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HUMAN RIGHTS AT WORK
Carrefour’s commitment to respecting fundamental human rights at work
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AGENDA
Human Rights in the supply chain Part 1
Carrefour's Actions : auditing and more
Part 2
Social compliance in the sourcing process
Part 3
INTRO Carrefour's Commitments
Discussion Discussion on challenges
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Background & Commitments
For over 10 years, Carrefour has been committed to put in practice its commitment to respecting fundamental
universal principles (child labour, working condition, etc.).
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Background & Commitments
Carrefour gives practical effect to this commitment in a number of ways:
Cooperation with the International Federation for Human Rights (FIDH) since 1997/1998 : 10 years
Ⲅ The setting up of a cooperative framework FIDH: the INFANS association
Establishment and adoption of a supplier’s charter
Implementation of a methodology to ensure the charter is respected
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Created in 1922
155 member organisations in over 100 countries
www.fidh.org
Background & Commitments
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Background & Commitments
= the most protective standard
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NATIONAL LAW
CARREFOUR CHARTER
INTERNATIONAL LAW
Background & Commitments
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Why should Carrefour respect human rights?
BUSINESS RISKS
MEDIAS NGOS
CONSUMERS
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Why Should Suppliers be Socially Compliant?
BUSINESS OPPORTUNITES
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Why Should Suppliers be Socially Compliant? .
Moral and Ethical Reasons
Carrefour will not conduct business with critical factories.
Productive, more motivated workers
Lower worker turnover
Higher and more consistent sales volumes
Carrefour has social compliance requirements for all suppliers, but suppliers may wonder why they should oblige
BUSINESS OPPORTUNITIES
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Why should business respect human rights?
Good for global retailers
Customers pay more and more attention to ethics
Social Responsible Investment Funds growing
Good for suppliers
Productive, more motivated workers
Lower worker turnover
Higher and more consistent sales volume
All global retailers now demand social compliance
ECONOMIC BENEFITS
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Respect human rights : benefits
Modifier ce slide et séparer par catégories
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Time Off
Comfortable Working
ConditionsAdequate Payment
Safety Training
Safe, well maintained
machinery and facilities
Limit on Working
Hours
PPE – Masks,
Gloves, Boots
Healthy Workers Satisfied Workers Safe Workers
Why should suppliers respect human rights?
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To immediately eradicate slavery, servitude for debt and the use of forced or compulsory labour,
Not to employ or make children work who are under the age of 15
To ensure workers have the right to join Trade Union and to collectively bargain,
Commitment to protect Human Rights: the supplier charter
The supplier charter includes six obligations. Each obligation refers to the Universal Declaration of Human Rights and the principles of the ILO (International Labour Organization).
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To give workers remuneration which satisfies their basic needs,
To guarantee safety working conditions,
To respect equal opportunities in terms of recruitment and remuneration
Commitment to protect Human Rights
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Human rights issues in the supply Chain
In factories producing for Carrefour we pay attention to the following issues:
Child labour
Forced labour
Discrimination
Disciplinary practices, harassment and abuse
Freedom of association
Working hours and overtime
Remuneration
Health and safety
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Credit: Ruben Dao
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HOW DO YOU DEFINE CHILD LABOUR?
HOW DO YOU RECOGNIZE CHILD LABOUR?
NO CHILD LABOR
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NO CHILD LABOR
Globally:
According to UNICEF, one child out of every six works.
158 million children aged 5-14
69 per cent of child labourers work in the agricultural sector
22 per cent in the services sector
9 per cent in the industrial sector
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• Carrefour Charter : no worker under 15 years old
• China: 16 years old
• Bangladesh: 14 or 12 under certain conditions
• Pakistan: 14 years old (no more than 5 hours/day)
NO CHILD LABOR
What does the law say?
What does Carrefour Charter say?
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Young workers deserve special attention No one under 18 is to do hazardous work or work at night.
A policy to prevent recruiting child labor, checking and record employee’s ID copy
No presence of children allowed in factories
Importance of finding remediation measures
NO CHILD LABOR
ALERT
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HOW DO YOU DEFINE FORCED LABOUR ?
