Social Responsibility

New Progress is actively working to mitigate and manage any negative social and environmental impacts of its own operations and of its supply chain. We want to work with Suppliers and Partners who recognise that they too have a responsibility in this endeavour and this Supplier Code of Conduct sets out our minimum requirements in this context.

We expect that Suppliers and their approved subcontractors are committed to complying with all local and national laws and regulations of the jurisdictions in which they operate. Where the laws or regulations are silent or sets out a lower standard than is articulated here, the standards detailed in this Supplier Code of Conduct shall prevail.

CHILD LABOUR

▪ Employment of children in any form is strictly prohibited.
▪ Suppliers must not engage workers below the age for finishing compulsory schooling, and in any case not less than 15 years or of the legal minimum age for working in any specific country, whichever is greater.
▪ Workers below 18 years of age may not be employed in hazardous conditions, including working at night, doing overtime hours or completing dangerous tasks.
▪ No children are allowed in the production area, even if they are not working.

FORCED & BONDED LABOUR

▪ All forms of forced, indentured and bonded labour are prohibited, including all forms of modern slavery including compulsory overtime and retention of passports or other identity documents.
▪ The withholding of bonds or deposits is not allowed.
▪ Employees must be able to voluntarily end their employment without any restrictions. Excessive notice periods or fines for terminating their employment contracts will not be tolerated.
▪ We do not accept the use of prison labour or illegal labour in the production of goods or services.
▪ Workers must have free access to toilets, water and breaks without any disadvantage, disciplinary action, discrimination or termination.

HARASSMENT & ABUSE

▪ Employees must be treated with respect and dignity and may not be subject to any form of actual physical abuse, discipline, or corporal punishment; or threat of physical abuse, sexual or other harassment, verbal abuse or other forms of intimidation.
▪ Employees must be able to express criticism and concerns about conditions in the workplace to their supervisor or to management without fear of retribution, loss of employment or other reprisals.

DISCRIMINATION

▪ All Employees must be treated equally and without discrimination.
▪ Employees must not be subjected to discrimination in employment, including recruitment, hiring, training, working conditions, job assignments, compensation, promotion or discipline, termination and retirement on the basis of gender, race, religion, caste, age, social background, diseases, disability, sexual orientation, pregnancy, marital status, nationality, political opinion, trade union affiliation, social or ethnic origin or other status protected by law.
▪ Measures are to be taken against the exploitation of migrant workers to protect them from all forms of discrimination and to offer them an appropriate support adequate to their special status.

FREEDOM OF ASSOCIATION & COLLECTIVE BARGAINING

▪ The rights of Employees to lawfully associate or not to associate with groups of their choosing shall be respected, as per applicable laws, and without interference from management.
▪ The right of Employees to engage in collective bargaining as permissible by law shall also be recognised.

WAGES & BENEFITS

▪ All Employees must be paid in a timely manner and provided with a written statement in a language they are able to understand.
▪ At a minimum, Employees should be paid at a rate not less than the minimum wage as required by the industry standard or by local laws. Wages should be sufficient to cover for their basic needs and allow for a decent discretionary income.
▪ Employees must also be provided with legally mandated benefits, including holidays, annual leave and statutory compensations at the time of ending employment.
▪ Disciplinary deductions from wages are prohibited.

WORKING HOURS

▪ Standard working hours, excluding overtime, shall be defined by contract and not exceed 48 hours per week.
▪ Working hours including overtime shall not, on a regular basis, exceed 60 hours per week.
▪ All overtime hours are voluntary and must be compensated at premium rate of no less than 125% of the regular pay rate, or as per legal requirements, whichever is higher.
▪ Employees must be provided with at least 24 consecutive hours of rest in every 7 day period and must be granted paid annual leave as per local employment regulations.

HEALTH & SAFETY

▪ Employees must be provided with a safe, healthy, hygienic and hazard free work environment that does not pose any risk to Employees’ health or life.
▪ Suppliers shall take steps to prevent accidents, injury and disease in the workplace by minimizing the cause of hazards.
▪ Employees must be provided with adequate safety training and equipment when handling hazardous material or working with dangerous tools.
▪ All production facilities must have trained personnel on first aid and be equipped with appropriately stocked first aid kits.

