The textile industry is one of the largest industries in the world. It brings economic wealth to many countries but is also one of the largest contributors to environmental pollution. Textile companies nowadays often mention sustainability in their business models. However, it is noticed that consumers do not trust the word sustainability when textile companies use it. The uncertainty about the actual sustainability of clothing has led to a need for a high credibility label that indicates the environmental and social sustainability of the production process of an item. This research therefore focuses on the research question: How can a widely recognized sustainability label indicate both the environmental and social impact of the production process of a clothing item in a way that best informs consumers during their purchasing practices? This exploratory research is conducted commissioned by and in collaboration with the Ministry of Infrastructure and Water Management. The research presents the first base of information that will contribute to the discussion of implementing a (mandatory) sustainability label. In order to analyse the research question, three phases in this research are completed: the use of labels, the environmental impact of a clothing item, and the social impact of a clothing item. The research concludes in multiple recommendations for further research due to the exploratory character of this research, recommendations for implementing the new sustainability label, and recommendations for policy makers.