The 2026 Baptist World Aid Ethical Fashion Report, released around October 19-20, 2026, found that 87% of the 138 assessed fashion companies could not verify that workers in their facilities were paid a living wage. This finding comes despite 93% of these companies having formal policies regarding sustainability and labor rights.

This lack of verifiable living wages directly impacts garment workers globally, raising concerns about their economic security and well-being. For consumers, the report highlights a persistent gap between corporate ethical commitments and actual practices, making it difficult to identify truly responsible fashion choices.

What the records show

Baptist World Aid Australia's 11th Ethical Fashion Report evaluated 138 companies, representing 543 global brands. Researchers assessed company policies, practices, and performance across 48 ethical and environmental indicators, generating and analyzing more than 15,000 data points. The report found that overall industry average scores for ethical practices improved by only 0.2% in the past two years. Worker well-being and rights were identified as the lowest-scoring areas among the five assessment topics.

Only 13% of the surveyed fashion companies could show evidence of paying a living wage to any workers in their supply chain. Furthermore, only 4% of companies had committed to paying living wages where finished clothing is manufactured. Brands like Mighty Good Basics, Patagonia, and KMD Brands received high scores, while several fast fashion and marketplace companies received zero. Ghanda and Windsor Smith were among the lowest-rated brands. The report also noted that footwear, surf, skate, and streetwear brands performed below the industry average on worker rights and environmental practices.

What changed and for whom

The report indicates minimal improvement in ethical practices across the fashion industry over the past two years, with supply chain progress largely stalled. This means the gap between corporate policy commitments and the actual conditions for garment workers persists. Consequently, workers continue to face challenges in securing living wages and safe working conditions, despite the existence of company policies aimed at addressing these issues. For consumers, the findings suggest that identifying brands that genuinely uphold ethical standards remains difficult due to the lack of verifiable implementation.

What the subject has said publicly

Melissa Lipsett, CEO of Baptist World Aid Australia, commented on the report's findings. She stated, "Policies alone don't change workers' lives. What matters is whether those commitments translate into fair wages, safe conditions and protected rights". Lipsett also emphasized the organization's foundational belief, saying, "We believe every person is made in the image of God and has inherent worth. Our desire is to see garment workers and their families experience the fullness of life God intends". She added that consumers and policymakers have influence and should hold brands to higher standards. Lipsett clarified that the report is not about "expecting individual consumers to solve the problems of the global fashion industry".

What we could not confirm

PrimaryBrief could not confirm specific responses from low-scoring brands regarding the report's findings. We also could not confirm any immediate policy changes or commitments from governments or industry bodies in direct response to this specific report.