PROMOTE INTEGRITY

Diesel’s responsibility extends beyond our direct operations. We work with a global network of suppliers to create the best quality Diesel products and we are committed to advancing transparency and promoting the highest social and environmental standards across our entire supply chain. Every supplier is part of our extended Diesel family, which is why we seek out partners who align with our values and are committed to improving the livelihoods of workers through safe and fair working conditions. Collaborating with a global network of suppliers can present challenges but we engage with NGOs, our peers and local stakeholders to address these complexities and to help build a resilient supply chain that puts people and planet first.

Each of our suppliers offers something unique to Diesel, and we believe it is our job to understand how they work in order to build long-term relationships that can support progress and innovation. It is only through meaningful collaboration with our partners that we can continue to develop ground-breaking projects like Diesel Rehab Denim and Diesel Second Hand.

Every supplier that we work with is required to sign our Code of Conduct, setting out our standards for ethical trade, including fair wages, discrimination and safe working conditions. In addition to requesting third-party audits aligned with globally recognised standards such as BSCI, SMETA and SA8000, we carry out direct audits to socially and environmentally monitor our suppliers and ensure our that they meet the standards. We know that audits alone are not a solution, but they are a useful tool in helping us understand current practices and bringing any potential social or environmental issues to light. Where we do identify an issue we work directly with our supplier to address it. In the event of minor non-conformities, the supplier is being requested to solve the issues within a reasonable short time and undergo a follow-up audit to verify the resolution. In the event that more serious non-conformities, nevertheless non-critical, are raised by the auditors, Diesel requires the supplier to prepare and implement an action plan to solve them and a monitoring plan to trace the progressive remediation.

We also carry out regular risk assessments, looking at external local and global political, social and environmental factors. Together our audit and risk assessment data help us set clear targets and identify opportunities for developing dedicated projects to improve social and/or environmental performance throughout our supply chain.

Diesel, with the support of different external providers, develops periodical environmental risk assessment, with a focus on physical and transition environmental risks, and human rights risk assessments on its supply chain.

Finally, Diesel signed the AAFA/FLA Apparel & Footwear Industry Commitment to Responsible Recruitment for fair treatment of workers in the apparel, footwear, and travel goods supply chains.

In line with Diesel commitment to support a safer chemical management system and following the recent joining of the OTB Group into the “Roadmap to Zero” Programme of the Zero Discharge oF Hazardous Chemicals Foundation in August 2021, at the beginning of 2022, the first Restricted Substances List (RSL) and Product Safety requirements were approved at Group level. 

The Group’s new chemical management policy contains all the restrictions on chemical substances used in raw materials and finished products and those outlined by the most recently applicable ZDHC MRSL for chemicals used in production and further Product Safety requirements. 

All suppliers must adopt and subscribe to the Group’s chemical management policy during the supplier’s onboarding process.

The document will be subject to annual reviews. To access the OTB Group Restricted Substance List click here.

Diesel is committed to ensuring the highest possible animal welfare standards are adhered to throughout our supply chain. In support of this commitment, Diesel has remained Fur Free since 2010, and we have also banned exotic skins or karakul sheep wool. Every supplier that we work with is required to sign our Animal Welfare policy, outlining our prohibited fibres and practices and setting out animal husbandry standards aligned with the Five Animal Freedoms. Diesel does not accept down and/or feathers sourced from farms practising force-feeding or live plucking, or wool sourced from farms practising mulesing. Wherever possible we source animal-derived fibres that are certified by globally recognised standards such as the Responsible Wool Standard and Responsible Down Standard, to help verify best practices have been upheld throughout the supply chain.

In July 2022, we launched our partnership with the United Nations Industrial Development Organisation (UNIDO) and the research organization Switchmed to reduce waste and improve the environmental performance of our supply chain in Tunisia. As a global fashion manufacturing hub, Tunisia produces 31,000 tons of textile waste each year, 55% of which is classified as scraps. Through this pilot, we are working with our Tunisian suppliers across different steps in the manufacturing process to improve practices around production waste classification and recycling. Ultimately, this is working towards advancing circularity and reducing our impact across the supply chain. The project, developed as part of the European Union Switch-Med programme, in collaboration with the Tunisian government and the local textile and clothing federation, will transform textile waste into 88,000 pairs of jeans by 2024, incorporating 20% recycled content from cutting scraps. We believe through collaborations like this one we can help our partners in Tunisia become global leaders in responsible denim production.

For more information click here.

Supporting the people within our supply chain is of utmost importance to Diesel and the wider OTB Group. In September 2023, together with the OTB Foundation, World Vision Bangladesh and one of our local suppliers, we launched the Children are Reading campaign. The project was created to implement training opportunities for the children of employees of a local Diesel supplier located in the Tongi Municipality area of Gazipur, a hub of the textile industry in Bangladesh.

The three-year programme supports 100 elementary school-age children, providing learning-by-play sessions after school to improve their vocabulary development, reading fluency and comprehension. These activities are run by experienced facilitators, trained by World Vision’s education program.

To know more about the project, please consult OTB Foundation website.

Diesel, as part of the OTB Group, recognizes the importance of having a strong and trusted relationship with its business partners. Over the last two years, throughout the Covid-19 pandemic emergency, OTB Group companies, including Diesel, decided to maintain supply chain continuity by not lowering or cancelling orders and avoiding payment delays.

With reference to OTB Group employees and workers, following the local regulations in force, the Group has activated procedures and various initiatives to combat and prevent the spread of the Covid-19 virus inside company facilities. This included enhanced health and safety guidelines and routines, trainings for all employees on prevention and protection measures related to Covid-19 and regular communication with all employees to inform them about local regulations and internal procedures. In 2020, the Group introduced remote working to reduce the contact between employees and a rotational work schedule for employees working in the office. For those who could not work from home, the company provided personal protective equipment and temperature control devices when entering the workplace. To ensure employee safety, the Group scheduled sanitization of environments and extraordinary workstation cleaning should any staff members test positive.

The practice of “remote working”, initially launched in response to the pandemic, became shortly after an official policy, which allows OTB Group employees (granted compatibility of the job function performed) to “remote work” up to 2 days a week.

United Nations Industrial Development Organisation (UNIDO) is a specialised agency of the United Nations working to promote and support countries in sustainable industrial and economic development. UNIDO sets global environmental and social standards and creates programmes to enhance sustainable supply chains so that developing country producers access fair prices and scarce resources are preserved.