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How
does Fairtrade Help?Talon Sports was certified by Fair trade Labeling Organizations International (FLO) in 2002 and now supplies Fair trade markets in the UK, Italy and Germany. The objective of Fair trade in the sports ball industry is to ensure good working conditions for factory and stitching centre workers and to provide decent wages so that employees can send their children to school rather than out to work. The additional Fair trade premium is invested in projects that support the empowerment and social development of workers and stitchers. Although there is a government-set minimum wage for the sports ball industry in Pakistan, workers are often paid less and struggle to provide for their families. All Fair trade certified producers pay factory workers at least the minimum wage, and piece-work rates for stitchers are calculated so that the minimum wage can be earned within normal working hours. Talon Sports pays its workers 50% more when they produce Fair trade balls. Fair trade buyers negotiate a contract price with football producers in the same way as conventional buyers, with the stipulation that the agreed price must be above the cost of production.
What's fair about Fair Trade? Products that carry a Fair Trade label
have been certified that their manufacturing process meets certain social,
economic and environmental standards. Talon has agreed to meet the
expectations of the Fair Trade Labeling Organization (FLO) and to co-operate
fully with their monitoring teams when they visit. The manufacturer's price
includes a "fair-trade premium", about 20% which is to be used for improvement
of the socio-economic situation of the workers, their families and
communities. Workers and management decide jointly on the use of the premium
such as providing an after-school program or a community. The employer must
have the commitment and capacity to administer the fair trade premium in a way
that is transparent and democratic for workers and the FLO.
A Fair Living Wage
Under the Fair Trade scheme the calculation is that a family should have 6,000 Pakistani rupees per month to cover all basic needs and have some 'money on the side'. Fair stitching wages are calculated to provide - if Fair Trade orders are there all the time - individual incomes of more than Rs. 4.000/month (i.e. two earners are needed per family to reach the Fair Trade minimum). It is not enough to simply bar children from working; the fair living wage ensures that the children have enough family support to succeed at school. Nevertheless, children fewer than 15 are not employed, and the Labour of children between 15 and 18 must not interfere with education.
