Employees' Code of Conduct BAKU CLEANING COMPANY
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1 2013 Employees' Code of Conduct BAKU CLEANING COMPANY
2 CONTENTS 1. Scope of work 2. Compliance with Laws, Rules, and Regulations 3. Conflicts of Interest 4. Insider Trading 5. Corporate Opportunities 6. Competition and Fair Dealing 7. Discrimination and Harassment 8. Health and Safety 9. Record-Keeping 10. Confidentiality 11. Protection and Proper Use of Company Assets 12. Corporate Disclosures 13. Waiver of the Code of Conducts 14. Publicly Available 15. Minor Forms of Misconduct 16. Misconduct of More Serious Nature 17. Reporting any Illegal or Unethical Behavior 18. Enforcement 2 Baku Cleaning Company - Employees' Code of Conduct
3 Baku Cleaning Company LLC ITC Plaza, 125 Heydar Aliyev Avenue, AZ-1029 Baku, Azerbaijan Tel: (ext.403), Fax: Website: Employees Code of Conduct Disclaimer Baku Cleaning Company LLC makes no representations or warranties with respect to the contents of use of this document, and specifically disclaims any express or implied warranties or usefulness for any particular purpose of this publication. Baku Cleaning Company LLC reserves the right to change or revise this document at any time. Copyright Copyright 2013 Baku Cleaning Company LLC. All rights reserved. No part of this publication may be reproduced, photocopied, stored on a retrieval system or transmitted, without the express prior written consent of Baku Cleaning Company LLC. Introduction This Code of Conduct covers a wide range of business practices and procedures. It does not cover every issue that may arise, but it sets out basic principles to guide the director, managers, and employees of the company. All Company director, managers, and employees should conduct themselves accordingly and seek to avoid even the appearance of improper behavior in any way relating to the company. In appropriate circumstances, this Code should also be provided to and followed by the company's agents and representatives, including consultants. Any director or managers, employees who have any questions about this Code should consult with the company office coordinator as appropriate in the circumstances. 1. Scope of Code This Code is intended to deter wrong doing and to promote the following: - Honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships; - Full, fair, accurate, timely, and understandable disclosure in reports and documents the company files with, or submits to, the employer and in other communications made by the company; - Compliance with applicable governmental laws, rules, and regulations; - The prompt internal reporting of violations of this Code to the appropriate person or persons identified in this Code; - Accountability for adherence to this Code; and - Adherence to a high standard of business ethics. 2. Compliance with Laws, Rules, and Regulations Obeying the law, both in letter and in spirit, is the foundation on which the company's ethical standards are built. All director, managers, and employees should respect and obey all laws, rules, and regulations applicable to the business and operations of the company. Although directors, managers, and employees are not expected to know all of the details of these laws, rules, and regulations, it is important to know enough to determine when to seek advice from the company's office senior management. 3 Baku Cleaning Company - Employees' Code of Conduct
4 3. Conflicts of Interest A "conflict of interest" exists when an individual's private interest interferes in any way - or even appears to conflict - with the interests of the company. A conflict of interest situation can arise when a director, manager, or employee takes actions or has interests that may make it difficult to perform his or her work on behalf of the company in an objective and effective manner. Conflicts of interest may also arise when a director, manager, or employee, or a member of his or her family, receives improper personal benefits as a result of his or her position with the company. Loans to, or guarantees of obligations of, employees and their family members may create conflicts of interest. Service to the company should never be subordinated to personal gain or advantage. Conflicts of interest, whenever possible, should be avoided. In particular, clear conflict of interest situations involving directors, managers, and employees who occupy supervisory positions or who have discretionary authority in dealing with any third party may include the following: - Any significant ownership interest in any supplier or customer; - Any consulting or employment relationship with any customer, supplier, or competitor; - Any outside business activity that detracts from an individual's ability to devote appropriate time and attention to his or her responsibilities to the company; - The receipt of non-nominal gifts or excessive entertainment from any organization with which the company has current or prospective business dealings; - Being in the position of supervising, reviewing, or having any influence on the job evaluation, pay, or benefit of any family member; and - Selling anything to the company or buying anything from the company, except on the same terms and conditions as comparable director, managers, or employees are permitted to so purchase or sell. It is almost always a conflict of interest for a company officer or employee to work simultaneously for a competitor, customer, or supplier. No officer or employee may work for a competitor as a consultant or board member. The best policy is to avoid any direct or indirect business connection with the company's customers, suppliers, and competitors, except on the company's behalf. Conflicts of interest are prohibited as a matter of company policy, except under guidelines approved by the owners. Conflicts of interest may not always be clear-cut and further review and discussions may be appropriate. Any director or manager who becomes aware of a conflict or potential conflict should bring it to the attention of the owners as appropriate in the circumstances. Any employee who becomes aware of a conflict or potential conflict should bring it to the attention of the company's owners. 