Responsible Business Alliance
Version 7.0 (2021)
CODE OF CONDUCT OF THE RESPONSIBLE BUSINESS ALLIANCE
(Approved by the President: Scarlett Services sp. z o.o., Scarlett Services s.r.o. and Scarlett Assist Sp. z o.o.)
The Responsible Business Alliance (RBA) Code of Conduct, formerly the Electronic Industry Citizenship Coalition (EICC), sets standards for working conditions in the electronics industry. It aims to ensure that the supply chain is safe, that employees are treated with respect and dignity and that business operations are conducted in an environmentally responsible and ethical manner.
This Code assumes that the electronics industry encompasses all organisations that may design, advertise, manufacture or supply goods and services to produce electronic goods. The Code may be voluntarily adopted by all companies in the electronics sector and subsequently applied by them through their supply chain and subcontractors, including suppliers of contract labour.
In order to apply this Code and become a participant, a company must declare its support for the Code and actively comply with the Code and the standards set out therein in accordance with the management system in place.
Participants must consider the code as a supply chain-wide initiative. Participants must require that at least the next level of their suppliers accept and implement the code.
The basis for the adoption of the Code is the understanding that the company must operate in full compliance with the laws, rules and regulations of the countries in which it operates.1 The Code encourages participants to apply standards stricter than those required by law and to use internationally recognised standards to develop social and environmental responsibility and business ethics. In no case should compliance with the Code violate local laws. In situations where there is a conflict between the RBA Code and local law, the RBA recommends choosing the more stringent requirements. In line with the UN Guiding Principles on Business and Human Rights, the provisions of this code are based on core international human rights standards, including the ILO Declaration on Fundamental Principles and Rights at Work and the UN Universal Declaration of Human Rights.
The RBA regularly obtains feedback from stakeholders to further develop and implement the Code of Conduct.
The Code consists of five parts. Parts A, B and C describe work, health and safety and the environment respectively. Part D contains standards related to business ethics. Part E outlines the elements of an acceptable management system for compliance with this Code
1 The Code is not intended to create new or additional rights for third parties, including employees.
A. WORK
Participants are committed to respecting the human rights of workers and treating them with dignity and respect as understood by the international community. This applies to all workers, including temporary, migrant, student, contract, direct workers and other types of workers. The recognised standards, detailed in the background material, have been used in the development of the Code. They can also be a useful source of additional information.
Working standards:
1) Free choice of employment
The use of forced, compulsory (debt bondage) and involuntary or exploitative prison labour, slavery or human trafficking is prohibited. This includes transporting, harbouring, recruiting, transferring or receiving people for work or services using threat, force, coercion, kidnapping or fraud. Unreasonable restrictions should not be placed on employees' freedom of movement within the facility and unreasonable restrictions should not be placed on entering or leaving the company facility, including, where appropriate, employee dormitories or living quarters. As part of the hiring process, all employees must be provided with a written employment contract in their native language, including a description of the terms and conditions of employment. Employees from other countries must receive the employment contract before the employee from their home country. No substitutions or changes to the employment contract after arrival in the host country are allowed, unless the changes are to meet the requirements imposed by local regulations and provide at least equally good conditions. The performance of the work must be voluntary and employees should have the right to leave at any time or to terminate their employment without penalty if appropriate notice is given in accordance with the employee's contract. Employers, agents and sub-agents may not retain or otherwise destroy, conceal or confiscate identity or immigration documents, such as government-issued identity documents, passports or work permits. Employers may only keep records if such holdings are required by law. In this case, employees must not be denied access to the documents at any time. Employees should not pay recruitment fees to the employer or intermediaries, as well as other related employment fees. If such fees are charged to employees, they should be reimbursed.
2) Young workers
Child labour should not be used at any stage of production. The term "child" refers to persons below the age of 15 or below the age of completion of compulsory education or below the minimum age of employment in the country, whichever is the latest. Participants must implement an appropriate mechanism to verify the age of workers. Reasonable work-based learning programmes that comply with all laws and regulations are permitted. Workers under the age of 18 (young workers) should not perform work that may harm their health or safety, including night shifts and overtime. Participants should properly manage apprentice workers by properly maintaining pupil records, rigorously requiring due diligence from education partners and protecting pupils' rights in accordance with applicable laws and regulations. Participants should provide adequate support and training to all apprenticed workers. In the absence of local regulations, the rate of pay for apprentices, apprentices and trainees should be at least the same as for other entry-level workers performing equivalent or similar tasks. Where child labour is identified, assistance/remediation is provided.
