“All our supply chain partners are screened and assessed at the onboarding stage to identify any human rights and modern slavery risks. We require all our partners to acknowledge and sign the Principles to ensure mutual agreement that any form of modern slavery, included forced, bonded or involuntary prison labour, is not permitted under any circumstances. Adherence to the Principles is included in our contracts with supply chain partners. Before any new supply chain partner is approved, we assess them for any indicators of forced, bonded or trafficked labour in line with our social compliance procedures. For raw material suppliers, if during this risk assessment a vulnerable workforce or geographical location risk is identified, a full audit will be completed, and the results and the remediation plans (if any) will be evaluated before a decision on providing approval is made. Should remediation be unsuccessful at any stage and a supplier not meet our strict criteria, we will not pursue any working relationship with them.” (Page 12)

“Based on the findings of the assessment conducted at the onboarding stage, a new finished goods supplier will either be approved for production or will require a full on-site Ethical Trading Audit. We have a team of ethical trading experts within our Responsibility team who carry out ethical audits across our supply chain and are supported by interpreters and cultural facilitators where required. External accredited auditing agencies are also appointed to conduct audits. Audits, announced or unannounced, consist of worker interviews, document reviews and site tours, and are conducted ahead of onboarding based on the social risk associated with the partner. The audit gradings range from Excellent where no issues have been identified, then Minor, Major, Critical and Business Critical where serious findings have been identified. Our Critical procedure regulates instances of Critical and/or Business Critical partners, including those who have not engaged in adequate disclosure or been onboarded (i.e. unauthorised subcontractors). According to our Critical procedure, both a Business Critical and a Critical partner would be rejected at onboarding, unless, in the latter case, immediate commitment is shown to address limited impactful non-conformities within a suitable timeframe. All audited facilities receive a corrective action plan, which our Responsibility team works on with the facilities to monitor and support implementation. Action plans will focus on improvements to systems to prevent and/or remediate modern slavery, as well as better management of both human rights and health and safety risks. During our regular monitoring activities, we aim to ensure a partner’s ongoing compliance and continuous improvement against an agreed corrective action plan, providing support and guidance where needed. The frequency and type of audits depends on the previous audit grading and the risk associated with the partner. Based on that, we aim to audit our partners no less than once every 36 months, in cases of low risk and previous Excellent gradings. We have a target that all our material1 finished goods suppliers are audited against our Ethical Trading standards, and 71% of our finished goods suppliers were either audited or remained in scope of their most recent audit during FY 2023/24. This year we conducted 495 on-site audits, 100 desktop assessments and 106 induction trainings across both our finished goods and raw material supply chains. During FY 2023/24, only 1% of our finished goods suppliers were identified to have Critical or Business Critical findings and managed in alignment with our Critical procedure.” (Page 12)

Burberry has a team there performs ethical audits across their supply chain that are both announced and unannounced. It is expressed that consist of employee interviews, site tours, and document reviews.