Ergo Technology Group
Supplier Code of Conduct

Purpose

This Supplier Code of Conduct (herein referred to as “the Code”) outlines Ergo’s requirements of its strategic suppliers with regards to sustainability, environmental performance, and human rights.

Ergo expects its suppliers to fully comply with the requirements outlined within this Code, and to respect the principles outlined in its Responsible Sourcing Policy. These documents form part of Ergo’s Responsible Sourcing Strategy, which is a core component of its overall approach to sustainability and responsible business in general. This approach has been developed in respect of environmental and human rights regulations, as well as in accordance with international sustainable development frameworks such as the United Nations Sustainable Development Goals.

Scope

In order to do business with Ergo, strategic suppliers must demonstrate alignment to Ergo’s responsible sourcing values through undertaking the following actions.

Regulation Compliance and Standard Alignment

Suppliers must:

• Comply with all applicable laws and regulations in the regions in which they operate, including obtaining the relevant licences and permits necessary for their sector.
• Report to Ergo any incidences of non-compliance, including any fines or sanctions for non-compliance with legal requirements within one month of such non-compliance.
• Act with respect for international sustainability frameworks and human rights agreements, such as the United Nations Sustainable Development Goals, and OECD Guidelines for Multinational Enterprises.

In addition, we expect certain suppliers to meet requirements applicable to their sector. Namely, software suppliers will have attained or must be able to demonstrate that they are actively seeking to attain, ISO 27001 for information security management, whilst our hardware suppliers must be able to provide Product Carbon Footprints, Environmental Product Declarations, or Life Cycle Assessments.

Human Rights, Modern Slavery and Working Conditions

Suppliers must:

• Prohibit modern slavery, child labour, and forced labour from their own operations and supply chain. Checks must be made to ensure all workers benefit from secure employment contracts, and any risks of modern slavery should be investigated and addressed immediately. Ergo expects its suppliers to have a Modern Slavery Policy in place to demonstrate the prohibition of modern slavery or be working towards having such a policy in place.
• Provide positive working conditions for their employees, including the provision of compliant working contracts, living wages for all employees, proper work-life balance, and allowance for freedom of association and collective bargaining.
• Ensure employees benefit from a safe and healthy working environment, through having in place health and safety policies and procedures and making every effort to avoid any health and safety risk for employees whilst at work.
• In addition, we expect hardware suppliers to work towards having a Conflict Minerals Policy in place, and to meet any reporting requirements imposed on them by the EU Conflict Minerals Regulation, as well as the US Dodd-Frank Act.
• Environmental Stewardship
• All suppliers must:
• Embed the principles of sustainable developments across their business and ensure that all activities do no significant harm to the atmosphere, oceans, ecosystems, and nature in general.
• Adopt an impact-based approach to sustainability, by prioritising action on actual negative environmental and social impacts caused by their business. This should include undertaking a materiality assessment to identify such impacts.
• Actively work towards a reduction of carbon emissions in their own operations and supply chain. This includes providing Ergo with annual carbon footprint data, starting with the measurement and reporting of Scope 1 and 2 emissions data, and working towards the measurement and reporting of their Scope 3 emissions data. Following this, we expect suppliers to work towards setting carbon reduction targets and having a decarbonisation strategy in place to meet these targets.
• Prioritise the waste hierarchy to maximise resource efficiency, and to minimise waste generated. Actions to demonstrate this includes prioritising the prevention of waste through making efforts to reuse, repair, and repurpose products and materials, and to recycle all material components and by-products of your operations instead of disposing of the waste unnecessarily. For hardware producers, we expect products to be designed to ensure durability and longevity, including providing access to spare parts and repair manuals for users of their products to extend the use phase of their products.
• Reduce unnecessary packaging used in products and strive to include recycled content in packaging as well enable the recycling of packaging provided along with products.

 

Business Conduct

Suppliers must:

• Ensure they conduct business to high ethical standards, including prohibiting corruption and bribery in their operations, having a whistleblowing policy in place, establishing a strong and healthy culture in their workplace
• Adopt a sustainable approach to procurement, and consider environmental and social criteria in their relationships with their suppliers. A starting point to ensuring responsible sourcing is to develop a Supplier Code of Conduct, outlining your expectations of suppliers regarding sustainability.

Monitoring, Enforcement, and Improvement

Ergo commits to monitoring and enforcing the requirements outlined in this code to ensure compliance and continuous improvement. To this end, suppliers must acknowledge that Ergo retains the right to request data demonstrating your compliance with this code. Suppliers must also agree to participate in Ergo’s supplier management process, which may include responding to surveys and information requests regarding your sustainability journey. In future, this performance management process may be used to benchmark suppliers’ sustainability performance and improvements over time, and minimum scores on the performance management questionnaire may be required to do business with us.

Non-compliance with the expectations outlined in this Code, and any concerns regarding this code should be reported to your Ergo contact for internal escalation. Failure to comply with the requirements of the Code will result in corrective action, and may result in termination of contract.

By entering into a business relationship with Ergo Technology Group, the Supplier acknowledges the expectations outlined in this Code of Conduct and agrees adhering to the requirements outlined herein.

 

Supplier: ________________________

 

Signatory of Behalf of the Supplier: ______________________

 

Signature: _____________________

 

Date of Signature: ___________________