Jobs in agriculture and mining are often low paid, precarious and dangerous. Unions and collective bargaining are essential for improving conditions, but efforts to organise are often undermined by employers, informal and seasonal work contracts or prohibitive laws.
Excessive work hours are commonplace, both for small-scale farmers and farm workers. For example, in flower production in Ethiopia and Ecuador, overtime is often compulsory and not paid at all or at a premium rate. The same is reported by two-thirds of garment workers in India. Banana workers in Guatemala log 12 to 15 hours Monday through Friday, with a half-day of work on Saturday.
Injury and illness is common. Flower workers are prone to repetitive stress injuries from working in crouched and bent positions for long periods of time. More than 80% of cocoa producers in Ghana have experienced cuts, burns, back pain or other injuries. In bananas, just 20% of workers using pesticides use masks and/or gloves regularly.
Among artisanal gold miners, 25-33% of miners suffer from mercury vapor intoxication with various symptoms from headache and insomnia to kidney effects, respiratory failure and death. In processing mills, poor ventilation causes respiratory infections in sectors like cotton, cashew and rice in South Asia.
Informal and short-term work hinder access to social security and trade unions. Temporary tea workers in Kenya earn less than half of permanent employees and are ineligible for union membership. Informal seasonal work is particularly common on smallholder farms that mostly rely on family labour.
Animosity toward trade unions is widespread. One of the worst affected sectors is in bananas, where workers have been dismissed for participation in union activities and puppet unions create divisions, as documented in Colombia, Costa Rica, the Dominican Republic, Ecuador, Nicaragua and Peru. Latin American coffee plantations are riddled with similar violations. In India, caste discrimination means that union leaders do not always represent the interest of all tea estate workers.
Unionisation is also a hot topic at the consumption end of some supply chains. In the US, unionisation is low in the food and beverage industry.
Exploring Fairtrade’s Impact, 2022, page 31.
Fairtrade aims to fight the root causes of substandard working conditions. We believe in a worker-led approach where workers lead the negotiations to prevent, mitigate and remediate labour risks with the support of Fairtrade.
Fairtrade collaborates with labour rights organisations and others to achieve structural changes that advance the rights of all workers, not just those employed by Fairtrade certified farms and plantations. Our initiatives seek to drive change beyond the level of individual companies.
If a violation of a Fairtrade Standard requirement is found, the independent Fairtrade auditing body, FLOCERT, agrees on corrective actions with the organisation and checks their implementation.
Exploring Fairtrade’s Impact, 2022, page 26.
Fairtrade utilises a variety of tools to prevent and mitigate1 the risks regarding workers’ rights and the freedom of association at farmer cooperatives and plantations.
The Fairtrade Standards are one of these tools. Based on ILO conventions and recommendations, the Standards include several requirements on working conditions, which apply to workers employed both directly and indirectly via subcontractors:
To explore the full set of Fairtrade’s Standards on labour conditions and FOA, please see the bottom of this page.
Fairtrade also works in several other ways to improve working conditions and advance the freedom of association:
Please see also the page on living wage and Fairtrade’s responses to the lack of living wages.
At the export, import and manufacturing stages, Fairtrade’s interventions against labour abuse are currently narrower in scope than at the production stage. The Fairtrade Trader Standard requires companies to be aware of and comply with national labour laws and fundamental ILO Conventions, including those on freedom of association and collective bargaining. This applies in Fairtrade certified supply chains regardless of whether the local county has ratified these ILO Conventions or not. Compliance with these requirements is checked in audits, if there are prior indications of non-compliance, such as allegations made by third parties.
In addition, traders are required to pay Fairtrade Premium and Fairtrade Minimum Price, which support farmer cooperatives and plantations to invest in socio-economic development of the community and of workers.
1: Mitigating measures reduce the likelihood of an adverse impact (UNGP Interpretive Guidance, p. 12)
2: See further information on the website of Fairtrade International.
In spite of our efforts, labour rights violations can still occur in Fairtrade certified supply chains. Workers on farms and plantations remain among the most vulnerable groups in global trade. In many locations, progress is hampered by a vicious circle of poor working conditions, poverty, low levels of worker organisation and social dialogue, and unequal power dynamics between employers and workers.