3) Working hours
Studies of work practices clearly link overworking employees to reduced productivity, increased staff turnover and more injuries and illnesses. Working hours should not exceed the maximum prescribed number. In addition, the working week should not include more than 60 hours of work, including overtime, except in emergency or unusual situations. All overtime must be voluntary. Employees should have at least one day off for every seven days.
4) Wages and non-wage benefits
The remuneration paid to employees should meet the requirements imposed by the applicable legislation, including those relating to minimum wages, overtime and mandatory fringe benefits. In accordance with local regulations, employees should be paid overtime at a rate higher than for normal working hours. Salary deductions are not allowed as a disciplinary measure. Employees should receive a pay slip in a timely manner for each consecutive pay period. This slip should contain sufficient information to verify the accuracy of remuneration for work performed. The use of temporary, seconded or freelance workers should comply with the limitations of local regulations.
5) Humane treatment
Harsh and inhuman treatment, including violence, sexual harassment, sexual abuse, corporal punishment, mental and physical coercion, harassment, public shaming, and verbal abuse of employees is prohibited. Threats of such treatment are also prohibited. Disciplinary policies and procedures in line with these requirements must be clearly defined and communicated to employees.
6) Prohibition of discrimination/harassment
Participants should prohibit harassment and unlawful discrimination in the workplace. Companies should not engage in discrimination or harassment on the basis of race, colour, age, gender, sexual orientation, gender identity and expression, ethnic or national origin, disability, pregnancy, religion, political affiliation, union membership, official veteran status, protected genetic information or marital status during hiring and in work practices related to pay, promotions, rewards and access to training. Employees should be given adequate space for religious practice. In addition, employees and potential employees should not be subjected to medical or physical examinations, including pregnancy tests or virginity testing, which could be used in a discriminatory manner. This prohibition was determined taking into account the ILO Convention on Discrimination in Employment and Occupation (No. 111).
7) Freedom of association
In accordance with local laws, participants should respect the rights of all workers to form and join trade unions of their choice, bargain collectively and join peaceful assemblies, and respect the rights of workers to refrain from such activities. Workers and/or their representatives should be able to openly communicate and share ideas and concerns with management regarding working conditions and management practices without fear of discrimination, retaliation, intimidation or harassment.
B. HEALTH AND SAFETY
Participants should recognise that, in addition to minimising incidents of occupational injury and illness, a healthy and safe working environment improves the quality of products and services, the uniformity of production and the morale of workers and deters them from changing jobs. Participants should also note that ongoing feedback from workers and staff training is key to detecting and resolving health and hygiene problems in the workplace.
This code has been modelled on recognised management systems, such as ISO 45001, as well as ILO occupational health and safety guidelines. These materials can also be used as useful sources of additional information.
Health and safety standards:
1) Occupational safety
The possibility of exposing workers to health and safety hazards (chemical, electrical and other energy sources, fire, vehicles and fall hazards, etc.) should be identified and assessed. Hazards should be mitigated using a hierarchy of control measures that includes elimination of the hazard, substitution of processes or materials, control by proper design, implementation of engineering and administrative controls, preventive maintenance and safe work procedures (including lockout/tagout procedures) and provision of ongoing health and safety training. If hazards cannot be adequately controlled by these means, workers should be provided with appropriate, well-maintained personal protective equipment and educational materials about the hazards they face. Reasonable steps should also be taken to remove pregnant women/breastfeeding mothers from a high-risk area, remove or reduce any health and safety hazards in the workplace for pregnant women and breastfeeding mothers, including those related to their work tasks, and provide adequate accommodation for breastfeeding mothers.
