Responsibilities

Frequently Asked Questions

Ethical Trading
Environment
Community

ETHICAL TRADING

Do you issue a social and environmental responsibilities report?

We released our third annual Responsibilities Report in October 2009. This can be found here.

Do you have a code of conduct?

Yes, our code was first established in 1996, revised in 2000, and again in 2007. You can find it on the code of conduct page.

Who monitors your code of conduct?

Factories used by our suppliers must submit a valid independent party audit, no older than one year, before any orders can be placed. These audits are carried out by some of the world's largest international auditing bodies in the local language, usually with local auditors, against the Arcadia code of conduct. If issues are identified during the audit, a corrective action plan is agreed with the factory. We also review all audits internally and follow up may take place with the supplier in order to ensure compliance.

In addition to this, our trained employees visit factories on a regular basis. Among other things, they will be looking for violations of our code of conduct or issues raised during an audit which have yet to be resolved. Any concerns will be discussed immediately with the factory and we will work together with them to remedy the issue wherever possible, with emphasis on implementing a sustainable solution.

How do your factories know about your code of conduct?

Each factory must complete a factory set-up form/self assessment document, which contains details of our code of conduct. The factory signs each section of this document to acknowledge that they have received the document, that they understand and that they will comply with each section of the code. The code is also an integral part of the Supplier Handbook and is available on the supplier extranet. Our aim is for a programme of continual improvement.

What support do you provide to suppliers and factories to help them meet the code of conduct requirements?

We have recently launched the Arcadia Group Code of Conduct Guidebook which gives detailed explanations of our code of conduct expectations and how to meet these. This includes a section by section description of what is meant by each section of the code, relevant international laws or ILO conventions, common examples of non-compliance, systems, documentation and management flowcharts to overcome these non-compliances as well as examples of best practice. In addition to this, there is an in-depth chapter on health, safety and environment guidelines, with clear diagrams and photographs of best practice. Finally, the guidebook includes a chapter on management systems in terms of protecting migrant workers' rights, ensuring grievance, harassment and disciplinary procedures are implemented and an explanation of our right to organise guarantee and freedom of association policy.

Do you work with factories that use child labour?

We make it clear at the beginning of our relationship with a supplier that we will not work with any factory that employs children. This is one of the most serious violations of our code of conduct. To work with us, suppliers must agree to employ factory workers who meet the minimum legal age requirement in that country or the minimum age in our code, whichever is higher.

The United Nations define a child as any person less than 15 years of age unless local minimum law stipulates a higher age for work or mandatory schooling, in which case the higher shall apply. If, however, local minimum age law is set at 14 years of age, in accordance with developing country exceptions under ILO Convention No 138, the lower will apply.

Do you use prisoners in your supply chain?

We will not work with any factory that employs forced labour. It is one of the most serious violations of our code of conduct. If prison or forced labour is discovered during production we will address the situation immediately and ensure the wellbeing of the individuals concerned. The convention that deals with forced or prison labour is C29 Forced Labour Convention, 1930. This particular convention is referred to as the Convention Concerning Forced or Compulsory Labour and is available on www.ilo.org.

Do you support factory workers' right to join a union?

Yes, our code of conduct is very clear in this area:

We believe that every worker has the right, without distinction, to join or form trade unions of their own choosing and to bargain collectively within the law of the land of the country concerned.
We expect the employer to adopt an open attitude towards the activities of trade unions and their organisational activities.
We expect that workers' representatives are not discriminated against and have access to carry out their representative functions in the workplace.
Where the right to freedom of association and collective bargaining is restricted under law, we would expect that the employer facilitates, and does not hinder, the development of parallel means for independent and free association and bargaining.

Do you support the concept of a living wage as opposed to a minimum wage?

We support the principle of a living wage. The challenges are how to measure and then implement it. Until there is a universally agreed alternative, we rely on a solid benchmark specified by an ILO Convention and that is the minimum wage set by law in the appropriate country or local industry benchmark standards.

This is a complex topic, as many other organisations are also finding. It is important to remember that we don't own the factories that produce our merchandise so we do not employ the factory workers directly. Among the practical points with the implementation of the living wage are the numerous retailers and suppliers involved along the supply chain, the need to involve all industries and the competition for trade between countries.

We remain committed to addressing the issue and being involved in the search for solutions to the living wage debate that can be implemented in a sustainable manner. We continue to take part in active dialogue with leading NGOs and fellow retailers on this challenging issue.

Which countries are on your 'banned' list?