When severe harm such as forced labour is identified or alleged, Fairtrade acts to protect the affected person(s) in line with our Protection Policy. We work with national agencies and/or NGOs to enable remediating3 measures, a safe workplace and long-term wellbeing of the affected person(s), and with producer organisation to strengthen preventive measures.
When FLOCERT, the independent Fairtrade auditing body, identifies a violation of a core labour requirement, it requires corrective measures. Typically, the organisation needs to rectify the violation and develop and implement a relevant policy, procedure or project to facilitate prevention of further violations. This may require the organisation to reverse an inappropriate termination of contract or start engaging in collective negotiations with trade unions. Corrective measures must be taken in a timely manner to avoid sanctions, which can include suspension and decertification.
For example, in Brazil, a 2020–2022 Fairtrade project supported orange farmer cooperatives to set up monitoring and remediation systems for poor labour conditions on their farms. The project aimed to increase the capacity of participating cooperatives to identify and adequately respond to poor working conditions and hiring practices, including issues of child and forced labour in productive areas. Please see Fairtrade’s Impact Map for further examples.
However, Fairtrade cannot guarantee that each violation is fully remediated, including rehabilitation and compensation for the victim. Full remediation requires contributions from all the duty bearers, including local public authorities and each of the companies who have caused or contributed to the case.
Fairtrade has a global level grievance mechanism – the allegations mechanism housed at FLOCERT – which is under reform to strengthen its alignment with the UN Guiding Principles on Business and Human Rights.
In addition, Fairtrade certified plantations are required to have a grievance mechanism in place. Grievance mechanisms are not yet required of farmer cooperatives or traders, but these organisations do need to address and document any human rights and environmental complaints related to Fairtrade Standards.
3: Remediation refers to the process of counteracting or fixing a human rights violation through measures that can include apologies, restitution, rehabilitation, financial or non-financial compensation, and punitive sanctions, as well as preventing the repetition or further cases of harm (UNGP Interpretive Guide, p. 12).
Fairtrade Annual Report 2022, 2023, page 9.
Standard | Criteria | Type | Year |
---|---|---|---|
Small-scale producer organisation | You do not use production, quotas and piece-work employment as a means to avoid time-bound contracts. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 0 |
Small-scale producer organisation | You make payments to workers at regularly scheduled intervals that workers are aware of. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 0 |
Small-scale producer organisation | Workers are provided with pay slips. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 0 |
Small-scale producer organisation | You have set maternity leave, social security provisions and non-mandatory benefits according to national laws, or according to CBA regulations where they exist, or according to the agreement signed between the workers' organisation and the employer, whichever is the most favourable for the worker. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | D | 6 |
Small-scale producer organisation | Where possible you have assigned all regular work to permanent workers. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | D | 3 |
Small-scale producer organisation | You have issued all permanent workers with legally binding written contracts of employment. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 1 |
Small-scale producer organisation | You have provided the worker with a copy of the signed contract and ensure they are aware of their rights and duties, responsibilities, salaries, and work schedules by providing it in a format and language they understand. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 1 |
Small-scale producer organisation | You and your members provide clean toilets with hand washing facilities close by, and clean showers (showers only for workers who handle pesticides). (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 0 |
Small-scale producer organisation | The showers and toilets are separate for women and men and the number is proportional to the number of workers. (Only applicable for organisations and/ or individual members with more than 10 workers that are present for one month or more during a year working more than 30 hours per week or equivalent) | C | 0 |
Small-scale producer organisation | You and the members of your organisation ensure that all field workers have access to clean drinking water that is available in the region. (Applicable to all workers employed by the organisation and/or the individual members) | C | 0 |
Small-scale producer organisation (Cane sugar) | You and the members of your organisation ensure that all field workers have clean drinking water. | C | 0 |
Organisation with hired labour | The company has provided opportunities to workers and staff to develop their skills and qualifications. If not, convincing reasons are provided. | D | 3 |
Organisation with hired labour | Payments are made on time, at regularly scheduled intervals that have been communicated to workers. | C | 0 |
