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Restoring Balance in Fashion: Legislation and Beyond

LAW & CHANGE 

In our last article we spoke about the power that each of us has to influence change, and the various things that can affect the Fashion industry towards improvement. Legislation is a major topic, which comes in when change is necessary for a society. 


In this article we want to look at some recent developments in fashion sustainability legislation, to give you an idea of what bodies are working on this, and at what scale. 


INTERSECTION OF LAW & FASHION SUSTAINABILITY


Fashion has been described as a “lawless world” (Maxine Bédat, author of Unraveled: The Life and Death of a Garment). As a space for boundless expression and creation, fashion brands can quickly become problematic, contributing to waste colonialism, cutting corners in their supply chain with unethical labor and environmentally damaging practices. In contrast to other industries, fashion lacks proper regulation.   


It’s about time fashion saw some law and order. Luckily, the regulatory landscape is evolving towards new fashion-centric legislation that prioritizes due diligence in the fashion supply chain. In this article we dive into EU, US and Canadian legislation that is working to restore order in our fashion system.



Photo by Pierre Le Tan


👉 US Laws & Directives

1. The New York Fashion Act (Fashion Sustainability & Social Accountability Act)

a. Introduced in the 2022 New York legislative session, this piece of policy requires fashion sellers to map their supply chain and perform due diligence through establishing benchmarks for social and environmental responsibility.


b. What would the law do? Mandate that companies know and disclose their supply chains, require companies to be responsible for their impact in those supply chains through the legally binding Mandatory Due Diligence Framework, and be subjected to regulations and enforcement. If passed, it would make New York the first state to pass a law that hold fashion companies accountable. 


Many states such as Massachusetts have been inspired by this act, creating their own bills for fashion social accountability that would require brands to carry out due diligence for apparel and footwear products (which is currently in review).  


2. US Uyghur Forced Labor Prevention Act (UFLPA) 

a. Signed in December of 2021 and took effect on June 21, 2022.


b. An amendment to the U.S Tariff Act of 1930 which aims to prevent the import of products using forced labour. Specifically, importers of goods produced in Xinjiang Uyghur Automous Region of China (XUAR), or by entities on the UFLPA List (those suspected to be made from forced labour) will need to prove that the goods were not mined, produced, or manufactured wholly or in part by forced labour. 


3. New York Proposal for Textile EPR (Extended Producer Responsibility)

a. Put forward in 2023 to establish an extended producer responsibility for textiles which would include collection, reuse, recycling, or proper disposal of textiles. 


b. Obligated entities would be required to submit a plan to the Department of Environmental Conservation for a program of collection & treatment, cover the costs of the program, and submit annual reposts on the functions of the program.

 

4. California Climate Corporate Data Accountability Act (2006/Ref no. SB-253)

a. Mandated the State Air Resources Board to oversee and enforce the reporting of the greenhouse gas emissions


b. It aims to provide increased transparency and accountability for corporate emissions, which will require them to invest in tracking, measuring, and reporting their emissions, potentially incurring additional costs related to data collection, analysis, reposting and verification.


👉 A Canadian Perspective


In comparison to our American and European counterparts, our Canadian Fashion Industry is smaller in scale and influence — meaning less prioritization of environmental and social issues in the sector. While at a slower pace, Canada is starting to recognize the need for regulatory measures around sustainability in fashion. Here’s a brief overview. 


  1. Bill S-211 a. Adopted by the Parliment in May 2023, the bill aims to combat forced labour and child labour in supply chains, and promote transparency in supply chains.



    b. It will require federal institutions, private sector entities and companies listed on the Canadian Stock Exchange to report on the measures they are taking to prevent and alleviate child labour in their supply chains. Penalties will be deployed for non-compliance. 

    This law encourages Canadian brands to integrate ESG criteria into their supply chains and incentivizes responsibility beyond marketing tactics; they must restructure their strategy in order to become sustainable in the face of evolving regulations.


  2. Canadian Wide Action Plan for Extended Producer Responsibility (EPR)


    1. In Canada, EPR policies are enforced on the provincial level under the Canada-wide Action Plan to hold producers responsible for their textile waste.


    2. Nine provinces have legislated EPR programs with British Columbia being the first. Most provinces are moving forwards with full EPR, but stewardship programs are still very common. 

