Church & Dwight products have been a standard of quality and environmental responsibility since 1846. We are committed to conducting our operations in a responsible manner and expect the same commitment from our suppliers. California Transparency in Supply Chains Act of 2010 requires manufacturers and retailers doing business in California to disclose their efforts to eradicate slavery and human trafficking from their direct supply chains. Church & Dwight’s efforts include the following:
- Church & Dwight utilizes risk-based assessments when selecting new suppliers. In addition, all of our suppliers are expected to abide by the Church & Dwight Co., Inc. Global Operations Guiding Principles (“Guiding Principles”) which set out minimum standards for working conditions that are safe and afford workers respect and dignity. The Employment Standards within the Guiding Principles provide that “employees must be employed of their own free will,” suppliers are not permitted to utilize “forced labor in any form,” may not utilize corporal punishment as a form of discipline, and must pay employees wages required by law. Our Guiding Principles are posted on www.churchdwight.com.
- Our supplier contracts require suppliers to conduct their operations in accordance with all applicable laws. In addition, consistent with the Guiding Principles, our supplier contracts include a Child Labor and Forced Labor warranty which requires suppliers to warrant that they do not “employ children, prison labor, indentured labor, bonded labor or use corporal or other forms of mental and physical coercion as a form of discipline” and that they “will not conduct business with vendors employing children, prison labor, indentured labor, bonded labor or who use corporal punishment or other forms of mental and physical coercion as a form of discipline.”
- In our supply contracts, Church & Dwight reserves the right to audit suppliers’ premises for compliance with the Child Labor and Forced Labor warranty. Church & Dwight’s standard quality audit protocols, applicable to scheduled audits by Church & Dwight personnel, include suppliers’ compliance with the Child Labor and Forced Labor warranty and our Guiding Principles as one of the audit items. Any supplier found to be in violation is subject to corrective action including termination of business.
- Church & Dwight requires all of its employees and management to abide by our Code of Conduct. Our Code of Conduct requires that we maintain the highest ethical standards and never take unfair advantage of anyone. It was designed to encourage a culture of honesty, accountability and mutual respect; to provide guidance to help personnel recognize and deal with ethical issues; and to provide a reporting mechanism for company personnel to report unethical conduct.
- Any violation of the applicable laws, our Code of Conduct or the Guiding Principles by a Church & Dwight employee may result in disciplinary action, including termination of the employee.
Church & Dwight will continue to review its policies and procedures to make sure we have appropriate safeguards in place to protect persons employed in bringing out products to our consumers.
Global Operations Guiding Principles
CHURCH & DWIGHT CO., INC
GLOBAL OPERATIONS GUIDING PRINCIPLES
Church & Dwight products have been a standard of quality and environmental responsibility since 1846. We are committed to conducting our operations within our influence in a responsible manner. These guiding principles are the minimum standards to ensure that working conditions are safe, that workers are treated with respect and dignity and that manufacturing processes are environmentally responsible. We expect your commitment as a vendor for Church & Dwight to adhere to the following guiding principles.
Management System
Church & Dwight expects its vendors to adopt or establish a management system that covers the scope of these guiding principles. Training shall be provided by the vendor for managers and workers to implement policies, and procedures related to these guiding principles.
- Ethical Standards
Church & Dwight expects its vendors to conduct all business to a set of ethical standards compatible with the Church & Dwight Ethical Standards (a copy of which is attached as Exhibit A).
- Legal Requirements
Church & Dwight expects its vendors to be law abiding and to comply with all legal requirements relevant to the conduct of all their businesses.
- Employment Standards
Child Labor: Church & Dwight expects its vendors to employ individuals of the legal working age as specified by country requirements or at least age of 16 if not specified.
Prison Labor/Forced Labor: Employees must be employed of their own free will. The vendor can not use forced labor in any form -- prison, indentured, bonded or otherwise.
Disciplinary Practices: We will not utilize vendors who use corporal punishment or other forms of mental or physical coercion.
- Wages, Working Hours and Benefits
- Church & Dwight expects its vendors to pay their employees the wage required by law and shall provide legally mandated benefits.
- Employees must be paid for all hours worked. Wages for regular and overtime work must be compensated at the legally mandated rates.
- Wages must be paid in legal tender and at least monthly.
- Working hours must be in compliance with country specific requirements.
- Regular and overtime working hours must be documented, verifiable and accurately reflect all hours worked by employees.
- Employees must be provided with rest days in compliance with specific country requirements.
- Payroll deductions must comply with specific country requirements.
- Freedom of Expression and Association
Church & Dwight expects its vendors to respect the right of workers to join and organize associations of their own choosing.
- Living Conditions
Dormitories and canteens must be safe, sanitary and meet all local government standards.
- Discrimination
Church & Dwight expects that workers shall be employed on the basis of their ability to do the job and not on the basis of personal characteristics, cultural differences or beliefs.
- Environmental Management
Church & Dwight expects its vendors to share our commitment to the protection of the environment. A vendor must have programs in place to minimize their impact on the environment and make efforts to contribute to improving conditions in the countries and communities in which they operate.