4. Insider Trading Director, managers, and employees who have access to confidential information relating to the company are not permitted to use or share that information for any other purpose except the conduct of the company's business. All non-public information about the company should be considered confidential information. To use non-public information for personal financial benefit or to "tip" others who might make an investment decision on the basis of this information is not only unethical and against company policy but is also illegal. Director, managers, and employees also should comply with insider trading standards and procedures adopted by the company. If a question arises, the director, manager, or employee should consult with the company's owners. 4 Baku Cleaning Company - Employees' Code of Conduct
5 5. Corporate Opportunities Director, managers, and employees are prohibited from taking for themselves personally or directing to a third party any opportunity that is discovered through the use of corporate services, information, or position without the consent of the owners. No director, manager, or employee may use corporate services, information, or position for improper personal gain, and any director, manager, or employee may compete with the company directly or indirectly. Director, managers, and employees owe a duty to the company to advance its legitimate interests when the opportunity to do so arises. 6. Competition and Fair Dealing The company seeks to compete in a fair and honest manner. The company seeks competitive advantages through superior performance rather than through unethical or illegal business practices. Stealing proprietary information, possessing trade secret information that was obtained without the owner's consent, or inducing such disclosures by past or present employees of other companies is prohibited. Each director, manager, and employee should endeavor to respect the rights of and deal fairly with the company's customers, suppliers, service providers, competitors, and employees. No director, manager, or employee should take unfair advantage of anyone relating to the company's business or operations through manipulation, concealment, or abuse of privileged information, misrepresentation of material facts, or any unfair dealing practice. The company's employees will not engage in communications with competitors concerning prices to third parties, customers, sales or marketing practices of the company or the competitor. To maintain the company's valuable reputation, compliance with the company's quality processes and safety requirements is essential. In the context of ethics, quality requires that the company's products and services meet reasonable customer expectations. All inspection and testing documents must be handled in accordance with all applicable regulations. The purpose of business entertainment and gifts in a commercial setting is to create good will and sound working relationships, not to gain unfair advantage with customers. No gift or entertainment should ever be offered, given, provided, or accepted by a director, manager, or employee, family member of a director, manager, or employee, or agent relating to the individual's position with the company unless it 1. is not a cash gift, 2. is consistent with customary business practices, 3. is not excessive in value, 4. can not be construed as a bribe or payoff, and 5. does not violate any laws or regulations. A director or manager should discuss with the owner, and a employee should discuss with the company's senior managers or director who may authorized for this, any gifts or proposed gifts that may not be appropriate. 7. Discrimination and Harassment The diversity of the company's employees is a tremendous asset. The company is firmly committed to providing equal opportunity in all aspects of employment and will not tolerate any illegal discrimination or harassment on the basis of age, religion, sex, race, color, national origin, disability, veteran status or otherwise. Examples include derogatory comments based on racial or ethnic characteristics and unwelcome sexual advances. 5 Baku Cleaning Company - Employees' Code of Conduct
6 8. Health and Safety The Company strives to provide each employee with a safe and healthful work environment. Each manager and employee has responsibility for maintaining a safe and healthy workplace for all employees by following safety and health rules and practices and reporting accidents, injuries, and unsafe equipment, practices, or conditions to the company's office coordinator or financial manager. Violence and threatening behavior are not permitted. Managers and employees should be in a condition to perform their duties, free from the influence of illegal drugs or alcohol. The use or possession of illegal drugs or weapons in the workplace or while on company business will not be tolerated. 