to roll out a living wage. This<br />

included how we would bridge the difference of €0.50<br />

per article and ensuring that this extra money would<br />

reach the factory workers. We would also contact the<br />

other three suppliers in <strong>2021</strong> to discuss a living wage<br />

as a first step in expanding the pilot.<br />

Unfortunately, it was not possible to implement the<br />

steps before <strong>2021</strong>. As indicated for the project<br />

mentioned above, the main reason for not achieving<br />

the goals is the COVID-19 pandemic. Suppliers in India<br />

had a very difficult time with the crisis and as a result,<br />

many project activities were cancelled, which delayed<br />

the roll-out of the living wage pilot. When project<br />

activities did take place, priority was given to training<br />

programmes to improve working conditions.<br />

Lowest paid<br />

Wage factory<br />

(BSCI)<br />

In addition, contact with the selected supplier for the<br />

living wage project in <strong>2021</strong> has been difficult. Whereas<br />

the project met with much enthusiasm from the onset,<br />

it diminished in the second half of <strong>2021</strong>. A partial<br />

explanation is again the impact of the COVID-19<br />

pandemic, as a result of which priority was given<br />

to maintaining the company rather than the living<br />

wage project.<br />

Sociale Audits<br />

At present, two of the twelve Tier 1 suppliers have a<br />

valid audit. This means that the <strong>2021</strong> target has not<br />

been achieved. One of the reasons is that in early <strong>2021</strong>,<br />

the Amfori BSCI platform was renewed, which meant<br />

that all connections to suppliers in the platform were<br />

lost. These connections had to be re-established by<br />

manually inviting suppliers to the platform.<br />

Unfortunately, even after repeated invitations,<br />

four suppliers did not accept them.<br />

Another cause is that Chinese and Indian suppliers<br />

were not always accessible to auditors last year<br />

due to COVID-19 restrictions. As a result, audits<br />

have been postponed and fewer suppliers have a<br />

valid social audit.<br />

Next steps<br />

Our agent in India is making every effort to maintain<br />

contact with the suppliers about the Factory Support<br />

Programme and the living wage project. <strong>Babyface</strong> also<br />

has regular meetings with SAVE, Arisa and Top Notch<br />

to keep in touch with the developments of both<br />

projects and to find out how <strong>Babyface</strong> can support all<br />

parties in the best possible way. The balance between<br />

stimulating and not asking too much is very<br />

important. This way we intend to reach our goal to<br />

have all four suppliers follow the training programme<br />

in 2022.<br />

In order to increase the number of valid social audits,<br />

it is important that <strong>Babyface</strong> encourages suppliers to<br />

accept Amfori BSCI’s invitations from <strong>Babyface</strong>. Hereto<br />

we will have to convey the urgency to the suppliers<br />

through our agents. With regard to the four suppliers<br />

for whom <strong>Babyface</strong> can initiate audits, we also have to<br />

keep a close eye on when audits expire and when<br />

suppliers’ factories reopen to receive auditors.<br />

36 37<br />

Achievements<br />

in <strong>2021</strong><br />

8 training courses<br />

for senior and middle<br />

management<br />

4 training courses for<br />

factory workers<br />

14 training sessions for<br />

worker committees


3 Deep Dive<br />

3. Greater sustainability of materials<br />

A vital element of environmental social governance<br />

at <strong>Babyface</strong> is greater sustainability of materials.<br />

The choice of materials largely determines the impact<br />

on people and the environment.<br />

MODINT MATERIALEN MATRIX<br />

Our collections consist of 84% cotton. The cultivation<br />

and processing of cotton have a large negative impact<br />

on people and the environment, especially deeper in the<br />

chain where the cotton is picked by hand. There is a<br />

high risk of possible child labour and we are not yet<br />

fully aware of these locations. Therefore, our focus is on<br />

finding alternatives with greater sustainability to<br />

In order to determine which materials we consider to<br />

have greater sustainability, we use the Modint Fibre<br />

Matrix. We consider all materials in the columns of<br />

‘preferred’, ‘better’ and ‘best’ to be more sustainable.<br />

BEST BETTER PREFERRED CONVENTIONAL<br />

Cotton recycled cotton (GOTS) Organic cotton (GOTS) Better Cotton (BCI)<br />

Man-made<br />

cellulosic fiber<br />

Lyocell with recycled<br />

content<br />

Refibra TM<br />

conventional cotton, such as Better Cotton or organic<br />

Preferred visose<br />

Lenzing Austria<br />

Livaeco by Birla<br />

Cellulose TM<br />

Ecovero TM<br />

cotton with the GOTS certificate. <strong>Babyface</strong> aims to<br />

purchase at least Better Cotton as an alternative to<br />

conventional cotton, because Better Cotton supports<br />

more farmers in farming with greater sustainability<br />

(see text box). This is our minimum requirement and<br />

our preference is for organic cotton with the GOTS<br />

certificate, because the GOTS certificate has stricter<br />

requirements.<br />

Cotton made in Africa<br />

(CmiA)<br />

Cotton in conversion<br />

Lyocell<br />

Tencel TM<br />

Conventional cotton<br />

Conventional viscose<br />

Wool Recycled Wool (GRS) Recycled Wool (GRS) Responsible Wool (RWS) Virgin wool<br />

Polyester<br />

Polyamide<br />

© Copyright Modint <strong>2021</strong> - the MFM cannot be circulated, printed, copied or used in any other way without<br />

reference to Modint and use of Modint lay-out and logo. Visit www.modint.nl for more information<br />

Mechanically recycled<br />

polyester (GRS)<br />

Mechanically recycled<br />

polyamide<br />

Recycled polyester van<br />

PET bottles (GRS)<br />

REPREVE ®<br />

Chemically recycled<br />

polyamide (GRS)<br />

ECONYL ®<br />

(Partially) Biobased<br />

polyester<br />

Sorona ®<br />

(Partially) Biobased<br />

polyamide<br />

Sorona ®<br />

Linen Organic linen (GOTS) Linen<br />

Hemp Organic hemp (GOTS) Hemp<br />

https://modint.nl/thema/buying-production/documenten/149-modint-fiber-matrix<br />