- Health & Safety Management
Church & Dwight expects its vendors to provide workers with a safe and healthy work environment. Programs must be in place to minimize the risk of accidents, injury, and exposure to health risks.
- Verification
Church & Dwight expects its vendors to maintain on file all documentation needed to demonstrate compliance with these Global Operations Guiding Principles. The vendor agrees to make these documents available for monitoring by Church & Dwight.
Exhibit A
CHURCH & DWIGHT CO., INC
GLOBAL OPERATIONS GUIDING PRINCIPLES
ETHICAL STANDARDS
The reputation and integrity of Church & Dwight Co., Inc. are valuable corporate assets, vital to the Company’s success. Each Company employee, including each of the Company’s officers and general managers and each Company director, is responsible for conducting the Company’s business in a manner that demonstrates a commitment to the highest standards of integrity. Specifically, we encourage among Company personnel a culture of honesty, accountability and mutual respect. Additionally, we provide guidance to help Company personnel recognize and deal with ethical issues. Finally, we have provided mechanisms for Company personnel to report unethical conduct.
Dishonest or unethical conduct or conduct that is illegal will constitute a violation of these Standards and are grounds for disciplinary action.
Church & Dwight products have been a standard of quality and environmental responsibility since 1846. We are committed to conducting our operations, and the operations within our influence, in a responsible manner. We have implemented an environmental and safety management system which supports our policies and provides a framework to maintain regulatory compliance and ultimately operate beyond compliance.
Global Operations Guiding Principles
Our global operations guiding principles (the “Guiding Principles”), posted on our website at www.churchdwight.com, are our minimum standards to ensure that working conditions are safe, that workers are treated with respect and dignity, and that manufacturing processes are environmentally responsible. In addition, Church & Dwight publicly discloses on our website our supply chain transparency efforts to eradicate slavery and human trafficking from our direct supply chains.
At Church & Dwight, we require all of our suppliers to abide by our Guiding Principles. In addition, our supplier contracts require suppliers to conduct their operations in accordance with all applicable laws. Also, consistent with the Guiding Principles, our supplier contracts include a Child Labor and Forced Labor warranty, which requires suppliers to warrant that they do not employ children, prison labor, indentured labor, bonded labor or use corporal or other forms of mental and physical coercion as a form of discipline, and that they will not conduct business with vendors who do so.
In our supply contracts, Church & Dwight reserves the right to audit suppliers’ premises for compliance with the Child Labor and Forced Labor warranty. Church & Dwight’s standard quality audit protocols, applicable to scheduled audits by Church & Dwight personnel, include suppliers’ compliance with the Child Labor and Forced Labor warranty and our Guiding Principles as audit items. Any supplier found to be in violation is subject to corrective action including termination of business.
Sustainability
At Church & Dwight, we are committed to conducting our operations in an environmentally responsible and sustainable manner while striving to achieve our business goals. Our focus is on the lifecycle impacts of our operations and products so that we can identify and reduce our areas of highest impact on the environment. As part of this effort, we are a member of The Sustainability Consortium, an independent organization of diverse global participants working collaboratively to build a scientific foundation to drive innovation and improve consumer product sustainability. We believe that products that have been responsibly designed and manufactured contribute to strong financial performance, reduced environmental impact and benefits to the communities in which we operate. Consequently, strong financial performance enables us to continue our innovative product development and product improvement efforts, and provide support for community projects.
We have developed a sustainability strategy that embodies a proactive approach to continued success based on preparedness, action and a manageable approach to sustainability issues and opportunities based on their relevance to our business objectives, corporate social responsibility, and customer and regulatory requirements. Our Sustainability Department guides the integration of many aspects of sustainability into our day-to-day business, aligned with our Guiding Principles. This group also facilitates dialogue with stakeholders, including customers, neighbors, investors and employees, and will help ensure that senior management is aware of significant issues and concerns raised by stakeholders. Personnel throughout the organization continue to evaluate and implement new programs to design safer products, increase product yields, reduce waste, increase recycling efforts, and reduce air emissions, water and energy usage.
We have been issuing annual reports to share information on our sustainability efforts and progress since the year 2008 (for first reporting year 2007). You can access these reports on our website. Our goals are to continue to improve upon these efforts year over year as we develop and refine our programs, and to enhance our transparency with more detailed reporting of our global product, supply chain and overall sustainability programs.
Palm Oil Product Supply
Church & Dwight is committed to sourcing the few raw materials we use that are derived from palm oil from suppliers who support the production of certified sustainable palm oil and are themselves committed to 100% certified sustainable palm oil by 2016.
Church & Dwight currently does not purchase palm oil, but instead purchases a very small quantity of palm oil derived materials. Our largest purchase (74%) is of one material that is a by-product of palm oil production, which we use in animal feed products, thereby diverting this palm oil material from the waste stream.
Our total purchases of palm oil derived products represent a very small percentage (0.1%) of the global palm oil produced annually. Of these purchases, 86% are obtained from one supplier, who is a member of the Roundtable on Sustainable Palm Oil, and who has provided assurances to us that it will supply 100% certified sustainable palm oil by 2016.
Even though we do not purchase palm oil directly, we have an interest in both ensuring the sustainability of this product over the long-term and our suppliers’ alignment with us on this issue.