Archroma-Sustainability-Report-FY2018 - Page 68



ENHANCED
FAIR LABOR PRACTICE
At Archroma, people are the core of our business.
We operate with the core belief that only by aligning personal and business goals can we achieve
sustainable growth. This in turn helps us drive our core purpose of continuously challenging the status
quo in the deep believe that we will make the industry more sustainable.
Since its inception in October 2013, Archroma has set itself high labor practice standards throughout
the entire employment cycle, from hire to exit.
Archroma operates along three guiding principles
Archroma fully supports and complies with the 1989 United Nations Convention of the Rights of the Child
and the 1998 International Labor Organization Declaration on Fundamental Principles and Rights at Work.
Archroma does not undertake any business with a company that uses forced or child labor.
1.Global standards aiming for the same treatment for all employees wherever they are located.
Archroma recognizes the dignity, privacy and personal rights of all individuals; working together with
various ethnic backgrounds, cultures, religions, ages, disabilities, races, sexual identity, worldview and
gender. Archroma does not tolerate discrimination against anyone based on these characteristics or any
other comparable offensive behavior. These principles extend to all employment decisions including
recruiting, training, evaluation, promotion and reward.
3.Compliant, open and transparent relations management with employee representative bodies.
Archroma also recognizes the freedom of association, and the right to collective representation and
bargaining. Archroma operates in many countries worldwide and, as such, has an extremely diverse
workforce.
•Global policies and processes, reinforced when adequate or required by local policies and processes.
Archroma does not tolerate any acts of harassment or bullying, whether done by an employee or nonemployee, in any form, including physical actions, verbal or written remarks or visual depictions, or any
unwelcoming behavior that has the purpose or effect of creating an intimidating, hostile or offensive work
environment.
We have a contract of employment clearly states terms and conditions of employment including
remuneration, amount of paid leave. Company benefits, performance measurement processes, grievance
and disciplinary procedures are communicated to each employee.
We ensure that our notice periods are in line with country legislative requirements / procedure for
significant operational changes.
We actively work with our employee representative bodies in different sites to drive healthy employee
employer relations. Our employee representative bodies work very closely with the management teams to
ensure that our workforce understands our culture and is engaged in productive work. We also discussed
and sign Collective bargaining agreements, where applicable, that help the union bring forward issues
which are relevant and can be addressed in a systematic and a structured manner.
All changes to bargaining agreements, where applicaple, are compliant with the local requirements related
to notice periods for changes, consultation and fair negotiation employment are practices.
Based on our current labor policies and type of operations and people working with us - Archroma does
not foresee a high risk with respect to human rights violation.
2.Compliance with global and local regulations and best-practice.
To ensure that these guiding principles are enforced at all times,
Archroma has:
•Approval processes to ensure appropriate level of control, up to the Leadership Team and Board of
Directors, for hiring, developing, and exiting of employees, as well as of course compensation & benefits.
•Control and monitoring tools such as repots, analytical data, targets and benchmarks.
•Human Resource (HR) managers dedicated to each country who are accountable to ensure fair treatment
at all stages of the employment cycle, compliance to local rules and regulations, as well as consistency
of practice within and between the global and country framework.
•A global HR management system where the personnel and remuneration information related to
Archroma employees is securely stored and accessible to monitor and control fairness across the
organization.
•And a global HR Management Team (HRMT) collectively responsible for setting direction in line with
company strategy and ensuring fair HR and labor practice globally.
Archroma employees are encouraged raise questions and issues or signal a breach or incident related
to their working conditions and treatment, and they are free to choose the way they feel the most comfortable
to do so, either via the line manager, HR country managers or the works council, union or employee
representatives of the country of location of the employees, or via the COMPLIANCE OFFICER who can
be contacted anonymously and in a confidential manner for any inquiries required by the employee.
This right is guaranteed and protected by the Archroma Code of Conduct and Whistleblowing Policy,
and all the above-mentioned routes are regularly used.
In particular, as a multinational company with 51 sites worldwide, Archroma is strongly attached to
diversity as one of its core values, and the Archroma Code of Conduct clearly set the expected compliance
in this area.
During the reported period, the HRMT identified an improvement potential in HR data management,
performance reviews and talent development. The new online management system called “myHR ” has
been developed during the reported period and introduced in its last days.
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