K&K has a responsibility to care for and respect our planet and the people on it. We take this responsibility very seriously and have used our relationships to affect positive change. We have and continue to work in-close partnership with our suppliers to develop our Sustainability Code of Practice (see below). This sets out our Ethical Trading policy based on standards from the ETI (Ethical Trade Initiative) and International Labour Organisation (ILO) conventions. These requirements represent minimum standards, based on the principles of the United Nations Universal Declaration of Human Rights and the UN’s SDG 2030 Agenda. As part of our commitment to respect human rights, we understand the importance of a fair wage to help enhance quality of life. Therefore, we have committed to working with our partners to achieve a living wage for factory workers by 2020. We have used the Anker Methodology to calculate a living wage for the countries we source our products from. This methodology calculates the minimum income necessary for a person to meet their basic needs as well as that of his/her family, including some discretionary income. We are also committed to energy efficiency and managing climate risk. In accordance with the UN’s Sustainable Development Goals, we are committed to net-zero carbon emissions reduction target by 2050 for our supply chain.
Sustainability Code of Practice 1 Social (Labour and Human Rights) Health and Safety Suppliers must integrate sound health and safety management policies, practices and management systems into their businesses. Strategies for reducing work-related injuries must be included and management plans for workplace accidents. They must be designed to promote the general health of employees, reduce work-related injuries and illness and ensure the safety and quality of all products and services as specified in the supply agreement. Clean kitchen and bathroom spaces must be maintained. Freely chosen employment Suppliers shall not make use of forced, coerced, bonded, indentured or involuntary labour. By right, labour should be freely given, and employees should be free to leave in accordance with established rules. Only employees who are legally authorised to work in their facilities are employed. Suppliers shall be responsible for validating their employee’s eligibility to work through appropriate documentation. Suppliers will not withhold employee’s legal identity documents. Child labour Suppliers shall not employ children in violation of conventions 138 and 182 of the International Labour Organization. All employees meet the local legal minimum labour age permitted by the law of the country or countries where the performance, in whole or in part of the contract, takes place. Discrimination Employees are not subjected to discrimination based on race, national origin, ethnicity, religion, gender, age, marital status, sexual orientation, disability or any other reason. No wage disparity between men and women in the same role. Living wage All employees are paid a proper and competitive wage which meets their basic needs and provides discretionary income, and is no less than the standards specified by local laws, where applicable. Freedom of association Employees’ right to freedom of association and collective bargaining is acknowledged. Where these rights are restricted by law, Suppliers will not hinder the development of alternative means of independent and free association and bargaining. Workplace harassment Employees are not exploited or subjected to abuse of any kind, including psychological, physical, sexual or verbal abuse. Intimidation, threat or harassment is not tolerated. Sexual harassment or physical contact that is considered sexual, or any form of using a place of power to coerce workers into sexual acts is explicitly banned. Any complaints made about a person(s) unwelcome sexual advances will be promptly acted upon using disciplinary measures. Working environment Employee working hours, including voluntary overtime work, and the granting of leave of any form, are in accordance with applicable local and/or national laws. Workers shall not work more hours in one week than allowable under local laws. Overtime is to be voluntary, compensated at a legal rate, provided under safe and healthy work conditions and capped at no more than 12 hours per week. 2 Economic (Business Integrity) Regulations Supplier should operate in full compliance with international, national and local laws and regulations applicable to their business operations and obtain all necessary permits. Local industry standards should prevail when more stringent than the local legal requirements. Record Keeping Maintain transparent and accurate financial and business records to demonstrate compliance with applicable laws and regulations, as well as generally accepted accounting principles. Anti Corruption Comply with anti-corruption and anti-bribery laws of the countries in which it does business, and not make any direct or indirect payments, including bribes, kickbacks or other promises of payments to foreign government officials or other third parties for the purpose of inducing the individual to misuse their position to obtain or retain business, receive improper benefits or other unfair or improper advantage Confidential information and privacy Suppliers must only use confidential information for its intended business purpose and must not disclose such confidential information to an unauthorized party. Suppliers must ensure appropriate controls are in place to collect, protect, maintain, and use confidential information, including personally identifiable information and sensitive information, in accordance with data privacy laws. Subcontracting Subcontracting is allowed for outsourcing of processes not able to be completed by the original factory. This includes embroidery, screen printing etc. Subcontracting of garment construction is not allowed. 3 Environment Legal obligation Comply with all applicable environmental laws and regulations, including those relating to hazardous materials, air emissions, waste and wastewater discharges Environmental standards Suppliers must use a proactive approach in establishing and maintaining standards of environmental management including regular monitoring and verification of progress toward environmental objectives or targets. Visibility and Trace-ability Suppliers shall establish and maintain programs to ensure visibility and control of inputs into their manufacture from other sources. Suppliers must have an environmental policy that is proportionate to the environmental risk of their business operations Waste Where there are threats of serious or irreversible damage but scientific certainty is lacking, implement risk mitigation measures in time to minimise environmental degradation.