      1. Product stewardship programs → Operated by government-run agencies, producers have no direct responsibility to finance programs and are not an effective tool to hold producers responsible.  


👉 EU Laws and Directives 


The European Union (EU) has implemented several laws and directives to promote sustainability in the fashion industry. Here are some key initiatives:


  1. EU Strategy for Sustainable and Circular Textiles:

    1. Launched in March 2022, this strategy aims to make textiles more durable, repairable, reusable, and recyclable. 


    2. It emphasizes reducing fast fashion, tackling textile waste, and ensuring that the production processes are environmentally friendly.

  2. REACH Regulation (EC No 1907/2006):

    1. REACH (Registration, Evaluation, Authorisation, and Restriction of Chemicals) regulates the use of hazardous chemicals in products, including textiles. 

    2. It aims to protect human health and the environment from risks posed by chemicals.

  3. Extended Producer Responsibility (EPR) Schemes: 

    1. Several EU member states are implementing EPR schemes for textiles, requiring producers to take responsibility for the entire lifecycle of their products, including end-of-life management.

  4. EU Waste Framework Directive (2008/98/EC): 

    1. This directive sets the basic concepts and definitions related to waste management, including recycling and reuse. 

    2. It encourages the development of waste prevention programs and aims to reduce the environmental impact of waste.

  5. Ecodesign Directive (2009/125/EC):

    1. Although initially focused on energy-related products, this directive is being expanded to include textiles. 

    2. It aims to improve the environmental performance of products by setting requirements related to durability, reparability, and recyclability.

  6.  EU Circular Economy Action Plan:

    1. Part of the European Green Deal, this action plan includes measures to promote circular economy practices in various sectors, including textiles. 

    2. It focuses on reducing waste, increasing resource efficiency, and fostering sustainable consumption.

  7. Textile Labeling Regulation (EU No 1007/2011):

    1. This regulation sets out rules for the labeling of textile products in the EU, ensuring that consumers are informed about the composition of textile products, which can help them make more sustainable choices.

  8. Corporate Sustainability Reporting Directive (CSRD): 

    1. Expected to come into force in 2024, this directive will require large companies to disclose information on how they manage social and environmental challenges. This includes reporting on sustainability practices within the textile industry.


These laws and directives are part of the EU's broader efforts to create a sustainable and circular economy, addressing the environmental impacts of the fashion industry and promoting more sustainable practices.


CASE STUDY: SHEIN

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CASE STUDY: NUDIE JEANS/OUTLAND DENIM

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INITIATIVES BEYOND LEGISLATION 


Several fashion brands are taking proactive steps beyond legislative requirements to enhance sustainability. This isn’t only a differentiation factor to attract customers, but it is also a way to be prepared for future legislation, which is going to push further towards sustainable practices.


An example can be micro-factories, that solve the issue of traceability, carbon impact of logistics, and human rights. Small-scale, digitally-integrated production facilities are gaining traction as a means to reduce waste and increase efficiency, but at the same time, they can solve many legislative problems. These often offer on-demand, custom-made products, significantly cutting down on overproduction and excess inventory. By producing items closer to the point of sale, these companies not only minimize the carbon footprint associated with long-distance shipping but also adapt swiftly to market demands, ensuring a more sustainable production cycle.


Re-Fresh Global, a textile waste recycling company based in Berlin, Germany, develops microfactories under a franchising model. Re-Fresh Global sells each individual factory to franchise entrepreneurs in the local area, who will then employ people in the local community to operate the facility, bringing more financial autonomy to cities to control their own economies. 


Another topic that goes way beyond social compliance legislation is social procurement, it’s great to see that many initiatives are being adopted by brands. An example is Chloe: by next year, 25% of their ready-to-wear items will be sourced from social enterprises or fair trade certified factories. 



CONCLUSION: FUTURE BALANCE & PEACE


It is clear that there is a significant influx of new legislation aimed at driving the fashion industry towards greater sustainability. This new regulatory framework reflects a growing recognition of the environmental and social impacts of fashion. 


We are hopeful that consumers will advocate for even stricter laws to safeguard our planet and its people. Additionally, it is crucial that robust mechanisms are established to ensure the effective implementation and enforcement of these regulations, to ensure that the fashion industry transitions from mere compliance to genuine stewardship of environmental and social well-being → Consumer advocacy and stringent enforcement is the key combination to achieving meaningful change in the industry!



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