Outline UK Ethical Trading Initiative (ETI) Fundamental Principles United Nations Global Compact Nine Fundamental Principles Wal-Mart Stores Corporate Social Responsibility Code Nike's Code of Conduct (March 1997) Disney Code of Conduct for Manufacturers Reebok Human Rights Production Standards FIFA Labor Code for Licensed Products Ethical Trading Initiative (ETI) Principles 1. Freely chosen employment relationship 1.1 Forced, bonded or involuntary prisoner labour shall not be used. 1.2 Employees should not be required to pay a deposit or hand over their identity documents to their employer and should be free to leave their employer after reasonable prior notice. 2. Respect the right to freedom of association and collective bargaining 2.1 All employees, without exception, have the right to join or form trade unions of their own choice and to engage in collective bargaining. 2.2 Employers should adopt an open attitude towards trade union activities and their organized activities. 2.3 There shall be no discrimination against workers’ representatives who may use their workplace to perform their workers’ representative functions. 2.4 Where the rights to freedom of association and collective bargaining are restricted by law, the employer promotes rather than hinders, providing similar forms of independent and free association and collective bargaining. 3. Safe and hygienic working conditions 3.1 A safe and hygienic working environment should be provided, taking into account the general knowledge of the industry and any special hazards. Appropriate measures should be taken to prevent accidents and health hazards caused by, related to or occurring at work, and to reduce the inherent hazards in the working environment as far as practicable. 3.2 Employees should receive regular and recorded safety and health training, which should be repeated for new employees and employees who are transferred to other jobs. 3.3 Employees should be provided with clean toilet facilities, drinking water and, where possible, sanitary storage facilities for food. 3.4 The accommodation provided must be clean, safe and meet the basic needs of employees. 3.5 Companies adopting this Code should appoint a senior management representative to be responsible for safety and health. 4. No child labor 4.1 No more child labor. 4.2 All companies shall formulate, participate in and fund child labor relief policies and projects to ensure that any child who has been a child laborer receives normal education until they are no longer a child. The definitions of children and child labor are shown in the Appendix. 4.3 Children and young persons under the age of 18 shall not be assigned to work at night or under hazardous conditions. 4.4 These policies and procedures must be consistent with the provisions of relevant ILO standards. 5. A living wage 5.1 The wages and benefits paid in each standard wage week shall at least meet the higher of the statutory standards or the standards set by the industry. In any case, the wages paid shall always be sufficient to meet basic needs and provide some disposable income. 5.2 Employees should be provided with written, understandable information about their employment conditions and wages before they start work, and with each pay period, detailed information about their wages. 5.3 Deductions from wages as a form of disciplinary action are not permitted without the employee’s consent, nor are deductions from wages in violation of national laws. All disciplinary actions must be documented. 6. Do not exceed working hours 6.1 Working hours must comply with national laws and industry regulations, whichever is higher. 6.2 In any case, employees shall not be required to work more than 48 hours per week on a regular basis and shall be guaranteed at least one day off every seven days. Overtime work must be voluntary and may not exceed 12 hours per week. Employees shall not be required to work overtime regularly and must be paid an additional overtime wage. 7. Prohibition of Discrimination 7.1 No one shall be discriminated against in hiring, wages, training, promotion, dismissal or retirement on the basis of race, caste, nationality, religion, age, disability, sex, marital status, sexual orientation, union membership or political party affiliation. 8. Formal employment relationship 8.1 Wherever possible, all work must be conducted on a formal employment basis in accordance with national law and practice. 8.2 Obligations owed to regular employees under labour or social security legislation must not be evaded through labour-only contracts, subcontracting or home-working arrangements, or false apprenticeship schemes, nor through excessive fixed-term employment contracts. 9. Do not treat employees in a harsh or inhumane manner 9.1 Abuse or corporal punishment, threats of abuse, sexual harassment, insults or other forms of intimidation against employees are prohibited. The provisions of this Code are only the most basic, not the highest, standards, and should not prevent companies from adopting higher standards. Companies that adopt this Code are expected to comply with national and other relevant laws. When legal provisions and provisions of this Code cover the same issue, the higher standard shall prevail. The nine basic principles of the United Nations Global Compact are: 1. Businesses should respect and uphold internationally recognized human rights. 2. Never participate in any behavior that disregards or tramples on human rights. Labor standards: 3. Enterprises should uphold freedom of association and recognize workers’ right to collective bargaining. 4. Completely eliminate all forms of forced labor. 5. Eliminate child labor. 6. Eliminate discrimination in hiring and employment. Environmental aspects: 7. Enterprises should respond to environmental challenges and prepare for a rainy day. 8. Take the initiative to increase the responsibility for environmental protection. 