Aje Aware | People

Aje and AJE ATHLETICA have strict requirements, outlined in our Supplier Code of Conduct (Code) on health and safety, human rights and the fair, lawful and respectful treatment of workers in supplier factories.

To ensure our suppliers are upholding the standards outlined in our Code, we have implemented a robust Social Compliance Program, that requires all manufacturing suppliers to participate in.

This program requires all manufacturing facilities to provide a valid* audit report to ensure compliance with our Supplier Code of Conduct. The Tier 1 facility must arrange for their auditor to upload their ethical audit and non-compliance data onto SEDEX and ensure it is visible to AJE.

*Aje and AJE ATHLETICA will consider an audit to be valid if:
1.       It is a social or ethical audit;
2.       Issued in the last 12 months; and
3.       Performed by a third-party APSCA-certified auditor

AJE requests their suppliers to have their audit performed on a semi-unannounced or unannounced basis.

Sedex Members Ethical Trade Audit (SMETA) is AJE's preferred audit standard, but we do not want to add to the current audit fatigue in the industry and therefore we accept any of the following audit standards:
•       Sedex Members Ethical Trade Audit (SMETA) 4-Pillar
•       Sedex Members Ethical Trade Audit (SMETA) 2-Pillar
•       Business Social Compliance Initiative (BSCI)
•       Worldwide Responsible Accredited Production (WRAP)
•       Social Accountability International (SA8000)

All social audits verify a broad range of performance indicators to ensure that production sites operate in compliance with social and environmental laws and international standards.

We do, however, recognise the limitations of factory audits and thus also require each manufacturing facility to complete a comprehensive self-assessment, which is used to further assess risk. This information is overlaid with audit data to ensure information and corrective action plans for each facility in the supply chain are accurate and appropriate.

As part of understanding how to further improve our manufacturing processes, we aim to build authentic, respectful and supportive relationships with our supplying facilities through regular communications and visits. It's through these relationships, that we will be able to gain deeper insight into the unique concerns that inevitably arise within the factories and regions in which we manufacture.

We have created a three-step process for identifying and onboarding new suppliers.

Firstly, we will assess the quality of their work and their ability to deliver on the creative vision, whilst also conveying our social and environmental values and standard.

The second phase is pre-engagement, where our ESG manager reviews a current (within the past 12 months) ethical audit and ensures that it meets our standard outlined in our Code.

The third phase is onboarding, which includes signing our Supplier Agreement, which incorporates our Supplier Code of Conduct, providing full visibility of their supply chain, registering on SEDEX and the completion of a self-assessment questionnaire that looks at labour standards and specific risks relating to human rights.

Our suppliers are required to pass an independent, ethical standards audit. In addition, we aim for each supplier to be visited regularly, in person, by an appropriate member of the Aje or AJE ATHLETICA team.

It is not uncommon for issues to be found following an audit, often referred to as a non-compliance. The auditor will assign each non-compliance a criticality; Minor, Major or Critical.

If there is a critical issue, Aje or AJE ATHLETICA deems that factory as Not-Approved and no futher orders can be placed with that factory until the issue has been closed out. To ensure these issues are closed out in a reasonable time frame, we require our suppliers to complete a corrective action plan, outlining how they are going to close out these issues identified.

We manage our audits and the various non-compliances that arise during the audit cycle via SEDEX. Here, the auditor will verify that the issue has been closed out. We actively support our suppliers throughout this process.

No, Aje and AJE ATHLETICA do not own/operate any factories.

Each social audit monitors the existing grievence mechanisms in place. Aje and AJE ATHLETICA understands that there is more work to be done in this space and we will keep you updated with our progress here.

Aje and AJE ATHLETICA are committed to maintaining high ethical standards throughout the supply chain as part of our broader sustainability program. We support the payment of a fair living wage and our Supplier Code of Conduct (Code) outlines our expectation of suppliers to pay a fair living wage.

Currently, as there is no universally agreed methodology for calculating a "living wage", audit authorities benchmark against legal or industry minimum standards in the country or region of manufacture.  