Virgin polyester<br />

Virgin polyamide<br />

GOTS certified cotton<br />

The GOTS quality label shows that an article contains<br />

at least 70% organic cotton and that all tiers in the<br />

supply chain that contributed to the production of the<br />

article complies with their established social and<br />

ecological conditions. This makes GOTS one of the<br />

leading and most comprehensive quality labels.<br />

<strong>Babyface</strong> was GOTS certified in 2020, meaning that<br />

when the entire supply chain is GOTS certified,<br />

we can use the GOTS logo on our articles. Not all links<br />

in the chain may be GOTS certified, for example<br />

because it requires an investment from the factory.<br />

In that case we don’t use the logo on the article.<br />

Still, we can proudly state that our articles are made<br />

of organic cotton.<br />

GOALS<br />

<strong>2021</strong> 50% ✗ more sustainable materials. ✗<br />

2022 50% more sustainable materials.<br />

2023 65% more sustainable materials.<br />

2024 75% more sustainable materials.<br />

Achievement<br />

In <strong>2021</strong>, 33% of the materials of the <strong>Babyface</strong><br />

collections consisted of alternatives with greater<br />

sustainability. With this, we did not reach our<br />

set target and ended up slightly lower than the<br />

35% organic cotton in 2020.<br />

Organic cotton shortage<br />

One of the reasons for this is that, at the beginning of<br />

the year, we were informed by our supplier that for the<br />

<strong>Babyface</strong> collection winter <strong>2021</strong> we could not buy any<br />

organic cotton with the GOTS certificate nor any<br />

organic cotton without a label.<br />

The demand for organic fabrics has risen sharply<br />

worldwide and it takes a cotton farmer on average<br />

three years to convert to organic cultivation. This<br />

means that it can take a long time before sufficient<br />

Better Cotton<br />

Better Cotton is a non-profit organisation that aims to<br />

help cotton producing communities prosper and grow<br />

while protecting and restoring the environment.<br />

Through Better Cotton and its partners, farmers<br />

receive training in water efficiency, care for health of<br />

the soil and natural environment, reduction of the use<br />

of the most harmful chemicals and application of the<br />

principles of decent work. Farmers who apply this<br />

system are licensed to sell Better Cotton. Better Cotton<br />

is derived from a mass balance system and is not<br />

physically traceable to finished products. See<br />

bettercotton.org/massbalance for details.<br />

<strong>2021</strong><br />

Polyester 11,6%<br />

Polyamide 0,04%<br />

Elastaan 3,3%<br />

Organic<br />

cotton 15,7%<br />

Viscose 0,59%<br />

Better Cotton 17,5%<br />

Acryl 0,25%<br />

Conventional<br />

cotton 50,8%<br />

38 39


4. Circularity<br />

<strong>Babyface</strong> aims to explore circular business models that may include circular design,<br />

rental and lending models and circular fabrics. The current fashion system follows the<br />

linear model of buying, wearing and throwing away. Circularity, on the other hand,<br />

focuses on a closed-loop where materials, even after being worn, go back into the<br />

production process.<br />

organic cotton is available again. An additional<br />

problem is that in the autumn of 2020, Global Organic<br />

Textile Standard (GOTS) discovered a large-scale fraud<br />

involving fake organic cotton from India. Following an<br />

investigation, GOTS identified 20,000 tonnes of cotton<br />

that had been wrongfully certified as organic. With the<br />

disappearance of the availability of organic cotton with<br />

the GOTS quality mark, the challenges of ensuring<br />

social conditions in the supply chain are growing.<br />

The GOTS certificate not only verifies the quantity of<br />

organic fibres but also the good working conditions<br />

in all links of the production process.<br />

switched all conventional cotton to Better Cotton for<br />

all our jerseys and sweats that are produced in India,<br />

because Better Cotton supports more farmers in<br />

farming with greater sustainability. We are proud<br />

of this!<br />

We have also choices with greater sustainability in our<br />

polyester consumption. Together with a manufacturer<br />

that produces jackets for us, we were able to have part<br />

of our polyester jackets made from recycled polyester<br />

for the 2022 collections. You can read more about this<br />

under the fourth and next pillar ‘Circularity’.<br />

GOALS<br />

2022 10% of the jacket collection is made from (partly from) recycled polyester<br />

2022 80% of the polybags are made from recycled plastic<br />

2023 50% of the polyester used in the <strong>Babyface</strong> collection is made from recycled polyester<br />

2023 100% of polybags are made from recycled plastic<br />

2025 a circular business model is integrated alongside the current (linear) business<br />

model<br />

Better Cotton<br />

We continue to invest in materials of greater<br />

sustainability in the <strong>Babyface</strong> collection. <strong>Babyface</strong> is<br />

not in the business of fighting for the last available<br />

ball of cotton and at sky-high market prices, but is<br />

investing in the transition to cotton farming with<br />

greater sustainability. That’s why we joined Better<br />

Cotton in <strong>2021</strong> and have set Better Cotton as our<br />

minimum requirement for future collections.<br />

Next steps<br />

Due to the shortage of organic cotton, we had to<br />

postpone our targets for <strong>2021</strong> until 2022. In <strong>2021</strong> we<br />

were able to achieve substantial growth in materials<br />

of greater sustainability for the 2022 collections.<br />

For example, for our New Born Capsule ‘Tiny Story’ we<br />

were able to buy organic cotton again. We have also<br />

Achievements<br />

in <strong>2021</strong><br />

18% Better Cotton<br />

16% Organic cotton<br />

Achievement<br />

By 2022 <strong>Babyface</strong> wants to use at least 10% recycled<br />

polyester instead of conventional polyester. For this<br />

reason <strong>Babyface</strong> has been certified for the Global<br />

Recycled Standard since January 2022.<br />

We are currently seeking additional support from<br />

circularity experts and companies to help us set up<br />

circular models. In June <strong>2021</strong>, two of our employees<br />

will follow a three-day course. We have also contacted<br />

Drop & Loop and Wolkat who are jointly capable of<br />

facilitating the entire chain of recycling and production<br />

for brands such as <strong>Babyface</strong>. After the first talks we are<br />

very excited about a possible cooperation!<br />

The Global Recycled Standard (GRS) is an international,<br />

voluntary standard that sets requirements for the<br />

certification of recycled raw materials and the thirdparty<br />

chain of custody. GRS includes the following<br />

targets:<br />

• Alignment of recycled definitions across multiple<br />

applications.<br />

• Verification of recycled content in products.<br />

• Provide consumers (both brands and end users)<br />

with a tool to make informed decisions.<br />

• Reducing the harmful impact of production on people<br />

and the environment.<br />

• Providing assurance that products are processed with<br />

greater sustainability.<br />

• Encourage higher percentages of recycled material<br />

in products.<br />

40 41


3 Deep dive<br />

5. Reduction of CO 2<br />

, water, energy and chemicals<br />

<strong>Babyface</strong> wants to look after a sustainable planet, so that our children can continue<br />

to enjoy themselves without any worries. The earth’s climate is changing due to excessive<br />

greenhouse gas emissions and the use of water and chemicals by societies. For example,<br />

a great deal of water, energy and chemicals is consumed in the production of clothing.<br />

Dyeing and finishing textile accounts for 17% to 20% of all industrial water pollution<br />

(Source: globalfashionagenda.com). Growing cotton also uses a substantial amount of water.<br />

