Capri Holdings (Capri) lags in transparency disclosures and remediation procedures when compared to peers. Companies that do not adequately mitigate human rights violations in their supply chains are exposing themselves and their investors to material financial risk.
Unlike Capri, competitor Burberry discloses information on its tracing of raw materials, the percentage of its first-tier and raw material suppliers covered by collective bargaining agreements, strengthened migrant worker policies and a wellbeing tool that engages workers.
While Capri has an audit program covering issues including wage, hour and labour laws and health, safety and environmental regulation, the Company does not mention anything about ensuring its manufacturers have an age verification process. In fact, Corporate Human Rights Benchmark scores Capri with zeros on each of the six indicators regarding human rights due diligence.
Further, Capri does not provide a supplier list or data on purchasing practices, data on improvements of freedom of association and remediation procedures for supply chain workers in high-risk sourcing areas such as China. The Company also does not disclose the steps it has taken to address the risks of alleged Uyghur forced labour across its supply chain tiers.
Capri’s Code of Conduct for Business Partners states its own operation and business partners should respect the legal rights of employees to freely and without harassment participate in worker organisations, shall not use any form of slave, forced, prison, or child labour, and disallow any form of discrimination. Nonetheless, there is no evidence to respect the right to collective bargaining and Capri also does not mention the International Labour Organisation Declaration, including in its own operations.
Capri states that it has a “responsibility to those who work with us” and that “the success of our company is directly linked to the sustainability of the world around us.” Shareholders agree and encourage the Company to take steps to ensure workers in its supply chains are aware of their rights and are able to exercise their rights of freedom of association and collective bargaining.
Failure to adopt and implement policies that mitigate these exposures may subject Capri and its investors to significant systemic and company specific risks.
Next AGM
Capri Holdings' 2023 Proxy Statement was released on June 15, 2023. The company's next AGM will be held in person at company headquarters on August 2, 2023.
RECORD DATE
The record date pertains to the date by which investors must hold their shares in a company in order to participate in the company’s AGM. Capri Holdings’ 2023 record date is June 1, 2023. Please note that based on current New York Stock Exchange rules your broker will NOT be able to vote your ordinary shares with respect to the election of directors (Proposal No. 1) or the say on pay vote (Proposal No. 3) if you have not provided instructions to your broker.
Voting at the AGM
If you hold Capri Holdings stock before the next AGM record date, you will be eligible to vote at the next AGM and receive an email from us closer to the deadline.
What is shareholder activism?
Shareholder activism is when shareholders use their influence as owners of a company to effectuate change within the organisation.
What is Tulipshare?
Tulipshare is an sustainable investment fund and shareholder advocacy group on a mission to help investors push for stronger environmental and social commitments, using corporate governance to create a positive impact and ensure the companies we invest our money in are being responsibly managed by accountable leadership.
How does Tulipshare improve sustainability through investing?
Tulipshare addresses issues pertaining to climate change, human rights, racial and gender equity, political spending and operational transparency within some of America’s biggest publicly traded companies - issues that if left unaddressed could expose a company and its investors to significant legal, reputational and financial risks.