HOW CAN WE RECOGNIZE FORCED LABOUR?
NO FORCED LABOR
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DEFINITION AND FORMS
SCOPE
ALERT
NO FORCED LABOR
Spain : Agricultural workers shelter in the greenhouses
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NO FORCED LABOR
No forced, no threats or involuntary labor
Workers are free to come/go from work site
Workers free to leave employment after giving reasonable notice
Workers are not required to lodge deposits/ID Card
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• Retention of ID documents
• Delay of wage payment
• Collecting Deposit
NO FORCED LABOR
ALERT
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NO DISCRIMINATION
CAN YOU THINK OF GROUPS THAT ARE MORE LIKE TO FACE DISCRIMINATION IN THE WORKPLACE?
CAN YOU GIVE EXAMPLES OF DISCRIMINATION?
WHAT DO THESE PEOPLE HAVE IN COMMON?
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No discrimination in treatment hiring, compensation, access to training, promotion, termination or retirement based on:
Age, Race, Origin;Religion;Disability;Gender;Literacy;Marital Status etc.
VULNERABLE GROUPS
Migrant agricultural workers in Europe are often discriminated against. Some of them suffer from forced labor.
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Women Workers often suffer from discrimination
Women are often subject of harassement from male supervisors.
Women workers have specific rights: pregnant women shall be given adequate protection.
Maternity leave with pay is compulsory.
No discrimination against women
VULNERABLE GROUPS
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DISCIPLINARY PRACTICE, ABUSEMAIN RULES
Workers free from:
Sexual harassment
Verbal or physical abuse
Financial penalties.
NO HARASSMENT AND ABUSE
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WORKING HOURS
According to the law in your country, what is the maximum number of hours, including overtime, that a worker can do in a week?
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WORK HOURS AND OVERTIME
MAIN RULES
At least one day off in seven
Overtime only voluntary
Maximum 48 hours/ week . Max 60 Hours/ week including overtime!
Over time Max. 48 hours/month. Overtime paid accordingly to the law
EXCESSIVE WORKING HOURS
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MAIN RULES
Wages meet local minimum /industry standard,
Written & understandable info about wages (Pay slip),
To pay social insurances when mandated by law,
No deduction as a disciplinary measures,
Labor contracts signed with employees
EMPLOYMENT PRACTICES
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WHAT IS THE MINIMUM WAGE IN GARMENT SECTOR AS PER LAW?
DECENT LIVING FOR WORKERS
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Workers remuneration which satisfies their fundamental needs and those of the members of their family who are directly dependent on them, including :
• Food Water Health Housing Education
This remuneration must, at least, correspond to the minimum wage fixed by the legislation of the country in question.
DECENT LIVING FOR WORKERS
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WHAT IS GOOD WORKING CONDITIONS FOR WORKERS ?
WORKING CONDITIONS
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MAIN RULES
Fire Safety Equipment
Emergency Evacuation
First Aid Equipment
Safe Passage
Toilet Facilities
P.P.E.
Hazardous Substances
Electrical safety
Special equipment certificate
Hygiene certificate
Building safety certificate
HEALTH & SAFETY AT WORK
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HEALTH & SAFETY AT WORK
NOT OK OK
Chemical storage and handle
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HEALTH & SAFETY AT WORK
NOT OK OK
Personal Protective Equipment
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JUST AND FAVOURABLE CONDITIONS OF WORK
Harsh working conditions impact on the health and wellbeing of workers
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What is the usefulness of freedom of association?
Why is it important for workers?
Can you give examples of mechanism on how workers communicate with the management ?
RIGHT OF WORKERS TO JOIN TRADE UNIONS AND TO COLLECTIVE BARGAINING
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RIGHT OF WORKERS TO JOIN TRADE UNIONS AND TO COLLECTIVE BARGAINING
MAIN RULES
Recognition of the right of workers to join Trade Union and to collectively bargain;
Support independent workers representation where trade unions not allowed by law
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CARREFOUR'S ACTIONS FOR THE RESPECT OF HUMAN RIGHTS IN THE SUPPLY CHAIN
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2. CARREFOUR'S ACTIONS FOR THE RESPECT OF HUMAN RIGHTS IN THE SUPPLY CHAIN
WHAT IS CARREFOUR DOING TO SUPPORT RESPECT OF HUMAN RIGHTS IN THE SUPPLY CHAIN?
