Celebrating 25 Years of Fair Labor

In the 1990s, several high-profile labor violations shocked the American public. In August of 1995, a garment factory in El Monte, California was revealed to have more than 70 people working in slavery behind barbed wire. The following year, news broke that a popular apparel brand owned by TV star Kathie Lee Gifford was using child labor in its supply chain. At the same time, reporters uncovered child labor and other abuses in the overseas supply chains of popular sportswear manufacturers.

These incidents, raised against the backdrop of offshoring by American brands, elevated awareness of labor abuses in the apparel and footwear supply chains around the world.  There was strong outcry among American consumers for brands to take responsibility and ensure their goods were produced ethically and transparently, regardless of where they were manufactured.

In August 1996, President Clinton responded by bringing together a diverse coalition of leaders from brands, the labor movement, and human rights organizations to form the Apparel Industry Partnership. This group included major brands like Nike and Patagonia, and the US labor unions, who agreed to meet regularly and determine how to improve labor rights within their supply chains.

In 1997, the group presented an action plan to the White House, which outlined workplace standards for participating companies and formed the basis for the establishment of the Fair Labor Association.

In 1999, the Apparel Industry Partnership committed to continuing their progress by formally establishing the Fair Labor Association.

The mission: “Combine the efforts of business, civil society organizations, and colleges and universities to protect workers’ rights and improve working conditions worldwide by promoting adherence to international labor standards.”

This multi-stakeholder approach offered a new way to address labor rights, forming a coalition of three disparate groups to tackle the complex issues that arise within global supply chains:

Companies: Companies in apparel and footwear manufacturing would implement a rigorous system of monitoring by external auditors and an annual compliance review by FLA.

Universities: Universities and academic institutions would commit to ensuring fair labor standards and respect for human rights wherever their branded merchandise is produced by requiring their trademark licensees to join the FLA Collegiate Licensee Program.

Civil Society Organizations (CSOs): Labor unions and other civil society organizations would help ensure a strong worker voice in FLA’s strategy, program development, and decision-making.

As part of these efforts, FLA launched the Fair Labor Accreditation program, which is an extensive, independent evaluation verifying that an FLA member company has effective systems in place to protect workers in their global supply chains, to remediate violations, and to ensure ongoing compliance with international labor standards. It is the leading program of its kind based in frameworks such as the International Labour Organization (ILO), UN Guiding Principles, the OECD, and the UN Sustainable Development Goals

Other key milestones included:

In 2004, Reebok footwear became the first company to earn Fair Labor Accreditation.

By 2010, FLA programs annually reached nearly 5,000 factories worldwide, impacting more than 4.6 million workers.

FLA launched its third-party complaint process, which allows any worker, union, university, civil society, or other stakeholder to request an independent investigation into an alleged violation of FLA standards by an FLA member or affiliate.

In 2011, FLA strengthened its Code of Conduct, adding additional protections for workers and reinforcing employers’ accountability. Significant enhancements included raising the minimum age of employment to 15 for manufacturing sector member brands, introducing stringent standards for work hours, and requiring factories to ensure employees have not been trafficked or employed against their will.

In 2012, the organization expanded its support to brands in the agriculture industry. FLA’s Agriculture Accreditation is the only program that annually assesses labor practices at both a company’s headquarters and at the farm level in sourcing countries. Nestlé became the first company in the food industry to join FLA, working toward accreditation for the company’s sourcing programs for hazelnuts and cocoa.

Other key milestones included:

FLA provided training and guidance to thousands of collegiate licensees, improving accountability in the university merchandising supply chain.

In 2014, FLA released its Fair Compensation Work Plan, and formally adopted a code element recognizing that workers have a right to wages and compensation to meet their basic needs.

In 2015, FLA was awarded $4.87 million by the U.S. Department of Labor to address child labor in Turkey.

In 2018, FLA partnered with the American Apparel & Footwear Association to launch AAFA/FLA Apparel & Footwear Industry Commitment to Responsible Recruitment, a proactive industry effort to address potential forced labor risks for migrant workers.

In 2019, FLA adopted a requirement that members and affiliates must make their factory lists public to improve transparency.

From 2020-2021, FLA weathered the COVID-19 pandemic while keeping the human rights of vulnerable workers at the center of its collaborative efforts. During the height of the pandemic, FLA completed 57 COVID-focused factory visits and provided rapid feedback on COVID-related health and safety issues for workers so they could be immediately addressed by member companies. Despite the pandemic, FLA also continued its monitoring programs, conducting more than 1,500 farm assessments around the world.

In 2020, FLA prohibited member companies from sourcing and production in the Xinjiang region of China, given the high risk of forced labor, the overwhelming evidence of human rights abuses, and the multiple layers of government sanctions. It was the first time in FLA history that members were explicitly prohibited from sourcing from a specific geographic region based on evidence of human rights violations.

In 2022, FLA launched an updated Agricultural Accreditation Program and strengthened its Manufacturing Accreditation Program. Enhancements included formalizing and developing consistent metrics, processes, and tools under a milestones approach. Each milestone represents key building blocks for an effective social compliance program that improves working conditions and worker well-being, benchmarked against international standards and guidelines on labor and human rights due diligence.

During this time, FLA made significant investments in fair compensation. Its award-winning Fair Compensation Toolkit helps businesses in the fashion industry calculate what workers are earning, illustrate the gap between actual and living wages, and measure progress over time. FLA published the Living Wage Public Reporting Guidance, which provides a framework for company members to report on progress towards living wages. It also launched the Living Wage Pilot in Vietnam that aims to improve wage data analysis and transparency in apparel and footwear factories.

Other key milestones included:

In 2022, Nespresso — the first multinational brand to seek Fair Labor Accreditation for its coffee sourcing program — embarked on a program to improve working conditions for over 140,000 coffee farmers in 18 countries.

In 2021, FLA launched its Student Committee. This program helps students dedicated to human rights craft a future where workers are protected. It provides access to professional development resources, including training, networking, and events, and the opportunity to write for the annual Student Committee Journal.