The Sustainable Apparel Coalition (SAC) has released a Higg Index Tools Analysis and Compliance Initiatives Summary Report, and put it in the public domain.
- The report has been published in partnership with the Global Fashion Agenda (GFA).
The analysis: The SAC initiated analyses of the Higg Index tools in relation to relevant existing and upcoming EU and national (European) legislations. The summary provides key messages and main outcomes of the analysis, along with proposed next steps.
- The Coalition developed an overview for members explaining how relevant European legislations are applicable to the requirements of the Higg Index tools. The SAC intends to map out the complex and rapidly evolving policy landscape, and support members in their compliance work with their own legal and compliance teams.
- The initial analysis considered factors such as corporate sustainability due diligence and corporate sustainability reporting and was intended to assess to what extent the Higg Index tools can assist members in their compliance efforts, where appropriate.
- The SAC is also collaborating with Worldly, the platform that hosts and supports the SAC’s Higg Index tools, to deliver a white paper that comprehensively outlines how brands can use the tools to prepare for compliance with the European Corporate Sustainability Reporting Directive (CSRD), in particular.
The takeaways: Key messages of the summary include:
- The Higg Index tools are periodically updated to address the increasing demands raised by legislation for transparency and disclosure. While they were not originally intended to align with regulations or support regulatory compliance, the Higg Index tools can and, increasingly, will provide insights and data that can support members’ compliance efforts.
- The Higg Brand & Retail Module (BRM) is an example that is well aligned with the EU Corporate Sustainability Reporting Directive (CSRD) requirements. With the final sector-specific standards expected soon, the SAC will further align it to the regulatory reporting requirements therein.
- The Higg BRM was not designed as a due diligence tool, and therefore cannot be used, on its own, as a comprehensive due diligence tool in the context of the Corporate Sustainability Due Diligence Directive (CSDDD).
- The SAC will work together with partners and key stakeholders to develop and support projects such as an OECD-aligned Human Rights and Environmental Due Diligence (HREDD) framework.
- The Coalition will collaborate with Worldly and Fair Wear to deliver resources and guidance to help brands and other industry stakeholders understand, navigate, and implement impactful human rights due diligence. They will aim to drive industry alignment, raise the bar for human rights, and reduce negative impacts on the environment and nature across global garment supply chains.
- The SAC has also developed an overview of relevant European legislations for its members that is applicable to the questions and requirements of the Higg Brand and Retailer Module (BRM), Higg Product Module (PM) and Higg Materials Sustainability Index (MSI), Higg Facility Environmental Module (FEM) and Higg Facility Social & Labor Module (FSLM).
- The above overview will be published by the end of the year and made available only to members.
