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Report

11 Nov 2019

Author:
The Circle

NGO report proposes legislative measures to ensure living wage in the garment industry

"Fashion Focus: Towards a Legal Framework for a Living Wage", 8 November 2019

 ...The purpose of this...report...is to provide the basis for a new proposal on living wage regulation...

...we propose a legislative measure that directs its force at the relevant importer into the EU or company operating in the EU...to create an incentive for garment producing states to raise their minimum wage levels…

 ...the Regulation would provide that where the garments were produced in a country where the minimum wage did not meet the requirements of a living wage, the importer would be required to state that it had or had not taken all reasonable steps to ensure that the goods imported had been produced by workers paid a living wage ("the due diligence obligation")…

...the regulation would provide a list of countries where either there is no statutory minimum wage or that wage does not meet the requirements of a living wage….Importers would...have three options:

1)...import from a country where the statutory minimum wage was a living wage...

2) ...carry out due diligence and ensure that the imported products were produced by workers who were paid a living wage....

3)...an importer could state that it had not carried out due diligence...In that case it is hoped that public exposure for that omission would have market consequences…

…The overall objective of the legislation would be for garment producing countries to raise their statutory minimum wage to a living wage so as to be removed from the list...