2) Emergency preparedness
Potential emergency situations and events must be identified and assessed, their effects must be minimised through the implementation of emergency plans and response procedures, such as emergency reporting, employee notification and evacuation procedures, employee training and drills. Emergency drills must be conducted at least annually or as required by local law, whichever is more stringent. Emergency plans should also include appropriate fire detection and extinguishing equipment, orderly and unblocked exits, adequate evacuation rooms, emergency services contact details and recovery plans. Such plans and procedures should focus on minimising risks to life, the environment and property.
3) Occupational injuries and diseases
Procedures and systems should be in place to prevent, manage, track and report occupational injuries and illnesses, including forms to: encourage reporting of incidents by workers classify and record cases of injury and illness, provide necessary treatment, investigate cases and implement remedial measures to eliminate their causes, and facilitate workers' return to work.
4) Hygiene in the workplace
Workers' exposure to chemical, biological and physical agents must be identified, assessed and controlled according to the hierarchy of control measures. If any potential hazards are identified, participants should seek opportunities to eliminate and/or reduce potential hazards. Where elimination or reduction of hazards is not possible, potential hazards should be controlled by appropriate design, engineering and administrative controls. When hazards cannot be controlled by these means, workers should obtain and use appropriate, well-maintained personal protective equipment provided free of charge. Protection programmes should be in place and include educational material on the forms of risk associated with these hazards.
5) Physically demanding work
Workers' exposure to the hazards of physically demanding tasks such as manual handling of materials, heavy lifting and frequent lifting of objects, long standing and frequently repetitive or forceful assembly tasks should be identified, assessed and controlled.
6) Securing machinery
Production and other machinery should be assessed for safety hazards. Physical guards, interlocks and barriers should be used. These should be properly maintained when machinery poses a risk of injury to workers.
7) Sanitation, food and accommodation
Workers should have access to clean toilet facilities, potable water and sanitary food preparation, lockers and eating areas. Worker accommodation provided by the participant or job broker should be kept clean and safe, and should be equipped with emergency exits, hot water for baths and showers, adequate lighting, heating and ventilation, separately secured storage areas for personal and valuables, as well as adequate individual spaces and appropriate entry and exit privileges.
8) Health and safety communication
Participants should provide workers with adequate health and safety information and training in the language of the workers or in a language understood by the workers on all identified workplace hazards to which workers are exposed, including but not limited to mechanical, electrical, chemical, fire and physical hazards. Information related to health and safety should be clearly posted in the facility or placed in a location known and accessible to workers. Training is provided to all employees before they start work and also regularly thereafter. Workers should be encouraged to raise any health and safety concerns without fear of retaliation.
C. ENVIRONMENT
Participants recognise that environmental responsibility is an integral part of producing world-class products. Participants should identify environmental impacts and minimise negative impacts on the community, environment and natural resources within their manufacturing operations, while protecting public health and safety. Recognised management systems such as ISO 14001 and EMAS (Eco Management and Audit System) have been relied upon in the development of the Code. These can be a useful source of additional information.
Environmental standards:
1) Environmental permits and reports
All required environmental permits (e.g. release monitoring), consents and restrictions should be obtained, maintained and updated. Their operational and reporting requirements should also be complied with.
2) Preventing pollution and reducing resource intensity
Emissions and releases of pollutants and waste generation should be minimised or eliminated at the source or through practices such as using additional pollution control equipment, modifying production, maintenance and technological processes or other methods. Natural resources such as water, fossil fuels, minerals and virgin forest products should be reduced through processes such as modifying production, maintenance and technological processes, material substitution, reuse, conservation, recycling or other means.
3) Hazardous substances
Chemicals, wastes and other materials that pose a risk to humans or the environment should be identified, labelled and managed to ensure that they are handled, moved, stored, used, recycled or reused and disposed of safely.
4) Solid waste
Participants should implement a systematic approach to identify, manage, reduce and responsibly dispose of or recycle solid (non-hazardous) waste.
5) Air emissions
Aerial emissions of volatile organic chemicals, aerosols, corrosives, fines, ozone depleting substances and combustion by-products generated by the operation should be characterised,
routinely monitored, controlled and treated as required prior to release. Ozone-depleting substances should be effectively managed in accordance with the Montreal Protocol and applicable regulations. Participants should routinely monitor the performance of air emission control systems.
