The California Transparency in Supply Chains Act of 2010 and the United Kingdom Modern Slavery Act 2015 require certain businesses to provide information regarding their efforts to address the issue of slavery and human trafficking, thereby allowing consumers to make better, more informed choices regarding the products they buy and the companies they choose to support.
Richemont is opposed to slavery and human trafficking and desires its supply chain to be free of these scourges.
Richemont and its Maisons have developed and disseminated the Group Supplier Code of Conduct, which sets out our approach in this area and provides guidance to our suppliers and business partners regarding responsible sourcing. The Code of Conduct includes an endorsement of the International Labour Organisation Conventions and the Universal Declaration of Human Rights. Among other issues, the Code of Conduct specifically forbids the use of forced or involuntary labour of any kind, including employment of people under the age of 15 or before they have completed compulsory education. The Code of Conduct includes an Acknowledgment of Terms that requires suppliers to: accept and agree to the Code’s principles; to report on the individual responsible for the supplier’s compliance; the procedures in place to fulfil the Code’s requirements; discrepancies between the supplier’s operations and the Code; and any similar policy used by the supplier.
Richemont also monitors on-going compliance and adherence of suppliers to its standards related to slavery and human trafficking. In particular, the Maisons regularly conduct third-party audits of their suppliers. During the year, 135 external supplier audits were carried out on behalf of Richemont’s Maisons. Richemont does not record the percentage of ‘surprise’ audits or disclose the specific results of its audits. The audits may be announced or unannounced. Where concerns related to the Supplier Code of Conduct have been identified, Richemont has held its suppliers accountable through dialogue and follow-up audits.
Through its involvement in the Responsible Jewellery Council (RJC), Richemont also seeks to ensure compliance with the RJC’s standards relating to slavery and human trafficking. The RJC’s certification process is rigorous, including independent, third-party audits regarding the member’s compliance with human rights standards. The RJC has grown to include some 1’100 corporate members at 31 March 2018, from miners to retailers. The 17 Richemont Maisons and independent manufacturing entities, whose sales represent some 90% of Group sales, which are certified members of the RJC have been audited by an accredited third-party to verify compliance with the RJC’s Code of Practices, thereby obtaining RJC certification. Many of Richemont’s suppliers are also members of the RJC and complete their own RJC certification. Further information on the Maisons year of certification may be found in this report. Equally, additional information on the RJC may be obtained here.
Richemont and its Maisons have taken specific steps to increase employee awareness and compliance regarding slavery and human trafficking issues. Richemont’s Corporate Social Responsibility Guidelines, which articulate the standards Richemont expects its managers, employees and suppliers to uphold, specifically articulate Richemont’s zero-tolerance policy regarding forced labour. Richemont’s Maisons have undertaken specific training programmes regarding supply chain issues.
For more information on Richemont’s commitment to eradicate and prevent slavery and trafficking in its supply chains, visit the Supply Chain Management page.