1.1.5. Wages and Benefits

Workers have a right to remuneration that will provide them a decent life. The right to compensation is universally acknowledged. Most countries set a floor on how much workers should get paid. Paying at the least the legal minimum wage is a staple provision in many codes of conduct for suppliers. Yet, getting companies to pay their workers the legal minimum wages, let alone the living wages, remains an ongoing struggle across almost all industries. 

Guidance

• Minimum legal requirements for income and benefits are properly defined in domestic labor law; 

• Domestic law may not recognize equal remuneration for work of equal value for men and women, however, wages paid to workers do reflect equal remuneration; 

• Wage levels and benefits meet the minimum legal requirements according to domestic labor laws of workplace; 

• Overtime wages are paid in accordance with minimum legal requirements based on the law; 

• Wages paid to workers/fishers/farmers are what was promised at the time of employment, are not withheld as a form of discipline, do not contain illegal deductions, are paid on time or directly to the worker, and workers do not go longer than one month without being paid; 

• Employers legally contract employees;   

• Workers understand how their earnings or deductions are calculated, their rights to benefits, their contract, and other processes related to wages; 

• Workers receive wage slips with deductions itemized or written receipts;

• Wages or earnings are higher than minimum legal wages or meet living wage levels (includes being able to provide for family, save, or invest), and benefits are provided beyond legal minimums;

• The employer and workers discuss how they can improve wages and productivity in mutually beneficial ways.

• As per ILO C188, fishers working on board fishing vessels have a means to transmit all or part of their payments received, including advances, to their families at no cost.

Additional Information 

Definitions

Living wage - A living wage is remuneration that is sufficient for workers to afford a decent standard of living for the worker and their family. Elements of a decent standard of living include food, water, housing, education, shelter, transport, and other daily essential needs, as well as provision for emergencies or unexpected events.

Wages

• Vessel-based workers are provided with means to transmit earnings to their families at low cost.
• No unlawful or unauthorized deductions are made from workers’ wages. Any deductions from wages are clearly described in the employment contract and undertaken with written worker consent.

Sample questions to guide you when assessing the Unit of Assessment against the standard:

• Is pay based on hours worked or products caught/processed?

• What is the process of determining wages?

• Are payments or portions of payments ever withheld as part of a debt repayment plan or for disciplinary action? 

• What is the average monthly income of workers?

• Do workers’ wages meet at least the legal minimum wage requirements?