Supplier Code - Sustainability in the supply chain

Sustainability in the supply chain Supplier Code GF_Lieferantenkodex_EN_V2.indd 1 03.07.15 08:15

Supplier Code Ethics and sustainability in terms of legal, eco- I. Business ethics nomic, environmental and social responsibility is a) Compliance with laws // GF’s suppliers undertake to an integral part of our business. This also in- abide by the applicable laws and regulations, to respect cludes long-term, trusting partnerships and the human rights and in particular to respect human dignity. law-abiding behaviour of our suppliers. We source raw materials, goods and services from suppliers b) Prohibition of corruption // GF does not tolerate any form worldwide to secure the long-term success of of corruption from its suppliers, such as bribery or the our company and our customers with innovative granting or acceptance of unlawful benefits, regardless products and services. of whether they are given directly, through intermedi- aries, to private persons or public authority officials. The Supplier Code applies to all suppliers of GF P rohibited in particular are the granting (active bribery, and their employees. GF expects its suppliers to granting of advantages) and the receipt (passive bribery, implement the principles established in this Code acceptance of advantages) of donations that are intended in their company. It is the responsibility of GF’s to provide an illegal advantage. suppliers to verify compliance with the principles set out below in their own supply chains. c) Fair competition // GF expects its suppliers to comply with international and national laws for the safeguarding The principles set out in the GF Supplier Code are of fair competition. These include provisions on unfair based on the following international conventions competition and antitrust laws. Agreements with com- and standards: petitors on prices, terms of sale, quantity restrictions, sharing of territory or deals for public tenders etc. are strictly prohibited. – Principles of the Global Compact of the United Nations (UN) d) Intellectual property // The suppliers will protect the – Guidelines for Multinational Enterprises of i ntellectual property of GF, such as patents, trademarks, the Organization for Economic Cooperation copyrights, designs, trade secrets, specimens, models and Development (OECD) and know-how, and respect the intellectual property of – Conventions of the International Labour third parties. The supplier shall in particular ensure that Organization (ILO) the products delivered to GF do not infringe the intellec- – Charter for Sustainable Development of the tual property of others. International Chamber of Commerce (ICC) – SA8000 (standard for socially responsible e) Product safety // GF products and services, and related corporate governance) products from our suppliers, shall endanger neither – Dodd-Frank Act on conflict minerals people nor the environment and shall meet the agreed or – GF Code of Conduct legally required standards for product safety. Suppliers undertake to clearly communicate information on safe usage. II. Respect for human rights a) Prohibition of forced labour and child labour // GF does not tolerate forced labour or child labour, neither in its own operations nor among its suppliers. The minimum age for admission to employment in accordance with ap- plicable national laws must be observed by the supplier. In case no national laws exist the ILO core labor stand- ards apply. 2 GF Supplier Code GF_Lieferantenkodex_EN_V2.indd 2 03.07.15 08:15

