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EK Fashion ESG Annual Report 2021

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<strong>ESG</strong> ANNUAL REPORT <strong>2021</strong><br />

together we make retail future-proof


FOREWORD<br />

Dear reader,<br />

This is the second edition of <strong>EK</strong> <strong>Fashion</strong>'s annual <strong>ESG</strong> report.<br />

A key milestone for our team and our organisation, as together<br />

with our partners, we have succeeded in continuing the journey<br />

towards a more sustainable fashion sector.<br />

The challenges regarding sustainability have definitely not<br />

become any easier recently. The entire chain is under even more<br />

pressure due to the pandemic and logistic issues. This shows<br />

the vulnerability of the production and sale of clothing.<br />

We will be able to continue to be successful in the future only<br />

if we work together to create a more transparent, fair and<br />

high-quality industry.<br />

In the first phase of our <strong>ESG</strong> journey, the focus was mainly<br />

on education and insights, such as the <strong>EK</strong> <strong>Fashion</strong> Academy.<br />

Specific activities are now being added such as the<br />

GreenChange Pop-up in Germany and the integration of<br />

sustainability into our services for retailers. Our focus for the<br />

coming period will be on the development of a tool to help<br />

brands and retailers make their assortments more sustainable.<br />

In conclusion, I would like to thank everyone who has contributed<br />

to the achievement of our plans and results, both within and<br />

outside our company. Enjoy reading this second edition!<br />

Jan Bongers<br />

Director of <strong>EK</strong> <strong>Fashion</strong><br />

2 3


<strong>EK</strong> FASHION <strong>2021</strong><br />

in a nutshell<br />

About 900<br />

contracted brand suppliers<br />

in the Netherlands<br />

About 250<br />

contracted brand suppliers<br />

in Germany<br />

100%<br />

of tier 1 manufacturers of<br />

men’s wear<br />

are known<br />

100%<br />

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

Babyface are known<br />

Babyface:<br />

33%<br />

more sustainable<br />

materials<br />

Women’s:<br />

24%<br />

Men’s:<br />

13%<br />

About 1100<br />

affiliated shops<br />

in the Netherlands<br />

About 100<br />

About 600<br />

affiliated shops<br />

in Germany<br />

39<br />

QR Codes<br />

online<br />

affiliated shops<br />

in Austria<br />

Certified for:<br />

GOTS<br />

Member of:<br />

Better Cotton<br />

Certified for:<br />

GRS<br />

9<br />

learning modules are live<br />

66 employees<br />

in the Netherlands and Germany<br />

2 employees<br />

26<br />

training sessions conducted at<br />

producers in India<br />

Launch of<br />

<strong>EK</strong> FASHION<br />

ACADEMY<br />

in the Netherlands<br />

<strong>ESG</strong>-team<br />

Member of:<br />

Amfori BSCI<br />

€363<br />

million turnover<br />

-2.9%<br />

turnover <strong>2021</strong> compared to 2020<br />

4 5


SUSTAINABLE<br />

JOURNEY<br />

2017 2018 2019 2020<br />

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

Signing the Covenant on<br />

Sustainable Clothing and<br />

Textiles<br />

In 2017, we started to make<br />

<strong>EK</strong> <strong>Fashion</strong> more sustainable<br />

by signing the Covenant for<br />

Sustainable Clothing and<br />

Textiles for the Babyface<br />

brand. The people behind the<br />

Covenant supported us in<br />

making our supply chain<br />

transparent and in discovering<br />

and addressing the risks in<br />

the chain.<br />

Creating internal support and<br />

drafting the policy<br />

2018 was all about creating internal<br />

support, appointing people and<br />

freeing up budgets to properly<br />

carry out our sustainability task. We<br />

asked various sustainability experts<br />

for their advice in order to gain<br />

more knowledge and to give the<br />

initial impetus to the drafting of the<br />

<strong>ESG</strong> policy.<br />

Focus on private labels<br />

In 2019, we actively started to<br />

make the private labels more<br />

sustainable. We have drawn<br />

up new codes of conduct<br />

(Responsible Business Conduct)<br />

and discussed these with the<br />

factories that organise the<br />

production for the men's labels<br />

and Babyface. We also conducted<br />

a risk analysis for Babyface to<br />

gain insight into the highest risks<br />

in our production chain. Based<br />

on this, we have been able to<br />

define the five main goals.<br />

The initially achieved objectives and<br />

start of communication to retailers<br />

In 2020, the first targets were achieved<br />

for the private labels on, among other<br />

things, more sustainable materials,<br />

chain transparency and working<br />

conditions in the chain. This year,<br />

<strong>EK</strong> <strong>Fashion</strong> also presented its <strong>ESG</strong><br />

policy to retailers and the first<br />

sustainability services for retailers<br />

were set up.<br />

Professionalisation and expansion<br />

of sustainability services<br />

In <strong>2021</strong>, the initial steps were taken<br />

to integrate <strong>ESG</strong> into all teams at<br />

<strong>EK</strong> <strong>Fashion</strong> by setting SMART targets.<br />

The existing sustainability services for<br />

retailers were also further<br />

professionalised and new services were<br />

set up. In addition, making the private<br />

labels more sustainable is a continuous<br />

process of improvement, with the first<br />

steps being taken in <strong>2021</strong> in the areas<br />

of circularity and chemicals<br />

management.<br />

6 7


Table of contents<br />

Foreword3<br />

<strong>EK</strong> <strong>Fashion</strong> <strong>2021</strong> in a nutshell 4<br />

<br />

1. <strong>EK</strong> <strong>Fashion</strong>: together we will make retail future-proof 10<br />

<strong>EK</strong> 12<br />

<strong>EK</strong> Netherlands 13<br />

<strong>EK</strong> <strong>Fashion</strong> 13<br />

<br />

2. <strong>EK</strong> <strong>Fashion</strong>’s playing field 16<br />

Stakeholders 18<br />

Sustainable Development Goals 20<br />

Interview with Alexandra Clot from tex.tracer 22<br />

3. <strong>EK</strong> <strong>Fashion</strong>’s sustainable ambition 24<br />

4. Deep Dive: Goals, Achievement, Follow-up 28<br />

Buy Smarter 30<br />

Waste Less 50<br />

Empower Local Heroes 56<br />

Appendix: 62<br />

Responsible Business Conduct<br />

8 9


01<br />

<strong>EK</strong> FASHION: TOGETHER WE WILL<br />

MAKE RETAIL FUTURE-PROOF<br />

10 11


Chapter 1<br />

<strong>EK</strong> FASHION: TOGETHER WE WILL MAKE<br />

RETAIL FUTURE-PROOF<br />

Since 2015, Euretco B.V. has been part of <strong>EK</strong>, a retail service organisation operational in<br />

more than ten countries and based in Bielefeld, Germany. To be able to combine international<br />

forces even further, since 19 April 2022, the name Euretco has become <strong>EK</strong> Netherlands.<br />

The familiar name Euretco is dropped, but the central position as the largest retail service<br />

organisation in the Netherlands is continued.<br />

<strong>EK</strong><br />

<strong>EK</strong> provides services to local retailers and is a purchasing<br />

organisation, marketing organisation and competence<br />

network in one.<br />

<strong>EK</strong>'s business model is characterised by its focus on<br />

six strategic business segments: <strong>EK</strong> Home, <strong>EK</strong> <strong>Fashion</strong>,<br />

<strong>EK</strong> Living, <strong>EK</strong> DIY, <strong>EK</strong> Sport and <strong>EK</strong> Books.<br />

Around 650 employees do their utmost to support retail<br />

partners in the best possible way. As a service provider<br />

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

specialist markets and department stores, one of <strong>EK</strong>'s<br />

most important tasks is to lead local independent retailers<br />

into the digital future.<br />

In <strong>2021</strong>, a start was made to make <strong>ESG</strong> an integral part<br />

of the current group strategy. <strong>ESG</strong> has been given high<br />

priority on the management agenda. Together with<br />

PricewaterhouseCoopers (PwC), a project is currently running<br />

to integrate sustainability into everything we do with a broad<br />

cross-section of the organisation. This group consists of the<br />

board, management and <strong>ESG</strong> managers from all business<br />

units. In phase two, the scope will be broadened from<br />

group level to all commercial business units and in phase<br />

three we are building on the further roll-out of <strong>ESG</strong> services<br />

for retailers.<br />

<strong>EK</strong> NETHERLANDS<br />

<strong>EK</strong> operates in the Dutch markets with the divisions<br />

<strong>EK</strong> <strong>Fashion</strong>, <strong>EK</strong> Living, <strong>EK</strong> DIY, <strong>EK</strong> Sport and <strong>EK</strong> Books.<br />

<strong>EK</strong> Nederland works with around 1,500 independent<br />

retailers and franchisees. In total they run almost<br />

2,200 shops.<br />

Our core activities include retail, franchise, wholesale and<br />

financial services to independent retailers. Around 300<br />

people at <strong>EK</strong> Netherlands work with great passion to relieve<br />

<strong>EK</strong>’s retail partners as much as possible from any burden of<br />

tasks, both in their shops and online.<br />

The shop formulas and floor concepts include INTERSPORT,<br />

Runnersworld, The Athlete's Foot, Hubo, Decorette, Topform<br />

and Libris/Blz.<br />

<strong>EK</strong> FASHION<br />

In addition, through its fashion division with, among others,<br />

Babyface, Born with Appetite, Marco Manzini, Supply&Co<br />

and in shape, <strong>EK</strong> Netherlands offers international top brands<br />

in the women's, men's, baby and children's clothing<br />

segments. <strong>EK</strong> <strong>Fashion</strong> comprises about 1100 affiliated shops<br />

in the Netherlands, about 600 affiliated shops in Germany<br />

and about 100 affiliated shops in Austria. <strong>EK</strong> <strong>Fashion</strong><br />

supports them with data-driven advice, education,<br />

up-to-date market information, private label purchasing<br />

and more.<br />

By bundling fashion retailers into groups, <strong>EK</strong> <strong>Fashion</strong> is<br />

able to create an equal and confidential cooperation in<br />

which all parties reinforce each other. We believe in a close<br />

relationship with our affiliated retailers and brands to create<br />

future-proof retail based on better, not on more. Independent<br />

fashion retailers have the perfect position in this future-proof<br />

retail by building personal customer relationships and<br />

offering high-quality products.<br />

.<br />

BRAND VALUES<br />

Share of turnover by product division <strong>2021</strong><br />

Women’s private label<br />

We understand our business and are well versed<br />

at it. Our complete range of services makes us<br />

unique. Our diversity makes us a strong<br />

international partner. No other company can offer<br />

the added value of our multi-sector cooperation.<br />

We are an ... Experienced Advantage Creator<br />

We make the customer and his needs the focal<br />

point of our actions. In addition to competitive<br />

prices, retailers receive services that make them fit<br />

for their future. We maintain a personal and close<br />

relationship with our members. We are an ...<br />

Inspiring Partner<br />

Babyface<br />

37.13%<br />

Women’s private label<br />

24.45%<br />

Men's private label:<br />

With our many years of experience, knowledge<br />

and our international structure, we are a stable<br />

and reliable partner. Our drive to further develop<br />

our multi-branch business, combined with our<br />

position in the market, makes us a suitable partner<br />

for the long term. We are a ... Safe Harbour<br />

We are motivated and have a service-oriented<br />

mindset. Our members are at the heart of our<br />

company. We are a ... Passionate Service<br />

Partner<br />

Men's private label:<br />

38.42%<br />

Babyface<br />

12 13


TEAMS AT <strong>EK</strong> FASHION<br />

The various teams at <strong>EK</strong> <strong>Fashion</strong> work closely together to provide<br />

a diverse range of services to retailers and brands.<br />

Product<br />

We deliver exclusive collections of women's, children's and<br />

men's clothing throughout the year to make sure that the<br />

retailer's assortment stands out and is unique compared to<br />

the competition.<br />

Business Intelligence<br />

By analysing retail data about the industry, we provide<br />

valuable insights and forecasts regarding trends and<br />

consumer behaviour. In combination with our unique style<br />

matrix, we provide retailers and brands with pragmatic<br />

solutions and assortment advice.<br />

Marketing<br />

<strong>EK</strong> <strong>Fashion</strong> provides support to retailers in the design,<br />

production and distribution of online and offline marketing<br />

messages. One of the latest marketing services is the<br />

marketing segmentation model called RFM.<br />

Omnichannel<br />

For efficient omnichannel retail (OCR), all partners need to<br />

work together on data exchange. <strong>EK</strong> <strong>Fashion</strong> is the link<br />

between brands and retailers. We digitise and streamline<br />

the process as much as possible by creating a standard<br />

that can be used throughout the market. Through these<br />

collaborations with partners in the areas of data collection,<br />

enrichment and distribution, we are improving the retail<br />

landscape and the chain as much as possible.<br />

Environmental Social Governance<br />

To achieve the sustainable ambitions and to integrate<br />

sustainability into the daily work of all employees at<br />

<strong>EK</strong> <strong>Fashion</strong>, an <strong>ESG</strong> team of 1.1 FTE is operational and<br />

each team has one <strong>ESG</strong> manager.<br />

14 15


02<br />

<strong>EK</strong> FASHION’S PLAYING FIELD<br />

16 17


Chapter 2<br />

<strong>EK</strong> FASHION’S PLAYING FIELD<br />

As <strong>EK</strong> <strong>Fashion</strong>, we are in close contact with all our stakeholders with whom we intend to make<br />

