Relevant information for up to one-quarter of the indicators.
|ZTE Corp. (ZTE), a technology hardware company, has taken basic steps to address forced labor risks in its supply chains. It discloses less information than the global sector average. Other Asia-based technology hardware companies such as Foxconn or Hitachi disclose taking stronger steps.|
SUPPLY CHAIN TRANSPARENCY
Supplier List (Including Names and Addresses)
Information on Supply Chain Workforce
SUBSET OF INDICATORS
The KnowTheChain methodology assesses companies’ efforts to address forced labor risks in their supply chains. It is based on the UN Guiding Principles on Business and Human Rights and covers policy commitments, due diligence, and remedy. The methodology uses the ILO core labor standards (which cover the human rights that the ILO has declared to be fundamental rights at work: freedom of association, the right to collective bargaining, and the elimination of forced labor, child labor, and discrimination) as a baseline standard.
Supplier Code of Conduct and Integration into Supplier Contracts
The company has a supplier code of conduct that requires suppliers to respect the ILO core labor standards, which include the elimination of forced labor; and integrates the ILO core labor standards into supplier contracts.
Management and Accountability
The company has a committee, team, program, or officer responsible for the implementation of its supply chain policies that address forced labor and human trafficking.
The company has tasked a board member or board committee with oversight of its supply chain policies that address forced labor and human trafficking.
In the last three years, the company has engaged relevant stakeholders by providing at least two examples of engagements on forced labor and human trafficking with stakeholders such as policy makers, worker rights organizations, or local NGOs in countries in which its first-tier suppliers and suppliers below the first tier operate.
In the last three years, the company has engaged relevant stakeholders by providing actively participating in one or more multi-stakeholder or industry initiatives focused on eradicating forced labor and human trafficking across the industry.
The company discloses details on how it conducts human rights supply chain risk or impact assessments that include forced labor risks or assessments that focus specifically on forced labor risks; and details on forced labor risks identified in different tiers of its supply chains.
The company is adopting responsible purchasing practices in the first tier of its supply chains, which include planning and forecasting; and provides procurement incentives to first-tier suppliers to encourage or reward good labor practices (such as price premiums, increased orders, and longer-term contracts).
The company requires that no worker in its supply chains should pay for a job—the costs of recruitment (i.e., recruitment fees and related costs) should be borne not by the worker but by the employer ("Employer Pays Principle"); and takes steps to ensure that such fees are reimbursed to the workers and/or provides evidence of payment of recruitment-related fees by suppliers if it discovers that fees have been paid by workers in its supply chains.
Freedom of Association
Working with Unions
The company works with independent local or global trade unions to support freedom of association in its supply chains.
Example of Improvements
The company provides at least two examples covering different supply chain contexts of how it improved freedom of association and/or collective bargaining for its suppliers' workers such as migrant workers (e.g., by taking action where suppliers impede workers' rights to freedom of association and/or collective bargaining or by engaging policy makers to improve respect for such rights).
The company takes steps to ensure a formal mechanism to report a grievance to an impartial entity regarding labor conditions in the company's supply chains is available to its suppliers' workers and their legitimate representatives; and discloses data about the practical operation of the mechanism, such as the number of grievances filed, addressed, and resolved, or an evaluation of the effectiveness of the mechanism.
Remedy Programs / Responses to Allegations
If no allegation regarding forced labor in the first or lower tier of a company’s supply chains has been identified and disclosed by a third party(ies) in the last three years, the company discloses a process for responding to potential complaints and/or reported violations of policies that address forced labor and human trafficking; and at least two examples of outcomes of its remedy process in practice, covering different supply chain contexts, for its suppliers’ workers.
If one or more allegations regarding forced labor in the first or lower tier of a company’s supply chains have been identified and disclosed by a third party(ies) in the last three years, the company discloses: a process for responding to potential complaints and/or reported violations of policies that address forced labor and human trafficking; and outcomes of the remedy process in the case of the allegation(s), including evidence that remedy(ies) are satisfactory to the victims or groups representing the victims.
If one or more allegations regarding forced labor in the company’s supply chains have been identified in the last three years, and the company denies the allegation, the company discloses a process for responding to potential complaints and/or reported violations of policies that address forced labor and human trafficking; and a description of what actions it would take to prevent and remediate the alleged impacts.