9. Encourage the development and promotion of environmentally sound technologies. Wal-Mart Stores Corporate Social Responsibility Code Wal-Mart Stores Inc. WAL-MART STORES, INC. Walmart requires its supply partners to comply with the highest business standards. Walmart's supply partners and their contractors and subcontractors must comply with the following standards. Walmart has the right to conduct unannounced inspections of the production sites of supply partners to ensure that these standards are indeed implemented. All supply partners must comply with industry regulations and standards required by the laws of the countries in which they do business, including labor and employee employment laws. If industry standards are higher than the laws of the country in which they are located, Walmart will support supply partners that comply with the industry standards. All goods must be properly printed or labeled with the country of origin in accordance with relevant laws. Employee Recruitment: Walmart expects its supply partners to abide by the following employee recruitment terms. 1. Remuneration: Suppliers shall provide employees with remuneration and benefits fairly in accordance with the law. If the remuneration standards in the supplier's location are higher than the legal requirements, the supplier shall implement the local prevailing remuneration standards. 2. Working hours: Suppliers should maintain reasonable working hours in accordance with the law. Employees should not work more than the legally permitted hours per week and receive appropriate overtime compensation. If a supplier requires employees to work more than 40 hours per week all year round and does not provide appropriate overtime compensation in accordance with relevant legal requirements, we will not use this supplier. Employees should be allowed to have at least one day off per week. 3. Forced Labor: Walmart does not tolerate forced labor. 4. Child Labor: Walmart does not tolerate the use of child labor to produce the products it sells. Supply partners are not allowed to employ child laborers under the age of 15 (or 14 if permitted by the laws of the country in which they are located). 5. Discrimination: The basis for determining the terms and conditions of employment of employees should be individual work ability, not personal characteristics or beliefs. Walmart supports supply partners who do not discriminate on the basis of race, color, national origin, sex, religion, disability or other similar factors. Nike Code of Social Responsibility There is no doubt that we will conduct business activities with our partners based on trust, cooperation, honesty and mutual respect, and we expect all our business partners to abide by the same principles. Nike's core ethic is the belief that our company is made up of diverse people, we respect individual differences and we are committed to providing equal opportunities for everyone. Nike designs, manufactures and markets sporting goods. At every step of the way, we must not only meet basic requirements, but also meet the expectations of leaders. We expect our business partners to do the same. In particular, Nike seeks business partners who share our commitment to the following areas to promote good practices and continuous improvement. 1. Occupational safety and health, wages, remuneration, working hours and benefits. 2. Minimize the impact on the environment. 3. Respect individual dignity, freedom of association and the right to collective bargaining, and management methods that do not abuse or corporal punishment of workers. 4. The principle of determining recruitment, wages, benefits, promotion, dismissal or retirement based entirely on individual work ability. Nike adheres to this Code of Conduct anywhere in the world, and we pledge to abide by these principles with our business partners. These principles are the essence of our partnership, and we also pledge to abide by the following specific standards of conduct. 1. Forced Labor. The Contracting Parties shall ensure that no forced labor, including prison labor, indentured labor, bonded labor or other forms, will be used. 2. Child Labor. The Contracting Parties shall ensure that no person below the minimum age prescribed by local law will be employed. If the age for completing compulsory education is higher, the higher age shall be adopted, but in no case below 14 years. 3. Wages and remuneration. The contracting parties shall ensure that they pay at least the minimum wage prescribed by local laws, including statutory wages, allowances and benefits. 4. Benefits. The Contracting Parties shall ensure compliance with all statutory benefit requirements, including but not limited to housing, food, transportation and other benefits such as health care, childcare, sick leave, emergency leave, maternity leave and menstrual leave, annual leave, religious leave, bereavement leave, public holidays and social security, life insurance, health insurance, work-related injury insurance and other insurance. 5. Working hours and overtime. The contracting parties shall ensure compliance with the legal working hours requirements and overtime wages shall be paid in accordance with the legal requirements. If overtime work is one of the employment conditions, it shall be notified to the employee at the time of recruitment. One day off shall be regularly arranged every 7 days. The working hours per week shall not exceed 60 hours, or comply with the lower local standards. 6. Safety and Health. The contracting parties shall ensure the establishment of written safety and health guidelines, including employee dormitories if there are dormitories, and agree in writing to comply with Nike's factory/supplier safety and health standards. 7. Environmental protection. The contracting parties shall ensure compliance with applicable national environmental laws and regulations, and agree in writing to comply with Nike's factory/supplier environmental policies and procedures, and continuously improve and reduce environmental impacts in process planning. 