<strong>Fashion</strong> retail futureproof. We are also aware of our global responsibility as an international<br />

company with an international value chain. That is why we commit to the Sustainable Development<br />

Goals (SDGs) which you will find more information about by the end of this chapter.<br />

Retailers<br />

BRANDS<br />

About 900 contracted brand suppliers in the Netherlands<br />

and about 250 contracted brand suppliers in Germany work<br />

together with us with the aim of playing retailers to their<br />

strengths. The cooperation is based on the central payment<br />

system, whereby <strong>EK</strong> <strong>Fashion</strong> organises payments for<br />

retailers to brands. <strong>EK</strong> <strong>Fashion</strong> guarantees the payments<br />

from the retailer to the brand. For the retailer, this is a great<br />

convenience and saves time. The brand is assured of<br />

payment within the agreed payment term. We also inform<br />

brands about their KPI score at our entrepreneurs to<br />

NGOs & Institutes<br />

Brands<br />

STAKEHOLDERS<br />

Tex.tracer<br />

Agents & Producers<br />

improve the collections. In addition, we advise brands during<br />

assortment advice with entrepreneurs and discuss market<br />

developments.<br />

AGENTS AND PRODUCERS<br />

To create the private label collections, we do business<br />

worldwide with producers and agents who are all part of<br />

the production chain. Through years of cooperation, a bond<br />

of trust has been created that helps us to achieve our<br />

sustainable ambitions.<br />

TEX.TRACER<br />

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

supply chain traceable and transparent. Through a<br />

blockchain-driven platform and the data that producers<br />

provide, <strong>EK</strong> <strong>Fashion</strong> is gaining gradually more insights into<br />

the entire chain. This enables us to make well-considered<br />

decisions in order to be more sustainable.<br />

NGOS & INSTITUTES<br />

Amfori is a global business association for the promotion<br />

of open and sustainable trade. Amfori enables 2,400<br />

companies to operate as successful, sustainable businesses<br />

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

environmental performance of their supply chains. Through<br />

Amfori, <strong>EK</strong> <strong>Fashion</strong> conducts social audits in the factories<br />

where we produce our clothes, with the aim of improving<br />

working conditions.<br />

Arisa is an independent non-governmental human rights<br />

organisation committed to defending human rights in<br />

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

and policy influencing politicians and companies,<br />

research, critical dialogue and raising social awareness<br />

of human rights violations. Arisa and SAVE, <strong>EK</strong> <strong>Fashion</strong> is<br />

committed to improving working conditions in factories in<br />

India together with other clothing companies.<br />

Social Awareness and Voluntary Education (SAVE) is a<br />

non-profit organisation founded in 1933. SAVE runs various<br />

development programmes to eliminate child labour, support<br />

women and young people and promote fair working<br />

conditions. Arisa and SAVE, <strong>EK</strong> <strong>Fashion</strong> is committed to<br />

improving working conditions in factories in India together<br />

with other clothing companies.<br />

Modint is the sector organisation for manufacturers,<br />

importers, agents and wholesalers in (company) clothing,<br />

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

with over 400 members, Modint is building a valuable future<br />

for our sector by making a positive contribution to addressing<br />

relevant and social issues and by innovating and expanding<br />

the market. <strong>EK</strong> <strong>Fashion</strong> is a member of Modint and receives<br />

support on topics such as chemicals, impact measurement<br />

and more sustainable material choices.<br />

The Covenant on Sustainable Clothing and Textiles (CKT)<br />

ran from 2015 to 31 December <strong>2021</strong>. A broad coalition of<br />

companies and other organisations, including Babyface from<br />

2018 onwards, have joined forces to prevent abuse such as<br />

exploitation, animal suffering and environmental damage.<br />

RETAILERS<br />

The about 1100 affiliated shops in the Netherlands, about<br />

600 affiliated shops in Germany and about 100 affiliated<br />

shops in Austria are the central point of everything we do.<br />

Retailers can cooperate with us and our network at various<br />

levels. This varies from cooperation purely for payment<br />

transactions to very intensive cooperation in one of the<br />

retailer groups. We provide tailor-made solutions for each and<br />

every one of them, based on the retailer's wishes and needs.<br />

18 19


SUSTAINABLE DEVELOPMENT GOALS<br />

The Sustainable Development Goals (SDGs) are 17 targets to make the world<br />

a better place by 2030. They are a global compass for challenges such as<br />

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

by the United Nations in 2015 as a follow-up to the Millennium Development<br />

Goals. <strong>EK</strong> <strong>Fashion</strong> wants to contribute to achieving SDGs with a focus on<br />

SDGs 1, 3, 4, 6, 7, 8, 10, 12, 13 and 17.<br />

Goal 1 is about eradicating all forms of (extreme)<br />

poverty. <strong>EK</strong> <strong>Fashion</strong> contributes to this by<br />

dedicating itself to achieving a living wage and a<br />

safe workplace, including in parts of the world where<br />

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

about this subject on page 40.<br />

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

<strong>EK</strong> <strong>Fashion</strong> specifically contributes to target 3.9<br />

by encouraging producers to reduce the use of<br />

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

about this subject on page 44.<br />

Goal 4 includes inclusive, equal and quality<br />

education for all. <strong>EK</strong> <strong>Fashion</strong> contributes to this<br />

goal with our <strong>EK</strong> <strong>Fashion</strong> Academy which teaches<br />

retailers about sustainable business. Learn more on page 56.<br />

Goal 6 includes clean water and sanitation for all.<br />

<strong>EK</strong> <strong>Fashion</strong> contributes to this by encouraging<br />

producers to reduce the use of harmful<br />

chemicals and purify used water. Learn more on page 44.<br />

Goal 7 is about access to affordable and sustainable<br />

energy for all. <strong>EK</strong> <strong>Fashion</strong> contributes to this by<br />

encouraging our member retailers to switch to<br />

renewable energy sources and use energy more efficiently.<br />

<strong>EK</strong> <strong>Fashion</strong> is also working on making its processes more<br />

energy efficient.<br />

Goal 8 includes inclusive economic growth,<br />

employment and decent work for all. <strong>EK</strong> <strong>Fashion</strong><br />

contributes to this by creating jobs for the people<br />

who make our clothes. Here, we endeavour to achieve a<br />

living wage, ensure a safe workplace and provide equal<br />

opportunities. Learn more about this subject on page 40.<br />

Goal 10 includes reducing inequality within and<br />

between countries. <strong>EK</strong> <strong>Fashion</strong> contributes to this<br />

goal by not allowing discrimination based on<br />

religion, belief, political opinion, race, gender or for any other<br />

reasons at the business partners we work with. Learn more<br />

about this subject on page 40.<br />

Goal 12 is about sustainable consumption and<br />

production. <strong>EK</strong> <strong>Fashion</strong> contributes to this by<br />

producing high-quality clothing that consumers<br />

can enjoy for a long time. We also work with more<br />

sustainable materials such as organic cotton and Better<br />

Cotton. These materials have less negative impact on the<br />

environment than conventional cotton. Learn more about<br />

this subject on page 34.<br />

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

<strong>EK</strong> <strong>Fashion</strong> contributes to this by working towards<br />

processes that emit less CO 2<br />

and use less water,<br />

energy and chemicals. An example is our Restricted<br />

Substances List, a list of chemicals that we do not want to<br />

find in our clothing. We also work with more sustainable<br />

materials that have a smaller footprint than conventional<br />

materials. Read more about our next steps on<br />

pages 34 and 44.<br />

Goal 17 includes strengthening global partnerships<br />

to achieve goals. <strong>EK</strong> <strong>Fashion</strong> contributes to<br />

this through its partnerships with stakeholders<br />

such as Arisa and SAVE, with whom we carry out projects in<br />

India on topics such as forced labour, discrimination &<br />

gender, child labour, freedom of association, living wages<br />

and occupational health and safety. Learn more on page 40.<br />

20 21


Interview<br />

Alexandra Clot<br />

through our platform we support <strong>EK</strong> <strong>Fashion</strong> in making<br />

the entire supply chain transparent, which means that<br />

you as <strong>EK</strong> <strong>Fashion</strong> first of all get better insights and<br />

secondly can take action. Of course, the platform also<br />

supports you with the compliance modules, and therefore<br />

it reduces your workload.<br />

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

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

really big steps with <strong>EK</strong> <strong>Fashion</strong> and I think that’s because<br />

we have the same goal and the same motivation. We're all on<br />

the same page and we really want the industry to improve.<br />

tex.tracer can be used as a tool to achieve this. So, I think<br />

that at <strong>EK</strong> <strong>Fashion</strong>, this is your genuine belief, and that is why<br />

there is progress and why things are being achieved. We<br />

also communicate very openly and honestly with each other.<br />

If something is not good enough with tex.tracer, then you will<br />

let us know fair and square. Your feedback is extremely<br />

valuable to us.<br />

What opportunities and obstacles do you see in making<br />

<strong>EK</strong> <strong>Fashion</strong>'s value chain more transparent<br />

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

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

also the fear that suppliers have of making mistakes and<br />

losing customers as a result. These kinds of obstacles also<br />

exist in other aspects of sustainability, such as obtaining a<br />

GOTS certificate for the entire chain.<br />

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

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

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

the supply chain and a lot of potential for new collaborations.<br />

To bring about such collaborations, the entire industry’s<br />

mindset really needs to change, because at the moment,<br />

everyone is fighting for their own cause. I think that<br />

competitors are not your enemies, but can be good allies<br />

when you know where they make their purchases or where<br />

they produce.<br />

What does sustainability mean to you?<br />

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

effectively about making better choices, in view of the future,<br />

but also of the present. In order to make better choices in<br />

fashion, I made some rules for myself: I buy little, I only buy<br />

things that I "really" need. Then you can always ask yourself:<br />

do you really need that T-shirt? And if I do buy something, it<br />

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

high quality and have a timeless design. That way, say in ten<br />

years’ time, I can still enjoy it as much as I do now. And then<br />

I also do some research beforehand to see if there are<br />

certain standards for materials and working conditions<br />

at the brand.<br />

Once you have done the research which several good<br />

brands, which element of sustainability is decisive for you?<br />

Design and quality, because I think if you buy a blouse or a<br />

pair of trousers that are made really well from really good<br />

materials and can last for ten years, then you will benefit<br />

from a product longer. And the longer it lasts, the less<br />

quickly you need something new. So I think the lifespan<br />

is a key element.<br />

Can you describe the collaboration between tex.tracer<br />

and <strong>EK</strong> <strong>Fashion</strong>?<br />

<strong>EK</strong> <strong>Fashion</strong> has joined us as a launching customer, effectively<br />

since the start of tex.tracer. The current collaboration is that<br />

22 23


03<br />

<strong>EK</strong> FASHION’S SUSTAINABLE<br />

AMBITION<br />

24 25


Chapter 3<br />

<strong>EK</strong> FASHION’S SUSTAINABLE AMBITION<br />

STRATEGIC PILLARS<br />

We have structured our <strong>ESG</strong> policy in 2019 around three<br />

strategic pillars at <strong>EK</strong> <strong>Fashion</strong>. These focus on the future<br />

generation of retailers, reducing our negative impact on<br />

the environment and increasing our positive social impact.<br />

Buy Smarter<br />

Through partnerships, we aim at creating better products<br />

with a less negative impact on the environment and that<br />

contribute better to human well-being. We focus on five<br />

themes:<br />

1. Transparency in the chain.<br />

2. More sustainable materials in the private label<br />

collections.<br />

3. Improving working conditions for the factory workers who<br />

produce our private labels.<br />

4. Respecting the environment by reducing water, energy<br />

and chemicals.<br />

Waste Less<br />

We are committed to reducing our footprint by producing<br />

less waste through co-creation and data exchange,<br />

stimulating recycling and extending the life span of<br />

products. We focus on three themes:<br />

6. Produce on demand.<br />

7. Circular entrepreneurship.<br />

8. Efficiency in transport and packaging.<br />

With these activities, we contribute to the following SDG’s:<br />

Empower Local Heroes<br />

Retailers make a difference in the transformation towards a<br />

sustainable and prosperous fashion business. We give them,<br />

as well as brands and our employees, full support to be<br />

successful. We focus on three themes:<br />

9. Increase the knowledge level.<br />

10. Rewarding sustainable innovations.<br />

11. Increasing employee vitality.<br />

With these activities, we contribute to the following SDG’s:<br />

5. Helping retailers and brands make more conscious<br />

purchasing choices by enhancing knowledge about <strong>ESG</strong><br />

performance.<br />

With these activities, we contribute to the following SDG’s:<br />

26 27


04<br />

DEEP DIVE: GOALS,<br />

ACHIEVEMENT, FOLLOW-UP<br />

28 29


Chapter 4<br />

DEEP DIVE: GOALS, ACHIEVEMENT,<br />

FOLLOW-UP<br />

READY-MADE GARMENT MANUFACTURERS<br />

Myanmar<br />

7.6%<br />

Menswear<br />

Bangladesh<br />

3.3%<br />

BUY SMARTER<br />

In the strategic pillar of Buy Smarter, we focus on clothes that are produced with<br />

better sustainability. A significant first step for <strong>EK</strong> <strong>Fashion</strong> was to start making its<br />

private labels and Babyface more sustainable. Each department, women’s,<br />

men’s and Babyface has its own pace and goals.<br />

1. TRANSPARENCY IN THE CHAIN<br />

To make a brand sustainable, you must first have insight into where the products are<br />

made. If you know where your products are made, you can identify the possible risks<br />

in your supply chain and you know the improvements that you as a company can<br />

make. That is why <strong>EK</strong> <strong>Fashion</strong> aims at getting to the bottom of all the links in the chain.<br />

