Can New York’s Fashion Act Increase Sustainability within the Fashion Industry?
In January of this year, the New York legislature was introduced to The Fashion Act. The act was introduced by a coalition led by Maxine Bédat, founder of the New Standard Institute, lawmaker Anna Kelles and senator Alessandra Biaggi. The act is also backed by various sustainable brands such as Everlane, Reformation and Patagonia. This act requires fashion companies that sell products in New York and generate more than $100 million in revenue have to map at least 50% of their supply chains and their impacts (i.e. greenhouse gasses and chemical use). Only 15% of brands currently do this today, according to the 2022 Fashion Revolution Transparency Index, which is alarmingly low. This bill is important in New York in particular because it is one of the biggest fashion capitals in the world and is increasingly impactful on the fashion industry.
The act also requires brands to outline garment worker pay and requires fines for brands that do not comply with the act. The proceeds from these fines will be made into a community fund for environmental justice relief in New York. The bill wants to decrease wastewater pollution from factories and increase biodiversity in New York. Brands are required to look at the Paris Climate Agreement standards and those who miss them will be fined 2% of their global revenue. The original bill in January was modified and changed due to some criticism from activists for not covering worker’s rights enough and to achieve more supply chain improvements.
The new modified bill has stronger chemical use requirements, due diligence criteria, enforcement provisions and climate targets. It includes having a liability agreement between fashion sellers and garment workers so garment workers have the power to sue brands for lost wages. Bédat is more confident in the bill and its importance in fashion, “There’s going to be no one bill that does everything on every level. This is unique because it’s rare among legislative efforts, especially at the state level,” she said. “that the country gets involved with issues happening outside the country. So it’s definitely a new space. But it’s critical.”
This is a climate change bill that specifically targets and addresses the fashion industry. It is supposed to please both shareholders and more conscious consumers that want more sustainable practices put in place. This bill will definitely be a change but can pose a challenge for brands. As great as sustainability and transparency is, it does take some time for brands to achieve them both. It is also an expensive initiative to completely change current practices. That being said, the payoff of creating a sustainable brand that is both good for the planet and transparent towards customers is too great for brands not to consider. At this point, climate change is something that the fashion industry cannot ignore any longer and brands should begin to turn to sustainable practices before it's too late. If passed, this law should act to hold more brands accountable for their practices. It will impact the fashion industry greatly and be beneficial to the planet.