Inditex (Zara) — Ethics Grade C-
Inditex (Zara) receives an overall ethics grade of C- (44/100) on CancelCo's corporate accountability database. Sector: Retail. Market cap: Large Cap.
Category scores
- labor: 30
- privacy: 80
- consumer: 60
- environment: 35
- humanRights: 25
Documented incidents (3)
- Slave-like Conditions in Brazil (high, 2017) — Brazilian authorities held Zara responsible after inspectors found hundreds of workers in supplier factories working in degrading conditions that mirrored modern slavery, including debt bondage and 16-hour shifts.
- Misleading Sustainability Claims (medium, 2023) — Regulators in Europe investigated Inditex and other fast fashion brands for 'greenwashing', specifically for making vague or unsubstantiated claims about the environmental benefits of their 'Join Life' collections.
- French Forced Labor Inquiry (high, 2021) — French prosecutors opened an investigation into Inditex and other retailers for allegedly concealing 'crimes against humanity' by using suppliers in the Xinjiang region connected to forced Uyghur labor.
Documented good deeds
- In-Store Recycling Program — Inditex expanded its garment collection program to all stores worldwide, partnering with charities like the Red Cross to reuse or recycle discarded clothing.
Ethical alternatives
- Eileen Fisher, Inc. — Certified B Corp that uses circular design and maintains high labor standards in its supply chain.