In accordance with the 2018 RSPO Principles and Criteria (P&C), a Living Wage (LW) must be paid to all workers, including those on piece rate/quotas, for whom calculation is based on achievable quotas during regular working hours. To this effect, elements in the calculation for LW should include food, water, housing, education, healthcare, transport, clothing and other essential needs, including provisions for unexpected events, in accordance with the Global Living Wage Coalition (GLWC) method (hereinafter referred to as RSPO Endorsed Methodology).
For Indicator 6.2.6, a Procedural Note was further inserted, which reads as follows:-
“The RSPO Labour Task Force will prepare a guidance on the DLW implementation, including details on how to calculate a DLW, expected for 2019. The RSPO Secretariat will endeavour to carry out DLW country benchmarks for palm oil producing countries in which RSPO members operate and for which no Global Living Wage Coalition (GLWC) benchmarks exist.”
In accordance with the Procedural Note, there is a need for the development of country benchmarks for countries where RSPO members operate. To this end, and as part of the RSPO’s process, a Living Wage Task Force (LW TF) formed in 2020 to oversee the development of the RSPO DLW benchmarks globally.