1) Supplier charter in the contract with the supplier
2) Social audits and corrective actions
2) Sharing audit results with other retailers: ICS
3) Overcoming shortcomings of individual companies audits: GSCP
4) Experience in training suppliers on human rights at work
5) Question governments on respect of human rights
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Every supplier has to SIGN THIS CHARTER before beginning any cooperation with
Carrefour.
CARREFOUR SUPPLIERS’ OBLIGATIONS
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Carrefour supplier’s obligation contained in the Charter, Supplier Operation Procedure, Commercial Contract :
To allow all kinds of visits from Carrefour or agency on behalf of Carrefour ,to get a view of production conditions, including visits of INFANS representatives. To display the charter in the local language and in a visible placeTo distribute it to all its employees and to the unions present in the company,To ensure these commitments are respected by all factories used for Carrefour production
CARREFOUR SUPPLIERS’ OBLIGATIONS
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Social audits Deployment Policy in Carrefour
1. Priority on suppliers
Brand name/ First price/ no name Non Food and Food Product
1. Geographical risk defined through INFANS :
China, India, Pakistan, Bangladesh, Vietnam, Laos, Cambodia, Indonesia, Thailand, Taiwan,
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Results of Social audits
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2008
campaign 2008 of social audits
In 2008, 472 social audits:
362 Initial Audits
110 follow-up audits
Since beginning of social audits: some improvements in factories
A fin 2008, 2541 Audits Sociaux réalisés :478 Re audits et 2063 Audits Initiaux
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2008 Results : Not conform
Respect of the Charter
principles :
< 5 %
5 à 30 %
30 à 70%
> 70%
PAKISTAPAKISTANN
Discrimination
VIETNAMVIETNAMBANGLADESHBANGLADESHINDIAINDIACHINACHINA
Disciplinary Practice
Freedom of Association
Général Working Conditions
Forced labor
Child labor (Young Workers)
Working Hours and Overtime
Wages and benefits
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Indicateurs RAPPORT dd AUDITS SOCIAUX
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Beyond Social audits
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The Situation today
Carrefour/ICS
Wal-Mart
Gap/SAI
Tesco/ETI Migros/BSCI
Company X
Social Audit Social Audit
Social Audit
Social Audit
Social Audit
- Audit Fatigue
- Confusion
- Inefficiency
- High Cost
- Focus on audits not on remediation
Shared Supply Base
All consumer goods
Sourcing Companies Result Today
Supplier A
Social Audit
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Audits are not enough to ensure improvement in social working conditions in the factories
An example of training of our suppliers with a local NGO : Karmojibi Nari
Support and participation in Social Compliance Programme: harmonizing and mutualising social audits
Questioning governments on respect for human rights at work
BEYOND AUDITS
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TOWARDS CONVERGENCE OF STANDARDS AND MECHANISMS
Supporting standards convergence with reference to an international model:
Initiative Clause Sociale (Fédération du Commerce et de la Distribution FCD)
A enlever
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ICS : Social Clause Initiative
14 members of the French trade and distribution federation (FCD) use the Carrefour methodology and share audit results
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GSCP Objectives
A global forum To build consensus on best practices To develop a clear and consistent message for suppliers
globally
A platform To drive convergence by building comparability and
transparency To reduce audit fatigue and duplicationTo develop collaborative efforts for building capacity and
training
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Task Force : Members
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An example of training of our suppliers with a local NGO : Karmojibi Nari
BEYOND AUDITS
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ENGAGE WITH GOVERNMENTS
As the second retailer in the world, Carrefour is in a position to influence positively States where it sources.
