Major fashion brands like Hermes, Nike and Lululemon are facing accusations of climate “greenwashing”, with a new report from international non-government watchdog Business & Human Rights Resource Centre claiming that their bold decarbonisation pledges overlook the plight of garment workers in Cambodia.

The report, The Missing Thread, suggests that while 44 of 65 global brands commit to cutting emissions by 2030, none have plans to protect workers from climate impacts or job disruptions in key manufacturing hubs like the Kingdom.

In Cambodia, where the garment industry employs over 800,000 workers and accounts for 16% of GDP, factory workers face dire conditions exacerbated by climate change. The report highlights extreme factory heat reaching 39°C, causing exhaustion and fainting on production lines.

It alleged that workers who raise concerns are often dismissed, while adding that flooding creates safety hazards, with reports of electrical shocks and slippery conditions, while heat-related factory closures and slowdowns reduce productivity, slashing workers’ incomes as they struggle to meet targets.

According to the report, the lack of a just transition — where workers are included in the shift to cleaner energy — leaves Cambodian garment workers vulnerable. Factories are adopting greener technologies, but workers receive no training to adapt, risking job losses. Factory owners, citing costs, refuse to implement mitigation measures, shifting the burden of climate adaptation onto workers.

“Unions, critical for advocating worker rights, are excluded from Cambodia’s national climate planning, with language barriers further marginalising them,” it added.

“Fashion is fuelling Cambodia’s economy, but it must be clean and fair,” said Natalie Swan, labour rights programme manager at the Business & Human Rights Resource Centre.

“Brands’ climate targets are hollow without protecting the workers who make their products. Decarbonisation without workers as partners is not a just transition — it’s a dangerous shortcut,” she continued.

The report notes that none of the 65 brands studied have a standalone Just Transition Policy, and only two — Inditex and Kering — mention workers in their transition plans.

In Cambodia, only Canada Goose and VF Corp acknowledge climate impacts on supply chain workers’ livelihoods, while just four brands provide detailed guidance on heat stress for suppliers, it suggested, adding that of 43 brands setting supplier emissions requirements, only 16 offer financial support, leaving workers and factories to bear the cost of climate action.

With the fashion industry projected to contribute over 25% of global greenhouse gas emissions by 2050, urgent action is needed. Extreme weather, including heatwaves and flooding, threatens Cambodia’s garment sector, endangering workers’ health and livelihoods. A just transition, the report argues, could transform the industry into one that is equitable and resilient, protecting workers while reducing emissions, the report said.

The Resource Centre urged brands to engage with trade unions, provide financial support to suppliers and embed worker protections into climate strategies.

“Brands must stop hiding behind greenwashing slogans,” said Swan.

“A just transition is a critical opportunity to build a fairer fashion industry that works for people and the planet,” she added.

Without immediate action, the report warned that Cambodian garment workers face a future of economic insecurity and worsening workplace hazards, as brands prioritise net-zero goals over human rights.

Kaing Monica, deputy secretary-general of the Textile, Apparel, Footwear & Travel Goods Association in Cambodia (TAFTAC) responded to the report, noting it does not reflect the broader realities on the ground.

“While we recognise that the situation is not perfect, we note that the report does not fully reflect the broader realities on the ground and risks unfairly generalising based on selective or isolated cases. The convenience of generalisation does not give readers objective rational and enlightened view,” he said.

He offered practical examples, asking how could flooding be cited as a serious threat to factories in Cambodia. Citing National Social Security Fund (NSSF) data, he also claimed that worker fainting incidents have seen a huge drop in the number of cases and the number of workers involved.

“Many factories in Cambodia – especially those serving international markets – are making real and measurable progress, guided by the principle of continuous improvement. We are investing in greener technologies, improving workplace conditions and collaborating with stakeholders to strengthen climate adaptation efforts,” he said.

He added that while challenges remain, it is important to acknowledge improvements and encourage further efforts through constructive engagement.

“We urge the report to provide a more balanced perspective highlighting both concerns and the progress made, so that all parties can work more effectively together toward shared goals of sustainability, worker welfare and industrial resilience,” said Monica.