In conclusion, in <strong>2021</strong> our <strong>ESG</strong> Manager became part<br />

of the steering committee of the Green Deal Circular<br />

Textiles of the Amsterdam Economic Board in order<br />

to acquire more knowledge and, together with other<br />

partners, put first initiatives into practice.<br />

For four generations, Wolkat has been an<br />

international group of innovative textile recycling<br />

companies that control the entire textile recycling<br />

chain. The textiles are collected by Wolkat, sorted,<br />

recycled and produced again into a recycled product.<br />

This gives Wolkat a unique position in the world as<br />

they can operate in a fully circular and transparent<br />

manner. Drop & Loop is a Wolkat subsidiary with<br />

clothing-collection machines and boxes mainly in<br />

supermarkets and clothing shops.<br />

Next steps<br />

The next step is to purchase fabrics and yarns made<br />

from recycled polyester.<br />

In addition, we will continue to discuss with Drop &<br />

Loop and Wolkat the development of products from<br />

recycled materials for the <strong>Babyface</strong> collection. Part of<br />

this collaboration includes encouraging retailers that<br />

sell <strong>Babyface</strong> to place a collection machine or<br />

collection box in their shop. In this way, <strong>Babyface</strong> looks<br />

forward to being able to complete the recycling loop.<br />

Achievements<br />

in <strong>2021</strong><br />

Certified for the Global<br />

Recycling Standard<br />

GOALS<br />

2022 Per tier 1 supplier 2 shipment samples have been tested.<br />

2023 Multi-Year Policy on Wet Processes and Chemicals Use and Manufacturing<br />

Restricted Substances List (MRSL) have been set up.<br />

2025 There are no harmful chemicals in our finished products or in the processes<br />

used to make the clothes.<br />

2025 <strong>Babyface</strong> uses CO 2<br />

-neutral transportation modes and packaging.<br />

<strong>Babyface</strong> has taken the first steps in reducing chemicals<br />

by drawing up a Restricted Substances List (RSL) in<br />

2019. An RSL is a list of chemicals that we do not want<br />

to be found in <strong>Babyface</strong> clothing. To ensure this for our<br />

baby collection, <strong>Babyface</strong>’s baby items comply with<br />

Oeko-tex and REACH standards.<br />

REACH<br />

REACH (EC 1907/2006) aims to improve the protection<br />

of people and the environment by identifying chemical<br />

substances more accurately and at an earlier stage.<br />

This way, we can ensure that products are free of<br />

harmful substances that pose a health risk.<br />

Oeko-tex standard 100<br />

Products with this certificate are free from hazardous<br />

substances. The substances tested are: illegal<br />

substances, legally regulated substances, known<br />

harmful substances and health care parameters.<br />

42 43


3 Deep Dive<br />

Achievement<br />

Although we have not set any targets for <strong>2021</strong> for<br />

reducing CO2, water, energy and chemicals, we have<br />

obviously not been idle.<br />

As of 2020, we calculated how many of our items were<br />

transported by air. In 2020, it turned out that 45% of<br />

CO2 emissions were caused by air shipments, which<br />

only accounted for 2% of total transport. In <strong>2021</strong>, 6.5%<br />

of our items were transported by air, unfortunately,<br />

more than in 2020. Our policy is that only in very<br />

exceptional cases aircraft will be used as a means<br />

of transport. This occurred once in 2020, for a large<br />

subsequent order. In <strong>2021</strong>, the aircraft was used for<br />

products of which the production had been delayed by<br />

the COVID-19 pandemic. Air transport was necessary<br />

to get the products to the shops on time.<br />

In addition to reducing C02 emissions, we have<br />

also taken steps in the areas of water, energy and<br />

chemicals. <strong>Babyface</strong>’s new <strong>ESG</strong> specialist followed<br />

