Australia’s Cotton On starts investigating usage of forced prison labor by China’s Zhejiang Yunguang Printing

On Tuesday, Australian clothing retailer Cotton On Group stated, it is investigating a Chinese supplier over fears that it uses forced prison labor.

The development comes in the wake of British supermarket operator Tesco PLC suspending ties with the same supplier over the same fears.

As reported yesterday, Tesco launched an investigation into Zhejiang Yunguang Printing following media reports of a customer finding a message inside a Christmas card produced by Zhejiang and bought from one of Tesco’s stores, which states that the product had been packed by foreign prisoners.

“On becoming aware of the issue the Cotton On Group has launched an investigation into the supplier,” said Greer McCracken, communications general manager at Cotton On.

In a statement, Cotton On said it has zero-tolerance towards any form of modern slavery, including forced labor.

According to Tesco, the Christmas cards were produced at a Zhejiang Yunguang Printing factory, located close, around 60 miles (100 km) from, to the Shanghai Qingpu prison.

On Monday, China’s foreign ministry had dismissed accusations of forced labor at the Shanghai prison.

On Monday, ABC News had also reported that Zhejiang Yunguang Printing lists U.S. firms Walt Disney Co and Big Lots Inc among its international partners.

Neither Disney nor Big Lots responded to requests for comments.

Categories: Creativity, Entrepreneurship, HR & Organization, Regulations & Legal, Strategy

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