Corporate Social Responsibility

Dyaco UK Ltd's policy on Ethical Business Practices in Purchasing and Supply Management distils aspects of current developments in the area, including:

a) the Ethical Trading Initiative ("ETI") Base Code

b) the Core Conventions of the International Labour Organisation ("ILO")

c) the UN Declaration on Human Rights

Dyaco UK Ltd's position on Social Responsibility Issues in Purchasing and Supply Management is broadly set out below and the Supplier and Contract Personnel are required by Dyaco to adhere (and procure that their respective suppliers also adhere) to the following principles:

Employment is Chosen (No Forced Labour)

a) Employees should be free to choose to work for the Supplier or Contract Personnel

b) Employees should be free to leave the Supplier or Contract Personnel after reasonable notice is served

c) Suppliers and Contract Personnel should not use forced, bonded or non-voluntary prison labour

Employment Relationships

The Supplier and Contract Personnel should establish recognised employment relationships with their employees that are in accordance with their national law and good practice

a) The Supplier and Contract Personnel's employees should be provided with an easy to read contract of employment with particular clarity in relation to wage levels

b) In the event that employees are unable to read, the contract of employment should be read and explained to them by a union representative or another appropriate third party

c) The Supplier and Contract Personnel should not seek to avoid providing employees with their legal or contractual rights

Freedom of Association

a) The Supplier and Contract Personnel should not prevent or discourage employees from joining trade unions

b) The Supplier and Contract Personnel's employees should be able to carry out reasonable representative functions in the workplace

c) The Supplier and Contract Personnel should not discriminate against employees carrying out representative functions

d) Where the law restricts freedom of association and collective bargaining, the Supplier and Contract Personnel should facilitate alternative means of representation.

Living Wages

a) Wages and benefits should at least meet industry benchmarks or national legal standards. As a minimum, the wages paid to the Supplier and Contract Personnel's employees should meet their basic needs

b) Neither the Supplier nor Contract Personnel should make deductions from wages unless permitted by national law or with the permission (without duress) of the employee

c) The Supplier and Contract Personnel should always pay in cash and not in kind, e.g. goods, vouchers

Suppliers Employees' Working Hours

Working hours should comply with national laws or industry standards

a) The Supplier and Contract Personnel's employees should not be expected to work more than 48 hours per week on a regular basis

b) On average, the Supplier and Contract Personnel's employees should be given one day off approximately every seven days

c) The Supplier and Contract Personnel should not pressurise employees into working overtime; overtime should be voluntary and not be demanded on a regular basis; where overtime is requested by the Supplier or Contract Personnel it should be reimbursed at an appropriate rate and should not exceed 72 hours in any week

Supplier's Treatment of Employees

a) Under no circumstances should the Supplier or Contract Personnel abuse or intimidate employees, in any fashion

b) Any disciplinary measures should be recorded

c) The Supplier and Contract Personnel should have a grievance/appeal procedure that is clear, easy to understand and should be given to the employee in writing

d) In the event that the Supplier or Contract Personnel's employees are unable to read, the grievance/appeal procedure should be read and explained to them by a union representative or another appropriate third party

Law

The Supplier and Contract Personnel should always work within and adhere to the laws and applicable regulations of their country of incorporation or residence and any country in which they operate

Health and Safety

a) The Supplier and Contract Personnel should assign responsibility for health and safety to a senior management representative

b) The Supplier and Contract Personnel should have appropriate health and safety policies and procedures and these should be demonstrable in the workplace

c) The Supplier and Contract Personnel's employees should be trained in health and safety policy and procedures

d) The Supplier and Contract Personnel should monitor compliance with health and safety policy

e) The Supplier and Contract Personnel should provide employees (at the Supplier's expense) with any necessary health and safety equipment, e.g. gloves, masks, helmets

f) Working conditions should be comfortable and hygienic

g) The Supplier and Contract Personnel should identify specific hazards, e.g. substances or equipment, and should implement processes to minimise risk

h) The Supplier and Contract Personnel's employees should have access to clean toilets

i) The Supplier and Contract Personnel's employees should have regular breaks and have access to water suitable for drinking and washing as a minimum

Child Labour

In principle, Dyaco UK Ltd (and therefore Dyaco and the Customers) are against the use of child labour and believes its long-term elimination is ultimately in the best interests of children. However, the elimination of child labour must always be undertaken in a manner consistent with the best interests of the children concerned. The Supplier and Contract Personnel should seek to ensure that they and their organisation's suppliers comply with the following:

a) Development or participation in and contribution to policies and programmes which provide for the transition of any child found to be performing child labour to enable her or him to attend and remain in quality education until no longer a child

b) Not employing children or young persons under 18 at night or in hazardous conditions

c) In any event the course of action taken by the relevant person shall be in the best interest of the child, conform to the provisions of ILO Convention 138 and be consistent with the United Nation's Convention on the Rights of the Child

In this context, 'child' refers to any persons less than 15 years of age, unless local legislation on the minimum age stipulates a higher age for work or mandatory schooling, in which case the higher age shall apply. 'Young person' refers to any worker over the age of a child, as defined above, under the age of 18

Discrimination

The Supplier and Contract Personnel should have a policy of equality for all in the workplace with no discrimination on the basis of race, caste, religion, nationality, age, gender, marital status, sexual orientation, disability, union membership or political affiliation.

Non-Discrimination

The Supplier and Contract Personnel do not require employees to disclose personal HIV/AIDS information.

Provision of Education, Testing, Treatment Services

Where HIV/AIDS is a significant issue in the supplier's location of operations, suppliers should educate workers about the risk of HIV/AIDS and assist in providing access to treatment and medication as necessary. Additionally, suppliers should not tolerate discrimination against any worker who is or is perceived to be HIV-positive or living with AIDS

Mandatory Testing

The Supplier and Contract Personnel must not require that employees are subjected to mandatory HIV/AIDS tests

Environmental Impact

In addition Dyaco has created minimum expectations in relation to Environmental Impact. Therefore, Suppliers and Contract Personnel are asked to give consideration to minimising their negative impact on the environment when supplying goods and services to Dyaco suppliers and should be able:

a) To adhere to all environmental legislation, regulations and all local laws to facilitate the protection of the environment.

b) To have a process that ensures conformity to local regulations, including those relating to the handling, recycling, and the elimination and disposal of dangerous materials.

c) To have concern for the environment and an action plan to reduce the company's impact (e.g. energy reduction program, waste stream management and recycling)

d) To work actively to improve the environment and proactively to pursue any initiatives that bring about that improvement.

e) To measure the impact on the environment and set targets to reduce that impact/ improve performance

By entering into the Contract the Supplier agrees to be bound by the principles set out in this Declaration.

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