The strategy had been recommended to the online fashion retailer during a virtual evidence session with the group’s executives in December 2020.
In turn, Mahmud Kamani, co-founder and joint CEO at Boohoo, has reportedly made the EAC aware of the company’s consideration of the move that would “demonstrate a genuine commitment to environmental and social responsibility”.
Philip Dunne, chair of the committee, said: “Boohoo’s response to our committee’s letter sends promising signals that we are reaching a turning point in fast fashion’s awareness of its environmental and social responsibilities.
“It is welcome news that the board is considering aligning senior executive bonuses with making ESG improvements, and I look forward to hearing whether this is being taken forward.”
The announcement follows further discussions between Kamani and the committee, where Boohoo’s CEO said he was “grateful” for the acknowledgment of the firm’s progress it was making regarding its “commitment to UK manufacturing”.
“This spotlight on Leicester may have encouraged Boohoo to take steps to clean up its supply chain. Once the publicity dies down, I hope these changes remain in place for years to come with a renewed pride in ‘Made in Britain’ items and certainty on improved workers’ rights.”