6) Limitations on materials
Participants should comply with all applicable laws, regulations and customer requirements regarding the prohibition or restriction of specific substances in products and production, including labelling for recycling and disposal.
7) Water management
Participants should implement a water management programme that documents, characterises and monitors water sources, uses and releases, seeks to reduce water use and controls pollution channels. All wastewater should be characterised, monitored and appropriately treated prior to discharge or disposal. Participants should routinely monitor effluent treatment performance and use closed systems to ensure optimum performance and regulatory compliance.
8) Energy consumption and greenhouse gas emissions
Participants are to set a company-wide GHG reduction target. Energy consumption and all relevant GHG emission levels 1 and 2 should be tracked, documented and publicly reported against the GHG reduction target. Participants should seek methods to increase efficiency to minimise energy consumption and GHG emissions.
D. ETHICS
In order to fulfil their social responsibility obligations and to succeed in the market, participants and their intermediaries should apply the highest ethical standards:
1) Business ethics
The highest standards of integrity should be applied in all business relationships. Participants should apply a zero tolerance policy to prohibit all forms of bribery, corruption, blackmail and embezzlement.
2) Prohibition of the use of improper advantage
You may not promise, offer, authorise, give or accept bribes or other means of obtaining an undue or improper advantage. This prohibition includes promising, offering, authorising, giving or accepting anything of value, directly or indirectly through the use of a third party, in order to obtain or maintain contracts, a direct business relationship with any person or to otherwise gain an improper advantage. Monitoring, record-keeping and enforcement procedures are in place to ensure compliance with anti-corruption legislation.
3) Disclosure of information
All business activities should be carried out openly and accurately reflected in business books and records. Information regarding a participant's labour, health and safety, environmental practices, business operations, structure, financial position and performance should be disclosed in accordance with applicable regulations and industry practices. It is unacceptable to falsify or misrepresent conditions or practices in the supply chain.
4) Intellectual property
Intellectual property rights must be respected. The transfer of technology and know-how should take place in a way that protects intellectual property rights. Customer and supplier information must be safeguarded.
5) Conducting business fairly, advertising and competing
Standards of fair business conduct, advertising and competition apply.
6) Protection of identity and prohibition of retaliation
Programmes should be in place to ensure confidentiality, anonymity and protection of whistleblowers2 among suppliers and staff, unless prohibited by law. Participants should use a publicised process for staff to raise concerns without fear of retaliation.
7) Responsible sourcing of minerals
Participants should adopt a policy and conduct due diligence on the source and chain of custody of tantalum, tin, tungsten and gold in manufactured products to ensure that they are sourced in a manner consistent with the Organisation for Economic Co-operation and Development (OECD) Guidelines for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas or using recognised due diligence.
8) Privacy
Participants agree to meet the reasonable expectations of data privacy of all with whom they do business, including suppliers, customers, consumers and employees. Employees should comply with privacy and information security laws and regulatory requirements related to the collection, storage, processing, transmission and sharing of information.
2 Definition of whistleblower: A person who discloses improper conduct by an employee or manager of a company or a public official or administrative body.
E. MANAGEMENT SYSTEMS
Participants should adopt or establish a management system whose scope is related to the content of this Code. The management system should ensure: (a) compliance with applicable laws, regulations and customer requirements related to the participant's operations and products; (b) compliance with this Code; and (c) identification and mitigation of operational risks related to this Code. It should also facilitate continuous improvement.
The management system should include the following elements:
1) Company commitment
Posted in the facility, written in the local language and supported by the executive directors, a description of the corporate social and environmental responsibility policy, confirming the participant's commitment to compliance and continuous improvement.
2) Management responsibility
The participant should clearly identify the senior executive and the company representative(s) involved in the implementation of management systems and related programmes. The senior executive conducts regular reviews of the management system.
3) Customer and legal requirements
A process to identify, monitor and learn about applicable laws, regulations and customer requirements, including those imposed by this Code.
4) Risk assessment and management
The process of identifying compliance with regulations, care for the environment and health and safety3 as well as professional practices and ethical risks associated with the participant's operations. Identify the relative importance of each hazard and implement appropriate procedural and physical controls to control identified hazards and ensure compliance
3 Areas considered in the health and safety and environmental risk assessment are production areas, storage facilities and warehouses, equipment used in plants or facilities, laboratories and testing areas, sanitary installations (bathrooms), kitchens, cafeterias and accommodation and overnight facilities for workers.
