Shein: The Ethical Dilemma

Shein, a China-based clothing manufacturing company, is facing severe scrutiny regarding its unethical practices in both workers' rights and environmental regulations. Employees of the manufacturing giant are expected to work at least 75 hours per week and often work up to twelve hours per day sewing fabric together. According to interviewed Shein employees, workstations at these plants consist of corridors covered in bags, workers at standing tables, and workstations lit by neon lights. Individuals investigating a Shein manufacturing plant reported that there were no emergency exits, and stairs and entrances were difficult to navigate, with upper windows being barred off. It is highly likely that, with an entire building full of kindling, a fire could result in serious injuries and even casualties.

Employees at such plants are expected to work from 8 a.m. to 10:30 p.m., with, on average, two hours of breaks allotted during the shift. Factory workers work after dinner hours for six days out of the week, with one day off per month. This directly violates Chinese labor laws, which state that overtime hours cannot exceed 36 in a given month, with any hours above 40 considered overtime. Shein does not provide any overtime premium for hours over 40 and pays on a "per-item made" basis. In a "good" month, employee pay estimates can be around the 1,400 mark, while "bad" months bring in only a third of that amount. Many of the suppliers Shein uses do not provide their employees with insurance or any type of contract; even businesses with over 100 employees often avoid providing contracts, which contradicts Chinese regulations.

It is rare for Shein suppliers to pay shift rates, but the plants that do, generally have some sort of stipulation. According to Channel 14's documentary, Inside The Shein, in which they went undercover into a Shein factory, employees are forced to work 17-hour shifts and are expected to make hundreds of clothing items per day. As payment, the employees can expect a daily wage of $20 which can then be docked $14 if any of the articles of clothing have mistakes. Current employees are concerned about their future potential earnings with per-item wages continuing to decline while the complexity of the clothing steadily increases. 

Shein's business model, along with skirting Chinese labor laws, produces a significant environmental impact. The manufacturing plants use a significant amount of virgin polyester, which is derived from fossil fuels, and oil that, in combination, produces the same amount of carbon dioxide as an estimated 180 coal-fired power plants. This polluting business model results in 6.3 million tons of carbon dioxide being released every year. According to the United Nations, this number falls below the 45% fashion company target to reduce global carbon emissions by 2030. Materials used in Shein manufacturing are also the leading cause of microplastic pollution which threatens waterways and habitats around the world. In 2021 it was discovered that there are dangerous levels of lead and additional toxic chemicals, including PFAS and phthalates, found in Shein clothing. Clothing waste has doubled since 2000 with less than 1% of that being recycled. With Shein climbing from $10 billion in sales in 2020 to $100 Billion in 2022, it is highly unlikely that this environmental trend will reverse any time soon, if ever. 

In addition to the unsafe and unfair labor and environmental practices, Shein has also been repeatedly linked to both forced labor and child labor. Lab tests conducted by Bloomberg News show that cotton within the clothing can be traced back to the Xinjiang region in China, which is notorious for its forced labor policies affecting hundreds of thousands of individuals. Cotton from Xinjiang is banned in the United States due to these practices, but Shein has been able to bypass this restriction due to import regulation loopholes in U.S. customs. Shein claims to abide by the child labor laws of each country where their factories are located, but they omit the fact that many countries, such as Bangladesh, allow for child labor.

Sources: 

https://time.com/6247732/shein-climate-change-labor-fashion/

https://www.bloomberg.com/news/features/2022-11-21/shein-s-cotton-clothes-tied-to-xinjiang-china-region-accused-of-forced-labor

https://www.dol.gov/agencies/ilab/against-their-will-the-situation-in-xinjiang

https://stories.publiceye.ch/en/shein/

https://www.wired.com/story/fast-cheap-out-of-control-inside-rise-of-shein/

https://ethicalunicorn.com/2023/04/12/how-ethical-sustainable-is-shein/

https://goodonyou.eco/how-ethical-is-shein/