Unfortunately, there are not yet any international standards to<br />

make transparency and traceability measurable and<br />

reportable. Therefore, <strong>EK</strong> <strong>Fashion</strong>, together with tex.tracer,<br />

has drawn up standards that we use to report on traceability<br />

and transparency. These standards consist of three levels of<br />

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

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

production processes in tiers remains complex due to the<br />

various types of supply chains. Nevertheless, the established<br />

tiers help to set clear goals.<br />

T.T Levels<br />

- T.T Level 1: the supply chain partner is known to<br />

<strong>EK</strong> <strong>Fashion</strong> but has not yet registered with Tex.tracer.<br />

- T.T Level 2: The concerned supply chain partner has<br />

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

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

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

groups, etc.<br />

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

and verified order information.<br />

India<br />

76.8%<br />

Babyface<br />

Germany<br />

0.3%<br />

Womenswear<br />

China<br />

89.1%<br />

China<br />

22.9%<br />

Transparency Pledge<br />

By signing the Transparency Pledge<br />

for Babyface in February <strong>2021</strong>,<br />

<strong>EK</strong> <strong>Fashion</strong> is demonstrating our<br />

commitment to increased transparency<br />

of our supply chain. Since May <strong>2021</strong><br />

the Babyface production locations are<br />

publicly listed on the Babyface website<br />

and the Open Apparel Registry. Once<br />

we will have reached the lower limit of<br />

60% transparency in tier 1 and 2 for<br />

the men's and women's private label<br />

divisions, we will also make these<br />

production locations public.<br />

Tex.tracer<br />

To gain a better understanding of our<br />

supply chain, we started to work with<br />

tex.tracer in April 2020. We can see the<br />

production details for every entered<br />

article: from the purchase of the raw<br />

material (e.g. cotton) to the delivery to<br />

our customers. All supply chain<br />

partners enter the requested information<br />

by themselves, such as company<br />

information, certificates and order<br />

data. This information is then verified<br />

via geolocation data, time stamps,<br />

digital confirmation between the<br />

various links and automated checks.<br />

In case there is any deviating input, the<br />

system does not accept any data input.<br />

The data is stored in a decentralised<br />

database.<br />

About tex.tracer<br />

With tex.tracer, we are effectively<br />

making efforts to make our supply<br />

chain traceable and transparent.<br />

By using a blockchain-driven<br />

platform and the data that suppliers<br />

enter, the team at <strong>EK</strong> <strong>Fashion</strong><br />

gains gradually more insight into<br />

the entire chain, which enables us<br />

to make well-considered decisions<br />

to become more sustainable.<br />

Tiers:<br />

- Tier 0: Logistics (transport/importers/storage), agents.<br />

- Tier 1: Assembly factories: cutting, sewing, assembling<br />

and packing for shipment.<br />

- Tier 2: Processing facilities: fabric production: printing,<br />

dyeing, washing/washing, embroidery.<br />

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

weaving.<br />

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

farming, livestock farms.<br />

Ready-Made Garments (RMG)<br />

manufacturers provide finished textile products that can<br />

be bought in shops or online and are ready to wear.<br />

Italy<br />

54.6%<br />

Macedonia<br />

0.3%<br />

India<br />

3.6%<br />

China<br />

24.9%<br />

Turkey<br />

14.4%<br />

Bangladesh<br />

2.1%<br />

Greece<br />

0.2%<br />

30 31


GOALS & ACHIEVEMENTS<br />

On this page, you will find a schedule of the targets<br />

<strong>EK</strong> <strong>Fashion</strong> has set for tracing our supply chain. A target has<br />

been set for each segment, for each tier and for each T.T.<br />

level in the form of a percentage of transparency. Each year<br />

we want to achieve a higher percentage of transparency.<br />

Retrospectively, we have set targets for <strong>2021</strong> that are in line<br />

with the standards explained above.<br />

GOALS<br />

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

2022<br />

2023<br />

2025<br />

BABYFACE<br />

WOMEN’S<br />

ACHIEVEMENT<br />

The traceability targets set for <strong>2021</strong> for all production<br />

departments have been half achieved. One of the reasons<br />

that not all targets have been reached is the impact of<br />

COVID-19 on producers. A large part of the producers<br />

struggled to keep their heads above water during the<br />

pandemic. For this reason, innovation and new tasks such as<br />

working with tex.tracer had less priority.<br />

By <strong>2021</strong>, we will have identified all of our logistics partners<br />

and agents and they will all have created an account for<br />

tex.tracer. Therefore tier 0 is not included in this schedule.<br />

For tier 4, producers of raw materials, tracing is very difficult<br />

due to the large number of producers. That is why we have<br />

not yet set specific targets for tier 4 before 2025.<br />

TIER 1 TIER 2 TIER 3<br />

Level 1: 100% ✓<br />

Level 2: 100% ✗<br />

Level 1: 100% ✗<br />

Level 2: 100%<br />

Level 1: 100% ✓<br />

Level 1: 100% ✗<br />

MEN'S Level 1: 100% ✓ Level 1: 100% ✗<br />

BABYFACE<br />

WOMEN’S<br />

MEN'S<br />

BABYFACE<br />

WOMEN’S<br />

MEN'S<br />

BABYFACE<br />

WOMEN’S<br />

MEN'S<br />

Level 1: 100% ✓<br />

Level 2: 100%<br />

Level 1: 100%<br />

Level 2: 33%<br />

Level 1: 100% ✓<br />

Level 2: 75%<br />

Level 1: 100% ✓<br />

Level 2: 100%<br />

Level 1: 100%<br />

Level 2: 50%<br />

Level 1: 100% ✓<br />

Level 2: 100%<br />

Level 1: 100% ✓<br />

Level 2: 100%<br />

Level 1: 100%<br />

Level 2: 50%<br />

Level 1: 100% ✓<br />

Level 2: 100%<br />

Level 1: 100% ✓<br />

Level 1: 100% ✓<br />

Level 1: 100% ✓<br />

Level 1: 50% Level 1: 50%<br />

Level 1: 50% Level 1: 50%<br />

Level 1: 100% ✓<br />

Level 2: 10%<br />

Level 1: 75%<br />

Level 2: 10%<br />

Level 1: 75%<br />

Level 2: 10%<br />

Level 1: 100% ✓<br />

Level 2: 33%<br />

Level 1: 100%<br />

Level 2: 33%<br />

Level 1: 100%<br />

Level 2: 33%<br />

Level 1: 100% ✓<br />

Level 2: 10%<br />

Level 1: 75%<br />

Level 2: 10%<br />

Level 1: 75%<br />

Level 2: 10%<br />

Level 1: 100% ✓<br />

Level 2: 33%<br />

Level 1: 100%<br />

Level 2: 33%<br />

Level 1: 100%<br />

Level 2: 33%<br />

QR-codes<br />

In 2020, Babyface started to provide several products with<br />

QR codes linked to data from tex.tracer. These codes were<br />

attached to products of the brands: Babyface, in shape<br />

(women's label) and men's private labels. When the<br />

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

made by the article: from the cotton field to the warehouse.<br />

In this way, we also offer the consumer 100% transparency.<br />

At the time of reporting, 39 QR codes are online.<br />

Babyface<br />

As the above schedule shows, Babyface has achieved most<br />

of its goals. The achievement of these goals is particularly<br />

successful because of the cooperation of our agents in<br />

India and China. In addition, personal contact with our<br />

producers is very important, because it explains the added<br />

value of traceability.<br />

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

up a tex. tracer account, as some producers find it requires<br />

too much effort to set up an account or are afraid of losing<br />

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

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

producers were even more reluctant to cooperate on the<br />

tex. tracer platform.<br />

Women’s<br />

In <strong>2021</strong>, we started to explain and point out our <strong>ESG</strong> goals to<br />

our producers. Two importers and one agent in Greece have<br />

now set up an account for tex.tracer. We expect to achieve<br />

the target of reducing the number of production locations<br />

by 25% in 2022 instead of <strong>2021</strong>. This was partly due to<br />

COVID-19 restrictions that made travel almost impossible,<br />

making personal contact and visits to new producers<br />

impossible.<br />

Men's<br />

The men's private label department did achieve the target<br />

for <strong>2021</strong> for tier 1, but not for tier 2. This is mainly due to<br />

the ignorance of producers and the amount of information<br />

they do not understand without explanation or which scares<br />

them off.<br />

ACHIEVEMENTS IN <strong>2021</strong><br />

100%<br />

of all tier 1/2/3 suppliers of Babyface are known.<br />

100%<br />

of Men's tier 1 suppliers are known.<br />

39<br />

QR-Codes online.<br />

NEXT STEPS<br />

Babyface<br />

The follow-up steps for Babyface in 2022 mainly include<br />

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

account for tex.tracer to do so. There are still five producers.<br />

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

have in mind for possible social risks. We will do this through<br />

social audits, which you can read more about under item<br />

three "improvement of the working conditions for the factory<br />

workers who produce our private labels".<br />

We will also work to increase the number of QR codes on<br />

products, to enable more consumers to trace the origin of<br />

the product. We aim to have all Babyface items registered<br />

in tex.tracer by the 2022 collections.<br />

Women’s<br />

The women’s private label department produces its labels at<br />

factories, whereby our interests are often represented by an<br />

agent on site. This agent organises the optimisation of the<br />

entire purchasing and production process. Importers are<br />

also engaged and these intermediaries make it difficult to<br />

trace producers.<br />

Reducing the number of producers is a key objective,<br />

as is encouraging producers to create a tex.tracer account.<br />

Steps have already been taken to achieve more sustainable<br />

production by entering into cooperation with producers in<br />

other production countries who can effect responsible<br />

production. They meet our <strong>ESG</strong> requirements. We expect<br />

that they will also participate in tex.tracer.<br />

In addition, when visiting production sites, we will raise the<br />

relevance of tex.tracer and will make efforts to overcome any<br />

resistance that may be raised (such as privacy legislation).<br />

To this effect, it will particularly be important to maintain<br />

close contact with our agent in Italy.<br />

Men's<br />

The most important step for the men's private label<br />

department in cooperation with the <strong>ESG</strong> team is to meet<br />

individually with producers online to explain the significance<br />

of tex.tracer once again. During the first appointments with<br />

each producer, only <strong>EK</strong> <strong>Fashion</strong> employees will be present.<br />

During the second round of appointments, our contact<br />

person at tex.tracer will also be present to guide the<br />

producers through the platform and the application<br />

process. As soon as producers have created an account,<br />

they will be encouraged to state their suppliers (tier 2/3/4)<br />

on the platform.<br />

32 33


2. MORE SUSTAINABLE MATERIALS IN PRIVATE LABEL COLLECTIONS<br />

An essential aspect of environmental, social and governance at <strong>EK</strong> <strong>Fashion</strong> is more sustainable<br />

materials. The choice of materials largely determines the impact on people and the environment.<br />

The use of more sustainable materials is a key objective for every product department at <strong>EK</strong> <strong>Fashion</strong>.<br />

It is a step that we can take fairly quickly due to a high degree of direct influence.<br />

To determine which materials we consider more sustainable, we use the Modint Fiber Matrix.<br />

We consider all materials in the column from 'preferred' upwards to be more sustainable.<br />

