KINGFISHER SUPPLY CHAIN WORKPLACE STANDARDS
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- Tabitha Sparks
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1 Version: 2018v1 Date: January 2018 Approved by: Related documents: Group Executive members: Chief Customer Officer (Pierre Woreczek) and Chief Offer and Supply Chain Officer (Arja Taaveniku) Ethical Sourcing and Supplier Workplace Ethical and Environmental Assurance (SWEEA) Policy 1
2 The Kingfisher Supply Chain Workplace Standards are based on the eight core conventions defined in the Fundamental Principles of Rights at Work. We are guided by international standards such as the UN s Universal Declaration of Human Rights, the UN Guiding Principles on Business and Human Rights and the International Labour Organisation s Declaration on Fundamental Principles and Rights at Work. Kingfisher is a signatory of the UN Global Compact and reports our progress against each of its principles. Kingfisher Supply Chain Workplace Standards 1. Management Systems 1.1 Suppliers shall have a policy or policies (signed and dated) covering ethical and environmental issues, signed by the most senior manager of the company or facility, that describes the company s commitment to compliance with labour and environmental legislation as well as a continual improvement agenda; 1.2 Senior staff are assigned and accountable to ensure compliance with all applicable labour and environmental legislation and conformance to their ethical and environmental policy; 1.3 A system is in place to evaluate, monitor and apply changes in any applicable labour or environmental laws and regulations; and 1.4 Management systems are established on ethical and environmental issues, documented as appropriate, implemented, maintained and reviewed and improved upon on a regular basis. The management system includes the elements of: l Planning (environmental and ethical) risk assessment, setting objectives and targets; l Implementation and Operation (roles and responsibilities, training, operational controls and procedures, communication, documentation and records); l Checking (monitoring and measurement, audit and inspections, corrective and preventive action); l Management Review (regular reviews of the adequacy and suitability of the management system); and l Continuous Improvement (regular review of performance over time, plans and targets to deliver continuous improvement). 2. Forced, Bonded, Indentured and Prison Labour 2.1 All work must be conducted on a voluntary basis, and not under threat of any penalty or sanctions; 2.2 The use of forced or compulsory labour in all its forms, including prison labour when not in accordance with relevant ILO Conventions, is prohibited; 2.3 Suppliers shall not require workers to make deposits/financial guarantees, shall not retain identity documents (such as passports, identity cards, etc.), nor withhold wages; 2
3 2.4 Bonded labour is prohibited. Suppliers shall not use any form of bonded labour nor permit or encourage workers to incur debt through recruitment fees, fines, or other means; and 2.5 Indentured labour is prohibited. Suppliers shall respect the right of workers to terminate their employment after reasonable notice. Suppliers shall respect the right of workers to leave the workplace after their shift 3. Child Labour and Young workers 3.1 Suppliers shall comply with: The national minimum age for employment; or The age of completion of compulsory education; or Any otherwise specified exceptions; and Shall not employ any person under the age of 15, whichever of these is higher. If however, local minimum age law is set at 14 years of age in accordance with developing country exceptions under ILO Convention 138, this lower age may apply. 3.2 Suppliers shall not recruit child labour nor exploit children in any way. If children are found to be working directly or indirectly for the supplier, the latter shall seek a sensitive and satisfactory solution that puts the best interests of the child first. 3.3 Suppliers, who employ young workers under 18 years of age must not require them to: l work at night (i.e. in-between the hours of 10PM and 6AM); l Undertake hazardous work; l work longer hours than permitted by law; or l in conditions which compromise their health, their safety or their moral integrity, and/or which harm their physical, mental, spiritual, moral or social development 4. Freedom of Association and Effective Recognition of the Right to Collective Bargaining 4.1 Workers have the right to join or form trade unions of their own choosing and to bargain collectively, without prior authorisation from suppliers management. Suppliers shall not interfere with, obstruct or prevent such legitimate activities; 4.2 Where the right to freedom of association and collective bargaining is restricted or prohibited under law, suppliers shall not hinder alternative forms of independent and free workers representation and negotiation, in accordance with international labour standards; 4.3 Suppliers shall not discriminate against or otherwise penalise worker representatives or trade union members because of their membership in or affiliation with a trade union, or their legitimate trade union activity, in accordance with international labour standards; and 4.4 Suppliers shall give worker representatives access to the workplace in order to carry out their representative functions, in accordance with international labour standards. 5. Discrimination, Harassment and Abuse 5.1 Suppliers shall respect equal opportunities in terms of recruitment, remuneration and compensation, access to training, promotion, termination or retirement; 5.2 Suppliers shall not engage in, support or tolerate discrimination in employment including recruitment, hiring, training, working conditions, job assignments, pay, benefits, promotions, discipline, termination or retirement on the basis of gender, age, religion, marital status, race, caste, social background, diseases, disability, pregnancy, ethnic and national origin, nationality, membership in worker organisations including unions, political affiliation, sexual orientation, or any other personal characteristics; 5.3 Suppliers shall treat all workers with respect and dignity; 3
