o support this, we assess the Happy Worker evidence provided by brands and assign an internal risk rating. This helps us identify where due diligence is strong, where further improvement is recommended, and where there may be a greater risk of human rights non-compliance.
The rating is based on the evidence provided for each manufacturer, including the country of manufacture, number of workers, social audit evidence, due diligence processes and any identified issues against the ETI Base Code.
How the Happy Worker rating works:
Green: Minimal risk of human rights non-compliance
- In-house production (no outsourcing, brand is responsible directly for any non-compliance)
- Manufacturers in low-risk countries
- Manufacturers in high-risk countries but have strong due diligence policies, pay a living wage, can evidence no failings on ETI base code
A Green rating does not mean that no risk exists. It means that, based on the evidence reviewed, the risk of human rights non-compliance is considered minimal.
Orange: Due diligence has been conducted, but some risk remains
An Orange rating means the brand has provided sufficient evidence for Happy Worker approval, but there are areas where the supply chain could be strengthened.
- The brand manufactures in high-risk country(s) but has:
- Audit with failings against ETI base code
- Satisfactory due diligence questionnaire answers but the brand cannot 100% evidence no non-compliance
An Orange rating is still an approved Happy Worker outcome.
Where relevant, we may provide recommendations for strengthening due diligence over time, such as requesting an updated social audit, improving supplier policies or following up on corrective actions.
Red: Insufficient or missing due diligence or elevated risk of human rights non-compliance
A Red rating indicates that we do not currently have sufficient evidence to approve Happy Worker, or that the evidence identifies a significant concern.
- Manufacturers in higher-risk countries where no satisfactory social audit or Due Diligence Questionnaire has been provided
- Manufacturers with more than 50 workers where only a declaration has been submitted and no stronger evidence is available
- Unsatisfactory or incomplete Due Diligence Questionnaire responses
- Evidence that suggests the brand has not adequately considered worker welfare, health and safety or human rights when selecting or monitoring a manufacturer
- A social audit identifying critical worker welfare or safety violations
Where a Red rating is assigned, we may request further information, corrective action evidence or stronger due diligence before Happy Worker can be approved.
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How are multiple manufacturers assessed?
Each manufacturer is assessed individually.If your brand works with several manufacturers, each one must have sufficient Happy Worker evidence in place.
Different manufacturers may follow different evidence routes, for example one may be covered by an accepted social audit while another may be assessed through a satisfactory Due Diligence Questionnaire.
Your overall Happy Worker rating will reflect the highest level of risk identified across your manufacturing supply chain.
For example, if one manufacturer is rated Green and another is rated Red, the overall brand rating will be Red until sufficient evidence is provided for the higher-risk manufacturer.
How do we use these ratings?
The ratings help us monitor supply-chain risk and identify where brands may benefit from additional support or stronger due diligence.
For Orange-rated brands, we may provide recommendations to strengthen worker welfare monitoring over time.
For Red-rated brands, further evidence or corrective action may be required before Happy Worker can be approved.
Where serious worker welfare concerns are identified, or where a brand repeatedly fails to provide sufficient evidence, address required corrective actions or demonstrate improvement in its due diligence, Wolf & Badger may take further action.
This can include removing the Happy Worker guarantee, suspending affected products, or offboarding the brand and cancelling its Wolf & Badger membership. Any such action would be considered in line with the severity of the issue and the brand's response to requests for improvement.