MODINT FIBER MATRIX<br />

BEST BETTER PREFERRED CONVENTIONAL<br />

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

man-made<br />

cellulosic fibers<br />

Lyocell with recycled<br />

content<br />

Refibra TM<br />

Lenzing Autria<br />

Livaeco by Birla<br />

Cellulose TM<br />

Ecovero TM<br />

Cotton made in Africa<br />

(CmiA)<br />

Cotton in conversion<br />

Lyocell<br />

Tencel TM<br />

conventional cotton<br />

conventional cotton<br />

Wool Gerecycled wool (GRS) Organic wool (GOTS) 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 gerecycled<br />

polyester (GRS)<br />

Mechanisch recycled<br />

polyamide<br />

Recycled polyester from<br />

PET (GRS)<br />

REPREVE ®<br />

Chemically recycled<br />

polyamide (GRS)<br />

ECONYL ®<br />

(partialy) 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 at<br />

least 70% organic cotton. If the label is present on the<br />

end product, it shows that all tiers in the supply chain<br />

that contributed to the production of the article<br />

complies with their established social and ecological<br />

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

most comprehensive quality labels. Babyface was<br />

GOTS certified in 2020, meaning that when the entire<br />

supply chain is GOTS certified, we can use the GOTS<br />

logo on our articles. Not all links in the chain may be<br />

GOTS certified, for example because it requires an<br />

investment from the factory. In that case we don't use<br />

the logo on the article. Still, we can proudly state that<br />

our articles are made of organic cotton.<br />

Preserving other materials<br />

In addition to cotton, we also use a lot of polyester, viscose<br />

and wool in our collections. We do this based on SMART<br />

objectives and the Modint Fibre Matrix, which enables our<br />

buyers and stylists of our brands to see at a glance which<br />

are the more sustainable versions per material type. An<br />

example of this is the purchase of TENCEL TM from Lenzing<br />

by our women’s private label department for the <strong>2021</strong><br />

collections and joining the Lenzing E-Branding Service.<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. Through<br />

Better Cotton and its partners, farmers receive training<br />

in water efficiency, care for the health of the soil and<br />

natural environment, reduction of the use of the most<br />

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

decent work. Farmers who apply this system are<br />

licensed to sell Better Cotton. Better Cotton is derived<br />

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

traceable to finished products. See bettercotton.org/<br />

massbalance for details.<br />

Lenzing E-branding Service<br />

The E-Branding Service protects the Lenzing brand<br />

portfolio and their valid partners. It strengthens<br />

communication and interaction between partners in the<br />

value chain. It also provides access to support for<br />

certifications and identification of products and<br />

guidelines to market products with Lenzing materials.<br />

Better Cotton and organic cotton are currently purchased<br />

most by <strong>EK</strong> <strong>Fashion</strong>, supporting more farmers in farming<br />

in a more sustainable way (see text boxes for further<br />

explanation).<br />

34 35


In the year <strong>2021</strong>, a dip in the amount of more sustainable<br />

materials is shown in all <strong>EK</strong> <strong>Fashion</strong> collections. In 2020,<br />

the collections consisted of an average of 28% more<br />

sustainable materials, while for <strong>2021</strong> the average across<br />

all labels is 23%. For example, for the men's collections,<br />

the winter collection consisted of 30% more sustainable<br />

materials in 2020, whereas the winter collection for<br />

<strong>2021</strong>, unfortunately, did not contain any more sustainable<br />

materials at all.<br />

GOALS<br />

We have had to adjust the formulated objectives for the use<br />

of more sustainable materials due to the worldwide shortage<br />

of organic cotton. Learn more at 'achievement'.<br />

ACHIEVEMENT<br />

Babyface<br />

The Babyface collections of <strong>2021</strong> consisted of 33% more<br />

sustainable materials, of which 17% Better Cotton and<br />

16% organic cotton.<br />

Women’s<br />

The women's private label collections consisted of 24%<br />

of more sustainable materials, of which 18% were linen,<br />

3% Better Cotton, 2% organic cotton and 1% TENCEL .<br />

Men’s<br />

The men's collections of <strong>2021</strong> consisted of 13% more<br />

sustainable materials, namely organic cotton.<br />

More sustainable materials<br />

2022 Babyface<br />

Women’s<br />

Men's<br />

2023 Babyface<br />

Women’s<br />

Men's<br />

2024 Babyface<br />

Women’s<br />

Men's<br />

50%<br />

30%<br />

20%<br />

65%<br />

40%<br />

30%<br />

75%<br />

50%<br />

40%<br />

Acrylic<br />

Conventional Cotton<br />

Better cotton<br />

Organic Cotton<br />

Elastane<br />

Polyamide<br />

Polyester<br />

Viscose<br />

Other 1<br />

0.25 50.83 17.51 15.73 3.36 0.04 11.68 0.59 0.88<br />

Acrylic<br />

Conventional Cotton<br />

Better cotton<br />

Organic Cotton<br />

Linen<br />

Polyamide<br />

Polyester<br />

Viscose<br />

Wool 2<br />

Other 3<br />

Conventional Cotton<br />

Organic Cotton<br />

Polyester<br />

Viscose<br />

Sheep's wool<br />

Other 4<br />

7.40 6.49 3.12 2.00 18.15 9.95 36.54 8.43 4.86 3.07 48.10 13.44 23.56 7.32 4.41 3.16<br />

2025 Babyface<br />

Women’s<br />

Men's<br />

80%<br />

60%<br />

50%<br />

1<br />

0.59% Viscose, 0.25% Acrylic, 0.04% Polyamide<br />

2<br />

0.29% Alpaca, 0.03% Cashmere, 0.01% Mohair, 0.63% Merino, 3.9% Sheep<br />

3<br />

1.30% Polyurethane (PU), 1.06% TENCEL, 0.27% Modal, 0.25% Metallic, 0.13% Elastane, 0.05% Acetate, 0.01% Lurex<br />

4<br />

1.38% Elastane, 0.85% Nylon, 0.93% Polyurethane (PU)<br />

36 37


Organic cotton shortage<br />

One of the causes is that, at the beginning of <strong>2021</strong>, we were<br />

informed by our manufacturer that for the winter collections,<br />

we would not be able to buy any GOTS-certified organic<br />

cotton, nor would we be able to buy organic cotton without<br />

a certification.<br />

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

and it takes a cotton farmer on average three years to<br />

convert to organic cultivation. This means that it can take a<br />

long time before sufficient organic cotton is available again.<br />

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

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

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

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

had been falsely certified as organic. With the disappearance<br />

of the availability of organic cotton with the GOTS label,<br />

the challenges of ensuring social conditions in the supply<br />

chain are growing. The GOTS certificate not only verifies the<br />

quantity of organic fibres, but also the good working<br />

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

Better Cotton<br />

We continue to invest in more sustainable materials for the<br />

women's, men's and children's collections. <strong>EK</strong> <strong>Fashion</strong> does<br />

not scramble for the last available ball of cotton at sky-high<br />

market prices, but invests in the transition to more<br />

sustainable cotton cultivation. That is why <strong>EK</strong> became a<br />

member of Better Cotton in <strong>2021</strong> and has set Better Cotton<br />

as our minimum requirement for future Babyface<br />

collections and subsequently also for the men's and<br />

women's collections.<br />

Organic cotton from China<br />

In <strong>2021</strong>, we have been looking for partners who could help<br />

us obtain more organic cotton. We have had discussions<br />

with various stakeholders such as the Covenant on Sustainable<br />

Clothing and Textiles, the Organic Cotton Accelerator<br />

and Raddis Cotton. For the time being, these discussions<br />

have not led to any further actions because all organisations<br />

focus on cotton from India. We are currently buying organic<br />

cotton again for our production in India, but our shortage is<br />

mainly in China.<br />

NEXT STEPS<br />

Babyface<br />

In <strong>2021</strong>, we were able to considerably increase growth in<br />

more sustainable materials for the Babyface collections in<br />

2022. For example, for our New Born Capsule 'Tiny Story'<br />

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

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

jerseys and sweats that are produced in India. In this way,<br />

Better Cotton supports more farmers in farming in a more<br />

sustainable way. Based on a calculation based on the<br />

number of items, and therefore not on specific weight, we<br />

arrive at 52% more sustainable materials by 2022. This is<br />

something we are proud of!<br />

We have also made more sustainable choices in our<br />

polyester consumption. Together with a manufacturer that<br />

makes jackets for us, we were able to have part of our<br />

polyester jackets made from recycled polyester for the<br />

2022 collections.<br />

Women’s<br />

For 2022, the focus remains on incorporating as many<br />

sustainable materials as possible into the products.<br />

Since raw materials such as organic cotton are sometimes<br />

not available, this is a greater challenge. Nevertheless,<br />

a priority is that, in addition to responsible production,<br />

the materials used must also meet our requirements.<br />

Men<br />

For the men's private label department, we will need to have<br />

complete clarity on whether Better Cotton can be purchased.<br />

Better Cotton has been contacted several times<br />

about this, but due to the complexity of the ownership of the<br />

various men's private labels, no unambiguous answer has<br />

been received yet.<br />

In addition, further research will have to be done into<br />

other sources of more sustainable cotton from China.<br />

The shortage of organic cotton with the GOTS certificate<br />

is still causing difficulties for the private label department<br />

in sourcing more sustainable materials. The increase in raw<br />

material prices also has a strong negative impact on finding<br />

affordable more sustainable options.<br />

Recycled Materials<br />

A specific next step in increasing the percentage of recycled<br />

materials in the Babyface, women's private label and men's<br />

private label collections is our collaboration with Drop & Loop<br />

and Wolkat. Please refer to the topic 'Circular entrepreneurship'<br />

for further information.<br />

ACHIEVEMENTS IN <strong>2021</strong><br />

Babyface:<br />

33% more durable materials.<br />

Women’s:<br />

24% more durable materials.<br />

Men:<br />

13% more durable materials.<br />

38 39


utilities<br />

food<br />

housing<br />

A living wage<br />

for a worker and their family<br />

should provide:<br />

savings<br />

healthcare<br />

transport<br />

education<br />

clothing<br />

3. IMPROVING WORKING CONDITIONS FOR THE FACTORY WORKERS WHO<br />

MAKE OUR PRIVATE LABELS<br />

<strong>EK</strong> <strong>Fashion</strong> strives to ensure that all people who work on our products have a good workplace.<br />

The following topics are relevant to ensure such good workplaces: no child labour, no forced labour, no<br />

sexual harassment, no violence, no discrimination, no bribery, no corruption and the presence of a living<br />

wage and a safe and healthy workplace, reasonable working hours, freedom of association and a<br />

complaints mechanism.<br />

Responsible Business Conduct<br />

These criteria are, amongst other things, included in our<br />

Responsible Business Conduct (RBC, see appendix).<br />

The RBC is a code of conduct that clearly describes the<br />

standards and values for the partners in the production<br />

chain. Producers are asked to sign and return a statement<br />

confirming that they have read this code of conduct<br />

and intend to observe our standards. We maintain<br />

communications with producers about our standards and<br />

values and discuss the areas for improvement that we can<br />

achieve together. The producer also lets us know whether<br />

the actions of <strong>EK</strong> <strong>Fashion</strong> impede compliance with the<br />

standards and values.<br />

Amfori BSCI<br />

In addition, <strong>EK</strong> <strong>Fashion</strong> is a member of Amfori BSCI.<br />

Through Amfori, we conduct social audits in the factories<br />

where we produce our clothing with the aim of improving<br />

working conditions. It is <strong>EK</strong> <strong>Fashion</strong>'s responsibility to have<br />

audits conducted by local auditors. Throughout the year, we<br />

analyse these reports and have talks with our producers to<br />

achieve structural improvements.<br />

Training programmes and living wages<br />

In October 2020, we started two projects with Babyface to<br />

improve working conditions in factories in the Tamil Nadu<br />

region of India. We collaborate with human rights<br />

organisation Arisa, local organisation SAVE, FNV and the<br />

brands Fabienne Chapot, HEMA, O'Neill, Prénatal,<br />

The Sting and WE <strong>Fashion</strong> and our four producers in India.<br />

Factory Support Programme<br />

One project is the three-year Factory Support Programme in<br />

which producers receive training on various social issues<br />

including discrimination and gender, child labour, forced<br />

labour, freedom of association, living wages and<br />

occupational health and safety. With these training<br />

programmes, producers are supported in setting up<br />

well-performing consultative committees between workers<br />

and management, which can deal with complaints and<br />

develop preventive measures around any risks in factories.<br />

Another goal is to increase workers' knowledge of labour<br />

laws so that they can better defend their rights.<br />

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

The factory workers of the four producers in India are<br />

currently participating in the training programmes of Arisa<br />

and SAVE. These factories provide us with all kinds of<br />

information, such as the number of temporary and<br />

permanent employees and the turnover level among the<br />

workers. This information is needed to set up the living wage<br />

pilot project. For this reason, we want to start the living wage<br />

pilot project with one of the four factories in 2023.<br />

GOALS<br />

For <strong>2021</strong>, targets have only been set for Babyface. In 2023,<br />

we will also set targets for the men's and women's labels<br />

when we will have better insights into their production<br />

facilities.<br />

Factory Support Programme & Living Wage Pilot<br />

<strong>2021</strong> Babyface A living wage survey was conducted at four tier 1 producers. ✗<br />

