Fair and consistent: One of our business principles is to deal with suppliers in an open and honest way. We require all of our suppliers to sign our standard terms and conditions in advance of commencing trade, and we have signed up to the Prompt Payment Code. The number of days’ purchases outstanding for payment at 29 June 2019 was 44 days (2018: 31 days), and we consistently pay over 90% of our invoices within agreed terms.
Human rights: Effective management of human rights throughout our supply chain is built into our product procurement procedures. All product suppliers are asked to sign our Code of Conduct, based on the Ethical Trading Initiative (ETI) base code, with a strengthened section on slavery. This requires that suppliers provide a clean and safe work environment, workers must be treated with respect and earn a reasonable wage, and relevant local laws and regulations must be met. Our policy is available here.
All suppliers of Dunelm branded products must have a satisfactory audit in place which is no more than two years old, and a valid building and fire safety certificate. Supplier branded products are not subject to audits but suppliers sign our Code of Conduct (or equivalent) and an assessment is made of their standards and capability.
Our in-house Quality and Sourcing team has extensive experience of working with factories to improve quality, compliance and ethical standards. Our sourcing partners monitor standards and work to improve them on our behalf. Where non-compliance is discovered we work with a supplier to help them achieve compliance, usually within six months. Critical non-conformances such as use of child labour, working against choice/slavery or absence of valid building certificates are escalated immediately.
Modern slavery: We have assessed our own facilities and supply base (products and services) for modern slavery risk and have required the major providers to sign our Code of Conduct. Our audits of suppliers of our Dunelm branded products also covers modern slavery. Our statement made pursuant to the Modern Slavery Act 2015, which contains further information, is available here.