Fair Trade USA's Multi-Stakeholder Group Reveals Results of Two-Year Apparel Pilot
Findings lay foundation for greater transparency and impact in apparel sector.
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Key findings include:
- Workers in certified factories earned 15 percent above local minimum wage on average, and up to double the minimum wage in one facility.
- Distribution of the Fair Trade premium resulted in tangible change in the local community (e.g., building a school in war-torn Liberia, and distributing cash bonuses equivalent to one week’s pay).
- Impact (as measured by Fair Trade premiums) tripled each year of the program, due to availability of certified products through national channels like REI and Zappos.com.
- There is no one-size-fits-all approach to worker representation in cut-and-sew factories, and worker training is needed to ensure that all employees understand their rights, including the right to freedom of association as required by Fair Trade standards.
Several members of the MSG, a working group of 12 diverse representatives from across the apparel supply chain, visited pilot partners in India in 2011 with generous support from Catholic Relief Services’ Fair Trade Fund. One NGO participant, Green America, observed a transformation in worker attitude, confidence, and sense of security.
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