2022 Babyface 4 tier 1 producers have completed the training programme.<br />

2023 Babyface 1 tier 2 producer has completed the training programme.<br />

1 tier 1 producer has started a living-wage project.<br />

2025 Babyface 1 tier 1 producer pays a living wage to workers.<br />

ACHIEVEMENT<br />

Factory Support Programme in Tamil Nadu India<br />

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

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

critical questions, an appointment was immediately made to<br />

visit our four producers together with SAVE to introduce the<br />

programme. All producers responded positively and agreed<br />

to cooperate.<br />

Factory<br />

Number of training sessions for<br />

senior and middle management<br />

Number of training sessions<br />

for factory workers<br />

Number of training sessions<br />

for worker committees<br />

Milestone 3 2 6<br />

Geethalaya 2 1 8<br />

Coral Knitwear 3 1 -<br />

Greyfield 2 - -<br />

40 41


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

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

The first training sessions were well received. Arisa and<br />

SAVE told us that such training sessions were new for the<br />

producers and therefore highly valuable. The management<br />

of the producers learned about the relevance of proper<br />

planning and adapting planning and leadership to individual<br />

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

work equally hard. This has reduced the stress of the<br />

workers in the factory.<br />

The training was also given to factory workers and<br />

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

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

transgressive behaviour, proper sanitation and ensuring a<br />

good working temperature have been discussed. Finally,<br />

the trained producers mentioned that the training contains a<br />

great deal of information, which is why repetition is required.<br />

With the last of the four producers, the contact was more<br />

difficult and no steps were taken towards training the factory<br />

workers or setting up worker committees. Unfortunately, the<br />

visit of this last producer to SAVE did not result in further<br />

developments.<br />

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

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

COVID-19 pandemic that hit India in <strong>2021</strong>. Our agent is<br />

keeping us updated on the current situation and its effect on<br />

the factories and their workers. For our part, we tried not to<br />

burden the producers too much by asking for information<br />

that is needed to make a start with the training sessions<br />

within the Factory Support Programme and the research for<br />

the living wage project.<br />

Living wage pilot in Tamil Nadu India<br />

In 2020, we started the pilot by having talks with our agent<br />

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

project. The factory is well organised and medium-sized<br />

in terms of the number of employees, which makes it<br />

manageable to start the pilot project and learn as much as<br />

possible from it. In 2020, in collaboration with Modint, we<br />

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

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

calculation was made based on average prices for fabric,<br />

finishing, margins, packaging and working hours.<br />

The result of the calculation is that € 0.50 more must be paid<br />

per article to the supplier in order to pay the factory workers<br />

a living wage.<br />

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

1 producers to roll out a living wage. This included how we<br />

would bridge the difference of €0.50 per article and ensure<br />

that this extra money would reach the factory workers.<br />

We would also contact the other three producers in <strong>2021</strong> to<br />

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

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

before <strong>2021</strong>. As indicated for the project mentioned above,<br />

the main reason for not achieving the goals is the COVID-19<br />

pandemic. Producers in India had a very difficult time with the<br />

crisis and as a result, many project activities were cancelled,<br />

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

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

programmes to improve working conditions.<br />

To increase the number of valid social audits, it is important<br />

that the women's, men's and Babyface teams encourage<br />

producers to accept Amfori BSCI's invitations. Hereto we will<br />

have to convey the urgency to the producers through our<br />

agents. Concerning the producers for whom <strong>EK</strong> <strong>Fashion</strong> can<br />

initiate audits, we also have to keep a close eye on when<br />

audits expire and when producers' factories reopen to<br />

receive auditors.<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 with<br />

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

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

WAGE LADDER<br />

Living Wage WI:<br />

Lower bound<br />

typical family<br />

Minimum<br />

Wage (SER):<br />

Living Wage (source: WageIndicator)<br />

Minimum Wage (source: SER)<br />

Lowest paid Wage factory (BSCI audit)<br />

Lowest paid<br />

Wage factory<br />

(BSCI)<br />

In addition, communications with the selected producer for<br />

the living wage project in <strong>2021</strong> have been more difficult.<br />

Whereas there was a great deal of enthusiasm for the project<br />

in the beginning, that enthusiasm declined in the second half<br />

of <strong>2021</strong>. A partial explanation is again the impact of the<br />

COVID-19 pandemic, as a result of which maintaining the<br />

company has received priority to the living wage project.<br />

Next steps<br />

Babyface’s agent in India is making every effort to maintain<br />

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

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

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

updated about the developments of both projects and to<br />

find out how Babyface can support all parties in the best<br />

possible way. The balance between stimulating and not<br />

asking too much is very important. In this way, we hope to<br />

reach our goal to have all four producers participate in the<br />

training programme in 2022.<br />

ACHIEVEMENTS IN <strong>2021</strong><br />

8<br />

training courses for senior and middle management.<br />

4<br />

training courses for factory workers.<br />

14<br />

training sessions for worker committees.<br />

42 43


GOALS<br />

Common targets for reducing water, energy and chemical<br />

consumption have been set for all production teams.<br />

Chemical Testing<br />

2022 At least two shipment samples from each<br />

tier 1 manufacturer were tested.<br />

Overarching goals<br />

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

Manufacturing Restricted Substances List (MRSL) have been<br />

drafted.<br />

2024 There are no harmful chemicals in our finished products.<br />

2025 CO 2<br />

-neutral in transport and packaging.<br />

4. RESPECTING THE ENVIRONMENT BY REDUCING WATER, ENERGY<br />

AND CHEMICALS<br />

<strong>EK</strong> <strong>Fashion</strong> intends to look after a sustainable planet. The climate on earth is changing due to the excessive<br />

emission of greenhouse gases, use of water and chemicals by societies. For example, a lot of water,<br />

energy and chemicals are used in the production of clothing. Dyeing and finishing textiles accounts for<br />

17% to 20% of all industrial water pollution (source: globalfashionagenda.com). Growing cotton also<br />

requires a lot of water.<br />

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

by drawing up a Restricted Substances List (RSL) in 2019.<br />

An RSL is a list of chemicals that we do not want to find in<br />

clothing. To make sure that this is the case with regard to the<br />

most vulnerable people, Babyface's baby products comply<br />

with 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 of hazardous<br />

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

substances, legally regulated substances, known<br />

harmful substances and health care parameters.<br />

ACHIEVEMENT<br />

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

CO 2<br />

, water, energy and chemicals, we have been working on<br />

many projects. <strong>EK</strong> <strong>Fashion</strong>'s new <strong>ESG</strong> specialist participated<br />

in an introductory training course on 'Wet Processing and<br />

Chemical Management' at Modint. In addition, we have<br />

made contact with Modint to find out how the testing of<br />

shipment samples is done.<br />

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

new insights on chemicals.<br />

Next steps<br />

In early May 2022, <strong>EK</strong> <strong>Fashion</strong> and Modint will analyse<br />

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

chemicals. We will select several high-risk products per<br />

producer and have them tested. The aim is to do the same<br />

for the men's and women's collections in 2022.<br />

In addition, we will draw up a long-term plan with Modint on<br />

how we can improve the wet processes and the use of<br />

chemicals in the production of our clothing together with the<br />

producer. Part of this will be the drafting of an MRSL.<br />

Besides water, energy and chemicals, emissions also have a<br />

negative impact on the environment. We are currently having<br />

talks with several organisations that can help us calculate the<br />

CO 2<br />

emissions of our premises, vehicle fleet and products<br />

(throughout the supply chain). This baseline measurement<br />

will help us set priorities for reducing emissions and set<br />

SMART goals.<br />

We are aware that we are asking a great deal from our<br />

producers, especially Babyface producers for our two social<br />

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

CO 2<br />

, water, energy and chemicals, where our producers<br />

are much needed, will be taken after these projects are<br />

completed. We have chosen to do this to maintain a realistic<br />

outlook on what we can expect from our producers and<br />

ourselves in terms of workload.<br />

A Manufacturing Restricted Substances focuses on all<br />

chemical substances used in the manufacturing<br />

process of a garment.<br />

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

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

ACHIEVEMENT IN <strong>2021</strong><br />

Updated Restricted<br />

Manufacturing List<br />

44 45


5. HELPING RETAILERS AND BRANDS MAKE MORE CONSCIOUS CHOICES BY<br />

PROVIDING INSIGHT INTO <strong>ESG</strong> PERFORMANCE<br />

8 CRITERIA<br />

In addition to the services that <strong>EK</strong> <strong>Fashion</strong> offers to its retailers with regard to private labels and Babyface,<br />

<strong>EK</strong> <strong>Fashion</strong> also intends to be of added value to brands and retailers to make their business more<br />

sustainable and consequently future proof.<br />

Sustainability Movement Monitor (SMM)<br />

In order to help retailers and brands make more conscious<br />

choices, we started a partnership with Cube Retail and<br />

Bureau Brems in December 2020. In the initial months of<br />

<strong>2021</strong>, we developed a pilot version of a tool for multibrand<br />

fashion retail to measure and communicate the commitment,<br />

degree and progress of <strong>ESG</strong> of brands. The Sustainability<br />

Movement Monitor aims to provide retailers and brands with<br />

a reliable outline of both the degree and progress of brands'<br />

<strong>ESG</strong> efforts. To this end, we use a broad set of measurable<br />

criteria and targets according to scientific and international<br />

industry standards, such as the Higg Index, the past<br />

Covenant on Sustainable Apparel and Textiles, Good on You<br />

and Life Cycle Assessment methods. Every year, brands<br />

complete the Sustainability Movement Monitor questionnaire,<br />

which is translated into eight criteria. We store this<br />

information in a database and suppliers receive their own<br />

<strong>ESG</strong> progress profile compared to the industry average.<br />

The goal is to give retailers insight into the sustainability of<br />

their assortment and opportunities to improve it over the<br />

coming years.<br />

Adding <strong>ESG</strong> information to online shops<br />

We want to help retailers and their customers make better<br />

choices by providing information on their online shops about<br />

the material composition of products and <strong>ESG</strong> issues of<br />

products such as working conditions and CO 2<br />

emissions.<br />

Based on this information, a product on an online shop can<br />

be given the label ’more sustainably’. In addition, from 2023,<br />

we want to run a pilot in which a customer is offered more<br />

sustainable alternatives when he looks at a product in an<br />

online shop. For example, if a customer looks at a T-shirt<br />

made of conventional cotton, a T-shirt made of organic<br />

cotton will be suggested in the online shop. The ultimate goal<br />

is that through machine learning, this more sustainable<br />

alternative becomes gradually more accurate and is<br />

automatically shown in the webshop.<br />

Policy &<br />

organisation<br />

Processes<br />

Materials<br />

Transparency<br />

Social<br />

responsibility<br />

Transport &<br />

packaging<br />

Machine learning is a form of artificial intelligence<br />

aimed at building systems that can learn from<br />

processed data or use data to perform better. The goal<br />

of Machine Learning is to ensure that the machine<br />

makes increasingly better predictions.<br />

Animal<br />

welfare<br />

Circularity<br />

46 47


GOALS<br />

Affiliated Brands SMM<br />

Affiliated Retailers SMM<br />

2022 50 -<br />

2023 150 50<br />

2025 500 200<br />

All products on the webshops contain<br />

info on material composition Info about <strong>ESG</strong> proposed more sustainable<br />

alternative<br />

2022 50% 10% -<br />

2023 70% 30% 5%<br />

2025 100% 60% 30%<br />

ACHIEVEMENTS<br />

Sustainability Movement Monitor (SMM)<br />

In June <strong>2021</strong>, the first 50 brands were contacted by email<br />

to participate in the pilot. Unfortunately, only six brands<br />

responded by completing the questionnaire. We learned<br />

from this that it is important to seek personal contact with<br />

brands to explain the relevance and functions of the SMM.<br />

In cooperation with <strong>EK</strong> <strong>Fashion</strong>'s <strong>ESG</strong> team, the account<br />

management team plays an essential role in this. We also<br />

tried to lower the threshold for completing the questionnaire<br />

by switching from an Excel sheet to an online questionnaire.<br />

After reaching an agreement with Cube Retail and Bureau<br />

Brems, <strong>EK</strong> <strong>Fashion</strong> became the owner of the SMM in the<br />

summer of 2022. Nevertheless, the cooperation with Cube<br />

Retail and Bureau Brems is of great significance in the<br />

further development of the questionnaire and associated<br />

scoring from Q4 <strong>2021</strong> to Q2 2022. In further developing the<br />

questionnaire, we also requested stakeholder feedback<br />

from TOMO, Rainbow Collection, Modint, Amfori, the past<br />

Sustainable Clothing and Textiles Covenant and Four Paws<br />

Netherlands, among others.<br />

Adding <strong>ESG</strong> information to online shops<br />

The greatest challenge for adding information on material<br />

composition and <strong>ESG</strong> is the accessibility of the information.<br />

