PVH signs with HSBC for ESG supply chain finance

PVH Corp, owner of the Calvin Klein and Tommy Hilfiger brands, has launched a sustainable supply chain finance program with HSBC. The US corporation claims it is the first such programme in the fashion industry to be tied to both environmental and social objectives, and based on suppliers’ sustainability ratings.

The HSBC-funded programme gives PVH’s suppliers  access to funding based on environmental targets as well as a series of social elements, including a healthy and safe working environment, compensation and benefits, and employment issues, such as forced labour, child labor, and harassment and abuse. 

“PVH's commitment to environmental stewardship and enhancing human rights in our supply chain is core to our Forward Fashion strategy," said Sarah Clarke, Chief Supply Chain Officer at PVH. "The availability of accessible financing is pivotal to ensuring our suppliers are empowered to invest back into their businesses and people, and contribute to our collective goal of creating an innovative and responsible global supply chain.” 

Suppliers progress will be measured against PVH’s Human Rights and Environmental Supply Chain standards and performance assessment standards will be measured using what the firm describes as ' industry-aligned tool'. These include the Social Labor Convergence Program (SLCP), which measures a facility’s performance against human rights and labor standards, and the Sustainable Apparel Coalition’s (SAC) Higg Facility Environmental Module, which assesses environmental standards. 

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