annual report


2020

Ending Unethical Brand and Retailer Behavior:

The Denim Supply Chain Speaks Up


 

When the Transformers Foundation was created at the beginning of 2020, we planned to focus our first annual report and recommendations on environmental issues. Then the COVID-19 crisis happened. We believe environmental issues are crucial, but the crisis has exposed how deep the cracks in the supply chain go. We have a rare window of opportunity to fix the power differential that allowed brands, retailers, and importers to walk away from their contracts with suppliers without almost any consequence. More than just enforcing contracts, we hope to build ethics and care into an industry that right now seems to have very little of either. 

We must transform the denim industry to share profits and risks fairly across the supply chain. In short, suppliers' disrespect and exploitation mean disrespect, exploitation, and mass layoffs of garment workers. We must do better.

 

 
 
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The Intent of the Report 

Because of the control that brands, retailers, and importers (BRIs) have over the supply chain, few denim suppliers are brave enough to speak to the press about the shocking behavior from BRIs. Behavior that not only transgressed legal and contractual boundaries but ethical boundaries and basic business decency. So we have stepped in to do so. We spoke to as many suppliers as possible and collected their thoughts and experiences to: 

  1. Identify the causes of the problematic relationship and power imbalance between brands and denim suppliers

  2. Put forth actionable, effective, and realistic solutions beyond the immediate crisis to enact long-term change.

 
 

We need your help.

  1. Spread the word: let’s unleash the power of our combined network, and share the release of this report with your audiences.

  2. Take the time to read the report and our calls to action to understand what you and your network can do.

  3. Share your feedback and ideas for targeted outreach with the solutions enablers identified in the report. Connect with us hello@transformersfoundation.org. We are working hard with our experts and partners network to enact on our commitments outlined in the report, our doors and ears are open to relevant ideas and feedback that drive coordinated action.

Our hope is that if the stakeholders come together to follow our recommendations and find success, the denim industry can inspire the rest of the apparel and accessories industry as we look toward a more just and equitable future.


The supply chain now has the opportunity to work together to make changes they could never make alone. This report identifies and illuminates the many problems that are fixable with collaboration and shared intentions not only from factories and mills, but from NGOs, governments, brands, retailers, importers, and the people who love to wear denim. This report is just a first step, you’ll be seeing more from us in the months ahead.
— Andrew Olah, Transformers Foundation Founder.

#ethicalizedenim