Supplier Code of Conduct for Neil Enterprises
This Code of Conduct applies to all suppliers, manufacturers and their supply chains (hereinafter referred to as "Supplier(s)") that produce or provide goods or services for distributors who are members of Neil Enterprises.
While Neil Enterprises recognizes that there are different legal and cultural environments in which Suppliers operate throughout the world, this Code sets forth the basic expectations for environmental, labor, supplier working conditions and ethical practices that all Suppliers must meet.
I. General Principles
Supplier understands and agrees to the following General Principles:
a. That it shall operate in full compliance with the laws enforced by its native country, as well as applicable laws, rules, and regulations that are put into place by the United States Government, as they relate to importing.
b. That the factories it utilizes will operate in full compliance with all applicable laws, rules, and regulations associated with the environment, labor, worker health and safety, and the environment.
c. That Neil Enterprises and any of its representatives or agents will have access to its facilities, as well as all factories that is uses for producing or providing merchandise to Neil Enterprises.
d. That Neil Enterprises and any of its representatives or agents will have access to all records or documentation that are relevant to Supplier's operations, upon providing reasonable notice to Supplier.
e. That it shall communicate the conditions of this Supplier Code of Conduct to its employees, and shall require subcontractors and suppliers to comply with its terms.
f. That is shall adopt and adhere to rules and conditions of employment related to workers’ rights; and reference upholding national and international labor and social security laws.
II. Safety Compliance
a. All materials and finished products must comply with state and federal
requirements. These requirements may include, but are not limited to: CPSC,
CPSIA, ASTM, CA PROP 65, FDA, UL(ETL), CHPA, AS/NZA, ISO 8124, WEEE/ROHS, FFA
b. If a specific testing requirement has been called out in the body of this purchase order, the issuance of a passing test report will be required before product ships.
c. If Neil Enterprises, or the client finds the goods to be defective, the buyer shall
have the right to reject and return the goods at vendor's expense. Any additional charges to meet specification of product or scope of project will be at vendor expense. Neil Enterprises reserves the right to cancel the purchase order or any part thereof without penalty if the vendor fails to comply with the product specifications and terms and conditions set forth in this PO.
Employers shall provide a safe and healthy workplace setting to prevent accidents and injury to health arising out of, linked with, or occurring in the course of work or as a result of the operation of employers’ facilities. Employers shall adopt responsible measures to mitigate negative impacts that the workplace has on the environment. Supplier understands and agrees to the following as it relates to the environment, and also agrees that it will ensure that the factories it utilizes will comply with the same:
a. To comply with all applicable environmental laws and regulations
b. To apply the concepts of Reduce, Reuse, and Recycle.
c. To maintain an environmental management system that describes compliance with local laws and regulations, and provides insight for continual improvement.
d. Have procedures in place for notifying authorities, or environmental agencies, to
report non-compliant pollution of air, water, or land.
IV. Social Compliance
a. Discrimination: Supplier and the factories it utilizes must have procedures in place to employ workers on the basis of their ability to do a job rather than allow basis of their personal characteristics and/or beliefs, and will employ and pay workers without regard to race, color, gender, ethnicity, religion, age, maternity or marital status. No person shall be subject to any discrimination in employment, including hiring, compensation, advancement, discipline, termination or retirement, on the basis of gender, race, religion, age, disability, sexual orientation, nationality, political opinion, social group or ethnic origin.
b. Forced Labor: Supplier will not use prison workers, indentured servants or forced labor, and does not require any worker to remain in employment for any period of time against his or her will. Neil Enterprises will not tolerate factories that use involuntary labor of any kind, including prison labor, debt bondage, or forced labor.
c. Child Labor: Supplier and the factories it utilizes will employ only workers who meet legal age requirements of their country. No person shall be employed under the age of 15 or under the age for completion of compulsory education, whichever is higher. Supplier agrees that the factories it utilizes will comply with all applicable child labor laws, including those that pertain to hiring, wage, labor, over time and working conditions. Neil Enterprises will be allowed to perform audits and request official documentation from Supplier and factories, in order to verify workers' dates of birth.