an introductory training course on ‘Wet Processing<br />

and Chemical Management’ at Modint. In addition,<br />

we have made contact with Modint to verify how the<br />

testing of shipment samples is organised.<br />

In addition, we have updated the 2019 RSL in <strong>2021</strong><br />

which reflect new insights on chemicals.<br />

Next steps<br />

At the beginning of May 2022, we will analyse the<br />

<strong>Babyface</strong> shipment samples for the risk of harmful<br />

chemicals. We will select a number of high-risk<br />

products per supplier and have them tested. In<br />

addition, we will draw up a long-term plan together<br />

with Modint on how we can improve the wet processes<br />

and the use of chemicals in the production of our<br />

clothing together with the supplier. Part of this will<br />

be the setting up of an MRSL.<br />

A Manufacturing Restricted Substances List focuses<br />

on all the chemical substances used in the<br />

manufacturing process of a garment.<br />

A Restricted Substances List only takes into account<br />

the chemicals that end up on the finished garment.<br />

We are aware that we ask a lot from our suppliers,<br />

especially in the context of our two social projects<br />

with Arisa and SAVE. Follow-up steps to reduce CO 2<br />

,<br />

water, energy and chemicals, where we need to make<br />

much use of our suppliers, will be taken after these<br />

projects are completed. We have chosen to do this<br />

to remain realistic in what we can expect from our<br />

suppliers and ourselves in terms of workload.<br />

Achievements<br />

in <strong>2021</strong><br />

6,5% transport by air<br />

93,5% transport by sea<br />

Updated Restricted Manufacturing List<br />

44 45


Responsible Business Conduct EK Fashion<br />

Responsible Business Conduct EK Fashion<br />

EK Fashion * , May <strong>2021</strong><br />

As a major retail service organisation in<br />

Europe, it’s our job to pursue a profitable<br />

and sustainable retail industry. We care<br />

for our collections, the materials and the<br />

full supply chain related to our carefully<br />

selected garments. We aim for long term<br />

relations with our business partners to<br />

co-create the most beautiful product, but<br />

also to take care of the people involved.<br />

We want to get insight in the social and<br />

environmental impact of our products<br />

and work on improvement where needed.<br />

Transparency of production places and<br />

circumstances are of great importance.<br />

EK Fashion has a responsible purchasing<br />

policy based on social and environmental<br />

criteria for the supply chain based on<br />

international standards, conventions and<br />

guidelines. Working in compliance with all<br />

applicable laws and regulations on human<br />

rights, the environment and product safety<br />

is of great importance, but international<br />

standards are leading if they are more<br />

stringent.<br />

We ask all our suppliers and subcontractors,<br />

from raw material to end product, to<br />

support us in our corporate responsibility<br />

program and to work according the<br />

standards below.<br />

1. Our common responsibility – Due<br />

diligence<br />

Under the UNGPs 1 and OECD Guidelines 2 ,<br />

enterprises bear a responsibility for<br />

preventing and reducing any adverse impact<br />

on people and the environment by their<br />

own operation or business relationships in<br />

the production or supply chain. This means<br />

acting in an ethical and transparent way<br />

that contributes to the health and welfare<br />

of society. This is the baseline for our Due<br />

Diligence policy integrated in our corporate<br />

responsibility program.<br />

EK Fashion supports the Conventions of<br />

the International Labour Organisation (ILO)<br />

and expects suppliers to act in accordance<br />

with the conventions of the ILO. These<br />

conventions are, along with the relevant UN<br />

Declarations and the OECD guidelines, the<br />

basis for our responsible business conduct.<br />

We have identified nine specific themes<br />

by mutual agreement and in discussion<br />

with stakeholders which currently merit<br />

the priority attention of enterprises in the<br />

garment and textile sector operating in<br />

the Netherlands in terms of international<br />

responsible business conduct (RBC). These<br />

themes are, in no particular order:<br />

1. Discrimination and gender;<br />

2. Child labour;<br />

3. Forced labour;<br />

4. Freedom of association;<br />

5. Living wage;<br />

6. Safety and health in the workplace;<br />

7. Raw materials;<br />

8. Water pollution and use of chemicals,<br />

water and energy;<br />

9. Animal welfare.<br />

We added, based on the ILO and OECD<br />

guidelines for the garment and footwear<br />

industry:<br />

• Working hours<br />

• Ethical trade, no bribery and corruption<br />

• No Sexual harassment and sexual and<br />

gender-based violence (SGBV) in the<br />

workplace<br />

• Grievance mechanism<br />

We will do our due diligence and give<br />

particular attention on these themes and we<br />

expect this as well from our suppliers. This<br />

means that, with regard to these themes,<br />

suppliers will identify any possible adverse<br />

impact in the supply chain, set specific<br />

objectives and take measures which are<br />

suitable in the light of the insights resulting<br />

from their due diligence process.<br />

We ask you to inform us about any possible<br />

risk regarding human rights violation, animal<br />

abuse and environmental hazards related<br />

to our products to cooperate to minimizing<br />

these risks. To identify these risks, we<br />

prepared a questionnaire and kindly ask you<br />

to fill out and send back to us.<br />

Our buying behaviour<br />

We are part of the value chain and therefore<br />

we want to take our responsibility regarding<br />

sourcing and buying. It is very important<br />

to inform us when our buying behaviour<br />

does not support the international social<br />

and environmental standards set below.<br />

We work according to the following buying<br />

strategy:<br />

Forecasting:<br />

We will particularly ask for long-term<br />

contracts to increase predictability and<br />

stability. This will also enable suppliers<br />

to plan for investments in machinery,<br />

equipment and human resources.<br />

We will:<br />

• work on a stable planning.<br />

• Share forecast and purchasing plan<br />

with our supplier and, if possible book,<br />

capacity.<br />

• Allow to start production early for<br />

NOOS styles<br />

• Communicate changes in your forecast/<br />

purchasing plan on time.<br />

Product development:<br />

• provide clear technical specs and<br />

requirements<br />

• Ask our supplier for feedback on new<br />

developments<br />

• Review our sampling process with<br />

efficiency in mind<br />

• Work with photo’s/online video when<br />

possible or consider virtual prototyping<br />

• Supply a target price for the product<br />

Price negotiation:<br />

• Get insight in price calculations and the<br />

production process<br />

• Calculate in cooperation with our<br />

supplier and getting help to get the best<br />

quality for the best price.<br />

• Consider material cost, labour, transport,<br />

testing, audits and the profit for the<br />

supplier<br />

Payment conditions:<br />

• Pay on time<br />

• Pay what we agreed on Order<br />

placement, production, lead time<br />

