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- Fair Wage Guide - Empowering Craft Artisans with Wage Information via Technology
Fair Wage Guide - Empowering Craft Artisans with Wage Information via Technology
Supporting organization:
World of Good Development Organization
URL:
www.worldofgood.org
City:
Berkeley
State/Region:
CA
Country:
US
Project Vision Statement & Potential Social Impact:
World of Good Development Organization, a 501(c)3, is creating a revolutionary web technology that will enable artisans in the informal economy to increase their bargaining power thereby improving their livelihoods. The Fair Wage Guide will improve the lives of artisans by making fair wage information available and accessible via technology. By giving artisans wage data and a mechanism to value their time, they are empowered with the tools they need to negotiate for higher wages.
Sustainability (financial) model:
In our early stages, the Fair Wage Guide project is funded by committed foundations and individuals. In addition, we are partnered with the global Fair Trade community and partner organizations have also committed funds to this initiative. In the longer term, there will be an opportunity to partner with the key monitoring and certification organizations to fund the Fair Wage Guide and potentially collect fees for customized services and reporting.
Potential obstacles:
Our main obstacle is access to the internet in remote villages of the world. Currently, rural craft artisans cannot access the valuable information in the Fair Wage Guide because the internet is not readily available. We are working to raise resources to build an SMS based version of the tool to empower more artisans with access to the wage guide via their mobile phones.
Resource Needs:
We are currently raising $500,000 for the Fair Wage Guide project in 2007 and 2008 ($250,000/year).
Key Milestones:
Improve Wages and Livelihoods: Empower artisans with access to fair wage information allowing them to negotiate for higher wages thereby improving their livelihoods.
Create Fair Wage Methodology: Through the promotion of the Fair Wage Guide, create one standard methodology for the calculation of fair wages in the fair trade community and the broader informal sector.
Global Fair Trade Partnerships: Build consensus among the key stakeholders in the Fair Trade movement to improve fair wage standards. Specifically, building communication and cooperation between the International Fair Trade Association (IFAT), the Fair Labeling Organization and the Fair Trade Federation.
Fair Wage Conference: Convene the leaders of the Fair Trade movement to focus on strengthening fair wage standards and creating a strategic plan for the adoption of the Wage Guide into the Fair Trade Community.
Technology and Research: Refine technology to improve usability of the tool and develop partnerships with leading wage research organizations like the International Labor Organization.
Initiate Broader Distribution: Introduce the Fair Wage Guide methodology to the broader players in the informal economy (socially responsible companies and international development organizations).
Process Targets:
Market analysis of 1,500 products from 100 groups tested in the tool (May 2007)
Market analysis of 4,000 products from 200 groups tested in the tool (2008)
Fair Trade Wage Guide adopted as part of the IFAT Standards and Monitoring Process
Present the Wage Guide at strategic international conferences
Regional Training and Implementation in the Fair Trade community (Europe, Africa, Pacific Rim, Latin America, Asia)
Field trainings and product tests in 10-15 countries
Expand training to socially responsible businesses and international development organizations
Outcomes:
25-50% of US Fair Trade buyers using the Wage Guide
25% of International Fair Trade producer groups and buyers using the calculator
100-200 artisan groups improve bargaining power through the technology thereby increasing artisan wages
Project Summary:
The Fair Wage Guide was created to strengthen the quantitative standards for the fair trade principle of ‘paying a fair wage in a local context.’ We set out to create a simple, user-friendly website that would help artisans and buyers calculate fair wages. Our goal was to create one standardized methodology for the calculation of fair ‘floor’ wages with a built-in system to take into account the local factors including the global region, country and whether the setting is urban or rural.
We believe that the Wage Guide is important for two main reasons. First, the Wage Guide helps to ensure that artisans are fairly compensated in the fair trade craft market. There are many buyers and artisans in the current fair trade market who are looking for guidance on how to pay fair wages. In addition, as fair trade gains popularity and more organizations want to be involved, it is essential that we create a standardized methodology around fair wages to protect the good work of people who have been building the fair trade movement over the last 50 years. We want to ensure the growth of the fair trade market is positive and long-lasting.
Second, the Wage Guide will create an auditable trail of the transaction for a fair trade craft purchase. We believe the Wage Guide will help reinforce the movement to create a fair trade craft product label. The fair trade commodities (coffee, tea) market has seen tremendous growth in both opportunity and income for farmers around the world, while fair trade crafts are stagnating in many parts of the world. We want to help create the same opportunity for artisans that farmers have benefited from with the fair trade product label. We believe the development of the Wage Guide and a globally standardized methodology for fair wages are integral to the creation of a product label for crafts.
