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The program includes
> (1) wage research through compens-
tion ladders,
> (2) reviewing internal systems that
impact supply chain wages,
> (3) stakeholder engagement, and
> (4) wage improvement pilots.
It is planned for the wage improvement
pilots to finish in 2015 and to explore not
only direct wage interventions at suppliers
but also the wage setting/structure environment
where these suppliers operate.
One of the pilots, which links productivity/
LEAN concepts and human resource management
practices to improved wages in
China, finished in 2012. All twelve participating
factories showed enhanced performance
in LEAN production and HR management.
A key project learning was the need
for sufficient cross-departmental cooperation
between HR and production and
the support of top management to embed
the changes needed. The following projects
were started in 2012:
1. The human resources managemenT
sysTems (hrms) projecT
The project is implemented jointly with
PUMA BUSineSS And SUStAinABility RePoRt 2012
the International Labour Organization
(ILO) and Better Work (BW) in Cambodia
and Vietnam, seeking to enhance human
resource management systems among
PUMA factories that are members of the
BW program.
2. The fair wage neTwork (fwn) remediaTion
This project is run in cooperation with the
Fair Labor Association (FLA) and the Fair
Wage Network (FWN). Within this pilot
project, the FWN will develop individual
roadmaps for 28 factories – based on the
Fair Wage methodology piloted in 2010. In
addition, the FLA and the FWN will do indepth
work with three Indonesian factories,
engaging directly with management
and workers through technical assistance
and training to find solutions on how to
generate wage improvements.
3. The Trade union leaders’ developmenT
projecT wiTh vieTnam chamBer
of commerce and indusTry (vcci)
The project connects factory trade union
leaders and experts from the Vietnam
General Confederation of Labor (VGCL) to
raise awareness of labor laws and trade
union responsibilities including their role
in wage setting.
Conor Boyle,
Better Work Global Operations Manager (Geneva)
“PUMA and Better Work have partnered to offer a modular HRMS training
program that includes interactive classroom-based training withpractical application
at the factory level. Building on earlier related initiatives from both
organizations, this training ensures that factory personnel are well equipped
to tackle important HR systems issues in their enterprises. At Better Work we
are excited to be part of this partnership and look forward to continuing our
constructive relationship with PUMA to better serve workers and employers
in global supply chains.“