The Stockmann Group engages in an ongoing dialogue and in regular auditing of the producing factories, both through its own audits and the BSCI audits to identify negative human rights impacts according to our risk analysis.
A total of 257 BSCI audits were conducted in factories located in risk countries that manufacture Stockmann’s own brand products for the company’s department stores and fashion chains in 2018. The BSCI audits are conducted by internationally accredited independent auditors. In addition to these external audits, the Stockmann Group’s CSR specialists working in our purchasing offices carried out 66 audits.
After each audit, be it an amfori BSCI audit, own audit or Accord inspection, an audit report with a corrective action plan is put together. Each task on the corrective action plan is given a deadline and progress is monitored. The amfori BSCI audits are conducted by internationally accredited independent auditors. None of the factories producing for the Stockmann Group received the audit result ‘unacceptable’ or were caught with zero-tolerance issues. The main findings in the audits were non-compliance with the requirements on working hours or allowing one day off every seven days, and issues with health and safety, the management system and fair remuneration.
Improving fire and building safety in Bangladesh
Stockmann is committed to improving factory safety in Bangladesh, which is one of our most important production countries. In 2013, we joined the Accord on Fire and Building Safety in Bangladesh, due to the risk posed by substandard factory buildings in the country. According to the agreement Stockmann is committed to having all of the factories producing garments for the Group audited on the basis of three different inspections, concerning fire safety, electricity and structural issues. The first contract period expired in the spring of 2018, but Stockmann has committed to the transition Accord, with the aim of finishing the detected improvements needed in the factories within the original Accord and to transfer the responsibility to the local government as soon as possible. The situation will be monitored every 6 months until the local government is ready to take charge or until 2021. By the end of 2018, 89% of all the issues in all the factories within the Accord had been remediated, and 93% of those found in factories producing for the Stockmann Group.