• Romain

How do we define fair remuneration ?

It is one of the social aspects of our project to allow project managers and tree planters to be able to make a decent living from their work, especially if what they do is an essential activity for our common future.

In order to ensure the application of fair remuneration, we follow the recommendations advocated by Global Living Wage Coalition.

Definition of a fair remuneration:

According to this organization, a basic living wage is defined as follows:

The remuneration received for a standard workweek by a worker in a particular place sufficient to afford a decent standard of living for the worker and her or his family. Elements of a decent standard of living include food, water, housing, education, health care, transportation, clothing, and other essential needs including provision for unexpected events.

This definition incorporates the main ideas found in over 60 descriptions and definitions of a living wage from the Declarations of Human Rights; national constitutions; codes of conduct for NGOs, multinationals and companies; documents of the International Labor Organization (ILO); and statements from major historical figures.

Its quantified valuation : the Anker methodology.

A precise methodology (Anker methodology) is available for many countries and aims at estimating what living wages are, with the dual requirement that they be both internationally comparable and locally specific.

10 key aspects of this method:

  1. Universal method, relevant for all countries ;

  2. Specific in time and space ;

  3. Internationally comparable but locally specific ;

  4. Centered around the "basic lifestyle, yet decent" principle ;

  5. Taking into account compulsory cash outflows (taxes, social security, etc.) in order to ensure sufficient disposable income ;

  6. Breakdown of expenses into 3 categories: food, accommodation and everything else ;

  7. Housing costs are estimated using international and national standards of decency ;

  8. Non-food and -housing expenses include costs for everything from clothing to transportation. Special attention is paid to ensure that health care and education are covered ;

  9. The living wage contains financial provision to deal with unforeseen events (an additional 5% of the total costs is added) ;

  10. Integration of the typical family size and typical full-time equivalent workers per family, in the given world region.

The example of South Africa :

The following data are available of the Global Living Wage website and their subsequent update in 2019.

For Foliumize, the above obtained living wage does not represent an objective in itself but a clear minimum. Our goal is obviously to pay more.