b) Prohibition of any discrimination // GF does not tolerate Whenever possible, waste should be avoided or recycled. any kind of discrimination and expects its suppliers to GF’s suppliers shall develop procedures governing the prohibit any kind of discrimination in their organisation transport, storage and the safe and environmentally on grounds of sex, marital status, race, colour, origin, friendly treatment and disposal of waste. r eligion, sexual orientation, disability, political affiliation or other personal characteristics. c) Responsible procurement of raw materials // GF’s sup- pliers shall support activities that ensure the responsible c) Prohibition of disciplinary penalties // GF requires that procurement of raw materials. The procurement and use its suppliers do not punish employees physically or men- of raw materials that have been obtained unlawfully or tally in any form. This is especially true when employees through unethical or unreasonable measures are to be report business practices in good faith that violate avoided. n ational, international or internal regulations. Suppliers are required to disclose the origin and sources III. Working conditions of the raw materials used by them in order to exclude the a) Occupational health and safety // The ultimate goal of GF use of raw materials affected by embargoes or other is an accident-free workplace. All suppliers must comply i mport restrictions, such as conflict minerals, and to with the occupational safety regulations at their facilities. identify these raw materials in manufactured products in Each supplier must establish policies and procedures for the supply chain. occupational health and safety and disclose them to their employees, so that accidents and occupational diseases d) Avoidance of hazardous substances // Any substances can be avoided. whose release poses a threat to humans and the environ- ment are to be avoided. GF’s suppliers shall maintain b) Living wages // GF requires its suppliers to be aware of a hazardous materials management, which ensures the their social responsibility towards employees and to safe use, transport, storage, reprocessing, recycling and e nsure that their employees’ remuneration and working disposal. hours are fair and reasonable. The supplier shall grant its employees the social benefits to which they are entitled e) Environmentally friendly products // In the development by law or contract. of products and services GF’s suppliers shall take care that their use is economical in terms of consumption of c) Working hours // GF expects that employees of its sup- energy and natural resources. The products should be as pliers are able to find a balance between work and l eisure suitable as possible for reuse, recycling or safe disposal. time and that the respective applicable national legis- lation on working time is observed. Employees shall be Products supplied to GF shall contain no substances of entitled to a regular annual leave. very high concern covered by the REACH regulation. If necessary, the substances concerned are to be reported d) Freedom of Association // GF expects its suppliers to be to GF in advance. committed to an open and constructive dialogue with its employees and workers` representatives. Employees Materials or purchased parts that do not meet RoHS re- have the right to bargain collectively and to organize quirements are to be substituted by the supplier in con- themselves in labor unions. Should a labor union not be sultation with GF. If required, the GF supplier must pre- permitted in a country for political reasons, the supplier sent an EU conformity declaration of compliance with the must allow independent alliances in another form. Sup- RoHS directive. pliers will not discriminate employees who act as work- ers` representatives. V. Management systems GF expects its suppliers to maintain management sys- IV. Compliance with environmental standards tems to ensure compliance with the principles set out in a) Environmental legislation // GF expects its suppliers to this Supplier Code. GF gives preference to suppliers who comply with applicable national environmental laws. are actively engaged in a quality management system ac- cording to ISO 9001, an environmental management sys- b) Prevention and reduction of environmental pollution // tem according to ISO 14001 and OHSAS 18001 for occu- GF expects its suppliers to reduce emissions in the pro- pational safety or equivalent systems. A management duction process, control harmful emissions and process system oriented according to SA8000 requirements for them as far as possible prior to their release into the en- social responsibility and ISO 50001 for energy manage- vironment. ment are recommended. 3 GF Supplier Code GF_Lieferantenkodex_EN_V2.indd 3 03.07.15 08:15

VI. Implementation a) Monitoring and verification requirement // The supplier b) Non-compliance // Any breach of the principles and shall on request provide all relevant information for an requirements set out in the GF Supplier Code constitutes initial assessment accurately and in full as part of a self- a fundamental breach of contract by the supplier. GF assessment. reserves the right in the event of non-compliance with the GF Supplier Code to request remedial measures to be He or she shall also provide other information available implemented within a reasonable period of time deter- that demonstrates compliance with the GF Supplier Code. mined by GF. In the event of a failure to meet the deadline GF has the right to monitor the implementation of this or in case of severe violation of the principles and Code and to check implementation via supplier audits. r equirements set out in this Supplier Code GF has the right, if appro priate, to terminate the cooperation without The supplier shall immediately inform GF about events notice. that are contrary to the principles of the GF Supplier Code. Issued by Georg Fischer AG Amsler-Laffon-Strasse 9 8201 Schaffhausen Switzerland Phone: +41 (0) 52 631 11 11 www.georgfischer.com For questions and further information please c ontact the Corporate Sustainability team at the f ollowing email address: sustainability@georgfischer.com www.georgfischer.com/sustainability Approved on October 24, 2014 by GF Group Management Version 2 4 GF Supplier Code GF_Lieferantenkodex_EN_V2.indd 4 03.07.15 08:15