Tailored Wages – new report investigates clothing brands work on living wages.

published 30-03-2014 22:00, last modified 31-03-2014 09:12
Survey of 50 leading clothing brands show they must do much more to ensure garment workers receive a wage they can live on.

Today, Clean Clothes Campaign have launched ‘Tailored Wages’ an in depth study of what the leading 50 clothing brands across Europe are doing to ensure that the workers who produce the clothes they sell are paid a living wage.

Based on a multi brand survey “Tailored Wages” found that whilst half of those surveyed included wording in their codes of conduct saying that wages should be enough to meet workers' basic needs; only four brands - Inditex, Marks & Spencers, Switcher and Tchibo - were able to show any clear steps towards implementing this – and even they have a long way to go before a living wage becomes a reality for the garment workers that produce for them.

More action and less talk

“Although a living wage is a human right, shockingly none of Europe’s leading 50 companies is yet paying a living wage,” said Anna McMullen, the lead author on the report. “The research showed that while more brands are aware of the living wage and recognise that it is something to be included in their codes of conduct and in CSR brochures, disappointingly for most of the brands surveyed this was as far as they went. With millions of women and men worldwide dependent on the garment industry it is vital that these words are turned into definitive actions sooner rather than later.”

The survey did find some interesting work being carried out by some brands to increase the amount paid to workers. Swiss company Switcher has set up a fund to pay an additional 1% on top of the price paid to the factory, which will go directly to the workers. Whilst other companies such as Spanish retail giant Inditex is looking at ensuring better conditions by forming agreements with global union IndustriALL. However as Ms. McMullen adds “whilst this is all innovative work it remains in the pilot stage and workers can wait no longer.”

Struggle for living wages reaching critical point

In key garment producing countries such as Cambodia the struggle for a living wage continues, as latest figures from the Asia Floor Wage Alliance show that living wage levels are, on average, three times the minimum wage a garment worker receives.

Cambodian workers, currently receive just USD 100 a month, just 25% of the Asia Floor Wage calculation for Cambodia. In recent months garment workers have been met with increasing violence and unrest as they demand a raise in the minimum wage to USD 160 – still just a fraction of a wage they could live on.

“My expenses are increasing every day,” says Lili, a factory worker from Cambodia. “Even if we [the workers] eat all together in a small room and I collect the money from all others, we still can only spend a very small amount each because everybody always thinks 'how are we going to be able to send money home to our families?'”

The Clean Clothes Campaign carried out the research to monitor how far policies are being turned into practice by major clothing brands. The role of companies in ensuring a living wage is paid is vital as they have the ability to change prices and purchasing practices that would ensure wages allowed garment workers to live with dignity.

Tailored Wages is part of a global campaign run by Clean Clothes Campaign and partners the Asia Floor Wage Alliance calling on all brands and governments to take action in order to ensure a living wage is paid.

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