Canada's corporate ethics watchdog, the Canadian Ombudsperson for Responsible Enterprise (CORE), announced on Thursday that it is launching investigations into the Canadian branches of Walmart and Hugo Boss, as well as the Canadian sector of Diesel, a fashion company owned by Italy's OTB. 

The investigations are in response to allegations that the companies have used Uyghur forced labor in their operations and supply chains.

CORE said that it has published an initial assessment report following complaints lodged by a coalition of 28 civil society groups in June 2022. The report found that there is "reasonable basis to believe" that the companies may have used Uyghur forced labor.

Walmart Canada and Hugo Boss have both denied the allegations. Walmart said that "none of the entities mentioned in the complaint are part of our current disclosed supply chain." Hugo Boss said that CORE's investigation is centered around a supplier relationship that concluded in 2022. Diesel has not responded to inquiries for comments.

The allegations of Uyghur forced labor have been a major concern for human rights groups. In March, a United Nations committee expressed apprehension about China's treatment of its Muslim minority, citing instances of forced labor involving Uyghurs. China has consistently denied these allegations.

CORE was established in 2019 with the aim of monitoring and investigating instances of human rights violations, primarily involving Canadian companies in the garment, mining, and oil and gas sectors operating internationally.

The investigations into Walmart, Hugo Boss, and Diesel are the latest in a series of probes by CORE into Canadian companies that have been accused of using forced labor. In recent months, CORE has also launched investigations into Nike Canada, Dynasty Gold, and Ralph Lauren.