Texas AG Ken Paxton investigates Shein for unethical labor practices

WASHINGTON, DC - ARPIL 26: Texas Attorney General Ken Paxton speaks to reporters after the Supreme Court oral arguments in the Biden v. Texas case at the Supreme Court on Capitol Hill on Tuesday, April 26, 2022 in Washington, DC. (Photo by Sarah Silb …

Texas Attorney General Ken Paxton has launched an investigation into the global fashion giant Shein US Services LLC Corporation and its affiliates. The investigation is over potential violations of state law related to unethical labor practices and the sale of unsafe consumer products.

Paxton investigates Shein

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The investigation follows numerous reports alleging the retailer's supply chain relies on forced labor, utilizes toxic or hazardous materials, and engages in deceptive marketing regarding ethical sourcing and product safety.

Shein, which generated more than $30 billion in global revenue in 2023 through its online platform, offers a vast range of apparel and home goods.

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What they're saying:

Attorney General Paxton said the investigation will determine whether the company’s manufacturing and supply chain practices mislead consumers or violate Texas law.

"Any company that cuts corners on labor standards or product safety, especially those operating in foreign nations like China, will be held accountable," Paxton said in a statement Monday. He added that Texans "deserve to know that the companies they buy from are ethical, safe, transparent, and not exploiting workers or selling harmful products."

The inquiry will specifically examine whether Shein is misleading consumers about the safety and ethical sourcing of its products. Additionally, the investigation will review the company’s data collection and privacy practices, citing potential risks to millions of American consumers.

The Source: Information in this article is from the Texas Attorney General's Office.

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