Step 3: Take action 3.1 Formulate a company strategy
1. Adopt a company commitment and policy
Adopting a policy that commits your company to achieve living wages and living incomes in your supply chains will contribute to:
- Building future proof and resilient supply chains
- Responding to market demands for social and environmental sustainability
- Protecting human rights throughout the supply chain
- Creating legislation such as ILO Conventions
- Achieving international and national human rights goals such as the UN Guiding Principles on Business and Human Rights and the Sustainable Development Goals
The company commitment and/policy can include objectives regarding:
- A description of the issue regarding wages and/or income in the sector(s) your company operates
- Principles guiding your supply chain (ethics, long term relationships, value distribution, collaboration, certification schemes, etc.)
- Commitment to paying living wages/income
- Approach to work towards living wages/income (working with producers, suppliers, etc.)
-
Commitment to respecting labour rights, freedom of association or working hours
Examples of company commitments
2. Define a roadmap
Define a roadmap that establishes an action plan with specific deadlines and specific targets, moving from targets to improve transparency in the supply chain towards targets to close the income/wage gap. Targets should be ambitious yet realistic and follow a gradual approach from short term to long term. Some examples of target types:
Internal
- Targets for procurement/internal buyers
- Reference to living income/wage strategy or commitment
External
- Targets for farmers or suppliers
- Influence the economic viability of the producers