Unilever has said that by 2030 it will refuse to do business with any firm that does not pay at least a living wage or income to its staff.
The consumer goods giant defined a living wage as one that covered a family’s basic needs “and helped them break the cycle of poverty”.
It said it wanted to raise wages for people outside its own workforce in order to promote economic inclusion.
Unilever is one of the first big companies to make such a commitment. Oxfam called the move a “step in the right direction”.
Unilever, whose products include Marmite, Ben & Jerry’s ice cream and Dove soap, said it was committed to helping to build “a more equitable and inclusive society”.
“Our ambition is to improve living standards for low-paid workers worldwide,” it said.
“We will therefore ensure that everyone who directly provides goods and services to Unilever earns at least a living wage or income, by 2030.”
The wage should be enough to cover food, water, housing, education, healthcare, transport and clothing, and also include a provision for unexpected events, Unilever said.
The firm said it was working with partners to establish exact rates of pay in the 190 countries where it operates.
However, Unilever’s chief human resources officer Leena Nair said it would pay twice as much as the minimum wage in some countries.
Unilever said it already paid its own employees at least a living wage, but it wanted to secure the same for more people beyond its workforce, specifically focusing on the most vulnerable workers in manufacturing and agriculture.
Source: bbc.com
