Etiko's business is fundamentally different to most clothing, footwear and sports brands. Our ambition is to do as much good as possible, not to 'do no harm' or simply 'be a responsible purchaser’. Etiko’s engagement with Australia fair trade certified suppliers means we are working with raw material and factory suppliers who are investing in the economic and social development of farmers and workers. Producing Etiko garments, ethical shoes and sports balls is a vehicle for these people to lift themselves out of poverty and create a better life for themselves and their community. That is why we are in business.

 

For Etiko, the payment of fair prices and development premiums is fundamental to achieving labour rights in garment, footwear and sports ball production. Continuing to pursue low prices and concentrating value extraction at the brand end of supply chains won’t deliver labour rights and poverty reduction.

 

Our commitment to ensuring labour rights in our supply chain expresses itself in three ways: 

1. Tackling the fundamental driver of labour rights violations - poverty and demand for low prices - through ensuring Etiko pays fair prices, chooses ethically sourced and traded raw materials, and payment of additional social premiums to be invested by workers in improving their businesses and communities

2. Choosing to do business with factories that are committed to upholding labour rights and demonstrating this through independent, third party audits

3. Setting an example for other businesses - Nick often speaks out in the media, shares the Etiko example in textbooks and university lectures, and invests time and resources in community education such as school visits and community festivals

 

The supply chain for our range of organic underwear provides a good example of our core commitment to human rights:

• Etiko sources its range of men’s and women’s underwear from a factory in India that is certified by Fair Trade USA to meet fair trade standards for labour rights, worker democracy and environmental performance. The factory demonstrates that it pays a living wage to its employees. Etiko pays an additional premium on top of tis prices that the factory workers invest. Additionally, Etiko pre-finances their orders, paying 50% of the final price prior to shipment.

• Etiko chooses for its garments to be made from Fairtrade and Organic certified cotton from India. The cotton is produced by organisations of cotton farmers that are paid fair prices, Fairtrade premiums, audited by independent fair trade and organic certification bodies, and committed to tackling poverty in their communities.  

 

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