How should the wage assurance be implemented?
The wage assurance that brands are urged to commit to is not prescriptive on the means by which workers’
wages are paid, but aims to obtain public assurances for workers and hold brands accountable to their
responsibilities to workers in their supply chains.
How brands will implement their wage assurance for workers in their supply chains will depend on the individual
brands, their supply chain, and leverage in a particular country or factory. This will include, for example:
Honouring all existing contracts with payment of the originally agreed amounts on the original schedule,
while meeting demands from suppliers for extended production timelines;
Identifying which suppliers have gaps outstanding, through payroll review (preferably in collaboration with
other brands); con rming the percentage of workers brought back post-lockdown, and comparing their
wages and bene ts to that at the onset of the crisis. For workers not (yet) brought back, reviewing the
records of payments made, and the measures taken thus far to compensate them.
Supporting the establishment of emergency relief funds and nancial support packages speci cally for
the garment sector through own contributions (such as the Supply-chain Relief Contribution promoted by
Asia Floor Wage Alliance) and leveraging funds from international nancial institutions and governments
– as foreseen in the ILO Call to Action for the eight priority countries selected.
Cooperating with employers to maintain workers’ employment and wages, including the rehiring of
previously dismissed workers and/or direct nancial contributions to employers for immediate relief.
Creating direct income support for workers who cannot be paid through an employer and are not eligible
to su cient support by national governments, and
Setting up funds to enable additional remedial payments in the coming months to all workers that are not
paid legally mandated remuneration (wages, severance, other terminal payments).