With respect to products sold to Central, Central strongly recommends that vendors comply with the Code below. Hereto (or a similar code of its own) in the manufacture of such products, and Central reserves the right to terminate our Vendor Agreement if it determines that such products are not manufactured in accordance with the Code (or a similar code). Such termination being Central's sole remedy for such non-compliance (unless a breach arises out of the same facts).
At Central, we strive to work with suppliers who treat their workers with dignity and respect, adhere to applicable laws and regulations, and make their products in an environmentally sustainable manner. We strongly recommend that our suppliers comply with our Code or similar standards:
1. Legal Compliance:
All applicable laws and regulations and all other pertinent legal provisions adopted by the relevant legal system must be observed. The company must not circumvent regulations, applicable legislation (national and international) or employment laws by falsifying records or other means.
Supplier agrees to comply with all Federal, state and local laws respecting discrimination in employment and non-segregation of facilities including, but not limited to, requirements set out at 41 CFR 60 - 1.4
3. Equal Opportunity for Veterans and Disabled:
This contractor and subcontractor shall abide by the requirements of 41 CFR 60-741.5(a). This regulation prohibits discrimination against qualified individuals on the basis of disability, and requires affirmative action by covered prime contractors and subcontractors to employ and advance in employment qualified individuals with disabilities. This contractor and subcontractor shall abide by the requirements of 41 CFR 60-300.5(a). This regulation prohibits discrimination against qualified veterans, and requires affirmative action by covered prime contractors and subcontractors to employ and advance in employment qualified protected veterans.
4. Forced Labor:
Suppliers shall not use any involuntary or forced labor; including prison, indentured, bonded, slave or human trafficked labor.
Employees shall not be required to relinquish government issued identification, passports or work permits as a condition of employment. Employees have the right to terminate their employment upon reasonable notice and in line with the applicable local laws.
5. Freedom of Association and Collective Bargaining:
Suppliers will respect the rights of employees to associate, organize, and bargain collectively in a lawful and peaceful manner without penalty or interference. Management is encouraged to engage in direct communication with employees for a swift resolution.
6. Child Labor:
Suppliers agree that they will not use child labor. The term "child" refers to a person younger than 15, or the minimum age for the completion of compulsory education, or the local legal age for employment. All working time regulations, for the protection of child employees, must be observed.
7. Wages and Benefits:
Suppliers shall pay employees at least the minimum wage required by local or statutory law, or the prevailing industry wage if no minimum wage law applies, and shall provide legally mandated benefits. In addition to employees' compensation for regular hours of work, suppliers shall compensate employees for overtime hours at the applicable premium rate in their country. In countries that have not established premium overtime rates, suppliers shall not pay employees less than their regular hourly rate for overtime hours.
8. Working Time:
The company must abide by the maximum permissible number of working hours per week as stipulated in national legislation and industry standards. Weekly working time must not regularly exceed 60 hours including overtime, except in extraordinary business circumstances.
9. Occupational Health and Safety:
Suppliers are responsible for providing a safe and healthy working environment for all employees. There must be suitable measures in place to prevent potential accidents or health risks. Rules and procedures must be clearly defined and complied with at all times. All employees must receive regular information and training on the measures. A record must be kept of all training sessions which are held. Suppliers shall identify, assess and minimize the impact of emergency situations by implementing emergency plans and response procedures. These plans and procedures must include the following: emergency exits are accessible and fully functional at all times, fire extinguishers must be visible, accessible, present and charged, evacuation plans must be posted and drills must be conducted annually. Supplier shall identify, evaluate and control exposure to hazards and ensure the use of any applicable personal protective equipment.
10. Environmental Impact:
Suppliers must abide by all environmental laws and regulations in their country to manage hazardous materials and all waste and emissions materials. Additionally, suppliers are encouraged to have environmental policies, and environmental management systems containing goals with targets focused on continuous improvement of environmental performance. Including improved energy efficiency and minimizing the use of natural resources (gas, water, electricity). (E.g. in line with ISO 14001).
11. Ethical Standards:
All forms of corruption, bribery and extortion are prohibited. Suppliers must respect intellectual property rights and regulatory requirements of the countries from and to which they ship. Additionally, we expect suppliers to abide by the anti-trust laws of the countries from which they manufacture and ship. We expect our suppliers not to misuse invitations and gifts as a means of exerting influence for purchasing decisions.
12. Procedures for Complaints:
We encourage suppliers to establish a system for employees to make complaints anonymously about non-compliance with local laws. This system for employee complaints should en-sure those employees will not be prevented from making complaints and will not face reprisals from the supplier.
13. Management Systems:
The supplier has put appropriate internal guidelines and systems in place to act on the requirements stipulated in this code of conduct. This will include making every reasonable effort to en-sure that the code of conduct is upheld throughout its supply chain. The supplier shall also act in accordance with the stipulations for use and disclosure of "conflict minerals" as defined by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (Dodd-Frank Act).
14. Monitoring and Compliance:
We shall have the right, at our discretion and without obligation, to monitor factories through audits by third parties and visits by our personnel. We seek relationships with suppliers that are committed to manufacturing products under fair and safe labor conditions and sound environmental practices. If we determine that a particular factory does not comply with our standards, we will try to work with the supplier to develop and implement a corrective action plan. Nevertheless, depending upon the circumstances, we may elect to end our relationship with a supplier that produces products at any time for failing to adhere to our standards.