The statement below covers the policies and procedures in place during the Group’s financial year ending 23rd February 2018 to prevent slavery and human trafficking from occurring within its business activities or supply chain. The statement has been prepared in accordance with the Modern Slavery Act 2015.
The Mackays Stores Group is privately owned and, with the exception of a small investment in renewable energy, is solely focused on the retailing of clothing, accessories and homeware. We trade from over 270 stores in the UK, have 15 overseas stores operated by franchise partners and a transactional website. Total annual turnover is £174 million (net of VAT). Our Head Office is in Inchinnan, near Glasgow Airport and we also have a Buying Office in Paddington, London. There are approximately 3,400 employees, all UK based.
This statement can be considered under the following headings:
Product and product component suppliers
At M&Co we source a wide range of product from garments and footwear to home textiles and accessories. Due to the varied nature of our product offer the M&Co supply chain encompasses 17 countries, 175+ suppliers and around 350 manufacturing sites. The number of suppliers and manufacturing sites we use have been reduced by over 30% in the last year as part of an exercise to consolidate and simplify our supply chain and to enable a reduction of potential risk. Over 70% of the annual buy comes from three countries, these being China, India and Bangladesh.
We are a member of the Ethical Trading Initiative and collaborate with other members to address issues, share information and work together to improve our supply chains.
As a business we ensure that all our suppliers are aware of our strict ethical requirements and base code and we have a dedicated section in our terms and conditions, which have to be signed before business can commence. This outlines the company’s current stance on forced, bonded and child labour and has been developed in line with best practice in our business sector and International Labour Organisation guidelines. We have spent time during the year updating our terms and conditions to ensure that they continue to offer robust guidance to our supply chain partners as modern slavery is not a static concept.
Currently we ensure that all first tier manufacturing sites are audited yearly, these audits cover right to work, freedom of association and forced labour. Supply chains are highly complex and dynamic so we have used tools to look at social and human rights / trafficking risks in our key supply countries and have since begun the process of mapping second tier sites such as mills and sub-contractors, in India and Bangladesh, and will continue to work with our suppliers so that they understand the importance of declaring 2nd tier sites and to give us more visibility going forward.
We try to ensure that we visit all key supplier factories at least once a year. During these visits we check appropriate documents and spend time with the workers to better understand their situation and to try to identify any issues that may be present. We also build partnerships with these suppliers and factories to enhance those key relationships and to encourage transparency.
During the year we examined at our on-boarding due-diligence process and made it more stringent with tighter auditing criteria, as well as having meetings with 100% of all new suppliers to thoroughly understand their own supply chains as well as to communicate our own policies of what we expect as a business.
Going forward we will continue review our supply chain and further map and audit the second tier which will include printing, embroidery and washing. In line with this we will look to strengthen what we are currently doing in our first tier and try to offer a means by which workers can directly report to us any concerns.
Most of our non product purchases and purchases of services are made in the UK. We have circulated all suppliers to confirm that there is no slavery or human trafficking taking place within their organisation or supply chain.
The safeguarding of our employees’ welfare is of paramount importance and we have many controls in place to ensure that we are providing a safe, fair and rewarding environment in all our business locations. In our desire to protect employees in the workplace and to ensure slavery and human trafficking is not taking place, the following policies are in place:
Harassment and Bullying Policy
Diversity and Equal Opportunities Policy
Training Needs Analysis
Company Values Tree
Employee Assistance Programme (for confidential help and advice)
Should any issue relating to human trafficking or slavery become apparent in the organisation, swift action will be taken to protect the human rights of employees.
In locations where we regularly employ temporary workers, close working relationships have been established with an Employment agency. This agency has a presence on site and people policies are in place and have been audited to ensure good employment practices.
All of our international stores operate on a franchise model with partners who are established and proven local retail operators. We are currently trading with 6 franchise partners, in 15 stores across 9 countries. Our partners sign our standard franchise agreement which commits them to our corporate terms and conditions.
Mackays Stores Limited Board
If you have any questions or need help with your account, you may Contact Us to assist you.