Shared Governance
Shared Governance refers to a collaborative and inclusive approach to decision-making and management, where various stakeholders actively participate and have a voice in shaping the industry’s practices, policies, and direction. It involves the sharing of power, responsibility, and accountability among different parties, including brands, manufacturers, suppliers, workers, users, and other relevant stakeholders.
In a shared governance model, decision-making processes are transparent, participatory, and equitable. It recognizes the interconnectedness of the fashion industry and the importance of engaging all stakeholders to address social, environmental, and ethical concerns. By involving diverse perspectives and expertise, shared governance aims to foster sustainable and responsible practices throughout the fashion value chain.
One example of shared governance in the fashion industry is the collaboration between brands and suppliers to establish and enforce ethical standards in garment production. This can involve creating codes of conduct, conducting audits, and providing training and capacity-building programs to ensure safe working conditions, fair wages, and respect for workers’ rights.
Another aspect of shared governance is engaging users in the decision-making process. This can be done through initiatives such as customer feedback mechanisms, surveys, and focus groups that allow users to express their preferences, concerns, and expectations regarding product sustainability, transparency, and ethical practices.
Additionally, shared governance may involve partnerships between fashion brands and non-profit organizations, industry associations, and governmental bodies to collectively address issues like environmental sustainability, waste reduction, and social impact. These partnerships can lead to the development of industry-wide initiatives, standards, and certifications that promote responsible practices and hold stakeholders accountable.
Case studies
Fair Wear Foundation – Multi-stakeholder labour governance in garment supply chains
Fair Wear Foundation is an independent multi-stakeholder initiative where brands, factories, trade unions, NGOs, and other actors jointly govern a code of labour practices, complaint mechanisms, and remediation processes in global garment supply chains. Its governance model gives civil society and worker representatives formal decision-making power alongside brands, making labour rights oversight a shared responsibility rather than a unilateral brand function.
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Cascale (formerly Sustainable Apparel Coalition) – Higg Index and shared impact measurement
Cascale (formerly the Sustainable Apparel Coalition) is a global alliance of brands, retailers, manufacturers, NGOs, and academic institutions that co-govern the Higg Index, a common suite of tools for assessing environmental and social impacts in apparel, footwear, and textiles. Members collaboratively set methodologies, data standards, and improvement pathways, turning impact measurement and target-setting into a shared governance task across the value chain.
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Better Cotton – Multi-stakeholder standard for responsible cotton production
Better Cotton is a global, multi-stakeholder initiative that brings together farmers, ginners, traders, brands, retailers, and civil society to govern a standard system for more sustainable cotton production. Through its multi-chamber governance and assurance system, decision-making on criteria, monitoring, and capacity building is shared across the value chain, linking on-farm practices, brand commitments, and local implementation partners.
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Partnership for Sustainable Textiles (Germany) – Alliance for due diligence and transparency
The Partnership for Sustainable Textiles is a German multi-stakeholder initiative that unites companies, associations, trade unions, NGOs, standards organisations, and the federal government to improve social and environmental conditions in textile supply chains. Members jointly define due diligence expectations, set collective targets, and run partnership initiatives on topics such as living wages, gender equality, and circularity, making supply chain governance a shared responsibility rather than a purely corporate one.
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ACT (Action, Collaboration, Transformation) – Brand–union agreement on living wages
ACT is a ground-breaking agreement between global garment brands and IndustriALL Global Union that links purchasing practices to industry-wide collective bargaining on living wages in key production countries. Governance is shared between brands and unions through joint decision-making structures and country-specific agreements, aligning commercial and industrial relations decisions and embedding worker voice directly into wage-setting for the sector.
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References
Beyers, F., Leventon, J., & Heinrichs, H. (2023). Collaborative governance or state regulation? Endless efforts but little capacity for sustainability transformation of the German textile sector. Environmental Policy and Governance, 33(1), 56–77. https://doi.org/10.1002/eet.1996
Beyers, F., & Leventon, J. (2021). Learning spaces in multi-stakeholder initiatives: The German Partnership for Sustainable Textiles as a platform for dialogue and learning? Earth System Governance, 9, 100113. https://doi.org/10.1016/j.esg.2021.100113
Beyers, F., Holz, F., Leventon, J., & Heinrichs, H. (2024). Collaborative governance networks and sustainability transformation in the German textile sector. Scientific Reports, 14, 102068. https://doi.org/10.1038/s41598-024-75107-5
Cerchione, R., Esposito, E., Borrelli, C., & Kan, M. (2025). Sustainability strategies and stakeholder relationships in the fashion industry: A systematic literature review and future research agenda. Journal of Cleaner Production, 458, 143166. https://doi.org/10.1016/j.jclepro.2024.143166
Khan, A. M., & van Dijk, M. P. (2024). The role of multi-stakeholder initiatives in advancing circularity and social sustainability in the textiles sector of Bangladesh. Journal of International Development, 36(3), 1765–1788. https://doi.org/10.1002/jid.3879