HBC ES Ethical Factory Audit and Purchasing Standards

HBC ES ethical factory inspection and procurement standard wages and benefits
HBC will seek business partners who share our commitment to improving wage and benefit levels that address the basic needs of workers and their families in the national economic conditions, as much as possible and appropriately. Business partners are required to pay higher, prevailing industry wages, minimum wages, or a wage that results in a decent living. Business partners will provide all statutory benefits.

Working Hours/Overtime Business Partners shall maintain reasonable working hours for employees consistent with local standards and applicable national laws in the countries in which Business Partners do business. In exceptional cases, CSA will favor Business Partners who utilize less than a 60-hour work week over those who, on a regular basis, require their employees to work more than a 60-hour work week. If a lower level cannot be established under local law, CSA defines a standard work week as generally not exceeding 48 hours and considers all hours in excess of that amount to be overtime work, whether mandatory or not. Business Partners shall compensate employees for overtime hours, including premiums at rates required by other laws in the country of production, or in those countries where such laws do not exist, at a rate at least equal to their normal hourly wage rate. Employees shall be allowed at least one day off in every 7-day period, and leave privileges, except in exceptional circumstances.

Dispute Resolution Business partners should consider as part of their management practices a dispute resolution process that allows employees to voice job grievances without fear of retaliation.

Environmental Requirements CRA will facilitate business partners conducting business who use progressive environmental practices and take proactive steps to preserve and protect the well-being of the environment. All business partners must comply with all applicable environmental laws and regulations in their countries to protect and preserve the environment.

Transshipment Suppliers will comply with applicable import duties and, in particular, will establish and maintain procedures and documentation to support country of origin verification of production and prevent illegal transshipment of merchandise.

Expected Ethics and Business Standards Hudson's Bay Company (HBC) is fully prepared to conduct business in a socially responsible manner, and we are determined to build trust with our business partners and employees based on the highest ethical principles, teamwork, honesty and respect for the rights and dignity of people. We require our business partners and employees to recognize our own ethical standards and encourage and support those who fully comply with standards of business practices that are consistent with our principles. We will only engage business partners who demonstrate a commitment to promoting improved working conditions in society and strive to meet our requirements expressed in this Code.

All business partners and employees must comply with all contractual provisions, legal requirements and industry standards as required by local, regional and national laws and regulations of the country in which the business partner does business. If legal requirements and industry standards conflict, business partners and employees must meet the higher standards in the country in which the product is manufactured. Nothing in this Code should be construed as encouraging, condoning or authorizing any action by any company or individual that breeches any applicable law or regulation, directly or indirectly. By extension, the provisions of this Code are not to be construed as creating or implying meanings beyond those expressly interpreted in this document.

Employment Standards No Forced Labor Business Partners must maintain employment on a voluntary basis with respect for the employee’s right to decide whether to work. Business Partners shall not use forced labor whether in the form of prison labor, bonded labor, indentured labor or other manufacturing or other relationships in their contracting, subcontracting or manufacturing of their products.

No Child Labor The use of child labor is not permitted. Workers cannot be over 15 years old (or under 14 where the law of the country of manufacture makes it), or the age at which compulsory education has ended, whichever is higher. In cases involving hazardous working conditions, we require workers to be at least 18 years old. We support the development of legitimate workplace apprenticeship programs as long as it is in the educational benefit of young people, as long as they are not exploited or given work that is dangerous to the health or safety of children. No children or young people of compulsory school age should be employed at school time and the total time spent in school, transportation, and at work cannot exceed 10 hours.

No Harassment or Abuse We require that every employee be treated with respect and dignity. No employee shall be subjected to any form of physical, sexual, psychological or verbal harassment or abuse, including the use of corporal punishment. Freedom of Association and Collective Bargaining Rights Management practices must respect employees' freedom of association and collective bargaining rights where applicable.

No discrimination
HBc Positive recognizes and respects the cultural differences found in the world. We will favor business partners who ensure that employees are not subjected to any form of employment discrimination, including hiring, wages, benefits, promotion, discipline, termination or retirement, based on sex, race, religion, age (except for normal hiring or retirement restrictions), disability, sexual orientation, nationality, political views, union participation, social or ethnic origin or membership in any legal organization. Employment decisions will be based on knowledge, skills, efficiency and ability to do the job and meet its needs.

Health & Safety Core will only utilize business partners who provide a safe and healthy work environment for their employees. HBc factories producing goods should provide adequate first aid supplies, fire escapes and safety equipment, well-lit workstations, clean restrooms, and ensure that all are well-maintained and in good working order. Worker housing, where provided by business partners, must meet health and safety standards.