Ethical fashion report: Shein outscores several Australian retailers

Shein, the Chinese online fast-fashion retailer, scores higher on ethical standards than several well-known Australian retailers, according to the 11th ethical fashion report from the Australian aid organisation Baptist World Aid, released on Tuesday. The findings matter because they show how weak protections for supply-chain workers remain across the fashion industry.

How companies were assessed

The study covered 138 Australian and international companies representing 543 fashion brands. Each was scored out of 100 across five supply chain topics, including worker empowerment and environmental sustainability. Criteria included factory audits, workers' rights training and assessment of the environmental effects of a company's top three fibres. Researchers analysed more than 15,000 data points.

Shein scored 28, below the average of 31.5, but ahead of Myer (20), Windsor Smith, Ghanda and Boardriders, the owner of Quiksilver (3). Windsor Smith and Ghanda scored zero, as did Temu, another Chinese e-commerce site. Seafolly received one point, 2XU two, and Bec and Bridge three. The top score, 94, went to Australian underwear label Mighty Good Basics, which the report called an "outlier".

Disclosure matters

Shein gave the researchers additional information, while Myer, Seafolly, Ghanda, Windsor Smith, Boardriders, 2XU and Bec and Bridge did not. Companies that did not participate were assessed only on public information, which tends to produce lower rankings; this applied to 58% of businesses. The organisation said it contacted companies about 16 times by email over a 13-month period.

Some brand owners have previously objected to such reports' methodology, arguing that a focus on a living wage can lift international fast-fashion brands in the rankings.

Little overall progress

Baptist World Aid's ethical fashion lead, Katherine Halliday, defended the methodology. She said Shein's improved score reflected public scrutiny and resulting changes in its practices. The average overall score has risen just 0.2% since the 2024 report. Halliday said a modern slavery statement alone is not enough and that more government action is needed to compel companies to improve. Temu said all its sellers must comply with a third-party code of conduct that prohibits forced, penal or child labour.