Brands need to add this information to databases such as<br />

<strong>Fashion</strong> Cloud, to enable <strong>EK</strong> <strong>Fashion</strong> to retrieve this information.<br />

Two employees (1.9 FTE) of <strong>EK</strong> <strong>Fashion</strong> are working<br />

weekly to complete product information, because brands do<br />

not provide complete product information. It will therefore be<br />

quite a challenge to get additional and more complex<br />

information on <strong>ESG</strong> available in addition to the regular<br />

information such as size and colour.<br />

NEXT STEPS<br />

Sustainability Movement Monitor<br />

The necessary next steps include the establishment of<br />

terms of use of the SMM, especially for brands, which<br />

specify how the shared information will be handled.<br />

Additionally, a manual must be drawn up for brands with<br />

tools and instructions for completing the questionnaire.<br />

The Business Intelligence team and the Omnichannel team<br />

are also working hard on the conversion model for the<br />

retrieved data and visualisation in a dashboard. To combine<br />

the various data that <strong>EK</strong> <strong>Fashion</strong> collects from various<br />

sources, <strong>EK</strong> <strong>Fashion</strong> switched from storing data in 'silos' to<br />

storing data in a 'lake'. This technical development is not only<br />

promising for SMM but also for other data-driven services<br />

such as demand-driven production, which you can learn<br />

more about in the next pillar.<br />

In addition to the technical aspects of the SMM, <strong>EK</strong> <strong>Fashion</strong><br />

is analysing the willingness of brands to complete the<br />

questionnaire. The importance of personal contact with the<br />

brands about the SMM became clear in the pilot and will be<br />

taken into account when contacting the brands. Finally, one<br />

of the most important follow-up steps is of course to obtain<br />

completed questionnaires to achieve the target of 50 brands<br />

in 2022.<br />

Adding <strong>ESG</strong> information to online shops<br />

As more and more (online) retailers are asking for <strong>ESG</strong><br />

information, for example, Bijenkorf and Zalando, we expect<br />

this information to become more readily available. In<br />

addition, <strong>EK</strong> <strong>Fashion</strong> also plays a role in putting pressure on<br />

brands to supply this information. <strong>EK</strong> <strong>Fashion</strong> is moreover<br />

actively working on applying artificial intelligence to<br />

automatically extract product information from photos of<br />

products. The aim is to use this application to find out at<br />

least the material composition, which in turn releases many<br />

man-hours to obtain other more complex <strong>ESG</strong> information<br />

from brands.<br />

48 49


WASTE LESS<br />

One of the major problems in the clothing industry is the<br />

huge surplus of clothes. If we continue to produce at<br />

this rate, we will reach the point where not enough<br />

resources will be available to meet demand. The linear<br />

economy, with its 'take-make-waste' system must give<br />

way to a circular economy.<br />

6. PRODUCING ON DEMAND<br />

<strong>EK</strong> <strong>Fashion</strong> wants to use our developments in the field of data management to better predict the demand<br />

for certain products. This will enable an even better match between supply and demand, which will prevent<br />

overproduction. Producing according to demand is one of our main goals for the coming years.<br />

GOALS<br />

2022 New cooperation with 2 production sites in Europe that meet our minimum <strong>ESG</strong> standards.<br />

2023 Reduction of private label sample collections by 20%.<br />

ACHIEVEMENT<br />

New production sites<br />

In 2020, the women's private label department of<br />

<strong>EK</strong>/Euretco <strong>Fashion</strong> started an investigation to find new<br />

production channels that:<br />

1. being able to produce with short production times, mainly<br />

in Europe;<br />

2. produce at a high-quality level (to enable longer life<br />

spans);<br />

3. can work according to our sustainable production<br />

standards (as described in the RBC).<br />

We are currently having talks with several producers in<br />

Portugal, Greece, Morocco and the Netherlands and have<br />

visited some of them. Together with the women’s private<br />

label department, we have also categorised the current<br />

producers based on future viability of our cooperation with<br />

them. Some producers were categorised as promising to<br />

take the <strong>ESG</strong> course with them and others as having less<br />

potential. For the less potential ones, we see opportunities<br />

to shift production to the new producers.<br />

Sample Collections<br />

For the reduction of the sample collections, targets were<br />

initially set for <strong>2021</strong>. Even in the <strong>ESG</strong> report for 2020, it was<br />

indicated that these goals would not be achieved within the<br />

target. This proved to be the case. Due to the growth of the<br />

private labels, which is reflected in more collaborations and<br />

expansion of collections, the sample collections of men's,<br />

women's and children's have also grown. For Babyface this<br />

specifically concerns an increase of 3.6% in pieces in <strong>2021</strong><br />

compared to 2020.<br />

In other words, because <strong>EK</strong> <strong>Fashion</strong> calculates the reduction<br />

of sample collections in an absolute manner, it is an extra<br />

great challenge to achieve the targets. If we would calculate<br />

the number of samples relatively, i.e. the number of samples<br />

in relation to the number of styles in a collection, we might<br />

already have reached the set targets. However, we as<br />

<strong>EK</strong> <strong>Fashion</strong> want to make a real effort to reduce the absolute<br />

number of sample collections and have therefore chosen<br />

to push the target forward instead of adapting the target to<br />

a relative way of measuring.<br />

NEXT STEPS<br />

Sample collections<br />

To reduce the number of samples, the women’s and men's<br />

departments, in cooperation with students from TMO, are<br />

investigating how we could start working with 3D samples.<br />

The technique for 3D sampling is already a fact of<br />

life in fashion, but it is only applied on a small scale.<br />

For <strong>EK</strong> <strong>Fashion</strong>, a considerable development will therefore<br />

be required to apply this on a larger scale to reduce the<br />

sample collections.<br />

New production sites<br />

The next steps for the women’s private label department in<br />

cooperation with the <strong>ESG</strong> team consist first of all of reducing<br />

the number of producers. Analogously, production will have<br />

to be relocated from production sites that are less relevant to<br />

women's production, to new sites in Europe.<br />

50 51


7. CIRCULAR BUSINESS<br />

We believe that transforming the current business model in the fashion industry into a circular model can<br />

only be achieved through intensive cooperation throughout the supply chain.<br />

In December 2020, we made the first start with this. We are investigating possibilities to process waste from<br />

the Dutch textile waste in the private label collections of the women’s and men's departments. Because of<br />

the temporary shop closures at the end of December due to COVID-19, we decided at that time to reduce<br />

the number of styles in the collections for winter <strong>2021</strong>. This has moved back the possible capsule collection<br />

with recycled material from the Dutch textile waste belt.<br />

GOALS<br />

<strong>2021</strong> Each CSR <strong>ESG</strong> representative within the<br />

production teams has completed a course on<br />

circular design and/or circular business<br />

models.<br />

2022 5% of materials in men's and women's<br />

collections are recycled materials.<br />

10% of the polyester used in the Babyface<br />

jacket collection is recycled PET.<br />

10 retailers have a textile collection machine<br />

or box and sell products made of<br />

recycled materials.<br />

2023 10% of materials in men's and women's<br />

collections are recycled materials.<br />

50% of the polyester used in the Babyface<br />

jacket collection is recycled PET.<br />

50 retailers have a textile collection machine<br />

or box and sell products made from<br />

recycled materials.<br />

2025 A circular business model is integrated alongside<br />

the current (linear) business model.<br />

100 retailers have a textile collection machine<br />

or box and sell products made from<br />

recycled materials.<br />

ACHIEVEMENT<br />

The goal for <strong>2021</strong> was to have all <strong>ESG</strong> representatives within<br />

the production departments take a course on circular<br />

design and/or circular business models. Two Babyface<br />

employees have effectively followed a three-day training<br />

in June <strong>2021</strong>. The other two CSR responsible persons have<br />

not yet done so.<br />

As one of the first steps towards achieving the percentages<br />

of recycled materials in the men's collection, women's<br />

collection and Babyface collections, <strong>EK</strong> <strong>Fashion</strong> has<br />

been certified for the Global Recycled Standard since<br />

January 2022.<br />

We also contacted Drop & Loop and Wolkat who are jointly<br />

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

production for the private labels and Babyface. After the<br />

initial talks, we are very excited about possible cooperation!<br />

Green Deal Circular Textiles<br />

Sustainability Manager of <strong>EK</strong>, Mariska Schennink, joined the<br />

steering committee of the Green Deal circular textiles in<br />

<strong>2021</strong>. The Green Deal Circular Textiles was signed by more<br />

than 40 companies in 2020. They agree that the Amsterdam<br />

Economic Board in collaboration with the City of Amsterdam,<br />

the Metropolitan Region Amsterdam Bureau and the<br />

signatories will work for the next three years on making<br />

textile circular. <strong>EK</strong> <strong>Fashion</strong> will contribute to the described<br />

ambitions by making its member retailers part of the circular<br />

challenges and by making the opportunities for retailers in<br />

this area visible.<br />

Business Intelligence<br />

<strong>EK</strong> <strong>Fashion</strong> helps the retailer with a balanced purchasing<br />

budget that is customised together with the retailer.<br />

We use the data from the <strong>EK</strong> Retail Monitor (ERM) for this.<br />

For example, the ratio between pre-purchase and open-tobuy<br />

budget and the distribution of deliveries are analysed<br />

and discussed with the retailer. In the ERM dashboard,<br />

individual performance at brand, article group and<br />

lifestyle segment levels can be tracked and benchmarked<br />

on a weekly basis. This enables the retailer to make<br />

well-considered choices and to have the right articles<br />

delivered at the right time to sell them to the consumer.<br />

These tools contribute to a higher return for the retailer<br />

and minimise overproduction.<br />

NEXT STEPS<br />

A next step for the production teams is to purchase products<br />

with higher percentages of recycled materials such as<br />

recycled wool, polyester and cotton.<br />

Collaboration Drop & Loop and Wolkat<br />

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

Wolkat the development of products from recycled materials<br />

for the private label and Babyface collections. In collaboration<br />

with Drop & Loop and Wolkat, we have established two<br />

'tracks' on which we will collaborate at product level. On the<br />

one hand, the production departments of <strong>EK</strong> <strong>Fashion</strong> will<br />

purchase products from Wolkat's current catalogue, such as<br />

fashion and home accessories. However, these products are<br />

not the core of the production departments' collections, but<br />

rather are special additions on a small scale or to give away<br />

as promotional gifts. On the other hand, a commitment has<br />

been made to jointly develop clothing that will become part<br />

of the core collections of the private labels and Babyface.<br />

This is where <strong>EK</strong> <strong>Fashion</strong>'s expertise in fashion design and<br />

the needs of retailers and Wolkat's expertise in developing<br />

recycled fabrics converge.<br />

A third part of this cooperation includes encouraging<br />

retailers that are affiliated with <strong>EK</strong> sales to place a collection<br />

machine or collection box in their shop. At the <strong>EK</strong> <strong>Fashion</strong><br />

festival in 2022, special attention will be paid to this and after<br />

the event, the collection machine and collection box of Drop<br />

& Loop will be shown in the Showrooms of <strong>EK</strong> <strong>Fashion</strong>. In<br />

this way, <strong>EK</strong> <strong>Fashion</strong> wants to enthuse retailers for collecting<br />

textiles and selling products from recycled textiles in their<br />

own shops by using the collection machine or collection box<br />

from Drop & Loop and Wolkat. In this way, <strong>EK</strong> <strong>Fashion</strong> makes<br />

an actual commitment to complete the recycling loop.<br />

The Global Recycled Standard (GRS) is an international, voluntary standard that sets<br />

requirements for the certification of recycled raw materials and the third-party chain of<br />

custody. GRS includes the following targets:<br />

• Alignment of recycled definitions across multiple applications.<br />

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

• Provide consumers (both brands and end users) with a tool to make informed decisions.<br />

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

• Providing assurance that products are processed in a more sustainable way.<br />

