What does it take to improve working conditions across an industry that stretches from urban workshops to remote weaving communities? For Label STEP, the answer lies in combining independent monitoring with local knowledge, long-term relationships and programmes shaped by the people working at the heart of handmade carpet production.
Handmade carpet production takes place across remarkably different social, economic and geographical contexts. A weaving workshop in Kathmandu, a home-based loom in rural Iran and a production facility in India may share the same craft, but the circumstances shaping workers’ lives can be very different.
Promoting fair working conditions across these environments requires consistent standards and an understanding of local realities. Since 1995, Label STEP has worked to advance fair trade in the handmade carpet industry. Today, its extensive international network connects more than 80 Certified STEP Partners with hundreds of producers and weaving communities across all major carpet-producing countries.
At the centre of this work is the 10-point Label STEP Standard, covering fundamental labour rights, fair wages, occupational health and safety, working hours and environmental responsibility. Certified partners commit to responsible sourcing and independent verification throughout their supply chains.
In 2025 alone, Label STEP’s country teams conducted 2,827 social audits across workshops, home-based weaving units and other production facilities, including dyeing, washing and finishing sites.
From Monitoring to Meaningful Action
The handmade carpet industry is characterised by decentralised production, informal employment structures and, in many regions, limited access to healthcare, education and social protection.
During social audits, Label STEP’s locally based teams assess compliance with its 10-point Fair Trade Standard, document findings and identify necessary corrective measures. Follow-up visits verify their implementation, while ongoing dialogue with producers and workers helps address challenges within complex production environments.
Yet the teams’ regular presence on the ground provides insights that extend beyond compliance. Through direct conversations with workers, focus group discussions and research, they gain a deeper understanding of the circumstances shaping working and living conditions.
In India, Country Representative Mayank Srivastava describes the importance of working with producers on solutions that are realistic within their production environments: “What builds trust is Label STEP’s practical approach — working with producers to define realistic steps towards sustainability that fit the realities of the industry.”
This approach does not mean compromising on standards. Rather, it recognises that implementing corrective measures often requires dialogue, technical guidance and continued engagement with producers and contractors.
In Pakistan, Country Representative Tanveer Jahan has observed how these relationships influence workers’ willingness to engage with monitoring activities: “Weavers increasingly viewed the Label STEP team as a valuable ally and advocate for their rights. Rather than perceiving audits as punitive, many recognised our presence as beneficial for improving working conditions and addressing grievances.”
“Weavers increasingly viewed the Label STEP team as a valuable ally and advocate for their rights. Rather than perceiving audits as punitive, many recognised our presence as beneficial for improving working conditions and addressing grievances.”
—Tanveer Jahan, Country Representative Pakistan
Findings from monitoring activities, together with workers’ feedback and locally conducted research, help identify needs that extend beyond immediate compliance issues — from occupational health risks and financial insecurity to limited access to healthcare, social protection and knowledge of workers’ rights.
These insights inform the development of Label STEP’s Weaver Empowerment programmes. Rather than applying identical interventions across countries, local teams design and adapt activities in response to the specific needs and circumstances identified through their work.
The relationship also works in the other direction: training and community engagement can help workers better understand their rights and raise concerns, while giving country teams additional opportunities to recognise challenges that may require further monitoring or support.
Together, independent monitoring, local knowledge and targeted empowerment programmes form an interconnected approach to strengthening standards and supporting lasting improvements in working conditions.
Turning Local Knowledge into Practical Support
The diversity of Label STEP’s Weaver Empowerment programmes reflects the different challenges identified across carpet-producing communities. In 2025, Label STEP’s country teams conducted 1,549 empowerment, support and training activities, recording 6,134 participant attendances across programmes addressing occupational health, financial literacy, labour rights, women’s empowerment and child protection.
In Nepal, where women account for a substantial share of the workforce, the country team has increasingly focused on reproductive health, family planning, financial literacy and occupational safety. As Country Representative Prasuna Saakha explains, the aim has been to make programmes as responsive to the needs of weaving communities as possible.
