Ethical Breach
Introduction
The recent revelations surrounding the Shein child labor controversy have raised a lot of
ethical questions and have also drawn negative attention to the Shein Company. As an
inexpensive Chinese fast fashion company, Shein has appealed to its audience with various
fashionable and inexpensive clothing but said that in 2023 two instances of child labor were
found in its supply chain (João da Silva, 2024). This declaration belongs to the framework of the
company striving for more openness and reducing risks posed by the suppliers. Traders also
showed some interest in these hearings since this gross fall in revenue came days after the
company filed papers for initial share sales in the London market (João da Silva, 2024). This
case also highlights the issues of the ethics involved in fast fashion brands in this case and
demands further strain on the supply chains which are more global and prone to exploitation.
Parties Involved
The primary parties involved in this situation include Shein, its suppliers, the affected
underage workers, and the broader public, including consumers and regulatory bodies. From this
scenario, Shein, being a retailer, has the duty to make sure that their goods have been produced
in a humane environment (Butler, 2024). Suppliers, on the other hand, take center stage in
implementing the working environment policies within their respective plants. The most
disadvantaged group in this situation are the underage workers. Finally, the public and regulatory
authorities make sure that companies are behaving as they are supposed to and that labor
practices are improving.
Ethical Standards and Violations
Standards of code of ethics in one’s profession in most cases focus on justice, honesty,
openness, and protection of human rights among others. A relatively simple but
comprehensive set of ethical principles consists of the principle do no harm, whereby doing
abusive behavior to any person, society or environment should be avoided. In this case, child
labor is a clear breach of this principle because it involves taking advantage of children,
whose education is cut short and who are placed in unhealthy working environments
(UNICEF, 2021). According to our required text, business ethics requires a thought process
that weighs the benefits of a decision compared to its harm, considerations of the duties we
owe to other human beings, the characteristics possessed by a virtuous person, and the care
that we have for the well-being of those affected by business decisions, (Kubasek et al., 2024).
Viewed through the lens of biblical religion, child labor, instead, undermines the core
Christian value of love for one’s neighbor (Mark 12:31) (Sabol & Stephen, 2011). The core
values of the Bible are centered on taking care of the weak and providing justice for the
oppressed (Isaiah 1:17). Child labor fits this description because it is the abuse of children in this
case, their interests and lives are of secondary importance to making money.
The revelations of child labor in the production chain by Shein is a major risk and sticks a
huge ethical dagger in the company’s reputation. In addition, the fact that the company has not
done enough to avoid these violations shows that it places significant attention on profits at the
expense of proper management (Sato, 2024). While steps have been made by Shein to solve the
problem such as ordering a suspension of orders to the concerned suppliers and changing
policies, the first breach that was made cannot be ignored.
Preventive Measures and Response
Avoidance of such situations needs to take a fundamental and holistic view of supply
chain management. First and foremost, all companies should adopt strict procedures in the
selection of their suppliers to stay within the regulations of the workforce (Villena & Gioia,
2020). This means subjecting all suppliers to quarterly, unannounced visits to check for
compliance with labor and ethical laws. Supplier contracts should, in addition, contain clear and
reasonable clauses that forbid the use of child labor and disastrous measures to be taken if
breached.
Apart from these factors, companies should consider enhancing their buyer-supplier
relationship capabilities in the long term. Companies can encourage ethical behavior amongst
suppliers by engaging them and making them accountable (Han, 2023). Moreover, companies
should assist and empower the suppliers to raise their work standards and abide by the law. Such
assistance may take the form of training, monetary rewards, and technology assistance.
If a circumstance with child labor does appear, measures must be taken within the
company to avoid this problem. Speaking of how Shein manages this risk, the company took
some meaningful action, including severing ties with employees below the legal working age,
ensuring payments of owed wages, providing medical examinations, and bringing children back
to their parents or guardians (Butler, 2024). On the other hand, the company should have gone
even further by offering educational support or economic aid to the children involved that would
enable them to leave the labor force and enter a safer environment.
Many studies highlight the role of corporate social responsibility (CSR) in managing
ethical concerns about supply chains (Modak et al., 2020). CSR means that business entities are
answerable for the social, ecological, and economic effects of their work in a range of areas
including the employment conditions of their supply chains. In a particular analysis conducted.
In addition, further looking from biblical perspective, principles such as "honesty" and "doing
what is right" (Proverbs 11:3) should guide corporate behavior. Furthermore, the Bible
emphasizes accountability, as seen in Luke 16:10: "Whoever can be trusted with very little can
also be trusted with much." Implementing stronger compliance measures and setting an example
of integrity would align with these teachings.
Conclusion
Shein’s supply chain child labor disclosure shows the issues that still exist with ethical
practices in the global supply chain. It came to light that several measures have been taken by
Shein, but the given situation emphasizes that such issues must be addressed in more detail and
with timely actions taken to meet ethical requirements. Companies can better ensure that the
rights and interests of well-defined worker categories such as children are not violated through
child labor by pursuing commitment that spans supplier engagement through transparency and
quick action in case of violation of workers' rights.
References
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Sato, M. (2024, August 27). Shein says it found two cases of child labor in its supply
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https://www.theverge.com/2024/8/27/24229755/shein-child-labor-fast-fasahion-
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Kubasek, N. K., Browne, M. N., Dhooge, L. J., & Barkacs, L. L. (2019). Dynamic
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