5) Objectives for improvement
Written performance targets, goals and implementation plans to improve the participant's social, health and safety and environmental performance, including periodic evaluation of the participant's performance in achieving these goals.
6) Training
Programmes to train managers and employees in the implementation of policies, procedures and improvement objectives identified by the participant, and to meet applicable regulatory and legislative requirements.
7) Communication
The process of communicating clear and accurate policies, practices, expectations and outcomes to employees, suppliers and customers.
8) Staff opinions, participation and complaints
Ongoing processes, including an effective grievance mechanism, to assess employees' knowledge of the practices and conditions covered by this Code, obtain feedback and gain knowledge of violations of the Code, and to support continuous improvement. Employees must be provided with a safe environment to make complaints and provide feedback without fear of retaliation.
9) Inspections and evaluations
Periodic self-assessments to ensure compliance with legal and regulatory requirements, code content and client contractual requirements related to social and environmental responsibility.
10) Corrective action plans
The process of promptly correcting deficiencies identified by internal and external assessments, inspections, investigations and reviews.
11) Documentation and records
Create and update documents and records to ensure compliance with regulations and company requirements, along with maintaining confidentiality to protect privacy.
12) Supplier liability
Process for communicating the requirements of the Code to suppliers and monitoring supplier compliance with the Code.
REFERENCE MATERIAL
The following standards have been used in the development of this Code. They may also be a useful source of additional information. The following standards can be implemented by participants.
Dodd-Frank Wall Street Reform and Consumer Protection Act http://www.sec.gov/about/laws/wallstreetreform-cpa.pdf
Organic management and control system
http://ec.europa.eu/environment/emas/index_en.htm Ethical Trading Initiative www.ethicaltrade.org/
ILO Code of Conduct on safety and health
www.ilo.org/public/english/protection/safework/cops/english/download/e000013.pdf
ILO international labour standards
www.ilo.org/public/english/standards/norm/whatare/fundam/index.htm ISO 14001 www.iso.org National Fire Protection Association www.nfpa.org
OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict and High-Risk Areas https://www.oecd.org/daf/inv/mne/OECD-Due-Diligence-Guidance-Minerals- Edition3.pdf
OECD Guidelines for Multinational Enterprises http://www.oecd.org/investment/mne/1903291.pdf
Universal Declaration of Human Rights https://www.un.org/en/universal-declaration-human- rights/ United Nations Convention against Corruption https://www.unodc.org/unodc/en/treaties/CAC/ United Nations Convention on the Rights of the Child https://www.ohchr.org/en/professionalinterest/pages/crc.aspx
United Nations Convention on the Elimination of All Forms of Discrimination against Women https://www.ohchr.org/EN/ProfessionalInterest/Pages/CEDAW.aspx
United Nations Global Compact www.unglobalcompact.org United States Federal Acquisition Regulation www.acquisition.gov/far/ SA 8000 https://sa-intl.org/programs/sa8000/ Social Accountability International (SAI) www.sa-intl.org
DOCUMENTARY HISTORY
Version 1.0 - Released in October 2004.
Version 1.1 - Issued May 2005. Conversion of document to RBA format, minor revisions to page layout; no changes to content.
Version 2.0 - Released in October 2005 with corrections to a number of provisions.
Version 3.0 - Released in June 2009 with corrections to a number of provisions.
Version 4.0 - Released in April 2012 with corrections to a number of provisions.
Version 5.0 - Released in November 2014 with corrections to a number of provisions.
Version 5.1 - Released in March 2015 with A1 revision coming into effect on 1 January 2016.
Version 6.0 - Released in January 2018 with revisions to many provisions. Version 7.0 - Released in January 2021 with revisions to many provisions.
The RBA Code of Conduct was initially developed between June and October 2004 by a number of companies involved in the manufacture of electronic products. Companies are invited and encouraged to follow this code. Additional information can be obtained from the website:
https://www.responsiblebusiness.org
The official version of the RBA Code of Conduct is in English. The translation is a courtesy.