• We have a time & action plan with<br />

deadlines for all contributors (buyer and<br />

supplier)<br />

• We agree on realistic lead time<br />

• We make an agreement on late style/<br />

order changes<br />

• We work on understanding the local<br />

and cultural differences<br />

2. Social & Environmental Compliancy<br />

The responsible business conduct aims to<br />

attain compliance with certain standards.<br />

Supplier companies, in addition, must<br />

ensure that the responsible business<br />

conduct is also observed by subcontractors<br />

involved in production processes of final<br />

manufacturing stages. Within the scope<br />

of options for action and appropriate<br />

measures, supplier companies have to<br />

aim at the implementation and reporting<br />

of the following criteria in a development<br />

approach. EK Fashion declares that we will<br />

only work directly with subcontractors 3<br />

that are prequalified through the same<br />

rigorous processes to those used for direct<br />

contractors. Approved subcontracts may<br />

be reviewed on a semi-regular (e.g. annual)<br />

basis to remain approved. Workers of those<br />

sub-contractors should have access to<br />

grievance mechanisms, similar to those of<br />

direct contractors. We ask for transparency<br />

to know where our products are made and<br />

to be able to ask questions regarding social<br />

and environmental conditions.<br />

2.1 Social Compliancy<br />

Below written the most important ILO<br />

conventions related to human rights at the<br />

work floor.<br />

Prohibition Child Labour and working<br />

conditions of young workers ILO<br />

Conventions 10, 79, 138, 142 and 182 and<br />

Recommendation 146.<br />

There shall be no use of child labour. “The<br />

age for admission to employment shall<br />

not be less than the age of completion<br />

of compulsory schooling and, in any case,<br />

not less than 15 years.” “There shall be<br />

no forms of slavery or practices similar to<br />

slavery, such as the sale and trafficking of<br />

children, debt bondage and serfdom and<br />

forced or compulsory labour. [...] Young<br />

workers [in the age of 15-18] shall not<br />

perform work which, by its nature or the<br />

circumstances in which it is carried out, is<br />

likely to harm their health, safety or morals.”<br />

Children and young persons under 18 shall<br />

not be employed at night or in hazardous<br />

conditions.<br />

Where young workers are employed,<br />

business partners should ensure that the<br />

kind of work is not likely to be harmful to<br />

their health or development; their working<br />

hours do not prejudice their attendance<br />

at school, their participation in vocational<br />

orientation approved by the competent<br />

authority or their capacity to benefit from<br />

training or instruction programs.<br />

Business partners shall set the necessary<br />

mechanisms to prevent, identify and<br />

mitigate harm to young workers; with<br />

special attention to the access young<br />

workers shall have to effective grievance<br />

mechanisms and to Occupational Health<br />

and Safety trainings schemes and<br />

programmes.<br />

Child Labour Due Diligence Bill<br />

By signing this RBC you take part in our<br />

Due Diligence Policy and you approve that<br />

you will do anything you can to identify,<br />

prevent and if necessary address the issue<br />

of child labour in our supply chain.<br />

We need to comply with the Dutch Law on<br />

Child labour Due Diligence on combating<br />

child labour in global supply chains, that<br />

comes into force as of January 2020. Dutch<br />

companies and their supply chain business<br />

partners will have to declare that they have<br />

addressed the issue of child labour in their<br />

supply chains. This law requires companies<br />

to identify, prevent and if necessary address<br />

the issue of child labour in their supply<br />

chains. We ask our suppliers to cooperate<br />

and be transparent about sub- contractors<br />

and sub-suppliers and possible risks<br />

within the supply chain of our products<br />

so we can cooperate in combating child<br />

labour. Risk studies show that the severe<br />

risks are mainly at cotton farming and wet<br />

processing (like spinning mill) stage.<br />

EK Fashion’s CSR manager, needs to be<br />

informed in high risk situations, for example<br />

when cotton comes from countries or<br />

facilities where forced labour is required<br />

and so the risks on child labour occurs.<br />

Ask your suppliers about their social<br />

management systems, latest audit reports<br />

or certifications like WRAP, SA 8000, Fair<br />

Trade, GOTS, Better Cotton or Organic<br />

Content Standard, or any other standard<br />

that entails Child labour.<br />

Prohibition of Forced and compulsory<br />

Labour and Disciplinary Measures ILO<br />

Conventions 29 and 105.<br />

There shall be no use of forced, including<br />

bonded or prison, labour. All forms of<br />

forced labour, such as lodging deposits or<br />

the retention of identity documents from<br />

personnel upon commencing employment,<br />

are forbidden as is prisoner labour that<br />

violates basic human rights.<br />

Prohibition of Discrimination ILO<br />

Conventions 100, 111, 143, 158, 159, 169<br />

and 183.<br />

No discrimination shall be tolerated in hiring,<br />

remuneration, access to training, promotion,<br />

termination or retirement based on gender,<br />

age, religion, race, caste, birth, social<br />

background, disability, ethnic and national<br />

origin, nationality, membership in workers’<br />

organisations including unions, political<br />

affiliation or opinions, sexual orientation,<br />

family responsibilities, marital status, or<br />

any other condition that could give rise to<br />

discrimination.<br />

No Sexual harassment and sexual and<br />

gender-based violence (SGBV) in the<br />

workplace<br />

Our business partners are encouraged to<br />

adopt a zero-tolerance policy on sexual<br />

and gender-based violence and strict<br />

measures against sexual harassment in<br />

its own operations. The enterprise should<br />

articulate its expectations of suppliers and<br />

other business partners to likewise adopt<br />

1<br />

The UN Guiding Principles on Business and Human Rights are a set of guidelines for States and companies to prevent, address and remedy human<br />

rights abuses committed in business operations. http://www.ungpreporting.org/<br />

2<br />

The OECD Guidelines for Multinational Enterprises are recommendations addressed by governments to multinational enterprises operating in or<br />

from adhering countries. They provide non-binding principles and standards for responsible business conduct in a global context consistent with<br />

applicable laws and internationally recognized standards. http://www.oecd.org/corporate/mne/<br />

3<br />

Subcontracting to third parties is a fairly common practice at many stages of the garment supply chain. Subcontracting enables an enterprise to<br />

respond quickly to short lead times and changes in orders, to specialize in certain tasks. Outsourcing, however, can also decrease transparency in<br />

the supply chain and has been demonstrated to increase the risk of human rights and labour abuses and environmental impacts in higher-risk contexts.<br />

Therefore the due diligence measures that Euretco should take to mitigate these risks should be increased. Source: OECD due diligence guide<br />