8. Documentation and Inspection. The Contracting Parties agree to retain documents that may be required to demonstrate compliance with this Code and to provide such documents to Nike or its designated auditors for inspection when necessary. Disney Code of Conduct for Manufacturers We, the colleagues of The Walt Disney Company, commit to: Applying the standard of excellence in all business areas and around the world; Strictly adhere to professional ethics and be responsible in all operations and behaviors; respect the rights of all people; and respect the environment. We expect the same commitment from all manufacturers of Disney merchandise. We require all manufacturers of Disney merchandise to meet, at a minimum, the following standards: 1. Child Labor Manufacturers shall not employ child labor. The term "child" means a person under the age of 15 (or 14 where required by local law or regulation), or under the local minimum legal age for employment or the age for completing compulsory education, whichever is higher. Even if manufacturers employ young persons who do not meet the definition of children above, they must still comply with any relevant laws and regulations regarding such persons. 2. Involuntary Labor Manufacturers shall not employ any forced or involuntary labor, whether prison, slave, indentured, or otherwise. 3. Intimidation and Harassment Manufacturers will treat each employee with dignity and respect and shall not use corporal punishment, threats of violence, or other forms of physical, sexual, psychological or verbal abuse. 4. Non-Discrimination Manufacturers shall not discriminate in hiring and employment practices, including on the basis of race, religion, age, nationality, social or ethnic group, sexual orientation, gender, political opinion or disability with respect to wages, benefits, promotion, discipline, termination or retirement. 5. Association Manufacturers will respect the rights of employees to associate, organize and bargain collectively in a legal and peaceful manner without punishment or interference. 6. Health and Safety Manufacturers will provide employees with a safe and healthy workplace in accordance with all relevant laws and regulations and ensure that they have at least reasonable access to potable water and sanitary facilities; fire safety; and adequate lighting and ventilation. 7. Compensation We expect manufacturers to recognize that wages are essential to meeting the basic needs of their employees. At a minimum, manufacturers shall comply with all applicable laws and regulations regarding wages and hours, including those regarding minimum wages, overtime, maximum hours, piece rates, and other components of compensation, and provide legally required benefits. If local law does not require overtime pay, manufacturers shall at least pay regular wages for overtime work. Unless there are extraordinary business circumstances, manufacturers shall not require employees to work more than the lesser of (a) 48 hours per work week plus 12 hours of overtime or (b) the limitations on regular and overtime hours permitted by local law, or if local law does not limit hours, the normal work week in the country of origin plus 12 hours of overtime. In addition, unless there are extraordinary business circumstances, employees shall be entitled to at least one day off in every 7-day period. Where local industry standards are higher than relevant legal requirements, we expect manufacturers to adhere to the higher standards. 8. Environmental Protection Manufacturers will comply with all relevant environmental protection laws and regulations. 9. Other Laws Manufacturer will comply with all applicable laws and regulations, including those regarding the manufacture, pricing, sale and distribution of the Goods. All references to relevant laws and regulations in this Code of Conduct include national laws, regulations and relevant treaties and voluntary industry standards. 10. Subcontracting Manufacturers may not hire subcontractors to manufacture Disney merchandise or its components without Disney’s express written consent, and may only hire subcontractors after the subcontractor and Disney have signed a written commitment to abide by this Code of Conduct. 11. Monitoring and Compliance Manufacturers will authorize Disney and its designated agents (including third parties) to engage in monitoring activities to confirm compliance with this Code of Conduct, including unannounced on-site inspections of manufacturing facilities and employer-provided housing; review of books and records related to employment matters; and private interviews with employees. Manufacturers will maintain on-site all documentation necessary to demonstrate compliance with this Code of Conduct. 12. The publisher will take appropriate steps to ensure that this Code of Conduct is communicated to all employees, including posting a copy of this Code of Conduct in the local language in a prominent location accessible to all employees at all times. Reebok Human Rights Production Standards 1. No Discrimination Reebok's partners must not discriminate in hiring workers, and decisions on hiring, wages, benefits, loans, penalties, dismissal and retirement should be based solely on individual work ability. 2. Working hours and overtime. Except in special circumstances, workers shall not work more than 60 hours per week, including overtime. Some countries stipulate that the weekly working hours are lower than this number, and the national regulations should be followed. Workers should have at least one day off in the 7 days of the week. 3. Forced or compulsory labor Reebok will not work with organizations that use forced or compulsory labor. This includes forced labor as a means of political persecution or as punishment for peacefully expressing political opinions. Reebok does not purchase raw materials produced by prisoner or forced labor. If it is discovered that a party is using such labor for production, the company will terminate its business relationship with the party. 