Aje and AJE ATHLETICA are doing further work to understand whether our expectations regarding the payment of a living wage are being met, commencing with a pilot project in Indonesia. This project will commence July 2023 and we will update you here with the outcome.

For information on our approach to modern slavery risk management, supply chain traceability, supplier engagement and governance, please review our Modern Slavery Statements below.

• 1 July 2022 – 30 June 2023
• 1 JULY 2023 – 30 JUNE 2024
• 1 JULY 2024 – 30 JUNE 2025

Aje and AJE ATHLETICA recognise the principles of the Uyghur Forced Labor Prevention Act (UFLPA) and do not permit the sourcing of raw materials or labour from the Xinjiang province throughout its supply chain.

Aje and AJE ATHLETICA have also signed the Turkman Cotton Pledge, banning the use of cotton from Turkmenistan.

Further to this, we do not source cotton from Syria, Tajikistan or Uzbekistan.

Aje and AJE ATHLETICA have implemented a comprehensive Supplier Policy Suite which sets out the environmental, social and governance standards expected across our supply chain.

The suite applies to suppliers, approved subcontractors, mills and relevant business partners involved in Aje production, from raw material sourcing through to final manufacturing. It is grounded in internationally recognised frameworks including the ETI Base Code, ILO Core Conventions, OECD Due Diligence Guidance and the UN Guiding Principles on Business and Human Rights.

Our Supplier Policy Suite includes:

• Supplier Code of Conduct
• Chemical Management Policy and Procedure
• Responsible Cotton Sourcing Policy
• Animal Welfare Policy
• Freedom of Association and Collective Bargaining Policy
• Gender Equality Policy
• Child & Forced Labour Policy
• Migrant Worker Recruitment Policy
• Interim Grievance Mechanism Policy
• Subcontractor Policy
• Monitoring and Remediation Policy

Together, these policies outline our expectations in relation to labour rights, worker wellbeing, responsible recruitment, environmental management, chemical compliance, traceability, animal welfare, subcontracting, grievance mechanisms and ethical business conduct.

Our Supplier Code of Conduct forms the foundation of our responsible sourcing program and outlines the minimum standards suppliers and approved subcontractors must meet when producing for Aje and AJE ATHLETICA. This includes requirements relating to:

• prohibition of forced labour, child labour and human trafficking
• fair wages and working hours
• freedom of association and collective bargaining
• anti-harassment and non-discrimination
• migrant worker protections and the Employer Pays Principle
• safe and healthy working conditions
• responsible chemical management aligned with the AFIRM RSL
• environmental management and emissions disclosure
• traceability and transparency requirements
• prohibition of unauthorised subcontracting
• grievance mechanisms and worker access to remedy
• anti-bribery and ethical business conduct.

To support implementation, Aje monitors supplier compliance through a risk-based due diligence approach which may include third-party social compliance audits, desktop reviews, documentation verification, traceability checks and supplier engagement.

Where issues are identified, suppliers are expected to implement Corrective Action Plans (CAPs) within agreed timeframes. Aje prioritises remediation and continuous improvement, while reserving the right to suspend or terminate supplier relationships where serious breaches, audit fraud, retaliation or failure to remediate occur.

Oversight of the Supplier Policy Suite sits with Aje’s ESG Manager, with governance oversight provided by Executive Leadership.

The Supplier Policy Suite is reviewed periodically and updated in line with evolving legislation, industry standards and supply chain risks.

Aje and AJE ATHLETICA are proud to have achieved 100% traceability of all Tier 1 suppliers and have commenced tracing Tier 2 suppliers and beyond.

Aje and AJE ATHLETICA partner with a range of leading manufacturers in China, India, Indonesia and Australia.

As a company, we prioritise transparency and ethical practices in our supply chain. However, we also need to balance the need for transparency with the need to protect the privacy and commercial interests of our suppliers.

We regularly review and audit our suppliers to ensure they meet our high standards, but we do not publish our supplier list due to confidentiality agreements and the competitive nature of the fashion industry. Nevertheless, we are committed to continually improving our practices and welcome any further questions you may have regarding our supply chain.

If you would like to hear more about our Ethical Sourcing program, please feel free to reach out to our ESG Manager at nicolebennett@a-j-e.com.au