*EK Fashion is a trade name of Euretco B.V.<br />

46 47


Responsible Business Conduct EK Fashion<br />

a policy on sexual harassment and sexual<br />

and gender-based violence. Enterprises are<br />

encouraged to include the following in their<br />

internal policies<br />

• a commitment to foster an environment<br />

at work free from harassment, bullying<br />

and violence<br />

• clear consequences for breaking the<br />

enterprise’s standards<br />

• a commitment to hear grievances, to<br />

provide a “reprisal-free” complaints<br />

mechanism (e.g. operational-levelgrievance<br />

mechanism) and to maintain<br />

the confidentiality of workers or<br />

employees who raise complaints<br />

Freedom of Association and the Right to<br />

Collective Bargaining ILO Conventions 11,<br />

87, 98, 135 and 154<br />

The right of all workers to form and join<br />

trade unions and bargain collectively shall<br />

be recognised. The company shall, in those<br />

situations in which the right to freedom<br />

of association and collective bargaining<br />

are restricted under law, facilitate parallel<br />

means of independent and free association<br />

and bargaining for all workers. Workers’<br />

representatives shall not be the subject<br />

of discrimination and shall have access to<br />

all workplaces necessary to carry out their<br />

representation functions.<br />

Payment of a living wage ILO Conventions<br />

26 and 131<br />

Wages and benefits paid for a standard<br />

working week shall meet at least legal or<br />

industry minimum standards and always be<br />

sufficient to meet basic needs of workers<br />

and their families and to provide some<br />

discretionary income. Deductions from<br />

wages for disciplinary measures shall not<br />

be permitted nor shall any deductions from<br />

wages not provided for by national law be<br />

permitted. Deductions shall never constitute<br />

an amount that will lead the employee<br />

to receive less than the minimum wage.<br />

Employees shall be adequately and clearly<br />

informed about the specifications of their<br />

wages including wage rates and pay period.<br />

EK Fashion works with its suppliers to<br />

make salaries transparent and to establish<br />

living wages that are paid to employees to<br />

provide for the basic needs of the employee<br />

and his family. Together, we formulate<br />

measurable goals and draw up an action plan.<br />

Working Hours ILO Conventions 1 and 14<br />

and ILO Recommendation 116.<br />

Hours of work shall comply with applicable<br />

laws and industry standards. In any event,<br />

workers shall not on a regular basis be<br />

required to work in excess of 48 hours per<br />

week and shall be provided with at least<br />

one day off for every seven-day period.<br />

Overtime shall be voluntary, shall not exceed<br />

12 hours per week, shall not be demanded<br />

on a regular basis and shall always be<br />

compensated at a premium rate.<br />

Safe and healthy working conditions ILO<br />

Convention 155<br />

A safe and hygienic working environment<br />

shall be provided, and best occupational<br />

health and safety practice shall be promoted,<br />

bearing in mind the prevailing knowledge<br />

of the industry and of any specific hazards.<br />

Appropriate attention shall be paid to<br />

occupational hazards specific to this branch<br />

of the industry and assure that a safe and<br />

hygienic work environment is provided for.<br />

Effective regulations shall be implemented to<br />

prevent accidents and minimise health risks<br />

as much as possible. Physical abuse, threats<br />

of physical abuse, unusual punishments<br />

or discipline, sexual and other harassment,<br />

and intimidation by the employer is strictly<br />

prohibited.<br />

No Sandblasting<br />

EK Fashion does not accept the sandblasting<br />

process being used for our products, since<br />

this is affecting the health of workers.<br />

Legally binding employment relations<br />

Obligations to employees under labour or<br />

social security laws and regulations arising<br />

from the regular employment relationship<br />

shall not be avoided through the use of<br />

labour-only contracting arrangements, or<br />

through apprenticeship schemes where<br />

there is no real intent to impart skills or<br />

provide regular employment. Younger<br />

workers shall be given the opportunity<br />

to participate in education and training<br />

programmes.<br />

Ethical trade: no bribery and corruption<br />

Enterprises should consider the good<br />

practices put forth in the OECD Good<br />

Practice Guidance on Internal Controls,<br />

Ethics and Compliance, which includes:<br />

• Strong, explicit and visible support and<br />

commitment from senior management<br />

to the company’s internal controls,<br />

ethics and compliance programmes or<br />

measures for preventing and detecting<br />

bribery, including the bribery of foreign<br />

public officials;<br />

• A clearly articulated and visible<br />

corporate policy prohibiting bribery,<br />

including the bribery of foreign public<br />

officials; and<br />

• Oversight of ethics and compliance<br />

programmes or measures regarding<br />

bribery, including the bribery of foreign<br />

public officials, including the authority to<br />

report matters directly to independent<br />

monitoring bodies such as internal audit<br />

committees of boards of directors or of<br />

supervisory boards, is the duty of one<br />

or more senior corporate officers, with<br />

an adequate level of autonomy from<br />

management, resources and authority.<br />

Grievance mechanism<br />

EK Fashion needs a commitment to hear<br />

grievances from workers, to provide a<br />

“reprisal-free” complaints mechanism (e.g.<br />

operational-level-grievance mechanism) and<br />

to maintain the confidentiality of workers<br />

or employees who raise complaints. For<br />

example Amfori has an online grievance<br />

mechanism at their website. It provides a<br />

platform for individuals and organizations<br />

to submit a grievance if they feel they<br />

have been negatively affected by amfori’s<br />

activities. The amfori secretariat will review<br />

the External Grievance Mechanism process<br />

where necessary to continuously improve<br />

the grievance handling procedure. We ask<br />

Amfori to remind workers of their rights and<br />

this online grievance mechanism. 4<br />

2.2 Environmental Responsibility<br />

Suppliers should assess significant<br />

environmental impact of operations<br />

and establish effective policies and<br />

procedures that reflect their environmental<br />

responsibility. They will see to implement<br />

adequate measures to prevent or minimise<br />

adverse effects on the community, natural<br />

resources and the overall environment.<br />

EK Fashion asks suppliers to have<br />

procedures and standards for the use of<br />

water and energy, handling and disposure<br />

of chemicals and other dangerous materials,<br />

waste management, emissions and effluent<br />

treatment. The procedures and standards<br />

must meet at least the minimum legal<br />

requirements.<br />

No use of energy of non-renewable<br />

sources and minimizing Green house<br />

Gas (GHG) emissions<br />

Suppliers shall keep records of the current<br />

energy sources and emissions and reduce<br />

the use of energy of non-renewable<br />

sources. Targets will be set to work with<br />

green energy sources and thus reduce<br />

emissions to air.<br />

The consumption of energy of nonrenewable<br />

origin is one of the main<br />

causes of greenhouse gas emissions. The<br />

production of textile and garments is an<br />

energy intensive process. Measuring GHG<br />

emissions is a critical first step to reducing<br />

the carbon footprint of an enterprise’s<br />

activities. It helps an enterprise to assess its<br />

impact on the climate and to design costeffective<br />

emission reduction plans.<br />

• Establish an energy management plan<br />

at the site-level that includes companywide<br />

coordinated measures for energy<br />

management. We ask our suppliers<br />

to measure, report and minimize their<br />

energy consumption and GHG wherever<br />

possible.<br />

• Also, we do encourage our suppliers<br />

to make use of renewable energy<br />

sources like wind- and solar energy. We<br />

ask our supplier to research and use<br />

technologies which use less energy, like<br />

LED lightning.<br />

• Implement best available techniques<br />

(BAT) as defined by Best Available<br />

Techniques Reference Documents for<br />

the sector or sub-sector 3 5 .<br />

• Implement energy efficiency measures<br />

(e.g. energy conservation technology,<br />

optimization of steam generation and<br />

pressurized air, waste heat recovery<br />

from waste water and waste gas,<br />

process optimization, etc.)<br />

• Implement energy conservation<br />

measures (e.g. implementation of<br />

energy saving through improvements in<br />

the process and reaction conditions)<br />

• Increase efficiencies and quality so as<br />

to reduce need for re-processing due to<br />

failures<br />

• Install and operate accurate meters<br />

and/or measuring software as a<br />

fundamental step to benchmarking<br />

performance and to initiating efficiency<br />

improvement<br />

Limitations to water use and clean waste<br />

water<br />

The supplier shall measure water use and<br />

determine whether it can source from water<br />

stressed areas responsibly – for example, by<br />

promoting water efficiency and/or reducing<br />

process dependence on fresh water<br />

amongst its suppliers. Waste water must be<br />

treated and tested before releasing to the<br />

environment. The supplier shall comply to<br />

national waste water legislation.<br />

Throughout the production of textiles, a lot<br />

of water is used. In general, most water is<br />

used for cotton cultivation (2/3 or more of<br />

the total volume). Textile processing uses far<br />

less water but causes most water pollution.<br />

This puts great pressure on the availability<br />

and the quality of water in areas where<br />

cultivation and processing take place. Water<br />

use, the source and waste water in the wet<br />

processing also deserves serious attention,<br />

because of the local pollution impact.<br />

• We ask our suppliers to deliver a<br />

(waste) water policy, testing procedure<br />

and/or a copy of one of the standards.<br />

We ask our suppliers to provide, (LCA)<br />

data on water, energy and chemicals<br />

and emissions. Use the ZDHC (Waste<br />

Water) guidelines and the Unido water<br />

calculator: https://watercalculator.dnvgl.<br />

com/Home/Form.<br />

• We want to be informed about the<br />

water source (rain, groundwater, lake,<br />

etc)<br />

• We would like to offer suppliers more<br />

information on a cleaner production<br />

process through the ZDHC, OECD<br />

guidance or MODINT Factsheets which<br />

we could provide to you.<br />

No hazardous Chemicals<br />

No hazardous chemicals shall be used in<br />

processing stage and released in water<br />

or air. Employees shall be protected and<br />

equipped with the right safety measures<br />

and appropriate training. Chemicals shall be<br />

stored and labeled accurately.<br />

Chemicals are used everywhere in the<br />

production of goods. Apart from the<br />

pesticides and fertilizers in the natural fiber<br />

production, the ‘big’ issue, mainly in the<br />

textile chain, is the use of chemicals in<br />

bleaching, dyeing, printing and finishing<br />

and how it effects workers, water and air<br />

effluents.<br />

• Design phase: The base of the use of<br />

chemicals use lies in the design choices.<br />

We ask our business partners to inform<br />

us if any design decision leads to the<br />

use of hazardous chemicals.<br />

• Manage and report production<br />

phase: From there it is important<br />

for our company to know which<br />

specific chemicals are used (chemical<br />

inventory) and how they are used in<br />

the processing. The use of harmful<br />

chemicals during these stages of<br />

production could be harmful for the<br />

environment and the workers and may<br />

leave traces in the final product and<br />

thus appear to the consumer.<br />

• Make a Chemical Risk assessment:<br />

An environmental or human health<br />

risk assessment includes hazard<br />

identification, hazard characterization,<br />

exposure assessment and risk<br />

characterization.<br />

The first two steps are regarded as the<br />

process of hazard assessment. The<br />

methodology of the environmental risk<br />

assessment should align with OECD<br />

guidance. See OECD Environmental<br />

Risk Assessment Toolkit 6 .<br />

The methodology of the health risk<br />

assessment should align with the World<br />

Health Organization guidance. See<br />

International Programme on Chemical<br />

Safety, WHO Human Health Risk<br />

Assessment Toolkit: Chemical Hazards 7 .<br />

Health risks are also addressed in Module 5,<br />

Occupational Health and Safety.<br />

4<br />

https://www.amfori.org/sites/default/files/amfori%20External%20Grievance%20Mechanism%20policy-.pdf<br />

