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Ethical Trading Policy & Implementation Plan

Introduction


Over recent years, the textile industry has been placed under increasing scrutiny for all aspects along the supply chain from the growth of seed cotton to the CMT of finished garments in factories across the globe. It is therefore time for Richard Haworth to formalize its stance on ethical issues in relation to its supply chain.


At Richard Haworth we are committed to the safe and fair treatment of anyone involved in the manufacture of our products. We are also committed to minimising any impact on the environment that may be caused during the manufacturing process. Customers are becoming increasingly demanding and have made it clear that they want to buy products which have been produced.


•    Without exploitation of the people who produce the goods

•    In safe, decent working conditions

•    Causing minimal damage to the environment


Companies like ours are increasingly required as a condition of trade to demonstrate good corporate citizenship. It is no longer sufficient just to operate our business in a socially responsible manner; it has become necessary for us to prove that we are doing so.


As a part of our corporate social responsibility strategy, Richard Haworth has drawn up an ethical trading policy, covering the working conditions of the people who make, handle and distribute the products we sell. The policy is based on the ethical Trading Initiative (ETI) base code, the internationally recognised standard for labour codes of practice.
For the purposes of this policy, Richard Haworth has adopted the generally accepted definition of ethical trade as companies taking responsibility for labour and human rights practices within their supply chains. This policy will apply to Richard Haworth’s own activities and to all those with whom we have a direct trading relationship with. We will encourage our direct suppliers to apply the same principles of ethical trade to their own supply chain partners.


This work is in three parts. The first, entitled Richard Haworth Global Sourcing principles, sets out what Richard Haworth expects of its suppliers. It encompasses all the provisions of the ETI base code as well as community benefit, environmental impact and legal compliance. The second part explains how Richard Haworth will work with its supply chain partners to implement the policy. The third part is a risk assessment questionnaire to be completed either by Richard Haworth or by suppliers themselves.

 

SECTION 1: RICHARD HAWORTH GLOBAL SOURCING PRINCIPLES


This section explains what we expect of our supply chain partners.

Richard Haworth takes great pride in the relationship we develop with people and companies who
supply us with goods and services. We expect our suppliers to create the right working environment for their own people. They must not only comply with the law but must also take great care to respect the well-being of their employees, their communities and the environment within which they operate.

The Richard Haworth Global sourcing principles are based on internationally recognized standards, such as the conventions of the international labour organisation. They set out the minimum requirements for suppliers to do business with Richard Haworth. We expect our suppliers to adopt these principles, and to incorporate them into their way of doing business and to communicate them to their employees and to their own suppliers.

We will ask suppliers to provide evidence of compliance with these principles and will take appropriate steps to verify suppliers’ performance. Where problems arise, we will work with our supply chain partners to resolve them.

 

RICHARD HAWORTH Supplier code of conduct



1.    No forced labour


Employment is freely chosen. There is no forced, bonded or involuntary prison labour. Workers are not required to lodge “deposits’’ or their identity papers with their employer and are free to leave their employer after reasonable notice.


2.    No child labour


There shall be no new recruitment for child labour.
Companies shall develop or participate in and contribute to policies and programs which provide for the transition of any child found to be performing child labour to enable her or him to attend and remain in quality education until no longer a child; “child’’ and “child labour’’ being defined in the appendices.
Children and young persons under 18 shall not be employed at night or in hazardous conditions. These policies and procedures shall conform to the provisions of the relevant ILO standards.


3.    No discrimination, harassment or intimidation


There is no discrimination in hiring, compensation, access to training, promotion, termination or retirement based on race, caste, national origin, religion, age, gender, marital status, sexual orientation, union membership or political affiliation.
Physical abuse or discipline, the threat of physical abuse, sexual or other harassment and verbal abuse or other forms of intimidation shall be prohibited.

 

4.    Health and safety


A safe and hygienic working environment shall be provided, bearing in mind the prevailing knowledge of the industry and of any specific hazards. Adequate steps shall be taken to prevent accidents and injury to health arising out of, associated with or occurring in the course of work, by minimising, so far as is reasonably practicable, the causes of hazards inherent in the working environment.

Workers shall receive regular and recorded health and safety training, and such training shall be repeated for the new or reassigned workers.
Access to clean toilet facilities and to potable water, and if appropriate, sanitary facilities for food storage shall be provided
Accommodation, where provided shall be clean, safe, and meet the basic needs of the workers.
The company observing the code shall assign responsibility for health and safety to a senior management representative.