Currently our banned list includes Myanmar (formerly known as Burma), North Korea, Uzbekistan and Iran. The list of acceptable countries is managed centrally by the Ethical Trading department.

Why do you not have a country of origin label on your products?

We do list the country of origin on the vast majority of our products. However, the fast fashion element of our business means that some suppliers have to be flexible about which of their factories they use to manufacture our goods and, as a result, do not list the country of origin.

That said, all our suppliers still need to comply with our Code of Conduct.

Do you sell Fairtrade goods?

Topshop and Topman have developed Fairtrade ranges. In particular, Topshop has built partnerships with a number of brands to develop products that are made from organic and Fairtrade cotton.

Dorothy Perkins worked with one of its major jersey suppliers to achieve accreditation to manufacture Fairtrade certified cotton,This certification gives cotton farmers in developing countries a better deal, by ensuring that sustainable costs of production are covered and providing an additional premium for investment in their communities.

Do you use fur in any of your garments?

Topshop has a long-standing association with People for Ethical Treatment of Animals (PETA) and, like all our Brands, is committed to not selling any items made of real fur. Working with the RSPCA and its suppliers, the Brand has also started to track the sourcing of other animal products. This work has been extended to all Brands within our Group.

During 2008 we introduced a 'Declaration of Ethical Compliance for Animal Products'. We require all relevant suppliers to meet the following sourcing declarations:

Leathers, skins and feathers must only be obtained as a by-product and not be the sole purpose of the slaughter of any animal;
No products in full or part are to be sourced from endangered species from the CITES (Convention on International Trade in Endangered Species) or IUCN (International Union for the Conservation of Nature) list;
Real fur or pelts are not to be used on any products supplied to Arcadia Group;
Karakul, or any skin products that are the product of unnatural abortions are not to be used in any products supplied to Arcadia Group; and
Leathers should not be obtained whilst an animal is alive.

This declaration has been sent to all relevant suppliers. To support the initiative, Burton has withdrawn the offer of real fur sporrans from its formal hire concession business, replacing them with synthetic fur versions.

Do you sell organic goods?

Topshop currently stocks capsule ranges made from organic cotton and works with concession partners to offer organic product in store.

Does your nightwear meet all current flammability legislation?

Yes, the flammability of the clothing we sell complies with all current UK and European legislation, including:

Nightwear (Safety) Regulations 1985
Toy Safety Regulations
General Product Safety Regulations.

Who do you consider to be the key people involved in your business?

Employees, customers, product suppliers, service providers and their associated workers.

Why are you not members of the ETI?

Our own ethical trading programme - and its resultant code of conduct - has been in existence since 1996 and replicates the ETI Base Code as well as being underpinned by the ILO core conventions. We have an open dialogue with many interested stakeholders, including other retailers and pressure groups and we believe we can move our programme forward successfully without being members of any independent ethical body.

ENVIRONMENT

What are you doing to reduce your impact on the environment?

We have an extensive ongoing programme in this area and we have made significant progress on a number of fronts. We have had an energy efficiency initiative in place since January 2006 and the drive has seen some major improvements. In 2009, we reduced our carbon emissions by over 4500 tonnes across our store portfolio, three distribution centres and our head office buildings. We have nominated Energy Champions in these locations who are tasked with reducing energy, C0² emissions and associated costs. Our progress includes the following:

Supply Chain & Logistics

We work with suppliers to ensure that they are aware of all the relevant technical legislation and that they comply with the appropriate requirements concerning the use of prohibited or restricted substances
We have a modern fleet of vehicles for store deliveries. All of our new vehicles have airflow management kits to improve fuel efficiency
Driver fuel efficiency is monitored constantly. We've improved fuel efficiency through the installation of new tracking technology - called Telematics - in the vehicles we use for store deliveries. In addition, in September 2009 we launched a driver coaching programme called SAFED (Safe and Fuel Efficient Driving).
Vehicle loads are planned carefully to ensure that vehicle load fill is optimised and mileage is minimised.
During 2009, our CO² emissions per delivery from our Spectrum for Arcadia fleet have reduced by 10%.
We trade from seven brands and our out-of-town shopping concept, which together total around 2,500 outlets. We consolidate deliveries for some brands to minimise the number of vehicles going into city centres
We are reviewing heating, lighting and air-conditioning systems in our delivery centres. Our DC in Leeds, for example, has reduced its energy consumption by 11.1% in 2009 compared with 2008.
We've introduced dry recycling at our Distribution Centres (DC) and an assessment of our water consumption at a key delivery centre began during 2009. Investigations into how we reduce usage are now underway, including how we use 'grey water'.

