In response to a referral by French MPs, the Organisation for Economic Co-operation and Development (OECD) has launched a comprehensive inquiry into Chinese apparel giant Shein’s social and environmental practices in the French market, specifically focusing on its corporate social responsibility (CSR). This investigation, conducted in France, involves a series of hearings scheduled for the upcoming months.
French Socialist MPs submitted the application on June 20 to the OECD’s National Contact Point (NCP) in France. After formal acceptance, the NCP engaged in an initial meeting with Shein’s representatives on September 6. The OECD, in a press release on November 14, acknowledged the detailed evidence provided by complainants, paving the way for an initial assessment. The NCP will consider Shein’s responses in subsequent proceedings.
The referral by French MPs addressed several critical issues, including Shein’s adherence to local laws, labor regulations, duty of vigilance requirements, human rights, working conditions, and the environmental impact of its business practices.
The MPs characterized Shein as a symbol of «hard fast fashion,» expressing concerns about the company’s manufacturing and supply chain practices in France. They specifically highlighted the introduction of 8,000 low-priced items daily and raised questions about the working conditions of Chinese laborers meeting such demands.
Reactions to the OECD investigation were prompt, with the president of the French Ready-to-wear Federation welcoming the inquiry and emphasizing the necessity for Shein to align with international regulations and French law.
Shein is concurrently under scrutiny in the USA, where regulators have accused the company of exploiting customs loopholes. This investigation underscores the escalating concerns surrounding the social and environmental impact of fast fashion practices, urging companies to adhere to international regulations and ethical standards.