Organisation with hired labour | Workers receive payslips or equivalent regularly or upon request providing a clear account of wages earned, allowances, bonuses, overtime payment, and all deductions in detail. | C | 0 |
Organisation with hired labour | All permanent workers have a legally binding written contract signed by worker and the employer, and has at least the job description, working hours, pay rate, overtime regulation, social benefits entitlements and deductions, annual paid leave, protection of the worker from loss of pay in the case of illness, disability or accident, and a notice period for termination that is the same as the notice period for the employer. | C | 0 |
Organisation with hired labour | Temporary workers who are employed for a period of 3 months or more of uninterrupted service have a legally binding written contract of employment with a job description, signed by employee and employer. | C | 0 |
Organisation with hired labour | In case of dissolution of the contract the notice period is identical for employer and worker. | C | 0 |
Organisation with hired labour | All workers are made aware of their rights and duties, responsibilities, salaries, and work schedules as part of the legal labour contract. | C | 0 |
Organisation with hired labour | Workers have a signed copy of their employment contract in a format and language they understand. | C | 0 |
Organisation with hired labour | There is an alternate legally established system, that recognizes the worker as an employee of the company and ensures the worker the necessary protection as required under the Standard sections 3.5.6/3.5.7 (India) (Only applicable in case of the absence of a formal contract practised in the sector) | C | 0 |
Organisation with hired labour | The company complies with applicable national and local legislation and industry standards regarding working hours and overtime regulations. | C | 0 |
Organisation with hired labour | The company does not require workers to work in excess of 48 hours per week on a regular basis | C | 0 |
Organisation with hired labour | The company allows workers at least one day of rest for every 6 consecutive days worked, unless exceptional circumstances apply. | C | 0 |
Organisation with hired labour | The company has a received approval from FLOCERT for an exception in case it does not allow at least one day of rest for every 6 consecutive days worked. However, workers do not work more than 14 hours per day or more than 72 hours per week or more than 18 continuous working days without rest. | C | 0 |
Organisation with hired labour | The exceptions granted by FLOCERT are communicated to workers in form and language understood by workers. | C | 0 |
Organisation with hired labour | Overtime is voluntary and not required on regular basis. | C | 0 |
Organisation with hired labour | Any overtime does not extend over a period of more than 3 consecutive months and/or does not exceed 12 hours per week, unless exceptional circumstances apply. | C | 0 |
Organisation with hired labour | The company has received prior approval from FLOCERT for an exception in case its overtime exceeds the defined limits. | C | 0 |
Organisation with hired labour | National legislation for overtime is complied with if it exceeds the above requirements. | C | 0 |
Organisation with hired labour | Overtime is compensated at a premium rate that is applicable to compensation by payment or by allocation of time. If neither national legislation, nor CBA, nor agreements with unions specify these rates, the following factors apply: a factor of 1.5 for work performed on regular workdays. For work performed on the regional day of rest, public holidays and night work a premium at a factor of 2 is applied | C | 0 |
Organisation with hired labour | At least 2 calendar weeks of paid leave per year are granted to workers, not including sick and casual leave. The leave period is in line with national legislation and/or CBA, if either of these exceeds 2 weeks. | C | 0 |
Organisation with hired labour | Lunch and work breaks are defined, granted and respected. | C | 0 |
Organisation with hired labour | There is a regulation on regular sick leave and sick leave caused by employment injury which is at least according to national legislation and it is honoured. | C | 0 |
Organisation with hired labour | The regulation ensures that workers are protected from being dismissed during temporary sick leave and guarantee the worker some form of income during sick leave. | C | 0 |
Organisation with hired labour | Sick leave is not deducted from annual leave. | C | 0 |
Organisation with hired labour | All workers are provided with legal social security. | C | 0 |
Organisation with hired labour | All regular work is undertaken by permanent workers. Time-limited contracts and subcontracting are undertaken only during peak periods, in the case of special tasks and under special circumstances. | C | 0 |
Organisation with hired labour | Production, quotas and piecework employment are not used as a means to avoid time-limited contracts. | C | 0 |
Organisation with hired labour | All standard contracting of seasonal/temporary workers for regular work for the Fairtrade production is undertaken directly rather than through a subcontractor. | C | 1 |
Organisation with hired labour | The company only subcontracts workers for non-regular work, or in special circumstances, if it is unable to contract directly. | C | 1 |