Health and occupational wellbeing are central areas of support. Prolonged hours at the loom can contribute to musculoskeletal problems, while detailed weaving work places considerable demands on eyesight. In 2025, Label STEP carried out 534 physiotherapy and physical-health activities, helping workers address the physical strains associated with carpet production. In Nepal and Pakistan, physiotherapy programmes teach practical exercises and posture techniques that weavers can use independently to manage pain and improve mobility.
In Nepal, weaver Chamala Tamang described how she continued practising the exercises after attending physiotherapy training: “After the training I regularly do the physiotherapy exercises that we learnt. My pain has significantly reduced.”
The value of such programmes can extend beyond individual participants. In Pakistan, weaver Fozia described how physiotherapy helped her manage chronic pain and a frozen shoulder, and how she now shares the exercises with other carpet weavers in her community.
Access to medical care is another important concern, particularly in communities where healthcare services are limited or difficult to reach. Across its countries of operation, Label STEP organized 294 medical camps in 2025. In India, three eye clinics provided 355 eye examinations and 239 pairs of glasses, addressing vision problems that might otherwise remain untreated. For weaver Intezaar, who had experienced increasing difficulty distinguishing yarn colours and fine details, receiving glasses made an immediate difference: “Now, I can see the colors and intricate designs much more clearly again.”
In Afghanistan, where access to healthcare is particularly limited in remote weaving communities, Label STEP and Turquoise Mountain established a Community Health Worker programme in 2022. Since its launch, 150 women have been trained to provide basic healthcare, first aid and preventive health education within their communities. Working alongside professional medical outreach, they also help identify people requiring further treatment, strengthening local access to essential services.
Responding to severe concerns about the psychological wellbeing of Afghan women, the programme has recently expanded to include mental health and psychosocial support. In partnership with the Peace of Mind Association, 50 female Community Health Workers in Bamyan Province received training in psychological first aid, trauma-informed care and safe referral practices.
As Masoud Shah, Label STEP’s Country Representative in Afghanistan, explains: “Supporting mental wellbeing has therefore become just as important as supporting physical health.”
The initiative illustrates how long-term relationships with weaving communities allow Label STEP to recognise changing needs and build on existing programmes rather than introducing isolated interventions.
“Supporting mental wellbeing has therefore become just as important as supporting physical health.”
—Masoud Shah, Country Representative Afghanistan
Women’s health and rights require approaches sensitive to social and cultural circumstances. In Nepal, research with female carpet weavers identified barriers to menstrual health, including the cost of sanitary products, inadequate disposal facilities and gaps in hygiene knowledge. These findings informed recommendations for targeted reproductive-health education, improved sanitation and access to healthcare services
Financial literacy and social protection are equally important in communities where irregular income, debt and limited access to formal financial services can create economic insecurity. Depending on local circumstances, Label STEP’s programmes address wage calculations, household budgeting, savings and financial planning.
“I am now saving on a regular basis. I am better equipped for medical emergencies such as treatment of a younger brother who has an illness. I am also able to cover the current maternity related expenses of my wife.”
— Jit, 24, Nepal
In Nepal, initiatives also support workers in understanding and accessing legal documentation, government services and social security schemes. In Nepal, programme participant Jit explains how improved financial planning has helped him prepare for unexpected expenses: “I am now saving on a regular basis. I am better equipped for medical emergencies such as treatment of a younger brother who has an illness. I am also able to cover the current maternity related expenses of my wife.”
In Iran, where most weavers work from home and access to social security systems is limited, Label STEP has supported workers in understanding insurance entitlements and navigating registration procedures. Country Representative Mohsen Mirzaabolghasemi explains: “Providing guidance on social insurance and practical support with applications encouraged more weavers to consider joining long-term social security schemes.”
“Providing guidance on social insurance and practical support with applications encouraged more weavers to consider joining long-term social security schemes.”
