Fairtrade and Living Wages for workers
Fairtrade’s ambition is that workers have the power to improve their own livelihoods and negotiate their wages and terms of work. That’s why living wages is a fundamental aspect of our strategy.
Workers at farms, factories and plantations are among the most vulnerable people in global trade. Without access to land or unable to make a living from it, they often have few options for a sustainable livelihood. These workers often lack formal contracts, freedom of association, basic health and safety assurances, and adequate wages, among other challenges. And often do not earn a living wage.
What is a living wage? It is a wage that covers the basic needs of workers and their families, including food, clothing, shelter, healthcare, education, transport to work and a little extra for unforeseen circumstances.
At Fairtrade we work to address this gap, going beyond our standards.
The Anker Methodology:
To determine living wages, Fairtrade utilizes the Anker Methodology. This approach calculates wages based on regional living costs and takes into account essential goods and services required to maintain a decent standard of living. The Anker Methodology ensures precise and context-specific wage benchmarks, allowing workers to afford necessities like food, housing, education, healthcare, transportation, clothing and savings for unforeseen circumstances.
Fairtrade's approach to achieving Living Wages
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Fair Pricing
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Value Addition
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Efficiency and Productivity
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Market Access
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Community Development
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Advocacy and Policy Change
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Collaboration
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Consumer Awareness
Choosing Fairtrade means supporting workers’ rights to a decent income, and putting more money directly in the hands of workers themselves.