Organisation with hired labour | The recruitment practices of any agency or person involved comply with the requirements detailed in Fairtrade Standard requirement 3.5.24 (see CC 3.5.0.63 to .67). (Only applicable if the company actively recruits workers from other regions within the country or from other countries) | C | 0 |
Organisation with hired labour | Clean drinking water is provided close by for all workers and is clearly labelled . | C | 0 |
Organisation with hired labour | Drinking water is analysed at least twice a year to correspond with seasonal variations. (Only applicable if water purity has been identified as a risk) | C | 0 |
Organisation with hired labour | The company provides clean toilets with hand washing facilities close by. | C | 0 |
Organisation with hired labour | Changing rooms are provided for all workers with lockable storage facilities if requested. | C | 0 |
Organisation with hired labour | Clean showers are provided for workers who handle pesticides. | C | 0 |
Organisation with hired labour | All facilities are separate for women and men and the number of facilities is in proportion to the number of workers (minimum proportion is 1:25). | C | 0 |
Organisation with hired labour | Suitable rest areas are provided for workers. | D | 6 |
Organisation with hired labour | A canteen with cooking facilities is provided where necessary and if requested by workers. (Not applicable to small companies) | D | 6 |
Organisation with hired labour | The company provides proper tools and suitable work clothes for all workers appropriate to their tasks, and replace them regularly free of charge. (Not applicable to small companies for tasks not related to handling of hazardous chemicals) | C | 0 |
Organisation with hired labour (Flowers) | Every worker receives at least 3 weeks of paid annual leave per year. Independent of the type of contract of a worker, paid leave is allocated pro-rata to the duration of the contract after two consecutive months of service. | C | 0 |
Organisation with hired labour (Flowers) | The employer ensures that workers are included in an appropriate state or private social security scheme, covering at least invalidity and injury at work, occupational illness, maternity and old-age benefit. | C | 0 |
Organisation with hired labour (Flowers) | In case shops and canteens are not available you provides a suitable area where workers can store and consume their food away from the working area. | C | 0 |
Organisation with hired labour (Flowers) | Eating in working areas does not take place. | C | 0 |
Organisation with hired labour (Flowers) | Workers are aware that they have the right to remove themselves from danger resulting from their work. | C | 0 |
Organisation with hired labour (Sports balls) | Records are kept in the stitching centres and subcontracted units and include the following: • name, address, age of workers • daily attendance • number of sports balls stitched on each working day per worker • wages paid per worker (and all deductions made) • advances paid to workers and the current balance of advance payments provided • number of balls received for stitching per working day • total number of balls stitched per working day | C | 0 |
Organisation with hired labour (Sports balls) | The sports ball company offers long-term piece workers in factories and factory-owned or leased stitching centres permanent work contracts. The company also encourages subcontractors to offer permanent work contracts to piece workers more frequently. | C | 3 |
Organisation with hired labour (Tea) | Temporary workers who work for 6 consecutive days or for at least 10 days in a month, or more of uninterrupted service, have a legally binding written contract of employment with a job description in a language they understand, signed by employee and employer. In which case 3.5.8 in the HL Standard also applies. The contract includes duration of contract, hours/day per week worked, job description, wage level, wage deductions, notice period, detail on in-kind benefits, responsibilities of employer and employee, and includes explanation on grievance procedure. In the case of dissolution of the contract, the notice period is identical for employer and employee. | C | 1 |
Trader | You are aware of the applicable labour laws in your country and of the fundamental ILO conventions. (Also applies to additional entities) (Not applicable to FSI cotton after ginning stage) | C | 0 |
Trader | There are no indications that you violate any of the local labour laws or the fundamental ILO conventions. (Also applies to additional entities) (Not applicable to FSI cotton after ginning stage) | M | 0 |
Trader | You set conditions of employment according to legal and CBA regulations where they exist. | R | 0 |
Trader | All permanent employees have a legally binding written contract signed by the employee and the employer that covers all details required by applicable legislation. | R | 0 |
Trader | You comply with applicable legislation working hours and overtime regulations. | R | 0 |
Trader | You comply with any additional applicable legislation regarding conditions of employment. | R | 0 |
Trader (Seed cotton) | You and all your additional entities and / or subcontractors have a valid Social Indicator that demonstrates efforts to comply with the ILO Conventions as defined in the Fibre Crops Standard. (Not applicable to spinners operating only under the FSI model) | C | 0 |