What is fair?
What does “fair” actually mean? How do you judge if a company is producing fairly? How do you know if what a company claims is actually true?
You likely recognize, as we do, the complexity of the global supply chain. For example, some countries seek to have fair labor standards as evidenced by laws to govern and regulate various industries and working conditions. Some countries may not have fair labor standards which can leave workers vulnerable to exploitation. Moreover, in some situations, there may be laws, but they are not enforced. Within this framework, companies make decisions about where and how to produce their products.
We are all consumers. faircollective believes that collectively we can effect change through our purchasing power by choosing to buy products which are manufactured by companies who adhere to fair standards of labor so that workers can earn a living wage by which they can support themselves and their families as well as benefit from a safe work environment. The benefits of our work that we all hope to achieve, whoever we are and wherever we live.
Our rating standard
We recognize that we cannot tackle the problem alone. We rely on assistance from those who have more expertise in vetting companies in regards to compliance with fair labor standards.
However, the vetting process and ongoing monitoring is itself very complex and made up of various layers (see graphic). There are many certifications, non-governmental organizations, and other data providers working with companies and also monitoring their progress. Also, many certifications have focus areas. For example, some organizations are specialists in labor practices, others in what chemicals are used or if the material is organic, or if the end product can be recycled, etc. Furthermore, there can bad actors who are diffusing the landscape by essentially doing green-washing (link article here to define this).
To navigate all this complexity we are partnering with Good On You.
Good On You vets companies by looking at their policies, gathering certifications that companies have been awarded, and looking at the certifications themselves. This information is then distilled down into the following three categories:
- People
- Planet
- Animals
In each of these categories, Good On You assigns a score, ranging from 1 (“we avoid”) to 5 (“great”). You can find the detailed description of their rating standards here.
In order to qualify to be listed on faircollective, we require at least an average score of 4 (“good”).
With progress rather than perfection in mind, we allow one exception. We may list a small company (demonstrated by having yearly sales worth less than 1 Million USD) which has yet to be rated by Good On You when the faircollective team believes in this company as a result of their efforts which demonstrate policies and actions taken to produce fair trade products. A typical example of this category would be a social business. Please note that this exception will not carry a Good On You rating icon on our platform.