Impact of Covid-19 on management to eradicate modern slavery from global supply chains: A case study of Indian fashion supply chains

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Modern slavery describes cases of extreme exploitation of people in economically deprived situations that leave them with no choice but to take any paid job; and often paying an outlandish recruitment fee to secure the position. Modern slavery pre-dates Covid-19 and has been found to be particularly prevalent in India and within Indian clothing and fashion supply network for international brands and retailers. The economic and political responses to the pandemic in high value export markets such as the UK, as well as local responses in manufacturing countries such as India, are likely to increase the existing vulnerabilities of these workers to modern slavery.Claiming force majeure in light of the significant down turn for clothing and fashion retail in the UK and other international markets, fashion brands and retailers have cancelled payments for delivered products and have also postponed or cancelled contracted orders placed with manufacturers in many developing countries such as Bangladesh, Cambodia, India, Sri Lanka, Turkey and elsewhere. As a consequence of these corporate decisions and the economic lockdowns in these many of these countries, the pressure on fashion suppliers is more intense than ever before. As a consequence, there is a high likelihood that workers in fashion factories will be exposed to greater risks of modern slavery issues. For an industry associated with a very wide range of modern slavery issues, the impact of Covid-19 on welfare, well-being and legal rights for millions of workers could be the most dramatic the industry has ever seen.Fashion brands and retailers in the UK with an annual turnover in excess of £36 million are required through the Modern Slavery Act 2015 (MSA) to investigate and monitor the extent to which their global supply chains are at risk of modern slavery. Incidences of modern slavery need to be addressed and progress in eradicating modern slavery reported annually. Although previous research by this project team found that there are pockets of good practice within the UK fashion industry for adherence to the MSA, the relatively low value and poor profitability of the sector, and its reliance on complex global supply chains leaves the industry, and its associated workers exposed to high risk issues for non-compliance to the MSA. The rapid and deep cutbacks in the UK fashion market leading to cancellation or postponement of orders are highly likely to create even more tension in the ability of brands and their suppliers to adhere to Modern Slavery Act.The objective of this project is to use baseline data collated from a recently completed project funded by the British Academy/DFID to assess how the industry and suppliers in India have reacted to the Covid-19 pandemic and associated lockdown strategies and the short term and long term implications for workers within the industry.By using the pre-Covid-19 findings and working with the same partners and industry stakeholders, a direct comparison between pre and peri-Covid-19 can be made to determine areas of increased risk for workers. By identifying these risks, opportunities for improved guidance and development of policies can be determined to mitigate these risks.The potential longer-term impacts of the pandemic on the protection of workers in the global supply chain will be explored by understanding how it has affected the relationships between UK fashion brands and their suppliers and the brands' commitment and resources to eradicate modern slavery. We will draw implications from this on the appropriateness of the MSA.