Key Milestone: Costa Rica’s Ministry of Labour Signs Memorandum of Understanding
As part of the German Retailers’ Working Group on Living Wages, another important step was taken to improve wage conditions in global agricultural supply chains. In March, Costa Rica’s Ministry of Labour and Social Security (MTSS) and GIZ signed a Memorandum of Understanding to jointly advance efforts to improve wages.
“We celebrate an agreement and a strengthened alliance based on cooperation and trust, driving an innovative project focused on coordinated actions, shared responsibility, and the involvement of all stakeholders.” - Claus Kruse, Project Director and Acting Resident Representative of the German Development Cooperation, GIZ in Costa Rica.
The agreement sets out a shared commitment to advance decent work, strengthen compliance with labour rights, and promote fair remuneration practices in Costa Rica’s agricultural sector. Through this collaboration, both parties aim to build institutional capacity, improve data systems, and raise awareness about labour rights and fair wages among workers and employers alike.
Working together for fair labour conditions
In this context, the two organisations defined key areas of cooperation that are essential for further advancing living wages in the country:
- Training labour inspectors to strengthen the monitoring and enforcement of labour and social security regulations.
- Further developing the national monitoring system to ensure compliance with minimum wages and, in the medium term, enable progress towards living wages.
- Implementing awareness-raising campaigns on minimum wages, decent work, and labour rights, enabling workers to understand and claim their rights.
- Improving public access to wage-related information through digital tools and the MTSS website.
- Promoting the exchange of experiences and best practices between labour ministries across Latin America.
To jointly advance living wages and strengthen cooperation, these measures will be implemented in collaboration with the International Labour Organization (ILO). The MoU also foresees regular coordination between designated focal points of all participating institutions to ensure effective implementation and follow-up of joint activities. This new partnership paves the way for long-term cooperation between the German Retailers’ Working Group, GIZ, and Costa Rica’s Ministry of Labour. It reinforces a shared vision for fair, transparent, and sustainable labour practices in the banana sector—while also sending an important signal for the region as a whole.