4 5.4 Suppliers shall base all terms and conditions of employment on an individual s ability to do the job, not on the basis of personal characteristics or beliefs; 5.5 Suppliers shall not engage in or tolerate actual or the threat of bullying, harassment or abuse of any kind; 5.6 Suppliers shall establish written disciplinary procedures and shall explain them in clear and understandable terms to their workers. All disciplinary actions shall be recorded; and 5.7 Suppliers shall maintain means by which workers can openly communicate and share grievances with management regarding working conditions and management practices without fear of reprisal, intimidation or harassment. 6. Health and Safety 6.1 Suppliers shall provide safe and clean conditions in all work and residential facilities and shall establish and follow a clear set of procedures regulating occupational health and safety; 6.2 Suppliers must take adequate steps to prevent accidents and injury to health arising out of, associated with, or occurring in the course of work, by proactively minimising, so far as is reasonably practicable, the causes of hazards inherent in the working environment, for example in waste management, handling and disposal of chemicals and other dangerous or hazardous materials. If legally required to do so, suppliers must conduct an appropriate risk assessment; 6.3 Appropriate and effective personal protective equipment shall be provided as needed and workers shall be trained on the proper use and maintenance of such equipment; 6.4 Suppliers shall provide all workers with access to clean toilet facilities and to drinkable water and, if applicable, sanitary facilities for food preparation and storage; 6.5 Suppliers shall ensure that residential facilities for workers, where provided, are clean and safe; 6.6 Suppliers shall assign the responsibility for health and safety to a senior management representative; 6.7 Suppliers shall provide regular and recorded health and safety training to workers and management, and such training shall be repeated for all new or reassigned workers and management; 6.8 Suppliers shall provide adequate safeguards against fire, including providing at least two, independent, unblocked, unbarred and unlocked escape routes from each floor or area of the workplace and accommodation (where provided), providing fast and safe evacuation of all workers; 6.9 Suppliers shall ensure the strength, stability and safety of buildings and equipment, including accommodation where provided; 6.10 Accommodation, where provided, is safe and hygienic, and is segregated from the factory or production area and from material storage areas. It is located only in buildings designed for the purpose of worker accommodation, and provides for individual privacy and secure storage of personal belongings; and 6.11 Suppliers shall undertake sufficient training of workers and management workplace health and safety hazards, including fire safety and emergency procedures within the production facility and accommodation (if provided). 7. Wages, Benefits and Terms of Employment 7.1 Work performed must be on the basis of a recognised employment relationship established in compliance with national legislation and practice and conformance to international labour standards, whichever affords the greater protection; 7.2 Labour-only contracting, subcontracting or homeworking arrangements, apprenticeship schemes where there is no real intent to impart skills or provide regular employment, excessive use of fixed-term contracts of employment, or any comparable arrangements shall not be used to avoid obligations to workers under labour or 4
5 social security laws and regulations arising from the regular employment relationship; 7.3 Suppliers must compensate their workers by providing wages, overtime pay, benefits and paid leave which respectively meet or exceed legal minimum and/or industry benchmark standards and/or collective agreements, whichever is higher. Wages and compensation for regular working hours should meet basic needs and provide some discretionary income for workers and their families; 7.4 Suppliers shall provide all workers with written and understandable information about their employment conditions and communicated in a language understood by workers. This must include wages, before they enter into employment; and about details of their wages for the pay period concerned each time that they are paid; 7.5 Suppliers shall not make any deductions from wages which are unauthorised or not provided for by national law. Suppliers shall not make any deduction from wages as a disciplinary measure; 7.6 The supplier shall provide all legally required benefits, including paid leave, to all workers; and 7.7 Suppliers shall always compensate all workers for all overtime at a premium rate, as required by law and, where applicable, by contractual agreement. 8. Working Hours 8.1 Suppliers shall set working hours that comply with national laws or benchmark industry standards or relevant international standards, whichever affords greater protection to ensure the health, safety and welfare of workers; 8.2 Suppliers shall adhere to the maximum working hours set by local labour laws or will respect that the standard allowable working hours in a week are 48, excluding overtime (whichever is stricter). Workers shall not on a regular basis be required to work in excess of 48 hours per week; 8.3 Overtime shall be voluntary, shall not exceed twelve hours per week and shall not be requested on a regular basis; and 8.4 Workers shall be provided with at least one day off in every 7 day period or, where allowed by national law, 2 days off in every 14 day period. 9. Environment 9.1 Supplier management understands the significant environmental aspects and impacts of its operations and complies with all applicable environmental legal requirements and reviews these on a yearly basis; 9.2 Suppliers shall assign the responsibility for compliance with environmental requirements to a senior management representative; 9.3 Formal systems and processes are in place to manage environmental emergency response (spills, leaks, control equipment failure, explosions, fires, etc.); 9.4 Suppliers shall undertake sufficient training of workers and management on the operation s environmental aspects and impacts; and 9.5 Supplier shall undertake to regularly review performance over time and develop plans and targets to deliver continuous improvement. 10. Supply Chain Management 10.1 Our suppliers understand the supply chain of their products and are able and willing to provide details of the supply chain to us; 10.2 Our suppliers work with their key suppliers and subcontractors to help them work toward meeting these standards over an agreed period of time; 10.3 Subcontractors and home workers are only used when there is full visibility of the entire supply chain and are disclosed to us prior to any commencement of production for our acknowledgement and approval; and 10.4 Suppliers regularly assess/audit the compliance of their direct suppliers to labour and environmental legal requirements and conformance to these standards. n 5
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