Lululemon’s Next Step: Fair Pay, Transparency and Climate Action

Over the past year, lululemon has been hit with two official complaints in Canada and France and a class action lawsuit in Florida on allegations of greenwashing. So far, lululemon isn’t beating the allegations. But as the athleisure company struggles to keep up with its bold “Be Planet” claims, how is it doing on “Be Human”?

With the help of our friends at Oxfam Canada, we’re digging a little deeper into lululemon’s labour practices and how workers are being treated across its global supply chain. And how do other Canadian brands compare?

Lululemon’s Impact Report

Lululemon has made good strides in ethical labour practices, but there’s still a long road ahead. Its recent Impact Report highlights steps it has taken — like progressing through Fair Labor Association (FLA) accreditation milestones and rolling out well-being programs reaching over 67,000 workers in its supply chain. But to make a real difference, lululemon needs to go beyond commitment. It’s time to set concrete goals, disclose its responsible purchasing practices, and be transparent in its timeline to achieve fair wages for workers across its supply chain.

One promising change is lululemon’s updated Vendor Code of Ethics, which encourages suppliers to aim for fair wages. It has aligned with the Global Living Wage Coalition’s definition of a wage that supports a decent standard of living, covering essentials like food, housing, and healthcare. Yet, this code only encourages—not mandates—suppliers to pay a living wage, and without clear milestones, this goal risks staying aspirational instead of becoming a reality.

Connecting climate and worker’s justice

But fair compensation isn’t just about wages; it’s also a climate issue. Lululemon’s products are made in countries like Vietnam, Cambodia, and Bangladesh, areas especially vulnerable to climate change impacts like extreme heat and flooding. When workers don’t earn enough to adapt to these challenges, the resilience of their communities and the entire global supply chain is weakened. Lululemon’s Responsible Supply Chain program touches on these connections, but the link between fair wages and climate resilience deserves a stronger spotlight. Ethical pay and environmental justice are deeply connected, and it’s time more brands acknowledged this openly.

The Canadian retail landscape

We’re not saying it’s just lululemon. Other Canadian fashion brands like Aritzia and Roots have a long way to go. Thanks to your support last year, when we called on Aritzia to Reveal the Chain, they recently updated their supplier code of conduct to include language on wages and benefits changed to “Ensure wages are always enough to meet basic needs and to provide some discretionary income.” Yet they still fall short of making a credible and public commitment to a living wage, which is a step in the right direction.

Roots, a beloved household name for decades, misses the ethical fashion train by not revealing where they source their clothes beyond the region. So 80’s and late, especially when it takes a Cambodian garment worker over 17 years to earn what Roots CEO makes in just one month! That’s why Roots is the focus of the WSM campaign this season, calling for them to Pay & Reveal.

Take action to urge Roots to Pay & Reveal

Lululemon’s Next Steps

Lululemon must prioritize transparency and set stronger milestones for its climate action and worker rights. It has already taken steps to disclose its Tier 1 and some Tier 2 suppliers, which employ over 300,000 people. This openness is a good start, but sharing detailed wage data, including progress toward living wages, would set an example for the industry and build trust. Much of the data is self-reported, so more independent verification and open benchmarks could make all the difference in showing actual progress.

Imagine if lululemon set a new standard here—making a bold, public commitment to a living wage across its supply chain. It would uplift its supply chain workers and strengthen the brand’s resilience to climate challenges. With more and more unnatural climate events occurring in supply chain countries, lululemon’s climate resiliency plan must prioritize workers’ health and well-being. Be Planet, Be Well, Be Human means phasing out coal from its supply chain, transitioning to 100% renewable energy and supporting workers across its supply chain to adapt to the changing climate. Lululemon is already in a position to lead on this, and with a commitment that’s measurable, transparent, and backed by data, it can help reshape the apparel industry to value both people and the planet.

By Erdene Batzorig – Digital Campaigner at Stand.Earth & Mwangala Matakala – Campaigner at Oxfam Canada