The Living Wage & Income Lab brings together Netherlands-based producers, retailers and other stakeholders in the agri-food sector to develop and experiment with innovative ways to realise a living wage & income for the workers in their supply chains. Fairfood and Hivos launched the Lab because low wages are a persistent problem in the agri-food sector and cannot be solved by individual companies alone. It is a platform for co-creation and experimentation; and just like in a laboratory, new ideas, tools and prototypes are developed to address this issue. Because a fairer distribution of value in production chains is vital for poverty alleviation.

Both living wages & incomes are extremely necessary in the fight against poverty, but not the same. A living wage is just enough to cover the basic needs. This means enough money to buy nutritious food and water, pay for a house, medical care, transport and education, and have some savings for unexpected events. It refers, however, to the remuneration a worker need for a standard workweek in order to afford a decent living standard for him and his family; while a living income refers to the annual income needed for a household, and can also be discussed in the context of any income earner, such as self-employed farmers.