Groupe DANONE strengthens its worldwide social agreements with the
IUF with the inclusion of Fundamental Social Principles (FSP)
These Fundamental Social Principles also apply to the Group's suppliers.
In light of the Group's increasingly international scope and growing presence in
emerging countries, Groupe DANONE and the IUF have decided to revise the
content of all six agreements* between them, with the aim of applying them
across the world. They have also decided to incorporate the seven Fundamental
Social Principles**, drawn from the recommendations issued by the International
Labour Organisation (ILO), and which will serve as a platform for these and any
future agreements.
Published in 20 languages, the agreements form part of a process of continuous
dialogue which began some 20 years ago, and has since seen commitments
made and regularly renewed by all sides.
This pioneering approach is a product of the company's vision, which was
formally set down in 1972 in the form of Groupe DANONE's "dual social and
economic project". It is based on one fundamental belief: that there can be no
sustained economic performance without personal and professional development
for individuals.
The quality of the social dialogue established at all levels of the company has
always been a key aspect of Groupe DANONE's human resources policy.
At the meeting of Groupe DANONE's Information and Consultation Committee,
held on 20 and 21 October 2005, the senior management indicated its
commitment to giving the agreements new impetus in all countries where the
Group does business.
The way the agreements are applied will continue to be monitored via various
channels:
- information will be passed directly from local trade union organisations to IUF
headquarters;
- a full-time IUF representative will be appointed to liaise with the Group in
2006;
- a social reporting process will be applied to Groupe DANONE subsidiaries,based
on 20 social indicators*** defined jointly by the Group and the IUF;
- an IUF–Groupe DANONE steering committee will convene every quarter, to
ensure that the agreements are properly enforced;
Groupe DANONEwould like to extend the Fundamental Social Principles beyond
its subsidiaries, to cover all its suppliers. In 2003, it launched the "Respect"
agenda, to provide itself with the means to ensure that all suppliers comply with
the Fundamental Social Principles. "Respect" aims to provide Groupe DANONE's
various organisations and companies with a standard procedure and resources,
enabling them to assess and monitor the way their suppliers apply the
Fundamental Social Principles. The procedure was created in conjunction with an
international company with recognised expertise in the field of social audits.
Since the "Respect" agenda was launched, some 30 audits have been conducted
and Groupe DANONE's aim is to cover all suppliers by 2008.
The "Respect" agenda itself is part of a wider approach by the Group, which in
2001 decided to assess the company's practices in every area where it has
responsibilities. This gave rise to the programme known as DANONE Way, which
covers all the parties involved: employees, social partners, suppliers, consumers,
etc. Every two to three years, each subsidiary is required to carry out a selfassessment covering more than 80 practices, and draw up plans for
improvement.
By taking these measures, Groupe DANONE is seeking to strengthen, develop
and disseminate its social culture within a context of rapid international
expansion.
* Since 1998, six Agreements have been signed between Groupe DANONE and
the IUF (available from www.danone.com or upon request)
The present agreement updates all these existing texts.
- IUF / BSN (former name of Groupe DANONE) common understanding of 23
August 1988,
- Agreement on economic and social information for staff at BSN Group
Companies, dated 26 September 1989,
- Agreement on action to promote sexual equality in the workplace, dated 26
September 1989,
- BSN / IUF agreement on skills training, dated 12 April 1992,
- IUF / BSN joint declaration on trade union rights, dated 25 May 1994,
- Joint understanding in the event of changes in business activities affecting
employment or working conditions, dated 9 May 1997.
** The seven Fundamental Social Principles set down by the International Labour
Organisation and incorporated into the Groupe DANONE - IUF Agreements:
- Freedom of association and the effective recognition of the right to collective
bargaining,
- Safety and security of all employees in the workplace,
- Compliance with national laws on working hours,
- Appropriate remuneration for employees, in line with salaries practised in the
country,
- The elimination of all discriminatory practices,
- The effective abolition of child labour,
- The elimination of all forced labour.
*** The 20 social indicators defined by Groupe DANONE and the IUF
(available upon request) IUF (International Union of Food Workers' Associations:
www.iuf.org): An international federation of trade unions representing workers in
126 countries. Since its founding in 1920, the IUF has striven to promote good
working conditions for all those involved in planting, harvesting, transforming,
preparing and serving the food products we depend on for life.
Groupe DANONE, a world food industry leader, employs around 90,000 people
across the globe, almost half of them in emerging countries.