Supply Chain Information
California Transparency Act Statement
In compliance with the California Transparency in Supply Chains Act (SB 657), the following document discloses Stitch Fix’s policies and actions relating to slavery and human trafficking in business and the supply chain. As detailed below, we strive to operate all aspects of our business with the highest levels of integrity, and this commitment extends to how we manage our supply chain with vendor partners.
Company Description
Stitch Fix (NASDAQ: SFIX) is the leading online personal styling service that helps people discover the styles they will love that fit perfectly so they always look – and feel – their best. Few things are more personal than getting dressed, but finding clothing that fits and looks great can be a challenge. Stitch Fix solves that problem. By pairing expert stylists with best-in-class AI and recommendation algorithms, the company leverages its assortment of exclusive and national brands to meet each client’s individual tastes and needs, making it convenient for clients to express their personal style without having to spend hours in stores or sifting through endless choices online. Stitch Fix, which was founded in 2011, is headquartered in San Francisco and had net revenue of $1.6 billion in fiscal year 2023. For more information, please visit https://www.stitchfix.com
Company Disclosure
Stitch Fix is committed to providing clients with products that were manufactured legally, ethically and responsibly. We expect our vendors to respect workers and ensure fair, safe and healthy conditions in their manufacturing facilities. We require that our vendors comply with our manual that sets forth our business, legal, and ethical standards and expectations in the following areas: transparency and integrity, legal compliance, minimum working age, forced labor, slavery and human trafficking, foreign migrant workers, non-discriminatory hiring and promotion practices, coercion and harassment, freedom of association and collective bargaining, working hours, wages and benefits, occupational health and safety, protection of the environment and subcontracting.
We also require our vendors to warrant that any products sent to Stitch Fix were made in compliance with all applicable laws, including laws prohibiting child labor, forced labor and unsafe working conditions.
Stitch Fix has signed the AAFA/FLA Apparel & Footwear Industry Commitment to Responsible Recruitment, pledging to work with our global supply chain partners to create conditions so that workers do not pay for their jobs, workers retain control of their travel documents and have full freedom of movement, and all workers are informed of the basic terms of their employment before leaving home.
To verify that vendors meet our standards, we work with external expert third-party auditors to assess and monitor working conditions in our vendors’ factories. All factories producing Stitch Fix’s private-label product are required to undergo an initial audit before production may begin. Once approved for production, factories are regularly monitored for ongoing compliance with our expectations and standards, which are based on local law and internationally accepted norms, in addition to guidance from the International Labor Organization. To support and drive improvement in working conditions where needed, our team works with vendors to establish corrective action plans after audits.
Stitch Fix maintains internal accountability standards for employees and contractors, and we do not tolerate slavery or human trafficking by either. Additionally, we provide training to our executives and employees responsible for supply chain management in an effort to ensure they are knowledgeable and aware of how to recognize and mitigate risks of human trafficking and slavery in supply chains.
Risk and Effectiveness
While there are risks inherent with third-party production and manufacturing, we have established the procedures discussed herein to mitigate the risks of slavery and human trafficking in our supply chains. Though we have standards to which all of our vendors must agree, our enforcement is focused on our private-label vendors with whom we develop products directly. This is the level of the supply chain where we believe we have the most influence and can therefore be the most effective.
Stitch Fix has evaluated and continues to evaluate the effectiveness of our human trafficking and slavery eradication efforts. We regularly engage with industry associations and experts, and consult governmental reports, to ensure we have a current understanding of industry and country-level risk. We will continue to assess our business and supply chains to identify potential risks and target those areas with policies, procedures and training to ensure we maintain appropriate safeguards against the mistreatment of individuals within our business and supply chains.
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Conflict Minerals
It has been widely reported that violence and human rights violations in Central Africa (the Democratic Republic of Congo (DRC), Republic of Congo, Central Africa Republic, South Sudan, Zambia, Angola, Tanzania, Burundi, Rwanda and Uganda) are driven by mining the minerals tin, tungsten, tantalum and gold (“conflict minerals”). Stitch Fix is committed to developing and maintaining an ethical supply chain, including working with vendors that do not use conflict minerals in any of our products.
Stitch Fix expects all vendors to adopt policies and processes to ensure that any tin, tungsten, tantalum, or gold in their products is conflict-free and to require their suppliers to adopt similar policies and processes. While Stitch Fix will conduct ongoing due diligence to understand and manage the risk of vendors’ use of conflict minerals, it is expected that vendors establish their own due diligence program to ensure conflict-free supply chains, and that vendors share the results of those diligence programs directly, including unredacted and complete reports, with Stitch Fix.