May '25 | How to Just Transition in Bangladesh, EU Supply Chain Law Under Fire, and more...
In our ongoing commitment to providing insight into the evolving landscape of labor and environmental rights within the textile and garment industry, we offer updates on the latest developments and progress, with a particular focus on developments in Bangladesh.
Among other intriguing topics, this issue explores the growing backlash against the EU’s proposed Supply Chain Law and what it could mean for global corporate accountabilty. The collected articles also examine the environmental and social costs of the green transition of Bangladesh’s garment sector – a topic that is also picked up by the online expert talk this Monday on Just Transition in the Textile and Garment Industry (see event tips).
With our website and this News Update, we aim aim to deepen understanding and drive progress in labor rights and sustainability.
We hope you enjoy!
Your project team
STUDIES & REPORTS
New Edition of Fashion Checker Highlights Persistent Wage Gaps
The latest edition of Fashion Checker has just been released, featuring updated data and a refreshed website design. The platform now includes detailed information on brand transparency around Collective Bargaining Agreements (CBA) and Freedom of Association (FOA). New worker survey data from Turkey and Serbia further illuminates ongoing wage gaps, with many workers still earning below a living wage. A new visual on the homepage highlights the stark disparity between actual and living wages in key production countries.
Circularity in Crisis: 2025 Report Warns of Stalled Progress
The Global Circularity Gap Report 2025 reveals a sobering picture of the planet’s resource use: the world remains largely linear, with circularity rates stagnating despite increasing awareness and commitments. The report emphasizes the urgent need for a coordinated global shift to a circular economy, one where waste is minimized and resources are reused across production systems. The message is clear: without systemic change and accelerated collaboration between government, businesses, NGOs, and academia, the circular economy will remain more promise than practice.
Financing Change: New Report Maps Path to Decarbonize Bangladesh’s Apparel Sector
A new report from the Apparel Impact Institute, titled Landscape and Opportunities to Finance the Decarbonization of Bangladesh's Apparel Manufacturing Sector, presents a strategic roadmap to cut industry emissions by 50% by 2030. The report identifies a $1 billion financing gap and outlines how it can be closed through blended finance mechanisms and targeted investments. Bangladesh, as the world’s second-largest apparel exporter, plays a pivotal role in global climate efforts, and this report offers a concrete plan to align the industry’s growth with sustainability goals.
NEWS
Delayed Payment of Wages at Natural Wool, Bangladesh (New Textile Incident)
Garment workers at Natural Wool Wears Ltd, a supplier to a member brand of the Partnership for Sustainable Textiles, staged a walkout after their March wages were paid over three weeks late—and only partially. Although full wages were subsequently disbursed, the employer responded by closing the factory. A protest demanding the factory’s reopening was held. Tensions escalated further when several workers were attacked by outsiders after a meeting between the employer, workers and the police.
Violation of Workers’ Rights at Fine Spinners Ltd, Uganda (New Textile Incident)
IndustriAll Global Union reported on a specific case of labour rights violations at Fine Spinners Uganda Limited. These labour rights violations include union busting, delayed payment of wages, extremely low wage as well as sexual harassment. Despite over 50% unionization, the company has refused to sign a recognition agreement for over a decade, even defying a government directive. Fine Spinners Uganda is listed in the Open Supply Hub as a supplier to a member company of the German Partnership for Sustainable Textiles and as a registered partner of Cotton Made in Africa. The union has petitioned Uganda’s parliament, calling for immediate investigation and reform.
EU Supply Chain Law Under Fire: Legal Fears, Political Pushback, and Corporate Accountability at Risk
The EU’s proposed Corporate Sustainability Due Diligence Directive (CSDDD), intended to hold companies accountable for environmental and human rights violations across their supply chains, is facing growing resistance. Legal experts warn of a potential “climate litigation wave” against businesses (article in German), arguing that vague liability provisions could expose firms to unpredictable lawsuits. Meanwhile, political opposition intensifies: During his first visit to Brussels as head of government, German Chancellor Friedrich Merz called for the cancellation of the directive, stating, “We will revoke the national law in Germany. And I also expect the European Union to follow suit and really cancel this directive,” while standing alongside European Commission President Ursula von der Leyen. Civil society voices, however, denounce the delays and dilutions of the directive as a "tragedy in five acts," (article in German) accusing EU policymakers of prioritizing corporate interests over meaningful reform. The future of the law hangs in the balance, with significant implications for labor rights enforcement and environmental accountability in global supply chains.
Fair Fashion? Not Always What It Seems (in German)
This article challenges the assumption that clothing produced in Europe is inherently more ethical than that made elsewhere. Berndt Hinzmann, a supply chain expert at the development organization INKOTA and part of this News Update’s project team, emphasizes that "Fast fashion is not just a China problem—European brands play by the same rules." He points out that even garments labeled as "fair" often fail to guarantee living wages or safe working conditions. The article highlights that the country of production is not a reliable indicator of ethical practices, as issues like low wages and lack of union representation can also be prevalent in European manufacturing hubs. Hinzmann advocates for greater transparency in the fashion industry and urges consumers to support robust supply chain legislation to drive meaningful change.
