Fair Work and the New B Corp Standards

The new B Corp standards bring a stronger focus on social impact, and at the centre of this is Fair Work. All workers deserve to be treated fairly and with dignity. Yet, in many industries worldwide, this is still far from reality. A recent Fair Work Monitor by CNV Internationaal highlighted issues in Cambodia’s textile sector, including unfair wages, unsafe conditions, and restricted labour rights.

On April 8, B Lab released a major update to the B Corp standards, introducing Fair Work as a new Impact Topic. This framework helps companies build workplaces where employees feel valued, respected, and empowered. Because when workers thrive, businesses do too.

The Fair Work Impact Topic builds on two topics from B Lab’s previous standards: Fair Wages and Workplace Culture. The new topic brings together key issues under one holistic framework. It focuses on a company’s workforce and sets out four minimum performance requirements every B Corp must meet. These requirements vary depending on company size, sector, and geography but form the foundation for treating workers fairly:

FW1: Set clear expectations

Provide transparent employment contracts or offer letters in plain language. Make sure roles and responsibilities are clearly understood, and allow employees to ask questions and give feedback.

FW2: Implement fair wage practices

Pay a living wage or wages set through collective bargaining agreements. If this isn’t feasible, take compensatory steps such as sharing wage ratios publicly, offering universal childcare, or joining industry-wide collective wage efforts.

FW3: Gather worker feedback

Create an employee representation mechanism like a worker committee, works council, or union. Train employee representatives to strengthen their role.

FW4: Measure and improve workplace culture

Focus on aspects such as wellbeing, belonging, and psychological safety. Develop a plan for continuous improvement of workplace culture.

For companies in the Netherlands and across the Global North, legal standards on contracts and wages are often in place. But culture is where businesses can innovate and lead. The updated B Corp approach provides flexibility, letting companies define how employee representation works and choose workplace culture themes to monitor.

Involving workers in decision-making creates a powerful feedback loop: better input leads to better outcomes and stronger engagement.

At The Terrace, we see workplace culture as a daily practice, not just an HR policy. Our weekly team Huddles use the “stoplight method” to check in on each other’s wellbeing. Annual Culture Sessions and monthly Sharing Sessions create space for co-creation, knowledge sharing, and continuous improvement.

These small steps make a big difference in ensuring everyone feels part of something meaningful.

Fair Work isn’t just a standard to meet. It’s an opportunity to rethink how you engage with your teams. Transparent expectations, employee voices, and cultural investments aren’t just ethical; they’re smart business moves.

You can already explore the B Impact Assessment portal, which now includes a self-assessment of the new standards. This gives you an early look at what Fair Work will mean for your company.