—Mohsen Mirzaabolghasemi, Country Representative Iran
Labour rights, workplace safety and dignity at work form another core area of empowerment. Training covers workers’ rights and responsibilities, fair wages, working hours, occupational safety, fire prevention and first aid. Awareness programmes also address discrimination, harassment and the prevention of forced and child labour, helping workers recognise their rights and understand available protection mechanisms.
In Pakistan, Label STEP has expanded its work on child protection and the prevention of sexual abuse and exploitation. Through awareness sessions within weaving communities, parents and caregivers learn to recognise risks, communicate openly with children, understand online safety and identify where to seek support. These initiatives reflect the close connection between workers’ wellbeing and the safety of their families.
The approach also extends to the organisation of workplaces. In Sheikhupura, Pakistan, Label STEP supported the establishment of a women-only weaving centre, where 22–25 women work across ten looms with access to an on-site childcare facility. The centre offers an example of how working environments can be adapted to support women’s participation in the industry.
Across these different areas, the purpose is not simply to deliver information or services, but to equip workers with practical knowledge and resources that respond to their everyday circumstances.
Empowerment That Reinforces Standards
Empowerment programmes also contribute to the effectiveness of Label STEP’s monitoring and standards work.
Understanding wage entitlements, working-hour regulations, occupational safety requirements and available social protection can help workers recognise unfair practices and raise concerns. Health education and practical training support safer working environments, while greater awareness of rights can encourage more informed dialogue between workers and producers.
Wages provide a particularly clear example of how monitoring, research and worker awareness can reinforce one another. In Nepal, where many weavers are paid according to the area and complexity of the carpets they produce, Label STEP conducted a wage study examining productivity, knot density and design complexity. The research found that industry-defined rates could enable weavers producing standard designs to earn at or above the governmental minimum wage, while more complex designs required closer attention to payment rates.
The Nepal team combined this research with wage monitoring during audits, engagement with exporters and manufacturers, and awareness-raising among weavers about their payment structures. According to Label STEP’s monitoring data, the share of exporters meeting the governmental minimum wage increased from 29% in 2023 to 75% in 2024.
These developments illustrate how improving wage practices involves more than checking whether a requirement is met. It also requires understanding how workers are paid, communicating rates clearly and engaging the different actors responsible for their implementation.
The initiatives complement, rather than replace, the responsibility of producers and Certified STEP Partners to comply with the STEP Standard and implement corrective measures identified through audits.
Continued engagement through empowerment activities also provides Label STEP’s country teams with opportunities to gather feedback, recognise emerging challenges and identify areas requiring further attention. In this way, the knowledge gained through fieldwork and worker participation informs future interventions and supports ongoing monitoring.
Learning from the Ground Up
The challenges facing handmade carpet workers continue to evolve. Economic pressures, migration, changing production structures and wider social and political developments influence both working conditions and the needs of weaving communities.
Label STEP’s long-standing presence in production countries allows its teams to respond to these developments through regular monitoring, research, worker dialogue and locally adapted programmes.
In 2025, Label STEP reached 16,362 workers through its programmes and services — reflecting the breadth of engagement made possible by its network of locally based teams.
The value of this engagement is also evident in the questions workers raise about the future of their profession. In Label STEP’s Weavers’ Voices research, conversations with 205 weavers across seven countries revealed differing perspectives on weaving as a livelihood, including concerns about income security, physical health and whether younger generations would choose to enter the profession.
“Treating women with respect, paying decent salaries and providing good working conditions will change the image of this industry, attract young people and help the tradition survive.”
—Weavers, Morocco
Such perspectives matter because the future of handmade carpet production depends not only on preserving skills, but also on creating working conditions and economic opportunities that make the profession worth pursuing.
For Certified STEP Partners, this approach connects independent supply-chain verification with local expertise and continued engagement with the people producing their carpets.
After more than 30 years, Label STEP’s work demonstrates why effective fair trade requires both clear standards and an understanding of the realities in which they are applied.
By connecting independent monitoring, worker participation and locally informed action, Label STEP works towards an industry in which fair working conditions are not only verified, but continuously strengthened through practical engagement across the supply chain.
