Workers Left Behind as Major Fashion Brands Pursue Climate Pledges

Author: Vera Rousseff

June 17, 2025

HRRC urges fashion companies to include workers in the development and implementation of climate mitigation policies, in line with the principles of the Just Transition Work Programme, in order to ensure that climate solutions are equitable for all.

Just transition activists protest at the 60th sessions of the UNFCCC Subsidiary Bodies in Bonn, June 2024. [Image credit: Kiara Worth/ENB]

A new report by the Business & Human Rights Resource Centre (BHRRC) has highlighted the failure of fashion giants to integrate workers into their sustainability plans.

The report, which examined 65 top fashion companies, found that while many of them have made plans for decarbonisation, emission reduction, transition to renewable energy, and other climate mitigation measures, they have largely failed to include workers’ rights or give workers a say in their strategies. The findings demonstrate that much of the fashion world has yet to adopt the principles of “just transition”–a policy framework that emphasizes equitable and inclusive solutions to the climate crisis.

Just transition–also known as the Just Transition Work Programme (JTWP)–was introduced at COP27 in 2022 as a way of ensuring that vulnerable groups are not left behind in the fight against climate change. It highlights the importance of balancing social, economic, and environmental factors when designing sustainability strategies, as well as the understanding that these strategies will differ across countries and communities based on their unique circumstances. A core principle of just transition is engaging workers and their representatives in discussions on how climate policies are put into practice, including at the factory production level. 

The BHRRC report, which was released last Wednesday, determined that most of the companies they examined were not incorporating the principles of just transition into their climate commitments, demonstrated by the exclusion of workers and their representatives from the development of sustainability targets. Only 11 out of the 65 companies include a statement on just transition in their environmental and social policies, and only two of those specifically mention workers in the context of their transition plans. These were Kering–a French company that owns luxury brands including Yves Saint Laurent, Gucci, and Balenciaga–and the Spanish company Inditex, whose predominant brand is Zara.

BHRRC emphasizes that the freedom of association, i.e. the right for workers to form unions or other organizations to advocate for their rights, is an essential part of the just transition framework. While almost all of the companies in the report expressed a commitment to the freedom of association, only six mention engaging with unions when it comes to climate policies.

Many of these workers live in regions where climate-related hazards, such as flooding, extreme heat, and an increase in diseases, are already a reality. In both Cambodia and Bangladesh, there have been reports of factory workers fainting due to extreme heat. An additional threat is the loss of jobs due to automation; workers have expressed concern that job security may be negatively affected as companies introduce new technologies to support decarbonisation.

Left unchecked, many fashion companies will sacrifice the wellbeing of workers in order to keep making profits while being able to boast about their sustainable practices. While ambitious environmental goals are an important part of combating the climate crisis, industries and governments have a responsibility to ensure that vulnerable groups are not the victims of a transition towards sustainability.

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Glossary

• Automation: the use of machines, technology, or software to perform tasks that were previously done by human workers. In the context of the fashion industry, this can lead to job losses if machines replace factory labor.

• Climate Mitigation: efforts to reduce or prevent the emission of greenhouse gases. Examples include using renewable energy, improving energy efficiency, or reforesting land.

• COP27: the 27th annual Conference of the Parties to the United Nations Framework Convention on Climate Change (UNFCCC), held in 2022. It is a global meeting where governments discuss climate action and policy.\

• Decarbonisation: the process of reducing carbon dioxide (CO₂) emissions, especially those resulting from human activities like burning fossil fuels. It often involves shifting to cleaner sources of energy.

• Emission Reduction: strategies and actions taken to lower the amount of greenhouse gases released into the atmosphere. This can include cleaner production methods or energy conservation.

• Equitable: fair and just, especially in the way people are treated or resources are distributed. In the context of climate action, "equitable" means making sure that policies do not harm vulnerable communities and that everyone has a voice in decision-making.

• Renewable Energy: energy from sources that are naturally replenished, such as solar, wind, or hydropower. It contrasts with fossil fuels like coal and oil, which contribute to climate change.

• Sustainability: practices that meet current needs without compromising the ability of future generations to meet theirs. In fashion, this includes reducing waste, lowering emissions, and protecting workers’ rights.

• Union: an organized group of workers who come together to make collective decisions about working conditions, pay, and other employment-related issues.