Side 20
PEOPLE – SOCIAL COMPLIANCE Improving worker safety and health. We recognise that our business has an impact on environmental and social aspects far beyond our own immediate operations and we work with long-term suppliers that share the same values. This is also why we are a part of amfori BSCI, the leading supply chain management system that supports companies to drive social compliance and improvements in factories and farms in global supply chains. F ristads joined forces with amfori BSCI in 2016 to guarantee ethical working conditions for all workers in our supply chain. Amfori BSCI stands for Business Social Compliance Initiative and it provides a system for companies to work with assessing and improving social and environmental standards in the supply chain. The amfori BSCI standard follows the International Labour Organisation (ILO) core conventions, the Universal Declara - tion of Human Rights and the 10 guiding principles of the UN Global Compact. Fristads’ own Supplier Code of Conduct follows the amfori BSCI Code of Conduct and is communicated to all its partner factories, which are in charge of dissem - inating it in their workplace to inform workers of their rights. The Code sets the standard for zero tolerance against child labour, bribery, bonded labour and shortcomings in occupational health and safety. We continuously monitor and support that our ethical standards are shared and implemented in the countries and communities where our activities have an impact. To ensure that we live up to these stan- dards, factory audits are regularly carried out by accredited third parties trained to the amfori BSCI standard and audit pro- cess. We support the factories before and after the inspections, but do not take part in the actual inspections. Deviations that occur during a factory inspection must be corrected through a remediation plan and followed up through a new audit. The remediation plans aim to constantly improve working conditions and environ- mental standards at the factories. As a member of the amfori organisation we are committed to and work in many ways to support better conditions and fair wages for workers in the factories in which we operate. The continuous development of new tools and capac- ity-building activities within the BSCI platform enable us at Fristads to imple- ment responsible purchasing practices to support our partner factories in their journey to achieve living wages. 20 FRISTADS SUSTAINABILITY REPORT 2020
Side 21
Countries’ Risk Classification The risk related to governance in sourcing coun- tries relies on the Worldwide Governance Indica- tors from the World Bank. The countries’ risk level is assessed in six areas and depending on how they score, countries are classified as either ‘low risk’ or ‘high risk’. Citizens’ rights and freedoms, political stability, government effectiveness, rule of law and control of corruption are some of the indicators that are measured and analysed on an annual basis. Fristads mitigates the risks that are present in sourcing countries by being a member of amfori BSCI and requiring all suppliers to sign our Code of Conduct. Suppliers are also moni- tored and audited on a regular basis to ensure that working conditions are up to code. Amfori BSCI stands for Business Social Compli- ance Initiative and it provides companies with a structured approach to work on assessing and improving social and environmental standards in the supply chain. Amfori BSCI’s aim is to guar- antee ethical working conditions for the workers and it implements the principal international labour standards that protect workers’ rights. No zero-tolerance deviations In 2020, Fristads and its suppliers had no zero-tolerance deviations at their facilities. Fair jobs A fair job for Fristads is defined as one with fair compensation and a workplace environment that is safe, healthy and free from discrimina - tion. We believe that fair jobs help people feel noticed, valued and respected at work. FRISTADS SUSTAINABILITY REPORT 2020 21