• Encourage higher percentages of recycled material in products.<br />

52 53


8. EFFICIENCY IN TRANSPORT AND PACKAGING<br />

The collections of <strong>EK</strong> <strong>Fashion</strong> are mainly produced in Asia. This means that a long way has to be travelled<br />

to transport the items to the Netherlands. In addition, also transport takes place to points of sale. To protect<br />

the products during transport, plastic bags (polybags) and boxes are put around the products. <strong>EK</strong> <strong>Fashion</strong><br />

is committed to reducing the negative impact of these processes.<br />

In May 2022, <strong>EK</strong> <strong>Fashion</strong> switched to Hartevelt as its new logistics partner. We are enthusiastic about the<br />

cooperation because sustainability is also Hartevelt’s priority item.<br />

GOALS<br />

ACHIEVEMENT<br />

NEXT STEPS<br />

<strong>2021</strong> Drawing up a sustainable logistics policy.<br />

80% of Babyface's polybags are made of<br />

recycled plastic.<br />

10% reduction in CO 2<br />

emissions from<br />

transport.<br />

2023 100% of Babyface's polybags are made of<br />

recycled plastic.<br />

10% Reduction of impact of packaging<br />

material of private labels.<br />

Partly because our priority was the materials of the products<br />

and <strong>EK</strong> <strong>Fashion</strong> has a new logistics partner, not much has<br />

been achieved in this area. However, <strong>EK</strong> <strong>Fashion</strong> has been<br />

working on various pilots and we have asked external<br />

stakeholders for advice to make progress in the areas of<br />

transport and packaging.<br />

Packaging private labels and Babyface<br />

The men's private label department conducted a test in <strong>2021</strong><br />

to investigate whether alternative materials to plastic are<br />

suitable as packaging materials. In this first test, paper bags<br />

were used instead of polybags and this was a positive<br />

experience! In addition, Babyface has partially purchased<br />

polybags made of recycled plastic for the collections in<br />

2022. The <strong>ESG</strong> team has also asked Modint for advice on<br />

packaging materials.<br />

Sustainable logistics policy<br />

In 2022, <strong>EK</strong> <strong>Fashion</strong>, together with our new logistics partner<br />

Hartevelt and other stakeholders, intends to draw up a plan<br />

on how <strong>EK</strong> <strong>Fashion</strong> can make the transport of products more<br />

sustainable. Modint is also an important stakeholder in this,<br />

because Modint can provide more information about the<br />

footprint of products with their newly launched collaboration<br />

with bAwear. <strong>EK</strong> <strong>Fashion</strong> has had initial talks with Modint on<br />

this and is planning to conduct a pilot with at least one<br />

product in 2022.<br />

Part of the logistics policy will involve measuring current<br />

emissions. Hartevelt has already taken various steps to map<br />

out the impact of logistic processes. <strong>EK</strong> <strong>Fashion</strong> would<br />

therefore like to enter into a conversation with Hartevelt on<br />

how we can outline and reduce our impact.<br />

Packaging private labels and Babyface<br />

The goal for the men's private label division is to scale up the<br />

use of paper instead of plastic as packaging material.<br />

Babyface will also scale up by using recycled polybags.<br />

Hartevelt can play a role in this process if it is possible for<br />

polybags and/or hangers made of recycled material to be<br />

used in their processes. Naturally, we aim to share the<br />

findings of pilots and upscaling between production<br />

departments.<br />

54 55


EMPOWER LOCAL HEROES<br />

<strong>EK</strong> <strong>Fashion</strong> believes in the power of independent fashion retailers who use<br />

their expertise and with personal attention and an eye for quality to help the<br />

consumer to make conscious choices: not more, but better. With the distinctive<br />

position of the independent retailer, the retailer is able to make a considerable<br />

contribution to making the fashion industry more sustainable. We give him full<br />

support to be successful.<br />

9. INCREASE THE KNOWLEDGE LEVEL<br />

Creating awareness is the first step in mobilising people to become more sustainable. Subsequently, we<br />

offer tools to take action. <strong>EK</strong> <strong>Fashion</strong> wants to do this in two ways: the <strong>EK</strong> <strong>Fashion</strong> Academy and offering<br />

POS materials to raise consumer awareness.<br />

In 2020, we established the <strong>EK</strong> <strong>Fashion</strong> Academy (EFA). The <strong>EK</strong> <strong>Fashion</strong> Academy offers physical<br />

training courses and a website with both online learning modules and a knowledge base for the fields<br />

of sustainability, marketing and business intelligence. The academy is intended for retail owners, buyers,<br />

fashion consultants on the shop floor and our own employees.<br />

In addition, in their contact with brands and retailers, account managers give personal advice on<br />

sustainability and refer to the <strong>ESG</strong> team of <strong>EK</strong> <strong>Fashion</strong> or external partners of <strong>EK</strong> <strong>Fashion</strong>.<br />

GOALS<br />

ACHIEVEMENT<br />

Specifically, the following sessions took place:<br />

• Drawing up the <strong>ESG</strong> policy with the owners of Van<br />

Tilburg and Berden in cooperation with Rainbow<br />

Collection and <strong>EK</strong> <strong>Fashion</strong>.<br />

The joint first physical session laid the foundation for<br />

Van Tilburg's <strong>ESG</strong> policy and Berden's <strong>ESG</strong> policy.<br />

In an online session, both companies were given the<br />

opportunity to receive feedback on their plans from<br />

Rainbow Collection and <strong>EK</strong> <strong>Fashion</strong>. The final session<br />

in which both companies will pitch their <strong>ESG</strong> policy will<br />

take place in Q2 of 2022.<br />

• Two physical training sessions at Van Tilburg with<br />

twelve buyers about more sustainable purchases<br />

under the guidance of Rethink Rebels and <strong>EK</strong> <strong>Fashion</strong>.<br />

The buyers learned more about what sustainability<br />

means in clothing, which questions they can ask brands<br />

about sustainability and what the most important<br />

sustainability labels are for clothing.<br />

• Various awareness sessions at <strong>EK</strong> <strong>Fashion</strong> retailer<br />

groups.<br />

<strong>EK</strong> <strong>Fashion</strong>'s <strong>ESG</strong> team visited five retailer groups in<br />

<strong>2021</strong> to give an introductory presentation on sustainability<br />

and to talk with retailers they would like to engage with<br />

on sustainability. Due to COVID-19, it was not possible<br />

for the <strong>ESG</strong> team to give more presentations.<br />

All in all, in <strong>2021</strong> the <strong>ESG</strong> team mainly realised that<br />

awareness is still lacking among many retailers, which<br />

is why, among other things, the EFA is still little used.<br />

In addition, the COVID-19 pandemic may also<br />

have contributed to the sparse use of the EFA;<br />

retailers prioritised survival of this short-term crisis<br />

over sustainability.<br />

2022 25 retailers have taken an online or offline<br />

training from the EFA.<br />

2023 100 retailers have taken an online or offline<br />

training from the EFA.<br />

30 retailers purchase POS materials for<br />

consumer awareness.<br />

2025 200 retailers have taken an online or offline<br />

training from the EFA.<br />

100 retailers purchase POS materials for<br />

consumer awareness.<br />

Since the launch of the <strong>EK</strong> <strong>Fashion</strong> Academy, around ten<br />

external participants and around eighty internal <strong>EK</strong> <strong>Fashion</strong><br />

employees have joined. The launch included five lessons on<br />

sustainability and a new lesson on circular business models<br />

will be added in <strong>2021</strong>.<br />

The German part of <strong>EK</strong> <strong>Fashion</strong> also started building a<br />

German version of the EFA in <strong>2021</strong>. The current content was<br />

taken as a starting point and the German colleagues entered<br />

into a partnership with Staff Solutions to bring the EFA to an<br />

even higher level.<br />

In addition to the activities of the online Academy, there have<br />

been several physical meetings to create awareness within<br />

retailer groups, work on retailers' <strong>ESG</strong> policies and train<br />

shop staff.<br />

NEXT STEPS<br />

One of the most important next steps for <strong>EK</strong> <strong>Fashion</strong> is to<br />

offer physical training sessions to retailers who have shown<br />

an interest following the awareness sessions. One of the<br />

account managers is in contact with various retailers about<br />

this. In addition, one new training module or one knowledge<br />

base item will be published on the <strong>EK</strong> <strong>Fashion</strong> Academy<br />

website per month.<br />

Promotion of the full width of EFA will be conducted by the<br />

account management and marketing team. All channels<br />

will be used, such as Instagram, Facebook, LinkedIn,<br />

newsletters and personal contact.<br />

POS material<br />

<strong>EK</strong> <strong>Fashion</strong>'s marketing team will need to develop POS<br />

materials, leaving room for incorporating retailers' branding.<br />

Several requests were made by retailers in <strong>2021</strong> to develop<br />

POS materials for <strong>ESG</strong> initiatives in their businesses.<br />

The marketing team can build on this.<br />

56 57


10. REWARDS FOR SUSTAINABLE INNOVATIONS<br />

To encourage a movement towards sustainability in the Dutch retail landscape, it may help to put<br />

frontrunners in <strong>ESG</strong> in the spotlight. Therefore, starting in 2023, we want to highlight and reward<br />

a retailer and a brand on <strong>EK</strong> <strong>Fashion</strong>'s social channels every month.<br />

We also want to fully integrate <strong>ESG</strong> in all communications and events of <strong>EK</strong> <strong>Fashion</strong>, both in the<br />

Netherlands and in Germany. This could include a new standard section in a newsletter and inviting<br />

more sustainable brands to trade fairs. Specifically for the Brand Guide of <strong>EK</strong> <strong>Fashion</strong>, we want to integrate<br />

more sustainable brands per style segment. The Sustainable Movement Monitor can help to determine<br />

such more sustainable brands.<br />

ACHIEVEMENT<br />

GreenChange Pop-up<br />

The first GreenChange Pop-up opened at May <strong>Fashion</strong>.<br />

Brands like Greenbomb, Alma&Lovis and Feuervogl are<br />

included in this pop-up. Also, at Kaufhaus Sämann in<br />

Vaihingen, a GreenChange Pop-up was opened and the<br />

sales staff received training on the sustainable history of<br />

these brands and products in the pop-up. In the branches of<br />

Kaufhaus Woha, even two pop-ups have been opened! The<br />

GreenChange Pop-up was the subject of a great article in<br />

the German magazine Textilwirtschaft. Definitely worth<br />

reading! (Read the English version here).<br />

NEXT STEPS<br />

The marketing teams in the Netherlands and Germany will<br />

have to create marketing content in cooperation with the <strong>ESG</strong><br />

team to be able to highlight and reward retailers. This will<br />

require visits to retailers and interviews with retailers. In<br />

addition, the account managers will have to strengthen the<br />

relationships with more sustainable brands and possibly<br />

include new more sustainable brands in the <strong>EK</strong> <strong>Fashion</strong><br />

brand portfolio. In addition to the defined goals for expanding<br />

the number of more sustainable brands in the brand portfolio<br />

of <strong>EK</strong> <strong>Fashion</strong>, even more specific goals will be set for<br />

highlighting more sustainable brands in 2022.<br />

GreenChange Pop-up<br />

One of the most specific forms of highlighting brands is the<br />

GreenChange Pop-up store, accomplished by <strong>EK</strong> <strong>Fashion</strong><br />

Germany. The shop-in-shop concept with a surface area of<br />

25m2 offers a defined and eye-catching stage in the shop<br />

for more sustainable brands.<br />

Together with KOHLSCHEIN from Viersen, Germany, a<br />

cardboard modular pop-up concept was created. When the<br />

module is no longer needed, it can be returned to the normal<br />

paper recycling cycle.<br />

New plastic was completely dispensed with for the coat<br />

hangers. Grass hangers from the company Cortec from<br />

Wald-Michelbach were used. The hangers are made from<br />

regional grass fibres and recycled plastic, most of which<br />

come from old coat hangers. This reduces the carbon<br />

footprint by up to 64% and the grass hangers can be<br />

recycled at Cortec itself. The metal parts are recycled<br />

separately by a recycler and are also returned to the metal<br />

production process. Again, a perfect recycling cycle has<br />

been thought out.<br />

GOALS<br />

2022 1 highlighting and rewarding retailers for<br />

sustainable performance.<br />

1 highlighting and rewarding brands for<br />

sustained performance.<br />

5 more sustainable brands added to the<br />

brand portfolio.<br />

5 GreenChange Pop-up stores set up.<br />

2023 12 retailers highlighted and rewarded for<br />

sustainable performance.<br />

12 highlighting and rewarding brands for<br />

sustained performance.<br />

5 more sustainable brands added to the<br />

brand portfolio.<br />

12 GreenChange Pop-up stores set up.<br />

2025 12 retailer uitlichten en belonen om duurzame<br />

prestatie.<br />

12 highlighting and rewarding brands for<br />

sustained performance.<br />

5 more sustainable brands added to the<br />

brand portfolio.<br />

23 GreenChange Pop-up stores set up<br />

58 59


11. INCREASING EMPLOYEE VITALITY<br />

When our employees enjoy going to work, this will have a positive influence on our customers.<br />

We believe it is vital that every employee feels good about himself, both physically and mentally.<br />

