Global fast fashion retailer Shein recently took a major step closer to listing on the London Stock Exchange (LSE) as reported by Reuters. The UK’s Financial Conduct Authority (FCA) has given its approval for the listing despite evidence and pressure from rights groups all pointing to modern slavery. The company is under fire due to a lack of transparency and suspected forced labor in their supply chain.  

Unethical any way you slice it 

Evidence-based accusations of dirty practices have plagued Shein’s ethical reputation almost from the start. From worker exploitation to copyright infringement to environmental harm, Shein has it all. This results in low prices for consumers, as someone else bears the cost. In 2022, laboratory tests found that some of Shein’s cotton was sourced from the Uyghur Region, an area almost synonymous with forced labor. That’s why rights campaigners and the Fashion Council opposed Shein joining LSE.  

In a letter written to the LSE in response to Shein’s application, the chair of a British parliamentary committee Liam Byrne asked,  

“What checks, if any, the London Stock Exchange has in place to authenticate statements by firms seeking to list, with particular regard to their safeguards against the use of forced labor in their products.” 

The letter went on to raise credibility concerns about the evidence given by Shein’s representative during a hearing. The letter stated there was a “lack of response” by Shein’s general counsel to questions about their supply chain. Byrne stated that due to the silence, the committee remained “profoundly concerned.” 

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