9. Record-Keeping The company requires honest and accurate recording and reporting of information in order to make responsible business decisions. Many managers and employees regularly use business expense accounts, which must be documented and recorded accurately. If a manager or employee is not sure whether a certain expense is legitimate, the employee should ask his or her supervisor or the company's controller or accountant. Rules and guidelines are available from the Accounting Department. All of the company's books, records, accounts, and financial statements must be maintained in reasonable detail, must appropriately reflect the company's transactions, and must conform both to applicable legal requirements and to the company's system of internal controls. Unrecorded or "off the books" funds or assets should not be maintained unless permitted by applicable law or regulation. Business records and communications often become public, and the company and its managers and employees in their capacity with the company should avoid exaggeration, derogatory remarks, guesswork, or inappropriate characterizations of people and companies that can be misunderstood. This applies equally to , internal memos, and formal reports. The company's records should always be retained or destroyed according to the company's record retention policies. In accordance with those policies, in the event of litigation or governmental investigation, director, managers, and employees should consult with the company's senior managers or owners before taking any action because it is critical that any impropriety or possible appearance of impropriety be avoided. 10. Confidentiality Director, managers, and employees must maintain the confidentiality of confidential information entrusted to them by the company or its customers, suppliers, joint venture partners, or others with whom the company is considering a business or other transactions except when disclosure is authorized by an executive officer or required or mandated by laws or regulations. Confidential information includes all non-public information that might be useful or helpful to competitors or harmful to the company or its customers and suppliers, if disclosed. It also includes information that suppliers and customers have entrusted to the company. The obligation to preserve confidential information continues even after employment ends. All confidential information or documents will be kept and handle as per company policy to handle confidential documents. 11. Protection and Proper Use of Company Assets All director, managers, and employees should endeavor to protect the company's assets and ensure their efficient use. Theft, carelessness, and waste have a direct impact on the company's profitability. Any suspected incident of fraud or theft should be immediately reported for investigation. Company assets should be used for legitimate business purposes and should not be used for non-company business. The company's telephone, internet and 6 Baku Cleaning Company - Employees' Code of Conduct
7 electronic mail systems are to be used primarily for company business and the company may monitor communications of its employees using the company's systems. The obligation to protect the company's assets includes its proprietary information. Proprietary information includes intellectual property, such as trade secrets, patents, trademarks, and copyrights, as well as business, marketing and service plans, business ideas, designs, databases, records, salary information, and any unpublished financial data and reports. Unauthorized use or distribution of this information, including, for example, through social media applications and websites, would violate company policy. It could also be illegal and result in civil or even criminal penalties. 12. Corporate Disclosures All director, managers, and employees should support the company's goal to have full, fair, accurate, timely, and understandable disclosure in the periodic reports required to be filed by the company with the owners. Although most employees hold positions that are far removed from the company's required filings with the owners, each director, manager, and employee should promptly bring to the attention of the owners, as appropriate in the circumstances, any of the following: - Any material information to which such individual may become aware that affects the disclosures made by the company in its public filings or would otherwise assist the owners and the Audit Committee in fulfilling their responsibilities with respect to such public filings. - Any information the individual may have concerning (a) significant deficiencies in the design or operation of internal controls that could adversely affect the company's ability to record, process, summarize, and report financial data or (b) any fraud, whether or not material, that involves management or other employees who have a significant role in the company's financial reporting, disclosures, or internal controls. - Any information the individual may have concerning any violation of this Code, including any actual or apparent conflicts of interest between personal and professional relationships, involving any management or other employees who have a significant role in the company's financial reporting, disclosures, or internal controls. - Any information the individual may have concerning evidence of a material violation of the securities or other laws, rules, or regulations applicable to the company and the operation of its business, by the company or any agent thereof, or of violation of this Code. 13. Waivers of the Code of Conduct Any waiver of this Code for director or senior managers may be made only by the owners as required by applicable laws, rules, and regulations. 14. Publicly Available This Code shall be posted on the company's website and will be make sure that all director, managers and employees have read it before commencement their job with company. 15. MINOR FORMS OF MISCONDUCT An employee, who is guilty of one of the following, or similar forms of misconduct, may be given a verbal warning at the first occurrence thereof. The issuing of a severe or written warning may be alternative forms of disciplinary action for misconducts depending on the evidence, circumstances and seriousness of each situation. An employee may even be dismissed for repeated minor forms of misconduct. Each transgression will be dealt with on own merit in all instances. 7 Baku Cleaning Company - Employees' Code of Conduct
