Filling the gap: Achieving Living Wages through improved transparency

1. Filling the gap: Achieving Living Wages through improved transparency

2. India

3. A living wage

4. Problems • Young girls, women and migrants – the vast majority of the workforce – are predominantly being paid wages that force them to live in poverty • Lack of coherent information and knowledge on wages in specific supply chains prevents citizens/consumers, brands, retail companies and policymakers from making informed choices • Much of the producer workforce as well as many other key stakeholders lack awareness of the gaps between their rights and the current situation • On top of the lack of coherent, easily accessible information on wages here is the overall lack of transparency in the garment and footwear industry. • Inability to trace which brands are producing which items and where

5. Solutions • Link the wage promises of brands to the actual real-world wages at factory level (Transparency Tool) • This gives workers, trade unions and advocates much stronger arguments to demand and achieve concrete wage increases from brands. • And allows consumers to judge if brands achieve their goals, thereby making more informed purchasing decisions.

6. Objectives Reduced wage gaps in the garment and footwear supply chains (1) between wages paid and a LW, and (2) between wages paid to female and male workers. Increased use of information on supply chains, wages and working conditions at workplace level Active engagement of European citizens/consumers More brands publicly disclosing supply chain information and tangible improvements in wages at workplace level Better regulatory frameworks in Europe and internationally regarding LW and transparency Increased capacity and empowerment of workers, workers’ (rights) organisations and other CSOs and activists for evidence-based social dialogue and LW and supply chain transparency advocacy

7. Results Increased use of information. No. of Transparency Tool (TT) users: 1 million Active engagement of European consumers/citizens. No. of respondents to calls for action: 200,00 More brands publicly disclosing information and tangible improvements. No. of brands aligned w/ Transparency Pledge: 36. No. of brands providing S.M.A.R.T. data : 10. No. of brands taking measures and addressing gender pay gaps: 500% increase over baseline. Better regulatory frameworks in Europe and internationally. No. of EU and broader policy initiatives: 6 Increased capacity of workers, workers’ (rights) organizations and other CSOs and activists. No. of public advocacy initiatives referencing Transparency Tool data: 50

8. Locations of action • Europe • The Netherlands, Belgium, Germany, Austria, Croatia, Finland, Italy, Poland, Czech Republic, , Hungary, Sweden. • Asia • Indonesia, China, India