Stores

We are re-cycling clean waste (plastics and cardboard) at more than 550 stores
We collaborate with Severnside Recycling, our waste management partner.
We have piloted re-wiring work at our largest store, London's 214 Oxford Street, to isolate essential and non-essential lighting during non-trading hours.
Energy efficient lamps are replacing standard ones across the entire store portfolio - both in new stores and existing ones. To date we have changed 185,000 lamps and we expect all lamps to be switched over by 2010.
Most stores have energy smart metres installed and those consuming gas are currently being fitted with a gas smart meter.
In 2009, work began to develop a 'blueprint' for environmentally friendly store development. The intention is to develop a template for stores which have a reduced impact on the environment in terms of lighting, illuminated signage, heating and cooling.
In 2009 we recycled 6130 tonnes of mainly polythene and cardboard waste and reduced our landfill waste by 1667 tonnes.
We've reduced the overall weight of the bags we use in store by 12.8% and teams now ask customers if they would like a bag for their purchase.

Head Office

All paper disposed of at our Head Office is recycled, and we have an arrangement with our landlord to collect cardboard to be recycled. Action Aid Recycling collects ink and toner cartridges.
Plastic cups from water coolers disposed of in special bins are collected every two weeks by Save a Cup to be recycled. Special bins are located by or near to every water cooler.
We offer a wide choice of company cars and CO² emissions are highlighted so that employees can make informed decisions. We have a below average industry mileage pattern of about 6,000 business miles travelled per car and our overall CO² on company cars is better than industry standards at 164 g/km.
We encourage car sharing and pay a passenger allowance.

Do you comply with the RoHs (Restriction of Hazardous Substances) and WEEE (Waste Electrical Electronic Equipment) Directives?

We have procedures in place to ensure that all our suppliers are educated and comply with all aspects of this environmental legislation. We have registered with Valpak to ensure we comply with both our 'Distributor' and 'Producer' obligations set out in the WEEE Directive.

What is your waste recycling policy?

Arcadia is working towards sending zero waste to landfill and will use various technologies to enable us to achieve this goal. We are working with our partners to gain fuller control over our waste streams and our policy is to minimise waste coming into the business and to recycle as much as possible.

Three million hangers are recycled by our stores and over 11 million via our hanger partner Mainetti. More than 550 of our stores recycle around 85% of their waste, which is made up of cardboard and polythene. A further 340 handle recycling via their shopping centre or retail park management. Meanwhile, we are targeting a further 800 stores across our estate to achieve similar levels of recycling.

In our head offices and distribution centres dry recycling is being collected. This includes non-confidential office paper, newspapers, magazines, mineral water or drinks bottles and cans.

What's your approach to washing instructions and advising customers to wash at 30 degrees?

We have a common approach across all our Brands to promote 30 degree washing across all appropriate washable product.

COMMUNITY

What are you doing to assist the disabled community?

The majority of our stores allow access to all floors for customers with disabilities. We have plans in place to improve access where possible, which would bring that level to 90% of our estate. Where access to all areas of a store is not possible we offer alternatives including a 'personal shopper' service where a selection of items of clothing can be brought by our staff to the customer. In addition, many of our brands can offer accessible shopping at alternative nearby stores.

All our brands offer on-line shopping. Customers can access merchandise via the internet and all our online stores are optimised for accessibility.

We are constantly looking at ways we can improve the shopping environment for all our customers and we are happy to meet with individuals or groups who wish to discuss concerns or new ideas.

How do you ensure you play a valuable role in the community, both nationally and locally?

We are committed to playing a valuable role in the community and work closely with a number of charity partners both at group and brand level.

All our brands have a selected charity partner and are active in fundraising for them. Often fundraising is driven by our retail employees and takes place at a local level at events in store or through activities by individual members of staff.

Many brands also work with their charity partners to create exclusive products sold in store to raise funds. For example, Burton worked with the British Forces Foundation to sell two specially designed t-shirts featuring images from the iconic 'Dad's Army', raising £10,000 and Dorothy Perkins' partnership with Breast Cancer Care has raised a total of £2 million to date.

In total over 2009, our brands and head office activities raised over £1.2 million and our distribution centres donated 65,000 garments to charity.

We also promote learning and the development of talent within the retail industry through our support of the Fashion Retail Academy.