d. Hours of Work: Suppliers shall establish set working hours, wages and labor requirements that are in compliance with all applicable laws to their country and those mandated by US social compliance laws. Workers should be paid at least the minimum legal wage or wage that meets local industry standards, whichever is greater. While it is understood that overtime may be required, factories shall carry out procedures that limit overtime to humane levels that are conducive to productivity. Employers shall not require workers to work more than the regular and overtime hours allowed by the law of the country where the workers are employed. The regular work week shall not exceed 48 hours. Employers shall allow workers at least 24 consecutive hours of rest in every seven-day period. All overtime work shall be consensual. Employers shall not request overtime on a regular basis and shall compensate all overtime work at a premium rate. Other than in exceptional circumstances, the sum of regular and overtime hours in a week shall not exceed 60 hours.
e. Compensation: Every worker has a right to compensation for a regular work week that is sufficient to meet the worker’s basic needs and provide some discretionary income. Employers shall pay at least the minimum wage or the appropriate prevailing wage, whichever is higher, comply with all legal requirements on wages, and provide any fringe benefits required by law or contract. Where compensation does not meet workers’ basic needs and provide some discretionary income, each employer shall work with the supplier to take appropriate actions that seek to progressively realize a level of compensation that does.
f. Working Conditions: Suppliers must treat all employees with respect, dignity, and provide them with healthy, safe environments in which to work. The factory shall abide by all applicable laws and regulations regarding working conditions. Every employee shall be treated with respect and dignity. No employee shall be subject to any physical, sexual, psychological coercion or verbal harassment or abuse. Facilities should be properly lighted and ventilated, aisle accessible, the machinery should be maintained and hazardous materials responsibly stored and/or disposed of. Facilities should always be clean and safe. Every employee shall be treated with respect and dignity.
g. Housing: Dormitories, living space, and/or sleeping quarters must meet applicable laws and regulations related to health and safety. All facilities should meet both minimum legal requirement and local industry standards. Evacuation plans for emergency should be reviewed with employees and exits accessible and available to meet such plans. All exits should be clearly marked and proper lighting should be available in halls and stairways. Hazardous and combustible materials used in production areas should not be stored in the dormitory or buildings connected to sleeping quarters. Portable water must be available to dormitory residents.
h. Freedom of Association: workers are free to join associations of their choosing. Manufacturers should not interfere with employees who wish to lawfully and peacefully organize. Employers shall recognize and respect the right of employees to freedom of association and collective bargaining.
V. Business Ethics
a. Suppliers are required to comply with applicable laws when international trade is conducted.
b. Intellectual Property should be protected by suppliers who manufacture goods for Neil Enterprises. Factory/Supplier must take the necessary actions to protect the Neil Enterprises property and brand integrity of all goods manufactured on behalf of Neil Enterprises or its clients. The manufacturer will accept responsibility to hold their suppliers and/or subcontractors accountable as well.
VI. Monitoring and Enforcement
a. In order to conduct business with Neil Enterprises, all suppliers must comply with this code of conduct. Neil Enterprises and all our representatives will continue to develop monitoring systems to manage compliance and has the right to perform random third party inspections and site visitations. If Neil Enterprises deems any supplier has violated this code, Neil Enterprises reserves the right to terminate its business relationship or review with the supplier a corrective plan of action to maintain facilities to meet this code. If corrective action plans are advised but not put into place, Neil Enterprises will suspend placement of future orders with supplier. Suppliers should notify Neil Enterprises immediately if they become aware of non-conformance of this code. Immediate necessary actions should be put into place to remedy any non-compliance.
The manufacturer has received and reviewed Neil Enterprises’ code of conduct, as well as (other Neil Enterprises materials) both of which are attached. Manufacturer understands the code of conduct and shall strictly comply with it as presently drafted and as amended by Neil Enterprises from time to time hereafter. Manufacturer shall require and certify that all suppliers, contractors, subcontractors and suppliers that manufacture or assemble the products or components of the products that bear the logos, or that provide services with respect to the Products or components of the products that bear the logos, comply with the code of conduct and the other materials. Neil Enterprises may terminate the agreement and any firm orders if manufacturer violates the code of conduct or manual or breaches this section.