Multistakeholder forum Bangladesh
Demand raise of minimum wage
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Internal process
The role of Carrefour employees in promoting
human rights within the supply chain
3. INTEGRATING SOCIAL ISSUES INTO SOURCING PRACTICES
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Social In the Sourcing process
SOURCING
PROCESS
SOURCING
PROCESS
SUPPLIER - SOURCING
SUPPLIER - SOURCING
SUPPLIER - SELECTION
SUPPLIER - SELECTION
SUPPLIER - VALIDATIO
N
SUPPLIER - VALIDATIO
N
SOURCING - PRODUCT
SOURCING - PRODUCT
COLLECTION
COLLECTION
PRODUCTION
PRODUCTION
- Social Charter Signed - Supplier Form- Factory Form- Pre Audit
- Technical Audits - Social audits
- Follow up Social audits
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SUPPLIER MONITORING METHODOLOGY
INTERNAL MONITORING PROCEDURES AS PART OF THE COMMERCIAL PROCESS:: Commercial pre-selection of supplier, exchange of information and commercial visit. Technical audit performed by the Quality Department: “Factory Audit”: First initial social Investigation.
SUPPLIER MONITORING…
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Social commitment included during the Sourcing Process
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1. EXTERNAL AUDIT BY DIFFERENT LOCAL PLAYERS :
• External auditors mandated and paid by Carrefour.
• Social audits are performed at the FIRST STAGE of the SOURCING PROCESS
• Initial Audit performed by SGS ITS STR ( CSCC) BVSGS ITS STR ( CSCC) BV
• Following the ICS Code of Conduct
• D result = failure: PSS prevent sourcing from D factory (major incompliance)
2. Corrective action plan shows non-compliances and suggests improvements, and a completion deadlines.
3. Follow up Audit:
to verify the implementation of the Corrective action Plan.
4. Possibility of unannounced visit by the FIDH
Social commitment included during the Sourcing Process
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Mettre slide document Pre audit / audit Technique
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Mettre slide sur PSS
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THE AUDIT ITINERARY COVERS FOLLOWING STEPS:
OPENING MEETING with the factory management.
SITE TOUR OBSERVATIONS to assess actual working environment physical conditions and working practices.
WORKERS AND STAFF INTERVIEWS, in focus groups and individually
CHECKING OF DOCUMENTS AND RECORDS to provide objective evidence of compliance or non-conformity with requirements.
CLOSING MEETING with the factory management to discuss and agree upon a Corrective Action Plan.
A TYPICAL AUDIT
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A written ALERT NOTIFICATION is sent within 24 hours,when Critical Situations are found :
CHILDREN physical presence in the factory.
Proved FORCED LABOUR
Proved NON-EXISTENT REMUNERATION.
Proved EXCESSIVE CRITICAL WORKING HOURS.
Proved PHYSICAL ILL-TREATMENT or proved EXCESSIVE DISCIPLINARY MEASURES.
DANGEROUS WORK ENVIRONMENT which implies an immediate risk for workers’ health and/or security.
CORRUPTION
SUPPLIER QUALIFICATION PROCESS / AUDIT
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WHAT CAN YOU DO?
1) Pay attention to working conditions in the factories: read audit
results and corrective action plans. Alert the person in charge in
your office (add names) if you suspect unconformities as
mentionned in the first part of the training.
Asia team : vay yi Chen and Jason
DCNAG : Virginie
Bangladesh : Bibek
etc
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WHAT CAN YOU DO?
2) Pay attention to subcontracting: make sure you know where the production is really taking place.
3) Check if factory has set up the charter in local language. Explain to supplier importance for Carrefour of Human rights at work. Discuss results of audits with suppliers.
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WHAT CAN YOU DO?
4) Raise issues with suppliers, ask questions on
implementation of corrective action plan.
5) Do not impose unfeasible conditions on suppliers: last
minute changes, short lead time, etc...
6) Consider social performance alongside quality and
price for future sourcing decisions
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DISCUSSION
1. What is your opinion of working conditions in the factories?
- What are the main problems you witness
- Do you see improvements in the factories?
- To you, what is a good supplier?
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DISCUSSION
2. What is your role to support respect for human rights?
3. What are the obstacles / challenges that you face?
How do you think you can be influential?Do you have any successful examples of how you have used your influence to improve working conditions of a supplier?Do you see the usefulness of social audits?
What obstacles are you facing when discussing results of audits with suppliers? What are the solutions for these problems?How can global retailers help to promote social rights?How could purchasing practices be changed to improve the situation?