Fashion Brands Score Low on Ethical Production
The 11th Ethical Fashion Report reveals that most major brands are falling short of global sustainability and wage standards.
Updated on Oct. 20, 2026 in Fashion
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Baptist World Aid has released its 11th Ethical Fashion Report, revealing that the average brand scores only 31.5 out of 100 for ethical production. Despite widespread policy adoption, most companies fail to prove they pay living wages or ensure workers' rights.
Why it matters
Rising living costs are driving a surge in cheap clothing production, discouraging brands from moving beyond minimum regulatory requirements. This trend leaves workers vulnerable and contributes to significant environmental waste across the industry.
Assessments of over 500 brands show that 87 per cent cannot demonstrate the payment of a living wage, while 50 per cent have no published emissions reduction targets. Australia currently sends over 200,000 tonnes of clothing to landfill annually.
The players
Baptist World Aid
This organisation conducts research into supply chain transparency and ethical standards within the global fashion industry.
The details
Researchers evaluated companies on worker rights and environmental practices, including supplier tracing and the presence of unions. While 93 per cent of brands possess sustainability policies, only 4 per cent have committed to living wages across all final-stage facilities.
Timeline
The 11th Ethical Fashion Report was released in October 2026.
The year 2024 served as the primary benchmark for assessing industry progress.
Culture Shift
The report highlights that most companies have a compliant Modern Slavery Statement, extending the transparency requirements established by the Modern Slavery Act. This shift reflects a move toward institutionalised corporate reporting, though it has yet to drive meaningful changes in wage equity.
With Australia consuming more textiles per person than any other country, shoppers play a direct role in the industry's environmental footprint. Being aware of these brand scores can help consumers make informed purchasing decisions to reduce personal waste and support fair labour.
The takeaway
Consumers are encouraged to prioritise transparency when selecting apparel to counteract the industry-wide reliance on cheap, unethical production. Checking for published living wage commitments can help individuals steer their spending toward more responsible fashion brands.
Further reading
For more context on how industry standards are changing, explore our Fashion section.
Source note: This article includes information reported by Ragtrader.
Live Poll
Do you believe fashion brands are doing enough to ensure ethical production and environmental sustainability?