5<br />

https://eippcb.jrc.ec.europa.eu/reference/<br />

48 49


Responsible Business Conduct EK Fashion<br />

Restricted Substances List (RSL)/<br />

Manufacturing Restricted Substances<br />

List (MRSL)<br />

The restricted substances list (RSL) in<br />

annex 1 is intended to inform our suppliers<br />

on international (upcoming) regulations<br />

restricting or banning the use of chemicals<br />

in apparel products including accessories<br />

attached to garments for example zip<br />

fasteners, buttons, etc. and packaging<br />

materials. The RSL takes most of the<br />

world’s regulations into account (incl.<br />

REACH, POP), as well as harmful chemicals<br />

listed by NGO’s.<br />

• We ask our suppliers to purchase<br />

materials without harmful substances.<br />

Please inform your fabric- or yarn<br />

supplier about the RSL and risk matrix<br />

where chemicals are related to certain<br />

raw materials and processing steps and<br />

inform EK Fashion about test results<br />

based on risk assessments.<br />

• If the supplier buys directly from<br />

chemical agencies make sure it are<br />

firms with a CR management system.<br />

• Make use of the (ZDHC)MRSL (https://<br />

www.roadmaptozero.com/mrsl_online).<br />

It is there to provide suppliers with<br />

a harmonized approach to managing<br />

chemicals during the processing of raw<br />

materials into the readymade fabric<br />

within our supply chain. The MRSL<br />

achieves this by providing a clear list of<br />

priority chemicals and specifying the<br />

maximum concentration limit of each<br />

substance within commercial chemical<br />

formulations.<br />

• We ask our suppliers to inform us<br />

about wet processing management (of<br />

sub suppliers) to eliminate hazardous<br />

chemicals from our products, to keep<br />

a chemical inventory and to work with<br />

Material Safety Data Sheets for workers.<br />

Inform us when you/sub suppliers<br />

cooperates with ZDHC, SAC (Higg<br />

Index) or Amfori BEPI.<br />

• Implement best available techniques<br />

(BAT) as defined by Best Available<br />

Techniques Reference Documents for<br />

the sector or subsector. See Integrated<br />

Pollution Prevention and Control,<br />

Best Available Techniques Reference<br />

Document for the Textiles Industry,<br />

2003) 8 .<br />

Valid Processing standards<br />

A valid health OEKO-TEX® Standard 100<br />

product certificate covers most of legal<br />

requirements of this RSL. Processing<br />

standards are of higher value, like: GOTS,<br />

Blue Sign or Step (or similar). These<br />

standards, in the annex, make sure that<br />

that no harmful chemicals are used in<br />

processing.<br />

• When commercially acceptable, we<br />

ask our suppliers to work as much as<br />

possible with one of the following or<br />

similar standards and to provide us with<br />

a copy of the scope and transaction<br />

certificates.<br />

• It is important to work with accredited<br />

audit organisations ( e.g. by textile<br />

exchange.)<br />

Raw Material Policy<br />

EK Fashion wants to lower the impact of<br />

her raw materials. Cotton is one of the most<br />

polluting fibres and very important for our<br />

collections, therefore we want to work with<br />

the better, low impact options.<br />

• We ask our suppliers to keep records<br />

on the content and source of our raw<br />

materials<br />

• To source for sustainable or preferred<br />

raw materials (indicated in annex 3)<br />

and offer alternatives to conventional<br />

materials.<br />

• It is important to measure, reduce and<br />

reuse material waste where possible.<br />

In annex 4 we listed standards and<br />

certifications, related to sustainable raw<br />

materials like organic- or recycled cotton,<br />

which aims to reduce the impact during<br />

cultivation and/or processing of textile fibres.<br />

The standards and certifications cover the<br />

fibre production phase which impacts water-,<br />

chemical- and energy use, effluents and<br />

possibly labour conditions. They do not cover<br />

the finishing substances used, e.g. dyes that<br />

are included in the processing standards.<br />

• We ask our suppliers to offer available<br />

sustainable raw materials and to use/<br />

ask for one of the following or similar<br />

standards and to provide us with a copy<br />

of the scope and transaction certificates<br />

or other proof of compliancy.<br />

Valid raw material certifications<br />

In annex 4 we listed standards and<br />

certifications, related to sustainable<br />

raw materials like organic cotton, aim to<br />

reduce the impact during cultivation and<br />

processing of textile fibres. The standards<br />

and certifications cover the fibre production<br />

phase that has impact on water, chemical<br />

and energy use and labour conditions. They<br />

do not cover the finishing substances used,<br />

e.g. dyes that are included in the processing<br />

standards.<br />

• We ask our suppliers to use one of the<br />

following or similar standards and to<br />

provide us with a copy of the scope- and<br />

transaction certificates.<br />

Animal welfare<br />

We ask suppliers of wool, silk, leather,<br />

down and feathers and any other animal<br />

derived fibre:<br />

• To prevent, reduce and eradicate animal<br />

suffering in the production or supply<br />

chain.<br />

• To provide animal welfare guarantees<br />

when products of animal origin are<br />

used.<br />

• To follow below provision guidelines<br />

where animals are concerned in our<br />

supply chain:<br />

1. Freedom from Hunger and Thirst - by<br />

ready access to fresh water and a diet<br />

to maintain full health and vigour.<br />

2. Freedom from Discomfort - by providing<br />

an appropriate environment including<br />

shelter and a comfortable resting area.<br />

3. Freedom from Pain, Injury or Disease -<br />

by prevention or rapid diagnosis and<br />

treatment.<br />

4. Freedom to Express Normal Behaviour -<br />

by providing sufficient space, proper<br />

facilities and company of the animal’s<br />

own kind.<br />

5. Freedom from Fear and Distress - by<br />

ensuring conditions and treatment<br />

which avoid mental suffering.<br />

Endangered Species Policy<br />

EK Fashion does not accept any raw<br />

materials from any endangered species as<br />

listed on the IUCN Red List 9 , as critical<br />

endangered, near threatened, endangered,<br />

extinct in the wild, or vulnerable on the<br />

IUCN Red List. Therefore, suppliers must<br />

provide animal welfare guarantees when<br />

products of animal origin are used.<br />

EK Fashion does not accept Real exotic<br />

animal skins (incl. snake, alligator, crocodile,<br />

