“We want to emphasise that while we agree that wages in many markets indeed need to be raised, it is not our role as a brand and buyer is to set the level of wages. Instead, as wages are an industry wide issue, they also need to be set on an industry wide level, preferrably negotiated between the parties on the labor market. This understanding of how to drive improvements on wages is shared by the global trade unions and the International Labour Organisation, whom we consulted extensively when we set our Fair Living Wage Roadmap.

According to the ILO and the global trade union IndustriALL there is no universal benchmark on how to calculate a living wage. Instead they stress the importance of promoting freedom of association and collective bargaining, as necessary for workers and employers to negotiate wages and working conditions. We share this view and this is why our efforts are focused on supporting the establishment of transparent and fair wage management systems, workplace dialogue and improved industrial relations.”