Danish Crown has decided to join the UN initiative, Global Compact. The Global Compact was announced in 1999 as a UN initiative for the business community to help promote sustainable development in the world. Tulip’s participation in this initiative is relevant to the content of the Code of Conduct for Suppliers. The Global Compact lays down 10 principles in four important areas: human rights, labour rights, environment and anti-corruption. Tulip urges all suppliers to support Global Compact.
General demands on suppliers
Acceptance of and compliance with this Code of Conduct form an integral part of every Business Agreement with Tulip. The Code of Conduct establishes a minimum requirement and Tulip urges its suppliers to strive for continued improvement within all areas covered by this Code of Conduct. Tulips suppliers must take all relevant and necessary initiatives and measures to ensure compliance with this “Tulip Code of Conduct for Suppliers”. In order to prove compliance, suppliers must be prepared to provide Tulip with information concerning subjects mentioned in this Code of Conduct. Suppliers must act according to the countries in which they operate and support and respect internationally proclaimed human rights. Suppliers must respect that Tulips employees are committed to acting with honesty, integrity and trustworthiness and that Tulips employees cannot accept, either directly or indirectly, anything, which could appear to influence decisions with respect to Tulips relationship with a particular supplier. Violation of this “Tulip Code of Conduct for Suppliers” can bring the relationship to an end.
The supplier’s suppliers
Tulip also encourages you to use this Code of Conduct as a basis for your co-operation with your suppliers.
Suppliers must comply with all applicable local laws, regulations and industry standards. Tulip encourages its suppliers to comply with ILO and UN Conventions.
Child labour must not be engaged in or benefited from. The minimum age for fulltime employment shall not be less than the age of completion of compulsory schooling and, in any case, shall not be less than 15 years (or 14 years where established by local laws in accordance with the ILO developing-country exception). Employees under 18 years of age are not to be involved in hazardous work or to work at night regardless of the number of hours worked. For this kind of work, workers must be older than 18 years of age and vendor must comply with all local laws and regulations. The minimum age for light work/spare time employment (work that does not interfere with education) shall not be less than 13 years (or 12 years where established by local laws in accordance with the ILO developing-country exception). If child labour is detected, then, in addition to other actions pursuant to this Code of Conduct, Tulip reserves the right to involve local or international organizations to secure a proper remediation process.
Forced Labour and Freedom of Movement
Forced or compulsory labour must not be used or benefited from. Employees must have the freedom of movement during the course of their employment. Guards must only be posted for normal security reasons to protect employees and the property of the company. Personal papers, work deposits or compensation to employees must not be withheld, thereby preventing the employees from ending their employment.
Physical punishment, threats of violence or other forms of mental or physical coercion or abuse must not be used. Monetary fines or deduction in compensation as a means of disciplinary measure is not allowed.
Discrimination, directly or indirectly, in hiring and employment practices on grounds of race, colour, sex, language, religion, political or other opinion, age, national, social or ethnic origin, property, sexual orientation, birth or other status must not be engaged in or supported. It must not be required that female employees are subjected to mandatory pregnancy tests. It must not be required
that employees are subjected to mandatory HIV/AIDS tests.
Wages, Benefits & Holidays
Employees shall be paid a decent living wage and at least the minimum wage required under locallaws and regulations. Additionally all benefits required by local laws and regulations must be provided. Wages must be paid in legal tender and not less frequently than on a monthly basis. Employees are entitled to sick and maternity leave as provided by local laws and regulations.
Tulip has a fundamental belief that the maximum allowable working hours in a week shall not on a regular basis exceed 48 hours with a maximum of 60 hours per week, including overtime. Overtime hours are to be worked solely on a voluntary basis, and must be planned in a way that ensures safe and humane working conditions. Working hours must be compensated consistent with local laws and regulations. However, Tulip does accept that supplier’s employees can work more than 60 hours if it is voluntary and are permitted according to local laws and regulations. Consecutive working days must be in accordance with local laws and regulations and, as a minimum; employees must be entitled to at least one day off per week.
Employees must be provided with written confirmation of employment terms, if and as required by local laws and regulations.
Freedom of Association and the Right to Collective Bargaining
The rights of the employees to choose to be a member of a trade union and to bargain collectively as permitted by local laws and regulations must not be interfered with or restricted. In situations or countries in which the rights regarding freedom of association and collective bargaining are restricted by law, parallel means to freedom of association and collective bargaining must be facilitated for all personnel by the vendor.
Health and Safety
A safe and healthy working environment must be provided, in compliance with all local laws and regulations. One or more management representatives are responsible for establishing written policies and procedures regarding health, safety, welfare and general facilities and that these policy topics are adhered to.
Local laws and regulations regarding the protection of the environment must be complied with. Suppliers must strive to have management systems in place and to reduce waste, energy and emissions to air, ground and water; handle chemicals in an environmentally safe way; handle,
store and dispose of hazardous waste in an environmentally safe manner; contribute to the recycling and reuse of materials and products; implement environmental friendly technologies.
Corruption and Bribery
Bribes must not be offered, promised, given, accepted, knowingly benefited from, or demanded.
Monitoring and Evaluation
Suppliers shall maintain, on site, any documentation that may be necessary to demonstrate compliance with the Code of Conduct. All suppliers are required to provide full access to on-site inspection, by Tulip or its designated representatives and access to all records that might determine compliance or non-compliance with the Code of Conduct.