8 The following are examples of such misconduct: - Absence from the workstation without proper permission. - Lending money to fellow employees for gain during working hours. - Minor violations relating to the cleaning of the uniform or work place. - Photocopying company documents without proper permission. - Late coming or overstaying at tea or lunch breaks. - Use of company telephones for his/her private use without proper permission. - Throwing refuse and/or any other objects on the floor or eating in prohibited areas of employer office premises - Not wearing prescribed clothing/ uniform during working hours. - Smoking in prohibited areas and/or at prohibited times. - Failing or neglecting to advise your employer of your absence. - Leaving the department or work station in working hours without permission. - Stopping work or making preparations to leave work (e.g. such as washing up or changing clothes) before the specified quitting time. (Note: time lost will be unpaid in addition to any disciplinary action which may be taken) - Wasting time or loitering in toilets or on company premises during working hours - Failure by drivers/supervisors to adhere to delivery time/work sheets without reasonable explanation. - Unauthorized meetings. - Placing of notices on notice boards without permission from Management. - Removing notices, signs or writing in any form from notice boards or any other surface on company property at any time without specified authorization from Management. - Creating or contributing to unsanitary conditions on your employer's premises. - Unauthorized soliciting or collecting contributions for any purpose whatsoever on company premises. - Disruptive behavior. - Horseplay, scuffling, internet surfing, chatting with friends by utilizing employer internet and equipment during working hours. - Running or throwing objects at any time on company Premises causing unnecessary distractions to fellow employees or causing unnecessary confusion in the work place by, inter alia, unnecessary shouting, catcalls or demonstrations of any nature. - Making of unnecessary scrap. - Gambling, conducting a lottery, personal share sell/purchase or any other game of chance on company premises or whilst on duty at any time. - Unauthorized operation or interference with company machines, tools or equipment at any time. - Climbing over company fences at any time. 16. MISCONDUCT OF A MORE SERIOUS NATURE At the occurrence of any of the following forms of misconduct, or others of a similar nature, an employee may receive a warning (written or severe), or face dismissal or summary dismissal at the option of Management, depending on the evidence, circumstances and seriousness of each situation. - Addressing abusive and/or obscene language at a fellow employee or Management representative, or a client, or in a client's presence. - Sleeping on the job. - Negligence or gross negligence in the performance of your duties or functions. - Failure to report an accident or damage to machinery, vehicles or other property belonging to the Employer or Employer s Clients. 8 Baku Cleaning Company - Employees' Code of Conduct
9 - Possession of intoxicating liquor and/ or habit forming drugs on the Employer's premises - Intimidation - Fraud - Using another person's identity card or permitting another person to use your identity card for the any activities. - Failure to report your own communicable disease to the company or your immediate superior. - Bribery - Dishonesty - Unauthorized removal of company and/ or fellow employee s property. - Theft of company property or documents and/or a fellow employee's property or documents. - Unauthorized possession of company property or documents and/or a fellow employee's Property or documents. - Misappropriation of company property or documents and/or a fellow employee's property. - Falsification of the Employer's records. - Assault - Threatening behavior. - Willful damage to property in the Employer's charge. - Gross insubordination or blatant disrespect to management or clients. - Possession of a fireman or dangerous weapon on the Employer's premises. - Negligent or reckless driving of vehicles in the Employer's charge. - Traffic violations by drivers - Intentional interfering with or obstructing other employees in the performance of their duties. - Unauthorized interference or tampering with or damaging safety equipment. - Refusal or failure to obey a lawful instruction. - Disregarding or breaching the employer's safety rules and regulations or standard/common safety practices - Failure to report an incident on duty. - Consumption of liquor or alcoholic beverage or habit forming drugs on company premises at any time and/or whilst on duty. - Reporting for duty under the influence of alcohol or habit forming drugs and/or suffering from alcoholic hangover. - Absence from work without permission or without reasonable cause. - Any conduct prejudicing the integrity of the product and services rules and regulations - Fighting - Desertion - Loss or destruction of the Employer's property through malice, carelessness or negligence. - Any action or omission, which may lead to services not being accepted by the customer through the employee's carelessness or negligence. - Disposing of or concealing defective work or workmanship, either directly or indirectly, and/or any other deception in regard to defective work or workmanship. - Clocking irregularities, which shall include, inter alia, failure to clock own card, unauthorized altering of figures recorded on clock card or time card, clocking another employee s clock card and destruction or loss of clock card or time card. 9 Baku Cleaning Company - Employees' Code of Conduct