FIRE, ELECTRICAL AND STRUCTURAL SAFETY

▪ All Suppliers must comply with local laws and regulations related to fire protection, electrical and structural safety at their offices and production facilities.
▪ Employees must be trained about physical safety, emergency evacuation and other basic training to cope with fire or structural hazards.
▪ Emergency exits must be unlocked during working hours, aisles and exits must be kept clear, and

exits and evacuation routes must be sufficient to allow workers to exit safely.
▪ Employees must be allowed to raise concerns regarding unsafe working conditions to their supervisors or to management without fear of reprisals or disciplinary actions.
▪ Suppliers must ensure that railings guard all stairs, platforms, and elevated floors.

CERTIFICATION AND RECORD KEEPING

▪ Suppliers shall obtain certification from relevant local authorities for all production or other facilities.
▪ A log of incidents and corrective action plans along with an updated status shall be maintained at all production facilities.
▪ Regular inspection records for potentially dangerous equipment, such as boilers, generator, pressure / LPG tank, must be kept accessible and up to date.

REGULAR EMPLOYMENT

▪ To every extent possible, work performed should be on the basis of a recognised stable employment relationship, established through national law and practice.
▪ The Supplier shall not avoid obligations to employees under labour or social security laws and regulations arising from the regular employment relationship.
▪ Ongoing use of temporary contracts as a means to avoid the benefits associated with permanent employment is not allowed and it is the responsibility of Suppliers to ensure workers employed through an agent or contractor are the responsibility of the Supplier are employed in accordance with this Code of Conduct.

MIGRANT AND/OR AGENCY WORKERS

▪ Migrant and agency workers shall have exactly the same entitlements as local Employees.
▪ The employer must cover any commissions and other fees in connection with employment of migrant workers.

ACCOMMODATION:

▪ Suppliers shall comply with relevant legal requirements for housing facilities.
▪ No restrictions shall be applied which interfere with the workers’ right to leave the housing facility during their free time.
▪ Separate toilets shall be available for men and women.
▪ Suppliers shall also ensure reasonable living space, cleanliness, privacy, quietness, safety, personal hygiene and access to drinking water.
▪ The infrastructure of the buildings shall ensure the personal safety of the Employees, in line with the Health and Safety standards detailed in this Supplier Code of Conduct.
▪ Dormitories must be clearly separated from the production facility and/or warehouse.

ENVIRONMENTAL PROTECTION

▪ Suppliers must undertake reasonable measures to avoid any adverse impact on human health and/or the environment by avoiding or minimising pollution from their activities and minimising use of finite resources as energy and water.
▪ Suppliers shall use resources in a way that minimises way that avoids waste; where waste is unavoidable suppliers shall seek to minimise waste to landfill and increase rates of recycling or reuse and disposing properly all wastes.
▪ Suppliers shall ensure that all measures are taken to avoid severe pollution and greenhouse gas emissions into the environment as a consequence of their business operations or that of their approved subcontractors.
▪ Water should be used as efficiently as possible. Suppliers shall ensure all outgoing wastewater from wet processes is appropriately treated to meet the requirements of local legislation before discharge.
▪ Suppliers must keep up to date original copies of all relevant environmental permits and licenses for its operations.
▪ Suppliers shall implement necessary controls to ensure that hazardous materials and substances that are banned as per Chemical Standards and Restricted Substances List and international organisations/regulation (e.g. European Union) are not be used in the manufacturing process.

CORRUPTION & BRIBERY

▪ Suppliers confirm that they comply with local, national and international regulations related to anti-corruption (e.g. Criminal Code Act in Australia, Bribery Act in United Kingdom, and Foreign Corrupt Practices Act in the United States of America).
▪ Suppliers do not tolerate or participate in any form of corruption, whether it is bribery or accepting or granting advantages or benefits.
▪ The same applies for other forms of influence such as fraud, extortion, embezzlement or similar acts. Appropriate internal regulations are implemented across Suppliers to uncover relevant influences and to prevent them.
▪ In addition, Suppliers are obliged to report any act or suspicion of corruption.

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