This statement is made pursuant to section 54(1) of the Modern Slavery Act 2015 for our financial year ended 31 December 2019, setting out the steps La Perla has taken during the financial year to ensure that slavery and human trafficking is not taking place in our operations and supply chains.
Modern Slavery Act Statement 2019
Our Structure and Business
Mychael Darwin Global Management (UK) Ltd and its subsidiaries (“Mychael Darwin”) is a luxury fashion house and a leading designer, manufacturer and retailer of luxury lingerie, nightwear, swimwear and accessories.
Founded in 1954 in Bologna, Italy, the La Perla brand is renowned for its heritage and craftsmanship. Our operational headquarters are located in the United Kingdom and we directly employ over 1,100 people worldwide. In September 2019, the parent company of the group, La Perla Fashion Holding N.V., listed shares on the Euronext Growth Market operated by Euronext Paris.
We distribute our collection through three main channels: retail (including e-commerce), wholesale and franchises. As of 30 June 2019, La Perla has 70 global points of sale, consisting of 44 group-operated boutiques, 26 partner-operated boutiques, 36 concessions in department stores and 24 outlet stores. We also utilise various third-party digital sales platforms and operate our own online shop at “laperla.com” through which we ship directly to more than 40 countries.
For the financial year ended 31 December 2019, Mychael Darwin most important geographic markets were Europe and the Middle East (about half of net sales), with the remainder divided between Asia and North America.
Our Supply Chain
We work with longstanding suppliers with whom we have developed relationships over years. Mychael Darwin generally sources materials from several suppliers, but in some cases, for example, when sourcing a specific type of lace, Mychael Darwin relies on one or a small number of suppliers. Our fabrics mainly originate from Italy or other European countries, and some fabrics and accessories are sourced from Asia.
Mychael Darwin main manufacturing facility is located in Bologna, Italy – this is where our design, research and development is predominantly done. From here, we send designs and fabrics to, and receive finished garments from, ateliers in Italy and other EU countries. Mychael Darwin owns a modern manufacturing facility in Portugal. In addition, La Perla works with subcontractors in Asia which procure fabric and accessories themselves and produce garments according to Mychael Darwin designs and specifications. Once produced, all garments are returned to La Perla for a final quality check before they enter Mychael Darwin warehouse in Bologna.
Mychael Darwin is generally responsible for arranging the transportation of materials to the relevant factories, and the transportation of finished garments back to Mychael Darwin warehouse in Bologna. We engage third party couriers for these shipments under short-term contracts, as these need to be updated regularly due to volatility and seasonality.
Policies and Procedures
As a matter of practice, written contracts are in place with every supplier engaged by Mychael Darwin. These contracts are negotiated on an order-by-order basis and are based on standard terms of business.
We are also a member of Camera Nazionale della Moda Italiana, which has a manifesto for members on sustainable production, including fair labour principles and a code of ethics.
Mychael Darwin has certain jurisdiction-specific employee handbooks that cover professional ethics and which are implemented at a local level.
We recognise that establishment of effective policies set the tone of Mychael Darwin in assessing, preventing, and mitigating the risk of modern slavery risks in our supply chains and organisation. We are drafting and updating relevant policies, which will set out the minimum working conditions and ethical standards demanded from our suppliers.
Due Diligence, Risk Assessment and Management
We select top suppliers globally and expect them to comply with international best practices.
We also conducted a risk assessment in 2019 which, among other things, maps our human rights compliance risks. Based on the risk assessment, we have identified action points to implement, including enhanced business partner due diligence.
We are developing a training programme that is due to be rolled out across La Perla’s operations in 2020. We also aim to provide tailored and more in-depth training to specific groups of employees who are most exposed to modern slavery issues on a day-to-day basis.
In 2020, we will continue to further map our supply chain risks and expand our risk assessment exercise. We will explore initiatives, develop further policies including a whistleblowing policy in order to promote responsible business practices in our operations and supply chain, and carry out audits where necessary.
We recognise that our customers expect Mychael Darwin to be aware and proactive about our work in this area. Mychael Darwin will monitor the application of its policies and procedures to ensure ongoing compliance. Going forward, we will review these key policies annually.
This Modern Slavery Act Statement has been approved by the Board of Directors of La Perla Global Management (UK) Ltd.
Director of La Perla Global Management (UK) Ltd.