25 April 2019
What is living wage vs minimum wage?
While minimum wage is set by governments to protect workers against exploitation, the truth is, in Vietnam, it is below what’s required for decent living standards.
Contrary to minimum wage, living wage ensures the wage a worker earns in a standard working week (no more than 48 hours) is sufficient to afford a decent standard of living for themselves AND their family[1]. It should allow a garment worker to be able to buy nutritious food for herself and her family, pay the rent, utility bills, healthcare, transportation, and child education, and some small amount of savings for unexpected events.
Consequence of low wage means many garment workers are forced to work extra hours to earn overtime payment, and serious health issues come as a consequence of working overtime. They also have very little time to spend with their family and children. “An Oxfam study in 2018 found out that 53 per cent of workers reported they did not have enough money to cover the cost of medical treatment and medicine.[2] The low wages also mean that workers often have to rely on loans just to make ends meet and have no savings to use if they find themselves out of work or faced with unexpected expenses.
At evolution, we believe that all of our team members have rights to live in safety and dignity. We believe that all of our workers to must be paid a wage they can live on.
Our salary structure is founded on the pillar of Anker methodology and government regulation. Our basic salary is higher than the standard minimum wage, on top of the basic salary, we also add on: food, housing, transportation, child education, unexpected expense, some savings.
Understood that the issue doesn’t come from wage along, in order to improve our worker’s health, we provide fruits that are high in Vitamin C, workout session, massage and acupuncture for relaxation.
We also provide private health insurance for our staff as well as one family member of their choice. As we know by heart, any illness might put a family in a very tough situation, and must be prevented by a structured health care program.
We want our clothes to be made by happy people, and we’re here to provide a safe and joyful environment.
