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“Purchasing Practices

All workers in our supply chain are entitled to a wage earned during legal working hour limits that meets the basic needs of themselves and their families, including some discretionary income. We view our purchasing practices as an essential enabler to helping us achieve a living wage for our supply chain workers.

In 2015, ASOS joined forces with international brands and retailers, alongside IndustriALL Global Union, to be part of the ACT (Action, Collaboration, Transformation) initiative. Through our participation in ACT, we have signed a Memorandum of Understanding with IndustriALL Global Union that commits us to working with others in the sector to improve wages in key garment sourcing countries through collective bargaining. Together, ACT signatories have agreed sourcing and buying commitments that are linked to the achievement of an industry-wide collective agreement.

Within the ACT framework, we have conducted internal and external surveys on our purchasing practices, covering areas including sourcing strategy, forecasting & capacity planning, price negotiations, changes to orders and terms of payment. Findings from these surveys are used to identify areas for improvement and set internal targets.”