Key Project Developments on Living Wages in Costa Rica
The project “Living Wages in the Costa Rican Banana Sector” builds on pilot initiatives to generate lessons learned that help create a long-term strategy to achieve a living wage for all workers in the banana supply chain. For this reason, promoting the participation of all relevant value-chain actors is essential in this new phase. In Costa Rica, different efforts have been made to facilitate spaces for dialogue and exchange among the identified stakeholders.
In November of this year, follow-up and update workshops were held with the participation of representatives from the German supermarkets REWE Group and ALDI South, as well as a range of sector actors, including the National Banana Corporation (CORBANA), the Ministry of Labor and Social Security (MTSS), representatives from private companies and trade unions. Representatives from CNV Internationaal, the ILO, the Anker Research Institute, and IDH also took part.
During these sessions, the working group confirmed its commitment to promoting decent work and living wages as part of their social responsibility, as well as the challenge of advancing these lines of action within their supply chains.
Updates for the 2025 Living Wage Piloting Programme were presented. During this period, wage data was collected from participating farms. The results confirmed the existence of wage gaps in 12 of the 25 farms analyzed. Challenges were also identified regarding the quality of the information provided: 42% of the farms corrected their data after remote verifications, and 79% made additional adjustments following auditor guidance. In this context, IDH conducted training sessions on the use of its wage matrix. Additionally, retailers are considering implementing a voluntary contribution directed to farms with identified wage gaps.
Ronald Sanabria, representing IDH, shared the main progress achieved by the organization. Among the key developments, he highlighted the training provided to users of the wage matrix, emphasizing the importance of properly verifying the information. A user guide for the tool was also developed, aimed at producers and associations, and it incorporates the participation of trade unions and producers at different stages, from data collection to verification. Finally, a new requirement was added to the audit process, whereby the trade union representative must sign the audit report to validate the content of the matrix.
As a next step, the project includes an assessment by the Ethical Trading Initiative (ETI) of retailers’ responsible purchasing practices to determine how these practices impact partners along the supply chain and to inform new practices based on these findings.
Additionally, the next steps include cooperation with ILO. The central focus is on generating synergies by maximizing the use of existing resources. Although activities are still being defined, as the collaboration is in its early stages, progress is expected on the analysis and strengthening of national processes related to the Ministry of Labor and Social Security (MTSS).
Looking ahead to 2026, the next steps include facilitating spaces for exchange among stakeholders. Strengthening coordination with the MTSS and ILO is also planned, with the aim of improving the efficiency of labor inspection processes. This includes training for inspectors, as well as the analysis and enhancement of the digital tool SIDNI, developed by MTSS. Finally, a workshop is planned for March 2026 to define the roadmap for the phase following the project’s closure, scheduled for October 2026.