BESTSELLER IN CLOSE DIALOGUE WITH ALL SUPPLIERS IN THE WAKE OF COVID-19
BESTSELLER is committed to accept delivery of orders already made and those in production through individual dialogue with all suppliers.
The entire fashion industry, including BESTSELLER, is facing one of its biggest challenges ever. For our business, as well as for our wholesale customers and retailers, the COVID-19 crisis has had an instant shock effect as almost all stores closed and the market disappeared.
Our partnership with our suppliers is invaluable to us, therefore the necessary time is being taken to have an individual dialogue with all suppliers globally. With some factories, BESTSELLER holds 80% of the capacity – with others, we are a less significant buyer. Many we have worked with for over 20 years and others we have started collaboration with more recently. It is not possible, nor would it be fair, to have one set agreement across the BESTSELLER supply chain. This is why BESTSELLER’s sourcing and buying teams have been in close discussions with all suppliers over the past three weeks. Through understanding their business needs and the specific situation they are in, we have worked hard to try to find common solutions to bring both businesses through this economic crisis, and specifically to take crucial and necessary action to ensure workers’ salaries can be paid.
BESTSELLER is committed to accept all orders from Spring/Summer that have been produced or are in the process of being produced. BESTSELLER have not cancelled orders unless it has been in agreement with the given supplier. We are reconfirming and still placing orders for Autumn, although a reduction in some volumes are sought to prevent over-production. There is a projected sales drop and to our best ability we have to forecast the demand in the market, and to what level it will recover.
Any changes in terms and volumes have been agreed with all our suppliers through these individual negotiations and all due invoices to suppliers have been paid enabling suppliers to cover their expenses. We are actively tracking that workers are paid in due time in all factories working with BESTSELLER, and will continue to follow this process carefully over the coming months.
In BESTSELLER we are fully committed to our responsibilities. We are acutely aware that our supply chain and their employees are extremely vulnerable in this situation. Their jobs, their health and their families’ well-being are paramount for us and for our future, and we will do our utmost to work with our supply chain partners to safeguard as many jobs as possible.
Our Global Sourcing Director in BESTSELLER, Michael W. Schultze, has stated:
“We will do our utmost to live up to our commitments and take delivery of garments already made and those in production. We are aware of our responsibility and we are in close dialogue with each of our suppliers on how to handle the current crisis. We have to get through this situation by collaboration and in partnerships with our suppliers”.
COVID-19: ACTION IN THE GLOBAL GARMENT INDUSTRY
BESTSELLER is working with a range of international stakeholders and membership associations to discuss and work on immediate COVID -19 emergency support, as well as more long term solutions for the industry. Today, BESTSELLER have endorsed ‘COVID-19: ACTION IN THE GLOBAL GARMENT INDUSTRY’, an initiative that has been developed by the ILO, IndustriAll and other relevant global stakeholders. By endorsing the statement BESTSELLER commits to take action to protect garment workers’ income, health and employment and support employers to survive during the COVID-19 crisis, and to work together to establish sustainable systems of social protection for a more just and resilient garment industry.
This will require all actors – governments, bank and finance institutions, international organisations, brands and retailers/e-tailers, manufacturers, employers organisations and trade unions, other stakeholders and development partners - working together urgently to develop concrete and specific measures and to make the contributions needed, consistent with organisational roles, to deliver on these priorities.