Living wage

Wage levels and wage-fixing mechanisms that provide a living wage floor for workers, while complying with national wage regulations (such as the minimum wage, payment of wages, overtime payments, provision of paid holidays and social insurance payments), ensure proper wage adjustments and lead to balanced wage developments in the company (with regard to wage disparity, skills, individual and .

Find out more about cookies. After various measures trying to provoke change among the administration, the movement took its most drastic measure. Workers employed at a subsidized development will also be entitled to the living wage guarantee.

The Fair Wage Guide gives people along the value chain accurate information to determine fair wages and pricing. It uses up-to-date minimum wage data for countries, plus international poverty lines, to calculate benchmarks for products made on an hourly or piece rate basis.
Living wage estimates for the year range from US $ PPP per hour, in low-income examples, to approximately US$ PPP per hour, in high-income examples.
Living wage estimates for the year range from US $ PPP per hour, in low-income examples, to approximately US$ PPP per hour, in high-income examples.
Wage levels and wage-fixing mechanisms that provide a living wage floor for workers, while complying with national wage regulations (such as the minimum wage, payment of wages, overtime payments, provision of paid holidays and social insurance payments), ensure proper wage adjustments and lead to balanced wage developments in the company (with regard to wage disparity, skills, individual and .
Wage levels and wage-fixing mechanisms that provide a living wage floor for workers, while complying with national wage regulations (such as the minimum wage, payment of wages, overtime payments, provision of paid holidays and social insurance payments), ensure proper wage adjustments and lead to balanced wage developments in the company (with regard to wage disparity, skills, individual and .

Wage levels and wage-fixing mechanisms that provide a living wage floor for workers, while complying with national wage regulations (such as the minimum wage, payment of wages, overtime payments, provision of paid holidays and social insurance payments), ensure proper wage adjustments and lead to balanced wage developments in the company (with regard to wage disparity, skills, individual and .

The Fair Wage Method , developed by the Fair Wage Network and based on twelve dimensions, supports the creation of holistic pay structures that enable and sustain fair living wages and facilitate improved dialogue between employers and employees at the factory level.

Distinct from an audit approach, the Fair Wage Method focuses on partnerships with factories, stores, and brands to assess wage practices through worker and management surveys, identify root causes, and implement improvements, including within Human Resources policies and practices.

But you also have to look at broader pay systems to ensure that the provision of a living wage is comprehensive and sustainable. How are you improving fairness and efficiency of pay systems through pay-to-performance related pay? What systems are in place to ensure that wages are paid on time and that hours are fair? How is wage setting being communicated to workers and influenced by dialogue with those workers? Moreover, the company continues its collaboration projects with Sida, ILO, and IF Metall to train management and workers on workplace cooperation and dispute resolution.

Governments must install an enabling legislative environment for labor rights, one that creates a better balance of power and supports collective bargaining between social partners. In particular, governments must secure implementation of international labor standards when it comes to trade union rights — the right to organize and the right to collective bargaining.

Employers must be required to adhere to these standards; and in that sense, buyers can do much more to engage governments and stress adherence to these rights by their suppliers. In the end, sustainable industrial relations can only be achieved by workers organizing themselves in democratic, independent trade unions at the factory or company level and at the national level. This requires action from governments, but it also requires education. Workers need to know their own rights and have channels for claiming them.

And brands must support their suppliers in improving working conditions. The strategy focuses on governments, factory owners, our own purchasing practices and most crucially, workers. It is also important that there is a legal framework in the country which enables this process. That is why our work focuses on contributing to such a development; where wages are set in negotiations between the parties on the labour market.

We also support industry-wide collective bargaining agreements. When we launched our fair living wage strategy five years ago, we set a bold goal for the end of This goal consists of two parts.

We have already achieved this part of the goal, but our work will continue to cover more factories and workers. We aim to have this in place by the end of and we are on our way to achieve this goal.

We have the same size and reach of our ambition now as in when we set these goals. However, it is only a milestone; our work will continue with the same pace also after Our long-term vision is — and has always been — that all textile workers should earn a fair living wage. However, to be able to set the foundation for fair living wages the industry needs to go together.

The challenges are the same for all brands and we need to find solutions that will benefit all factories.

We define a fair living wage as one which satisfies the basic needs of workers and their families as well as providing some discretionary income. A fair living wage should be . The Fair Wage Guide gives people along the value chain accurate information to determine fair wages and pricing. It uses up-to-date minimum wage data for countries, plus international poverty lines, to calculate benchmarks for products made on an hourly or piece rate basis. The Fair Wage Method, developed by the Fair Wage Network and based on twelve dimensions, supports the creation of holistic pay structures that enable and sustain fair living wages and facilitate improved dialogue between employers and employees at the factory level.