PRODUCTION COUNTRIES
Bangladesh
Patriarchal Backlash Against Women's Rights Reforms in Bangladesh
In her opinion piece titled Stop Mansplaining Us Out of Our Own Realities, Sushmita S. Preetha critiques the vehement opposition from conservative groups like Hefazat-e-Islam to the Women's Affairs Reform Commission's recommendations in Bangladesh. Preetha argues that this resistance is less about religious doctrine and more about preserving patriarchal control, particularly concerning issues like equal inheritance rights. She highlights that while classical Islamic jurisprudence allocated women half the inheritance of men based on historical economic contexts, such justifications are outdated in modern Bangladesh, where many women are primary earners and heads of households. Preetha calls for a reevaluation of entrenched gender norms and advocates for reforms that acknowledge and support the evolving roles of women in Bangladeshi society.
Bangladesh Advances Toward Ratifying ILO Convention 190 on Workplace Violence and Harassment
Bangladesh is taking steps to ratify ILO Convention No. 190, which aims to eliminate violence and harassment in the workplace. At national dialogue in Dhaka, key figures from the Ministry of Women and Children Affairs and the Ministry of Labour and Employment expressed readiness to support the ratification and implementation of the convention. This move is part of broader efforts to reform the Bangladesh Labour Act and introduce legislation targeting sexual harassment, aiming to ensure safer, violence-free workplaces for all, especially women who face abuse not just at work but also during commutes and at home.
Toxic PFAS Pollution in Bangladesh's Textile Industry Sparks Environmental Alarm
A recent seminar titled PFAS Pollution and Public Health in Bangladesh and organised by Waterkeepers Bangladesh has brought to light the significant environmental concerns arising from the extensive use of per- and polyfluoroalkyl substances (PFAS) in Bangladesh's leather and textile industries. These highly toxic chemicals, often referred to as "forever chemicals" due to their persistence in the environment, have been found in alarming concentrations in water and soil samples near industrial areas. Experts at the seminar emphasized the urgent need for regulatory measures and industry reforms to address the escalating pollution levels and safeguard public health and the environment.
Green Transition in Bangladesh's RMG Sector Raises Concerns Over Worker Welfare
As global buyers increasingly demand greener supply chains, Bangladesh's ready-made garment (RMG) sector faces mounting pressure to adopt renewable energy systems and meet sustainability certifications. While these changes aim to reduce environmental impact, they have inadvertently led to stagnant wages and job insecurity among workers. Furthermore, Md. Shamsuddoha of the Centre for Participatory Research and Development highlighted the lack of financial support from global buyers, noting that manufacturers are bearing the brunt of the transition costs without corresponding increases in product prices. This situation underscores the need for a Just Energy Transition.
See event tip “Just Transition in the Textile and Garment Industry”, Expert talk this Monday 26th May, in German.
India
The children of garment workers are trapped in the 'gig economy'
This article details how children of garment workers in India, disillusioned by the harsh realities of factory work—marked by low wages, long hours, and workplace harassment—are turning to gig economy jobs like app-based food delivery. However, these roles often come with their own set of issues, including lack of job security, absence of health benefits, and exposure to physical risks. The piece underscores the systemic failures of global fashion brands and policymakers in providing sustainable livelihoods, leading to a cycle of poverty and exploitation that spans generations.
China
The Hidden World Behind Shein Village
This report focuses on the human cost behind low-priced, rapidly produced clothing as it reveals that “Shein Village” is not a single location but a network of small garment workshops across Guangzhou, China. These workshops, often family-run, operate under intense pressure to meet rapid production demands. Workers, many of whom are migrants, endure long hours and unstable workloads to fulfill the ultra-fast fashion model. While Shein is a prominent client, these workshops also supply various other fast fashion brands, highlighting a systemic issue within the industry.
NETWORK & EVENTS
26th May 2025, 7pm - 8:30pm CET, Online Expert Talk:
Just Transition in the Textile and Garment Industry (in German)
This event will explore the concept of a Just Transition in the textile and garment industry. Researcher Marie-Sophie Keller will discuss how climate and labor justice can be pursued together—ensuring that sustainability efforts do not come at the cost of workers’ rights. The session will address the risks of exclusion and exploitation in the global shift toward greener production and explore strategies for socially fair transformation. Register here.
We invite you to contribute events and networking opportunities for future editions by contacting us at
About Textile Insight
Our News Update is a monthly publication that serves as a chronicle of news, insights, and analysis, striving to amplify the voices of workers and advocating for meaningful change within the textile industry. This is an open invitation to all interested parties who wish to support an ambitious, sustainable textile industry and become part of this new network. If you have suggestions for specific topics or wish to submit news or information under the "Network" category, please feel free to write to
Textile Insight is a part of the Multi-Actor Partnership for Improved Due Diligence Implementation in the Textile Sector, a collaboration between Bangladeshi partners ESDO and BILS along with German civil society organizations HEJSupport, INKOTA-netzwerk e.V., SÜDWIND e.V., and FEMNET e.V. Further project partners include WageIndicator, MFNV and BLF.
Our project focuses on Community- and Worker-based Monitoring to address labor rights violations and environmental risks from a rights holders' perspective. The aim is to improve working and living conditions and enhance the due diligence of purchasing brands.
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