H&M also believes that the minimum wage should be reconsidered through an annual review mechanism, which is inclusive of key stakeholders. It aims at laying the foundation for a vibrant tripartite industrial relation and wage level negotiations process based on transparency, inclusiveness and peaceful negotiation.
The above has been addressed in two joint letters to the Government of Myanmar. H&M has also met with the Ministry of Labor and expressed the expectations about setting minimum wage levels and annual review mechanisms to ensure that workers receive a fair wage.
H&M’s role is to contribute to a working environment in the factories where a skilled workforce has their wages annually reviewed and negotiated. It is believed that meaningful collective bargaining is very important and are looking at ways to strengthen it. Workers’ ability to organise and negotiate about their rights is key to improve working conditions. That is why industrial relations has set as one of our main sustainability focus and will launch a project to strengthen industrial relations in Myanmar in 2015.
