Quiz cuts ties with supplier after illegal wage claims
FAST-FASHION brand Quiz has severed ties with a major supplier after admitting that a factory in Leicester could be paying illegal wages to workers.
The retailer said it was extremely concerned by allegations that a partner firm was paying employees as little as £3 an hour.
Bosses have carried out an initial investigation and believe that one of Quiz’s suppliers has used another firm for the work, breaching its code of conduct. Quiz said: “It is this subcontractor that is subject of the national living wage complaint.”
The company has stopped working with the main supplier while it looks into the claims further.
It comes a week after similar claims wiped £1.8bn off the value of rival Boohoo, putting the UK supply chain under the spotlight once again.
Glasgow-based Quiz runs more than 70 stores across the UK and has another 174 concessions at department stores such as Debenhams. It employs more than 1,500 people in Britain and Ireland. The business said: “The group is currently investigating the reported allegations, which, if found to be accurate, are totally unacceptable.”
Quiz put its stores into administration last month after being hammered by the Covid-19 pandemic, with 93 staff losing their jobs.
An undercover reporter for The
Times said she had been told by bosses at the factory in question that she would need to work unpaid for two days before getting a job that would pay between £3 and £4 an hour. The living wage is £8.72 for someone over the age of 25.
The firm said it would launch a full review of how it audited the supply chain to ensure it was robust enough.
It has insisted that it will cut ties with any supplier that does not meet its standards.
The business is also seeking to draft in independent experts to provide more regular audits of suppliers in the Leicester region.
“Quiz monitors its supplier base through audits and site visits”, the company added, and has “clear-cut social responsibilities and legal obligations”.
The stock was trading up 2pc in noon trade.