Code of Conduct for Suppliers of AGILOX Services GmbH & AGILOX Systems GmbH

Status: November 2023

The Code of Conduct for suppliers are additionally available for download as PDF here.

AGILOX Holding GmbH, AGILOX Services GmbH and AGILOX Systems GmbH (together “AGILOX”) are committed to environmental and socially responsible corporate governance. Respecting the applicable laws and regulations as well as social and environmental standards is a central component of our corporate culture. Similarly, we also expect this from our business partners as the basis for a successful and responsible business relationship.

Objectives and scope of application

This Code of Conduct for Suppliers (“Supplier Code of Conduct“) defines our requirements for all AGILOX suppliers with respect to the relevant social and environmental aspects such as human rights, working conditions, environmental protection and business integrity. The supplier’s agreement to this Supplier Code of Conduct serves as a binding basis for the cooperation. If the supplier uses subcontractors for the provision of services, it undertakes to pass on the principles of this Supplier Code of Conduct correspondingly by contract and to ensure, as far as possible and reasonable, that the requirements are met along the entire value chain. To ensure this, the supplier must also set up appropriate and risk-based control measures.

Social responsibility and human rights

Our suppliers undertake to unequivocally respect and observe human rights as fundamental values based on the European Convention on Human Rights and the United Nations Charter. To protect their employees, our suppliers undertake to comply with all laws and regulations relating to health and safety in the workplace and in doing so shall be guided by the basic principles of the conventions of the International Labor Organization (ILO Conventions).

Exclusion of forced labor

Suppliers must take appropriate and reasonable measures to prevent debt bondage, forced and compulsory labor and any form of modern slavery and human trafficking in their own business and/or along the supply chain. Business partners shall ensure that employment relationships are voluntary and can be terminated by employees at their own will and with reasonable notice. Furthermore, there must be no unacceptable treatment of employees, such as psychological hardship, sexual harassment and humiliation. The hiring or use of security personnel is prohibited if the deployment of such results in inhumane or degrading treatment or injury to persons or impairs freedom of association.

Ban on child labor

Child labor must not be used at any stage of the value chain. Suppliers are required to comply with the recommendation from the ILO Conventions on the minimum age for the employment of children. Accordingly, the age should not be less than the age at which compulsory education ends according to the law governing the place of employment and in any case not less than 15 years. Young employees under the age of 18 may

not be employed for work that is harmful to the health, safety or morals of children.

Fair pay and working hours

Remuneration for regular working hours and overtime must correspond to the national statutory minimum wage or the minimum standards customary in the industry, whichever is higher. Employees must be granted all legally prescribed benefits. Deductions from wages as a punitive measure are not permitted. The supplier shall ensure that workers receive clear, detailed and regular written information on the composition of their remuneration. Working hours must comply with the applicable laws or industry standards. Overtime is only permitted if it is provided on a voluntary basis.

Freedom of association

Employees of suppliers must be free to join a trade union, appoint employee representatives and be elected to such an organization without threat or intimidation. Employees must not be discriminated against on the basis of founding, joining or being a member of such an organization.

Prohibition of discrimination and harassment

Our suppliers shall ensure that there is no discrimination, intimidation, harassment or unjustified discrimination against their employees in the working environment. In particular, unequal treatment based on, for example, ethnic or social origin, skin color, gender, nationality, language, religion, physical or mental limitations, gender identity, sexual orientation, state of health, age, marital status, or pregnancy/parenthood is prohibited, unless this is objectively justified based on the requirements of the employment. Unequal treatment also includes, in particular, the payment of unequal remuneration for work of equal value.

Health and safety in the workplace

Our suppliers shall comply with the applicable occupational health and safety regulations and fire protection laws to ensure a safe and healthy working environment. The supplier shall set up and apply appropriate occupational safety systems to take the necessary preventive measures against accidents and damage to health that may arise in connection with the work carried out. Suitable measures must be taken to prevent excessive physical or mental fatigue. In addition, employees shall be regularly informed about the applicable health and safety standards and safety measures and receive corresponding training.

Preservation of natural resources

Our suppliers may not, in violation of the law and/or other legitimate rights, withdraw land, forests or waters the use of which safeguards the livelihoods of people. Suppliers must refrain from harmful soil changes, water and air pollution, noise emissions and excessive water consumption if this could lead to a significant impairment of the natural resources for food and drinking water or human health.

Dealing with conflict minerals

Our suppliers shall establish processes in accordance with the Organization for Economic Cooperation and Development’s Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas for the conflict minerals tin, tungsten, tantalum and gold, as well as for other critical raw materials from conflict-affected and high-risk areas such as cobalt, and expect the same from their sub-suppliers.

 

Environmental responsibility

Climate change and environmental degradation are among the greatest challenges of our time. Sustainable and resource-conserving action is therefore an integral part of AGILOX’s corporate culture. Compliance with generally recognized standards and laws in this area and in the areas of animal welfare, species diversity and biodiversity, is a basic requirement in our business relationships.