lizard and ostrich).<br />

Fur -EK Fashion does not accept animal fur<br />

Silk - EK Fashion does not accept silk from<br />

moth that have been boiled alive.<br />

Animal hair (e.g. Cashmere, Angora,<br />

Mohair) - EK Fashion does NOT permit<br />

that hairs are collected from animals in an<br />

animal-unfriendly manner (see guideline<br />

above).<br />

• We ask our suppliers to provide a third<br />

party certificate that proofs good animal<br />

husbandry.<br />

Leather - Real leather and suede from<br />

sheep, pigs, goats and cattle reared for<br />

meat production & synthetic leather are<br />

accepted. All other leather variations are<br />

NOT permitted!<br />

• We prefer leather processed through<br />

facilities rate by Gold, Silver, Bronze by<br />

the Leather Working Group or facilities<br />

STeP by OEKO-TEX certified.<br />

Down Feathers Policy - EK Fashion does<br />

not accept Down/Feathers from live-plucked<br />

birds and from force fed birds. EK Fashion<br />

only accepts Down/Feathers from meat<br />

production and prefers Down/Feathers<br />

that are certified to the Textile Exchange<br />

Responsible Down Standard.<br />

• Our business partners must submit a<br />

declaration or certificate guarantee that<br />

all Down filled garment/items are Nonlive<br />

plucked down.<br />

Wool & Mulesing Policy - We endorse the<br />

IWTO- standards for animal welfare and<br />

demand that the Five Freedoms for Animal<br />

Welfare must be respected. Mulesing is a<br />

surgical procedure carried out on (mainly<br />

Merino) sheep to prevent flystrike.<br />

• EK Fashion only accepts wool from<br />

sheep that have not been mulesed<br />

and prefers wool that is certified to<br />

the textile Exchange Responsible Wool<br />

Standard. Recycled wool, certified<br />

according to the recycled wool standard<br />

could be a solution to prevent mulesing.<br />

Man-made Cellulosic Fibres Policy - EK<br />

Fashion does not accept products (Viscose,<br />

Rayon, Modal and Lyocell) deriving from<br />

illegally logged sources, ancient and<br />

endangered forests, as listed in the IUCN<br />

Red list as critical endangered, near<br />

threatened, endangered, extinct in the<br />

wild, or vulnerable. EK Fashion prefers<br />

sustainably certified wood products (e.g.<br />

FSC)<br />

Packaging - Since plastic is nonbiodegradable,<br />

recycling is a part of global<br />

efforts to reduce plastic in the waste stream,<br />

especially the approximately eight million<br />

metric tonnes of waste plastic that enter<br />

the earth’s ocean every year. Soft Plastics<br />

are also recycled such as polyethylene film<br />

and bags.<br />

• We ask our supplier to actively research<br />

and offer options which are a better<br />

choice for the environment: Reusable,<br />

recycled and/or reduction of packing<br />

materials.<br />

Plastic - We ask our suppliers to use<br />

preferred plastics for our products<br />

and packaging like recycled plastics<br />

and biodegradable plastics (see GRS<br />

certification) of e.g. PLA (corn sugars).<br />

Cardboard - We ask our suppliers to use<br />

recycled or FSC/PEFC certified cardboard.<br />

We aim to only use cardboard and paper<br />

packaging which consists of 100% recycled<br />

paper fibre.<br />

Waste reduction - We ask our suppliers<br />

to reduce (raw) material wase as much<br />

as possible and preferably join a recycling<br />

program (packaging waste, material cutting<br />

waste etc.)<br />

3. Management System, Monitoring,<br />

documentation, verification<br />

The supplier company shall define and<br />

implement a management system to<br />

ensure that the requirements of the<br />

Responsible Business Conduct can be<br />

met. Management is responsible for the<br />

correct implementation and continuous<br />

improvement by taking corrective measures,<br />

as well as the communication of the<br />

requirements of the RBC to all employees<br />

and subcontractors. It shall also address<br />

employees’ concerns of non-compliance<br />

with this Code of Conduct. EK Fashion will<br />

be informed about non-compliances and<br />

follow up.<br />

• If the buying behaviour of EK Fashion<br />

impacts the compliancy to this RBC we<br />

will be informed immediately.<br />

In our accompanied questionnaire we<br />

will ask you to provide us with sufficient<br />

information to prove the origin and<br />

sustainability of our products. If you have<br />

any questions please let us know.<br />

The requirements in the Responsible<br />

Business Conduct are requirements that<br />

we want to achieve together. These are our<br />

common goals. We are open for discussion<br />

if suppliers are not capable to meet these<br />

requirements. We are certain that many of<br />

our suppliers have even higher demands<br />

of themselves. Therefore, we want you to<br />

provide us with the relevant certifications<br />

and reports to confirm this. By signing this<br />

RBC statement, you commit yourself to it.<br />

The undersigned hereby confirms that:<br />

We have read the Responsible Business<br />

Conduct (RBC) and accept the terms<br />

required of us as suppliers and will inform<br />

and cooperate with our subcontractors and<br />

sub suppliers working on products of EK<br />

Fashion. We will inform EK Fashion and<br />

discuss non- compliances and the issues<br />

involved in their product’s supply chain.<br />

6<br />

https://www.oecd.org/env/ehs/risk-assessment/environmental-risk-assessment-toolkit.htm 7 https://www.who.int/ipcs/methods/harmonization/areas/ra_toolkit/en/<br />

8<br />

https://eippcb.jrc.ec.europa.eu/reference/BREF/txt_bref_0703.pdf<br />

9<br />

IUCN Red List: Union for Conservation of Nature’s Red List of Threatened Species has evolved to become the world’s most comprehensive information<br />

source on the global conservation status of animal, fungi and plant species. See https://www.iucnredlist.org/<br />

50 51


<strong>Babyface</strong> intends to be transparent about the sustainable steps we take and how<br />

we do this. We trust to have contributed to this through this annual report. If you<br />

should like to learn more about the products of <strong>Babyface</strong> and our journey towards<br />

sustainability, please contact us.<br />

<strong>Babyface</strong>, part of EK Fashion<br />

Koninginneweg 1, 3871 JZ Hoevelaken, Netherlands<br />

Contact: sustainability@ek-retail.com<br />

Copyright. No part of this publication may be reproduced and/or published by photocopy or film or in any other way without the prior permission of EK Fashion.<br />

EK Fashion is not liable for any errors in this report.

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