10 - Any other misconduct constituting breach of contract under the common law or any other legal provisions - Refusing to submit to a search of person, clothing, locker or vehicle when required or requested to do so by one of the company authorized officials, including the personnel of any security company contracted to the company - Making or publishing of false, vicious or malicious statements or reports for the company or for company clients. - Misuse or removal from the company premises without proper authorization, of employee lists, company records or the conveying of any confidential company information to third parties, which shall include information in respect of wages and other substantive conditions of employment. - Deliberately making false reports or making false entries on any official company documents or records, e.g. work sheets or company books or computers company data. - Immoral conduct or indecency on company premises and/or whilst on duty and/or whilst representing the company. - Making false statements when applying for employment with the company and/or when undergoing a medical examination. - Conduct detrimental to the image, performance or profitability of the Employer. - Divulging information, without proper authorization, concerning the company's business. - Direct or indirect discrimination on grounds including, but not limited to, race, gender, sex, pregnancy, marital status, family responsibility, ethnic or social origin, color, sexual orientation, age, disability, religion, conscience, belief, political opinion, culture, language, birth. - Harassment or victimization based on grounds included, but not limited to, race, gender, sex, pregnancy, marital status, family responsibility, ethnic or social origin, color, sexual orientation, age, disability, religion, HIV status, conscience, belief, political opinion, culture, language, birth. - Conviction on any criminal offence and/or sentence to a prison term for a conviction related to a rule or standard regulating conduct in, or of relevance to, the workplace. - Misappropriation of company property. - Misrepresentation. - Unauthorized use of another employee s password of any nature whatsoever. - Unauthorized use and/or negligence in the use of and/or use for purposes not related to the business or job function and/or abuse of Internet, e- mail and computer hardware and software facilities. 17. Reporting any Illegal or Unethical Behavior Director, managers and employees are encouraged to talk to owners, when in doubt about the best course of action in a particular situation. Director, managers, and employees should report any observed illegal or unethical behavior and any perceived violations of laws, rules, regulations, or this Code to the company owners. It is the policy of the company not to allow retaliation for reports of misconduct by others made in good faith. Director, managers, and employees are expected to cooperate in internal investigations of misconduct. The company maintains a Whistleblower Policy, for 1. the receipt, retention, and treatment of complaints received by the company regarding accounting, internal accounting controls, or auditing matters and 10 Baku Cleaning Company - Employees' Code of Conduct
11 2. the confidential, anonymous submission by the company's employees of concerns regarding questionable accounting, operation activities, administrations or auditing matters and other violations of the company's Code of Conduct. 18. Enforcement The owners shall determine, or designate appropriate persons to determine, appropriate actions to be taken in the event of violations of this Code. Such actions shall be reasonably designed to deter wrongdoing and to promote accountability for adherence to this Code and to these additional procedures, and may include written notices to the individual involved that the owners has determined that there has been a violation, censure by the owners, demotion or re-assignment of the individual involved, suspension with or without pay or benefits (as determined by the owners), and termination of the individual's employment or position. In determining the appropriate action in a particular case, the owners or such designee shall take into account all relevant information, including the nature and severity of the violation, whether the violation was a single occurrence or repeated occurrences, whether the violation appears to have been intentional or inadvertent, whether the individual in question had been advised prior to the violation as to the proper course of action, and whether or not the individual in question had committed other violations in the past. All employees have the responsibility to resolve Code of Conduct issues promptly as they arise. Ethical questions, concerns or suspected violations should be brought to the attention of your supervisor, the Division Head - Internal Audit or Baku Cleaning Company s Compliance Officer, or the company owners for resolution. All employees have the responsibility to understand and comply with the company's Code of Conduct. The company will investigate all possible violations, with respect for the rights of all parties concerned. The company will not discriminate against employees and will not allow any form of retaliation for reports made in good faith. Violations of the Code of Conduct are grounds for disciplinary action, which may include termination of employment. In the event of criminal activities, the company will go forward with disciplinary or discharge proceedings and will prosecute to the fullest extent of the law. By approval of Owners Baku Cleaning Company LLC 11 Baku Cleaning Company - Employees' Code of Conduct
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