 

5.    Workers’ rights to organise and bargain


Workers without distinction have the right to join form a trade union of their own choosing and to bargain collectively.
The employer adopts an open attitude towards the activities of trade unions and their organisational activities.
Worker’s representatives are not discriminated against and have access to carry out their representative functions in the workplace.
Where the right to freedom of associate and collective bargaining is restricted under law, the employer facilitates, and does not hinder, the development of parallel means for independent and free association and bargaining.

 

6.    Living wages


Wages and benefits paid for a standard working week meet at a minimum, national legal standards or industry benchmark standards, whichever is higher. In any event wages should always be enough to meet basic needs and to provide some discretionary income.

All workers shall be provided with written and understandable information about their employment conditions in respect to wages before entering employment and about the details of their wages for the pay period concerned each time that they are paid.

Deductions from wages as a disciplinary measure shall not be permitted nor shall any deductions from wages not provided for by national law be permitted without the expressed permission of the worker concerned. All disciplinary measures should be recorded.

 

7.    Hours work and regular employment


Working hours comply with national laws and benchmark industry standards, whichever affords
greater protection. In any event, workers should not be required on a regular basis to work in excess of 48 hours per week and should be provided with at least one day off for every 7-day period on average.

Overtime shall be voluntary, shall not exceed 12 hours per week, shall not be demanded on a regular basis and shall always be compensated at a premium rate.
To every extent possible work performed must be based on recognised employment relationship established through national law and practice.

Obligations to employees under labour or social security laws and regulations arising from the
regular employment relationship shall not be avoided through the use of labour-only contracting, sub- contracting, or home-working arrangements, or through apprenticeship schemes where there is no real intent to impart skills or provide regular employment, nor shall any such obligations be avoided through the excessive use of fixed-term contacts of employment.


8.    Community and environment


Companies must ensure that they treat their local community and environment with respect, that they meet relevant laws and regulations and that they step to maximise benefit to the local community and to mitigate environmental impacts wherever it is feasible to do so.


9.   Compliance


The provisions of this code of conduct constitute minimum not maximum standards. Companies applying these principles are expected to comply with national and other applicable law and, where the provisions of the law and this code address the same subject, to apply that provision which affords greater protection.


SECTION 2: PUTTING OUR VALUES INTO PRACTISE


this section explains what we do in our own business to implement our ethical trading policy.


1.    Commitment


•    Richard Haworth is committed from the highest level of the company to ethical trading.

•    Responsibility for implementing The Richard Haworth Global sourcing principles has been assigned to Mr Raj Ruia.

•    We communicate our commitment to our supply chain partners and our staff.

•    We will make available sufficient resources to ensure that these commitments are fulfilled.

 


2.    Monitoring and corrective action


•    We ask suppliers to conduct their own assessment of their ability to comply and to report back to us their findings (see section 3: Richard Haworth Supplier Questionnaire).

•    We make an assessment of the ethical performance part of all supplier visits.

•    We ask suppliers to disclose any ethical performance problems they find, whether as a result
of Richard Haworth’s enquiries or through audits on behalf of other customers.

•    Where necessary we ask our suppliers to commission independent third-party audits.
•    Whenever a problem is found, suppliers are required to submit a time-bounce corrective action plan to Richard Haworth.

•    We follow up with suppliers their progress against agreed corrective action plans.

 

3.    Support

 

•    We work with our supply chain partners and with our won procurement teams to improve their understanding of ethical trading.

•    We provide information guidance and training for our staff.

•    We ask our suppliers to do the same and we seek their views over their ability to observe the Richard Haworth Global sourcing Principles.

•    Wherever possible we will support our suppliers to ensure that they can comply with the Richard Haworth Global Sourcing Principles.


4.    Way of working


•    We take account in our commercial decision making of the labour practices of our suppliers and their ability to observe the Richard Haworth Global Sourcing Principles.

•    Buying staff and other personnel, whose decisions may affect working conditions and labour practices in the supply chain, are made aware of the potential impact of such decisions. We provide training and guidance to enable them to carry out company ethical trading policy and their performance is assessed and managed accordingly.

•    Richard Haworth will terminate supplier relationships where serious breaches of the Richard Haworth Global Sourcing Principles persist only after reasonable attempts have been made to work with the supplier to implement improvements and there is no reasonable prospect of securing improvements.

 

5)    Openness and collaboration

 

•    Richard Haworth will be open with its customers about its ethical trading performance.

•    We encourage our supply chain partners to do the same.

•    We undertake to respond rapidly, fully and openly to any complaints about violations of the Richard Haworth Global Sourcing Principles in our supply chain.

•    We recognise that ethical trading issues are complex and often difficult to deal with.

•    Richard Haworth would like to work with other stakeholders to find lasting solutions to ethical trading problems and other corporate citizenship issues that arise.