That a job feels safe and comfortable, and also provides enough challenge for the employee and<br />

the organisation for further development.<br />

ACHIEVEMENT<br />

In May <strong>2021</strong>, we took the first step towards a policy for<br />

sustainable employability for the <strong>Fashion</strong> division. A survey<br />

among all <strong>Fashion</strong> employees showed that work-life balance<br />

and career development opportunities are considered the<br />

most important pillars for which employee and employer are<br />

jointly responsible. Physical health is regarded by the<br />

employees as a more personal responsibility.<br />

NEXT STEPS<br />

The HR department has various plans to make sustainable<br />

employability a pillar for the entire <strong>EK</strong>. In this way,<br />

<strong>EK</strong> <strong>Fashion</strong> benefits from the joint activities. In 2022, goals<br />

will be set for sustainable employability.<br />

In <strong>2021</strong>, employees worked a great deal from home, due to<br />

the measures taken during COVID-19. The work-life balance<br />

has become an even more important item as a result.<br />

Some employees believe their work-life balance has<br />

improved because of working from home, whereas others<br />

have deteriorated. Now that we are working more hours at<br />

the office again, a plan has been set up for hybrid working<br />

to promote structure and cooperation. In addition, the<br />

workspace in Hoevelaken will be thoroughly restyled<br />

in the coming weeks to improve cooperation, promote<br />

creativity and adapt the office spaces to the various<br />

activities of the day.<br />

60 61


Appendix: Responsible Business Conduct <strong>EK</strong> <strong>Fashion</strong><br />

Appendix: Responsible Business Conduct <strong>EK</strong> <strong>Fashion</strong><br />

<strong>EK</strong> <strong>Fashion</strong>, 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 for<br />

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

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. We<br />

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

environmental impact of our products and<br />

work on improvement where needed.<br />

Transparency of production places and<br />

circumstances are of great importance.<br />

<strong>EK</strong> <strong>Fashion</strong> 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<br />

subcontractors, from raw material to end<br />

product, to support us in our corporate<br />

responsibility program and to work<br />

according the 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<br />

impact on people and the environment by<br />

their own operation or business<br />

relationships in the production or supply<br />

chain. This means acting in an ethical and<br />

transparent way that contributes to the<br />

health and welfare of society. This is the<br />

baseline for our Due Diligence policy<br />

integrated in our corporate responsibility<br />

program.<br />

<strong>EK</strong> <strong>Fashion</strong> 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 by<br />

mutual agreement and in discussion with<br />

stakeholders which currently merit the<br />

priority attention of enterprises in the<br />

garment and textile sector operating in the<br />

Netherlands in terms of international<br />

responsible business conduct (RBC).<br />

These 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 to<br />

our products to cooperate to minimizing<br />

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

prepared a questionnaire and kindly ask<br />

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

Our buying behaviour<br />

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

therefore we want to take our responsibility<br />

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

important to inform us when our buying<br />

behaviour does not support the<br />

international social and environmental<br />

standards set below. We work according to<br />

the following buying strategy:<br />

Forecasting:<br />

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

contracts to increase predictability and<br />

stability. This will also enable suppliers to<br />

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<br />

best quality for the best price.<br />

• Consider material cost, labour,<br />

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

for the 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 />

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 rights<br />

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 from<br />

adhering countries. They provide non-binding principles and standards for responsible business conduct in a global context consistent with applicable laws<br />

and internationally recognized standards. http://www.oecd.org/corporate/mne/<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 of<br />

options for action and appropriate<br />

measures, supplier companies have to aim<br />

at the implementation and reporting of the<br />

following criteria in a development<br />

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

only work directly with subcontractors 3 that<br />

are prequalified through the same rigorous<br />

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 not<br />

be less than the age of completion of<br />

compulsory schooling and, in any case, not<br />

less than 15 years.” “There shall be no<br />

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 at<br />

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<br />

address the issue of child labour in their<br />

supply chains. We ask our suppliers to<br />

cooperate and be transparent about subcontractors<br />

and sub-suppliers and possible<br />

risks 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 />

<strong>EK</strong> <strong>Fashion</strong>’s <strong>ESG</strong> 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. Ask<br />

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 any<br />

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 and<br />

gender-based violence and strict measures<br />

against sexual harassment in its own<br />

operations. The enterprise should articulate<br />

its expectations of suppliers and other<br />

business partners to likewise adopt a policy<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 respond<br />

quickly to short lead times and changes in orders, to specialize in certain tasks. Outsourcing, however, can also decrease transparency in the supply chain<br />

and has been demonstrated to increase the risk of human rights and labour abuses and environmental impacts in higher-risk contexts. Therefore the due<br />

diligence measures that <strong>EK</strong> <strong>Fashion</strong> should take to mitigate these risks should be increased. Source: OECD due diligence guide<br />

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Appendix: Responsible Business Conduct <strong>EK</strong> <strong>Fashion</strong><br />

on sexual harassment and sexual and<br />

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 of<br />

association and collective bargaining are<br />

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 of<br />

discrimination and shall have access to all<br />

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 to<br />

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 />

<strong>EK</strong> <strong>Fashion</strong> works with its suppliers to make<br />

salaries transparent and to establish living<br />

wages that are paid to employees to provide<br />

for the basic needs of the employee and his<br />

family. Together, we formulate measurable<br />

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<br />

exceed 12 hours per week, shall not be<br />

demanded on a regular basis and shall<br />

always be 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<br />

promoted, bearing in mind the prevailing<br />

knowledge of the industry and of any<br />

specific hazards. Appropriate attention shall<br />

be paid to occupational hazards specific to<br />

this branch of the industry and assure that<br />

a safe and hygienic work environment is<br />

provided for. Effective regulations shall be<br />

implemented to prevent accidents and<br />

minimise health risks as much as possible.<br />

Physical abuse, threats of physical abuse,<br />

unusual punishments or discipline, sexual<br />

and other harassment, and intimidation by<br />

the employer is strictly prohibited.<br />

No Sandblasting<br />

<strong>EK</strong> <strong>Fashion</strong> 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 to<br />

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 />

<strong>EK</strong> <strong>Fashion</strong> needs a commitment to hear<br />

grievances from workers, to provide a<br />

“reprisal-free” complaints mechanism (e.g.<br />

operational-level-grievance mechanism)<br />

and to maintain the confidentiality of<br />

workers or employees who raise complaints.<br />

For example Amfori has an online grievance<br />

mechanism at their website. It provides a<br />

platform for individuals and organizations to<br />

submit a grievance if they feel they have<br />

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 and<br />

establish effective policies and procedures<br />

that reflect their environmental responsibility.<br />

They will see to implement adequate<br />

measures to prevent or minimise adverse<br />

effects on the community, natural resources<br />

and the overall environment.<br />

<strong>EK</strong> <strong>Fashion</strong> 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<br />

materials, waste management, emissions<br />

and effluent treatment. The procedures and<br />

standards must meet at least the minimum<br />

legal requirements.<br />

No use of energy of non-renewable<br />

sources and minimizing Green house Gas<br />

(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 causes<br />

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<br />

cost-effective 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 to<br />

measure, report and minimize their<br />

energy consumption and GHG<br />

wherever possible.<br />

• Also, we do encourage our suppliers to<br />

make use of renewable energy sources<br />

like wind- and solar energy. We ask our<br />

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 (e.g.<br />

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<br />

to 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,<br />

by promoting water efficiency and/or<br />

reducing process dependence on fresh<br />

water amongst its suppliers. Waste water<br />

must be treated and tested before releasing<br />

to the environment. The supplier shall<br />

comply to 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<br />

far less water but causes most water<br />

pollution. This puts great pressure on the<br />

availability and the quality of water in areas<br />

where cultivation and processing take<br />

place. Water use, the source and waste<br />

water in the wet processing also deserves<br />

serious attention, because of the local<br />

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 water<br />

source (rain, groundwater, lake, 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 or<br />

air. Employees shall be protected and<br />

equipped with the right safety measures<br />

and appropriate training. Chemicals shall<br />

be 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 phase:<br />

From there it is important for our<br />

company to know which specific<br />

chemicals are used (chemical<br />

inventory) and how they are used in the<br />

processing. The use of harmful chemicals<br />

during these stages of production<br />

could be harmful for the environment<br />

and the workers and may leave traces<br />

in the final product and thus appear to<br />

the consumer.<br />

• Make a Chemical Risk assessment: An<br />

environmental or human health risk<br />

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 />

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Appendix: Responsible Business Conduct <strong>EK</strong> <strong>Fashion</strong><br />

Restricted Substances List (RSL)/<br />

Manufacturing Restricted Substances List<br />

(MRSL)<br />

The restricted substances list (RSL) in annex<br />

1 is intended to inform our suppliers on<br />

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 world’s<br />

regulations into account (incl. REACH, POP),<br />

as well as harmful chemicals 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<br />

and inform <strong>EK</strong> <strong>Fashion</strong> about test<br />

results 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 a<br />

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 about<br />

wet processing management (of sub<br />

suppliers) to eliminate hazardous<br />

chemicals from our products, to keep a<br />

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, Best<br />

Available Techniques Reference<br />

Document for the Textiles Industry,<br />

2003) 8 .<br />

Valid Processing standards<br />

A valid health O<strong>EK</strong>O-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 that<br />

no harmful chemicals are used in<br />

processing.<br />

• When commercially acceptable, we ask<br />

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 />

<strong>EK</strong> <strong>Fashion</strong> wants to lower the impact of her<br />

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) and<br />

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<br />

fibres. The standards and certifications<br />

cover the fibre production phase which<br />

impacts water-, chemical- and energy use,<br />

effluents and possibly labour conditions.<br />

They do not cover the finishing substances<br />

used, e.g. dyes that are included in the<br />

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<br />

certificates or other proof of compliancy.<br />

Valid raw material certifications<br />

In annex 4 we listed standards and<br />

certifications, related to sustainable raw<br />

materials like organic cotton, aim to reduce<br />

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<br />

processing 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 scopeand<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<br />

animal suffering in the production or<br />

supply 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 />

<strong>EK</strong> <strong>Fashion</strong> 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 />

<strong>EK</strong> <strong>Fashion</strong> does not accept Real exotic<br />

animal skins (incl. snake, alligator, crocodile,<br />

lizard and ostrich).<br />

Fur -<strong>EK</strong> <strong>Fashion</strong> does not accept animal fur<br />

Silk - <strong>EK</strong> <strong>Fashion</strong> does not accept silk from<br />

moth that have been boiled alive.<br />

Animal hair (e.g. Cashmere, Angora,<br />

Mohair) - <strong>EK</strong> <strong>Fashion</strong> does NOT permit that<br />

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<br />

animal 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 O<strong>EK</strong>O-TEX certified.<br />

Down Feathers Policy - <strong>EK</strong> <strong>Fashion</strong> does<br />

not accept Down/Feathers from live-plucked<br />

birds and from force fed birds. <strong>EK</strong> <strong>Fashion</strong><br />

only accepts Down/Feathers from meat<br />

production and prefers Down/Feathers that<br />

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<br />

Non-live 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 />

• <strong>EK</strong> <strong>Fashion</strong> only accepts wool from<br />

sheep that have not been mulesed and<br />

prefers wool that is certified to the textile<br />

Exchange Responsible Wool Standard.<br />

Recycled wool, certified according to<br />

the recycled wool standard could be a<br />

solution to prevent mulesing.<br />

Man-made Cellulosic Fibres Policy - <strong>EK</strong><br />

<strong>Fashion</strong> 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 wild,<br />

or vulnerable. <strong>EK</strong> <strong>Fashion</strong> 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 the<br />

earth’s ocean every year. Soft Plastics are<br />

also recycled such as polyethylene film and<br />

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 and<br />

packaging like recycled plastics and<br />

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%<br />

recycled paper fibre.<br />

Waste reduction - We ask our suppliers to<br />

reduce (raw) material wase as much as<br />

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 ensure<br />

that the requirements of the Responsible<br />

Business Conduct can be met.<br />

Management is responsible for the correct<br />

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. <strong>EK</strong> <strong>Fashion</strong> will<br />

be informed about non-compliances and<br />

follow up.<br />

• If the buying behaviour of <strong>EK</strong> <strong>Fashion</strong><br />

impacts the compliancy to this RBC we<br />

will be informed immediately.<br />

In our accompanied questionnaire we will<br />

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 we<br />

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 of<br />

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 <strong>EK</strong><br />

<strong>Fashion</strong>. We will inform <strong>EK</strong> <strong>Fashion</strong> 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 source on<br />

the global conservation status of animal, fungi and plant species. See https://www.iucnredlist.org/<br />

66 67


<strong>EK</strong> <strong>Fashion</strong> wants to communicate the steps we take towards a more<br />

sustainable world and how we progress in doing so in a transparent<br />

way. We hope that this annual report contributes to that. If you want to<br />

receive more information on the services we offer and about our<br />

journey to sustainable entrepreneurship, then please do not hesitate to<br />

contact us.<br />

<strong>EK</strong> <strong>Fashion</strong><br />

Koninginneweg 1, 3871 JZ Hoevelaken, The Netherlands<br />

Contact: sustainability@ek-retail.com<br />

<strong>EK</strong> <strong>Fashion</strong> is a trade name of Euretco B.V.<br />

Copyright: Nothing from this publication may be multiplied and/or published through photocopies, film, or in any other fashion,<br />

without the prior consent given by Euretco B.V. Euretco B.V. cannot be held responsible for any errors that this report may contain.

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