Published on 12:00 AM, September 16, 2014

H&M signs deal with ILO to improve supply chain

H&M signs deal with ILO to improve supply chain

Swedish retailer H&M yesterday signed an agreement with International Labour Organisation to improve its supply chain management, according to a statement.

The cooperation between H&M and the ILO dates back to 2001, when H&M joined the ILO Better Factories programme in Cambodia, the retailer said in the statement. The new strategic partnership will promote a wide range of activities with the aim to further strengthen the sustainability work in H&M's supply chain.

The activities will be both at the global, national and enterprise levels in a large number of countries.

The partnership is also intended to establish a positive model for other operators and create a global alliance to promote the ILO's Decent Work Agenda.

“Issues in the garment industry are systemic and require action that helps develop effective industrial relations and promote respect of international labour standards,” ILO Director-General Guy Ryder said.

“There is, therefore, an urgent need to establish strategic and comprehensive collaborations with companies that have experience in these fields, such as H&M,” Ryder said in the statement.

The ILO has a tripartite structure with governments, employers' organisations and workers' organisations from 185 countries as members.“We see the cooperation as a great opportunity to further strengthen our work towards the establishment of well-functioning industrial relations on all our strategic production markets,” said Karl-Johan Persson, CEO of H&M.