SOCIAL COMPLIANCE THE LAURA ASHLEY CODE OF CONDUCT LAURA ASHLEY STATEMENT OF HUMAN RIGHTS The Laura Ashley group of companies are committed to ensuring that all workers involved in the production of any Laura Ashley products, wherever they may be located, are treated with humanity and dignity. Laura Ashley seeks business partners that strive to offer their workers, at the very least, basic human rights. This Laura Ashley Code of Conduct applies to the operators of all mills, factories and any other manufacturing premises, whether as contractors or subcontractors, or in any other business capacity where products and goods are manufactured or produced for Laura Ashley. It also applies to other persons or companies involved in the handling, supply, transfer and transportation of Laura Ashley products and goods. 1 EMPLOYEES Child Labour 1.1.1 Every worker must be at least 14 years of age or the minimum legal working age of that country (whichever is higher). 1.1.2 No worker under the age of 18 shall work at night. 1.1.3 No worker under the age of 18 shall work with hazardous substances. Freedom of Choice 1.1.4 Employment should be freely chosen. 1.1.5 Workers have the right to leave their place of employment after having given notices and after having worked the required notice period. 1.1.6 There must be no forced or involuntary prison labour. 1.1.7 Workers cannot be forced to hand over money deposits or identity papers, unless there is a legal requirement to do so. Freedom of Association 1.1.8 No worker should be discriminated against, or be prevented from, joining a trade union. 1.1.9 An open policy must be in place to permit representatives from trade unions to raise issues with the operators of the mill, factory or manufacturing premises or the suppliers. 1.1.10 In countries where the creation and joining of a trade union is not permitted, the operators of the mill, factory or manufacturing premises or the suppliers, should strive to foster parallel means of workers’ representation. 1.1.11 The company expects suppliers to recognise the rights of workers to associate freely and to bargain collectively. No Discrimination 1.1.12 There must be no unjustifiable discrimination in the hiring of workers, the giving of compensation, access to training, promotion, termination of the employment relationship or the retirement of the worker, based on; race, caste, nationality, ethnic origin, religion, age, disability, gender, marital status, sexual orientation, union membership, philosophical views or political affiliation. 1.1.13 All workers must be given a written contract of employment, setting out, amongst other matters; information regarding their employment conditions and wages. Reasonable steps must be taken to ensure that no terms in the written contract of employment with the worker shall be contrary to, or conflict with, any of the terms set out in this Laura Ashley Code of Conduct. Wages 1.1.14 All workers shall be paid at least the minimum national (or local) legal wage or, if no minimum wage is prescribed, a reasonable sum, and payment shall be made either on a weekly or monthly basis, without unlawful and unreasonable deductions. 1.1.15 Workers must receive all benefits to which they are entitled. 1.1.16 There must be no deductions from wages as a result of disciplinary measures having been taken. 1.1.17 Disciplinary and grievance procedures to be clearly documented and communicated to all employees. 1.1.18 Disciplinary incidents of a serious nature to be documented. Working Hours 1.1.19 Working hours, whether ordinary working hours or overtime, must comply with all applicable laws. 1.1.20 Overtime payments will be paid in accordance with national legislation. 1.1.21 All workers shall be entitled to at least one day off, in every seven-day period. 1.1.22 A night worker’s normal working hours must not exceed an average of 8 hours for each 24 hour-period. 2 ENVIRONMENTAL ISSUES 2.1 2.2 A valid and correct pollution licence must be held (where applicable). The limits on discharge of effluent, as set out in the licence, must be upheld and all such analysis must be recorded in writing. Where there is no legal requirement to hold a pollution licence, pollution levels must not materially exceed normal industry standards. 2.3 3 WORKING CONDITIONS 3.1 All workers must be treated with respect and dignity and shall be provided with a safe and healthy environment in which to work. All national (or local) laws and regulations relating to health and safety must be followed. 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 The premises must be well lit, must be well ventilated, and must have adequate and safe heating facilities. Every worker must have access to clean drinking water, clean toilet facilities and hygienic facilities for the storage of food. There must be no physical acts of punishment to workers. There must be no psychological, or any other form of non-physical abuse of workers (e.g. threats of violence, sexual harassment, or extreme shouting etc.) All machinery must be maintained to a safe and reasonable standard, to ensure that workers are not at any unreasonable risk whilst using that machinery, or whilst being near to the machinery during its operation. Workers must be provided with all necessary safety equipment and clothing, as deemed to be appropriate, and such equipment shall, at the very least, comply with minimum national safety standards. Training must be carried out, as necessary, to ensure that both the machinery and the safety equipment and clothing are being used correctly. All dangerous, combustible and hazardous materials must be stored, used and disposed of, in a correct and safe manner. All fire exits and all routes to fire exits, must be free from obstruction and clearly sign-posted in the local and common language or with a commonly recognised symbol or pictogram. Fire drill practices must be carried out at least twice a year, and all fire practices must be recorded in writing. 