Caring about people
Fair remuneration
For the workers in our garment partner factories
At the end of 2023, the minimum wage in Bangladesh increased by 56%, and we have, of course, reflected this increase in the price we pay for our garments. However, the minimum wage does not correspond to a living wage as defined by the Global Living Wage Coalition (GLWC).* With the commitment and support of our CEO and management team, we continue to review the situation with our partner factories and explore the best ways to bring worker remuneration closer to the living wage. *The GLWC defines a living wage as the ‘remuneration received for a standard work week by a worker in a particular [time and] place sufficient to afford a decent standard of living for the worker and her or his family. Elements of a decent standard of living include food, water, housing, education, healthcare, transport, clothing and other essential needs including provision for unexpected events’.
We choose to work with some of the most ethical and responsible factories and strive for all of them to pay fair wages. In Bangladesh, the local government sets the minimum wage to ensure fair pay for garment workers, while at the same time, maintain competitiveness for garment producers. Our partner factories guarantee this legal minimum wage and fundamental legal requirements such as in-house childcare facilities, maternity leave, and medical facilities. Some of them also offer additional benefits like free transportation, per- formance and attendance bonuses, and progressive pay scales.
For the farmers growing our organic cotton
In 2023, we started our first ‘direct-to-farm’ programme in collaboration with Remei Tanzania, an organic cotton company that shares our vision for a more equitable textile industry (see also page 32). Like Stanley/Stella, Remei considers a living income as an essential aspect of fair farming practices. As well as providing farmers with a purchase guarantee that gives them financial stability, it further rewards their efforts in organic production by purchasing their cotton with a 15% premium. This premium is based on the average market price for organic cotton over the past five years. This two-pronged approach provides farmers with a secure and fair income, giving them the encouragement, means and opportunity to develop their livelihoods.
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