Our suppliers undertake to comply with all applicable environmental laws, regulations and standards and to operate an efficient system to identify and eliminate potential environmental hazards

This system includes the following measures in particular:

  • Identifying and minimizing negative impacts on the environment;
  • Measures to reduce environmental emissions and waste generation;
  • Measures to reduce interference with existing ecosystems;
  • Measures for the efficient and responsible use of resources (in particular the use of energy, water and raw materials);
  • Measures to prevent accidents and damage to health and the environment;
  • Preparation for and management of emergency situations;
  • Use of renewable resources (where possible);
  • Ongoing review and continuous improvement of their own environmental management systems.

 

Integrity and ethical business conduct

In providing their services we expect our suppliers to act not only in a sustainable, socially and environmentally conscious manner, but of course also to act in an ethical and legally irreproachable manner at all times. Even the mere appearance of ethically incorrect behavior should be avoided at all costs.

Compliance with laws

Our suppliers must familiarize themselves with the laws, regulations and rules of the countries in which they do business and comply with them without exception.

Integrity

Our suppliers shall act with integrity at all times and take suitable and appropriate measures to eliminate any violations that are identified. All forms of bribery, money laundering, extortion and corruption, including facilitation payments for routine business transactions, must be strictly prohibited. Suppliers shall ensure that their employees, subcontractors or agents do not give, offer or accept bribes, kickbacks, improper donations or other improper payments to or from public officials or other third parties. Procedures to monitor and enforce the legal prohibition standards must be implemented to ensure compliance with anti-corruption laws.

Avoidance of conflicts of interest

Suppliers shall take their decisions solely on the basis of objective criteria and must not allow themselves to be influenced by extraneous interests or relationships.

Free competition

Our suppliers shall comply with fair and free competition as well as the applicable competition and antitrust regulations. In particular, they may not enter into any anti-competitive agreements or arrangements with competitors, suppliers, customers or other third parties and may not abuse any dominant market position. Suppliers shall ensure that no sensitive information under competition law is exchanged within their business area and that no other behavior takes place that could restrict or limit competition in an unlawful manner.

Import and export controls

Our suppliers shall strictly adhere to all applicable laws for the import and export of goods, services and information. The applicable sanctions and embargo lists must also be observed. Business partners shall ensure that all taxes, duties and royalties levied in connection with the extraction, trade and export of minerals in conflict and high-risk areas are paid in accordance with applicable law.

Data protection

Our suppliers must comply with the laws on data protection and information security and official regulations when collecting, storing, processing, transmitting and passing on sensitive information.

Intellectual property rights

Intellectual property rights must be respected. Transfers of technology and expertise must be carried out in such a way that protects intellectual property rights and customer information.

 

Responsibility of suppliers

We expect our suppliers to identify all relevant risks within their own supply chain and to take appropriate and suitable measures to prevent violations of legal provisions and the standards and regulations listed in this Supplier Code of Conduct. If a deviation is identified or a suspected case exists, we expect the supplier concerned to inform us immediately of the identified violations, suspected cases or risks as well as the remedial measures taken.

Control of compliance

AGILOX reserves the right to verify compliance with the standards of conduct in the supply chain by appropriate means. The audit may be carried out by means of supplier self-disclosure or risk-based audits at the suppliers’ production sites, whereby the latter may only be carried out with prior notice and in the presence of representatives of the supplier. The audit procedures shall be carried out in accordance with the applicable data protection laws. The audit must not lead to disproportionate restrictions on the supplier’s business activities or to breaches of confidentiality agreements with third parties. Suppliers are obliged to support AGILOX to a reasonable extent in carrying out the audit procedures and to bear their own costs associated with the audit. AGILOX shall also bear its own costs or the costs of the third party it engages.

Consequences

Compliance with the Supplier Code of Conduct by its suppliers and subcontractors is an essential part of every business relationship for AGILOX. In the event of violations of the principles enshrined in the Supplier Code of Conduct, AGILOX expects its suppliers and subcontractors to take immediate and appropriate measures to avoid similar violations in the future. A lack of willingness to cooperate to end the misconduct or to eliminate any consequences resulting from such misconduct within a reasonable period of time or the seriousness of the violation itself[1] may also constitute grounds for premature termination of the business relationship.

[1]          Serious violations of the Supplier Code of Conduct include, in particular, violations of human rights, child labor, cases of corruption, serious violations of employee protection and gross violations of environmental protection laws.

Supplier declaration

This Supplier Code of Conduct is an integral part of the contractual relationship with the supplier. By signing this document, the Supplier agrees to the obligations and requirements set out in this Supplier Code of Conduct as an integral part of the business relationship and in particular expressly undertakes

  • to always act in a responsible and ethically correct manner and to comply with the obligations and requirements of this Supplier Code of Conduct as minimum standards;
  • to pass on the principles of this Supplier Code of Conduct to its upstream suppliers along the value chain in an appropriate manner and to require them to comply with it;
  • to communicate the contents of this Supplier Code of Conduct to its own employees as well as to agents and subcontractors in a way that is understandable for the respective target group, to demand compliance with the Code with appropriate emphasis and to take all necessary precautions for the implementation of the requirements.

In cases where AGILOX has agreed individual contractual obligations with the supplier that deviate from these principles, these individual contractual obligations shall take precedence.