H&M, Gap and Levi's honoured as 'ethical' companies

Swedish fashion chain H&M, along with Gap, and denim brand Levi Strauss & Co., have been recognised as one of the 2014 World’s Most Ethical Companies by the Ethisphere Institute, an independent centre of research promoting best practices in corporate ethics and governance. The annual list, which has

been recognising companies that go beyond making statements about doing business “ethically” and translate those words into action since 2007, has named three apparel companies in its list of 144 honourees representing 41 industries and features 21 first-time honourees including Levi’s.

Gap

continues its strong ethical stand by being named in the list for the eight consecutive year, while this year marks the fourth time H&M have been recognised for their ethical practices. Previous apparel companies to be recognised include Patagonia, Timberland, Adidas, Nike and Comme Il Faut.

H&M’s CEO Karl-Johan Persson commented: "We are very proud to be named as one of the world’s most ethical companies this year again. It is a great recognition of H&M's strong ethical approach."

The World's Most Ethical Company assessment is based upon the Ethisphere Institute’s Ethics Quotient framework, which scores companies across five key categories: ethics and compliance program; reputation, leadership and innovation; governance; corporate citizenship and responsibility; and culture of ethics.

Three apparel companies named in ‘World’s Most Ethical’ list

Tim Erblich, CEO of the Ethisphere Institute, said: “In today’s complex global economy, it can be increasingly challenging for companies to meet performance expectations, while addressing the varying regulatory, compliance and sustainability needs across geographies and cultures.

“Global economic and social challenges from anti-corruption to security and privacy are accelerating the need for companies and organizations to embrace ethics and governance as critical business imperatives. Failure to establish the highest ethical business standards and practices throughout an organization can result in unacceptable consequences that include both human impacts and operational risks.”

Wilma Wallace, deputy general counsel and VP, Gap Inc. added: “Gap Inc. is proud to receive this honour for the eighth consecutive year. It is a testament to the hard work of our incredible employees, and the ethical principles that drive our interactions and are integral to our future growth and success.”

Image: H&M’s new Conscious Collection