4 DORMITORY CONDITIONS 4.1 Accommodation for workers must meet all national (or local) legal requirements relating to health and safety, and shall in any event, be fit for dignified human habitation. Workers living in dormitory accommodation must be free to enter and exit the premises, to the extent that such freedom of movement is deemed reasonable. 4.2 5 ACCESS 5.1 Representatives of Laura Ashley must be allowed unrestricted access to: (a) Mills, factories and any manufacturing premises where products and goods are manufactured or produced for Laura Ashley. (b) Warehouses and other premises in which Laura Ashley products are stored. (c) All relevant records, files and associated archives. Access must be permitted at all times, whether notice is provided in advance, or not. 6 HOMEWORKERS 6.1 Home workers; are any persons who are employed by the operators of the mills, factories or any other manufacturing premises or by other persons or companies involved in the handling, supply, transfer and transportation of 6.2 6.3 Laura Ashley products and goods, and who do not perform their services on the premises of the place of employment. Terms and conditions as set out in this Laura Ashley Code of Conduct, shall also apply to home workers, in so far as reasonably possible. Laura Ashley does not permit the use of the services of children under the age of 14, or under the minimum working age, whichever is higher, in any manner whatsoever, including the provision of services by homeworkers. GUIDELINES FOR REPRESENTATIVES OF LAURA ASHLEY INSPECTING FACTORY PREMISES 1 A safe and healthy working environment must be provided. 2 All national (or local) laws and regulations relating to working conditions, including, but not limited to laws relating to health and safety, sanitation, fire safety, risk protection, electrical fittings and appliances and the structure of premises, must be followed and complied with. 3 The premises must be well lit and must be well ventilated, whether by windows that open, working air-conditioning units or fans and must also have adequate and safe heating facilities. 4 Every worker must have access to clean drinking water, clean toilet facilities and hygienic facilities for the storage of food. 5 There must be no physical acts of punishment to workers. 6 There must be no psychological or any other form of non-physical abuse of workers (e.g. threats of violence, sexual harassment, or excessive shouting etc.). 7 All machinery must be maintained to a safe and reasonable standard to ensure that workers are not at any unreasonable risk whilst using the machinery or whilst being near to the machinery during its operation. 8 Workers must be provided with all necessary safety equipment and clothing, as deemed to be appropriate, and such equipment shall, at the very least, comply with minimum national safety standards. Training must be carried out, as necessary, to ensure that both the machinery and the safety equipment and clothing are being used correctly. 9 All dangerous, combustible and hazardous materials must be stored, used and disposed of, in a correct and safe manner. 10 All fire exits and all routes to fire exits, must be free from obstruction and clearly sign-posted in the local and common language or with a commonly recognised symbol or pictogram. 11 Fire drill practices must be carried out at least twice a year, and all fire practices must be recorded in writing. 12 All fire extinguishers, appropriate to the possible types of fire, must be located in the correct area within the premises. 13 There must be at least one fire alarm on each floor. 14 All exits, aisles and stairwells must be free from obstruction. Stairwells must have emergency lighting. 15 All doors and exits must be kept unlocked during working hours and exit doors must open outwards. 16 Well-stocked and well-maintained first aid kits must be available on every floor on the premises. GUIDELINES FOR REPRESENTATIVES OF LAURA ASHLEY INSPECTING LIVING CONDITIONS 1 Accommodation for workers must meet all national (or local) legal requirements relating to health and safety, and shall in any event, be fit for dignified human habitation. 2 The accommodation per worker, in the sleeping quarters, must meet the minimum national (or local) legal standards. 3 Accommodation must be well ventilated with windows that open, and with fans, air conditioning units or heaters in all rooms that provide adequate air circulation, ventilation and temperature control. 4 All workers must be provided with either a mat or a bed and storage for clothing and personal possessions. Lockable units should also be provided for the safe storage of each worker’s valuable personal possessions. 5 All fire exits must be clearly marked, and all routes to fire exits must be free from obstruction and clearly sign-posted in the local and common language or with a commonly recognised symbol or pictogram. Evacuation directions must be posted in all sleeping quarters (in the local language). 6 All stairwells must have emergency lighting. 7 All fire extinguishers, appropriate to the possible type of fire, must be located in the correct area, which must be always easily accessible. 8 There must be at least two fire alarms on each floor (one at each end). 9 Accommodation must have adequate lighting. 10 Sleeping quarters must be segregated according to sex. 11 There must be adequate clean and hygienic toilet and shower/bathing facilities, which must be segregated according to sex. 12 There must be access to clean drinking water and hygienic facilities for food storage. 13 Workers living in this accommodation must be free to enter and exit the premises, to the extent that such freedom of movement is deemed reasonable.