Clean Clothes Campaign+Living-wage Benchmarks+About

Does the company commit to living-wage benchmarks?

Companies must commit to living-wage benchmarks for many reasons. By putting a figure on the living wage, the labour cost can be calculated and embedded into pricing breakdowns, and companies can use this to be sure that suppliers are receiving enough to pay a living wage. If enough companies do this, production-country governments are given a clear signal that putting up the minimum wage to a living-wage level will not risk loss of business. The commitment to a real living-wage benchmark from companies also opens up space in wage negotiations between workers and factory owners. Currently, these negotiations often achieve very little because factory owners say they cannot pay more, due to low prices paid by buyers. But if unions or worker groups know that brands being produced in their factory have committed to a specified living-wage figure, these negotiations are opened up and a living wage becomes a possibility.