4. Fair wages Reebok's partners should share the same view on wages and benefits as the company, in the spirit of meeting the living needs of employees and their families according to national conditions. Reebok will not choose to cooperate with organizations that pay workers wages lower than the minimum wage required by the same industry or local laws. 5. Child labor Reebok will not choose organizations that use child labor as partners. "Child labor" refers to children under the age of 15 (14 in some countries) or below the legal age for receiving education, if the age is over 15. 6. Freedom of association Reebok's partners should allow workers the right to freely associate and join trade unions. Reebok recognizes and respects the rights of its employees to organize and bargain collectively. 7. Safe and healthy working environment Reebok's partners must strive to ensure that workers have a safe and healthy working environment and must not place workers in dangerous working conditions. FIFA specifies labor codes for authorized production of products in accordance with fair and ethical conduct. FIFA recognizes its responsibility for the quality of authorized products to consumers and its responsibility for production conditions for workers involved in the production of its authorized products. As one of the conditions of the licensing agreement, every licensee participating in the FIFA licensing program must agree to ensure that workers producing licensed products receive fair wages and decent working conditions, and ensure compliance with International Labor Conventions Nos. 29, 87, 98, 100, 105, 111 and 138 established by the International Labor Organization. The Licensee also agrees to ensure that every contractor or subcontractor involved in the production and distribution of FIFA licensed products or parts of such products complies with the above conditions and the International Labour Conventions. The Licensee shall assess whether it can meet the requirements of this Code before placing an order with a supplier or identifying contractors and subcontractors. Each licensee participating in the FIFA licensing program and the contractors and subcontractors determined by the licensee must implement and respect the following specifications in the production and/or distribution of any products bearing the FIFA name and/or the FIFA licensed logo, and each licensee must ensure that these specifications are accurately conveyed to their clients or workers they employ. 1. Employment is freely chosen and there shall be no forced or bonded labour (ILO International Labour Conventions No. 29 and No. 105). 2. There is no discrimination in employment on the basis of race, colour, sex, religion, political opinion, nationality, social origin or other distinguishable characteristics, and equal opportunities and treatment are provided (ILO International Labour Conventions No. 100 and No. 111). 3. No child labor. No child labor shall be used and only workers over 15 years old shall be employed (ILO International Labor Convention No. 138). 4. Respect workers’ rights to freedom of association and collective bargaining Employers must recognize workers’ rights to form and join trade unions and to bargain collectively (ILO International Labor Conventions No. 87 and No. 98). 5. Pay Fair Wages The wages and benefits paid by employers to workers should at least meet the minimum wage standards stipulated by law or industry regulations and should be able to meet basic living needs and provide some discretionary income. 6. Reasonable working hours Workers’ working hours should comply with relevant laws and regulations and industry standards. Workers should not be required to work more than 48 hours per week on a regular basis, nor should they be required to work overtime for more than 12 hours per week on a regular basis. At least one day of rest should be arranged every 7 days. 7. Decent working conditions Employers should provide a safe and healthy working environment and promote best occupational safety and health practices, reminding workers of common safety knowledge in their industry and any specific hazards. 8. Establish a stable employment relationship. Employers should provide stable jobs and try to avoid excessive use of short-term and temporary workers. Employers should not evade their responsibilities to workers by subcontracting or apprenticeship arrangements. Young workers should be provided with opportunities to participate in education and training. 9. Implementation and Monitoring Licensees and their contractors and subcontractors shall cooperate in supporting the implementation and monitoring of this Code through the following actions. - Provide relevant production and operation information to FIFA or its agents. - Allow approved auditors to review their workplaces and production operations at any time. - Keep records of each worker’s name, age, working hours and wages paid, and provide them to auditors promptly when required. - Inform workers orally and in writing of the provisions of this Code. - No worker shall be penalized, dismissed or otherwise subject to punitive action for providing information concerning the implementation of this Code. Any licensee, contractor or subcontractor found to be in violation of one or more of the provisions of this Code will be subject to sanctions up to and including cancellation of its ability to produce or organize the production of FIFA licensed products, and the licensee will also be subject to the same sanctions if it fails to ensure that its contractors or subcontractors comply with this Code. Questions concerning the interpretation of the provisions of this Code shall be heard in accordance with the procedure set out in the Memorandum of Agreement signed between FIFA and the ICFTU, ITGL WF and FIET. |