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Article

13 Dec 2018

Author:
Sarah George, edie.net

H&M hosts Fair Living Wage summit & unveils review of its wages roadmap

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"H&M holds fair wage summit after criticism of supply chain pay policies", 11 December 2018

Fashion giant H&M... held a summit to determine how best to ensure all supply chain workers receive a "fair" living wage, following campaigner accusations that it had failed to pay some garment workers enough to keep them above the poverty line. The summit... in Phnom Penh, Cambodia, was attended by representatives from other fashion retailers as well as NGOs, supplier factories... investment firms, [c]ampaigners, trade unionists and academics...

...H&M also unveiled an independent review of its roadmap for wages, which includes a headline goal of ensuring 100% of its supplier factories and farms meet its “fair living wage” standards... the roadmap concludes that H&M’s strategy... “contains some strong elements that seek to address the long-term, systemic root causes of low wages”. However... wage growth among garment workers has “remained slow” and... it recommends that the company... improves the basic rate of pay for all garment workers...

Responding to the report, H&M Group... said the company’s commitment to ensuring all workers receive a fair wage was “stronger than ever”...

... H&M published new information on the wage requirements it enforces across its supply chains in Cambodia, Turkey, China and Indonesia. The figures state that the average worker in Cambodia currently receives 123% of the national living wage, with the rate standing at 193% for China.

The [Clean Clothes Campaign] declined an invitation to the summit, citing concerns that its marketing "concealed important issues" and that the event would not address these challenges...

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