IMPLEMENTING A SUPPLIER CODE OF CONDUCT
PILLARS: Governance
MATERIAL DRIVERS: Sustainable Procurement, Human Rights
THE CHALLENGE
As the largest importer of rugs from Nepal, The Rug Company needed to champion tradition while making a vital contribution to the Nepalese economy and its craftspeople.
APPROACH & ACTIONS
The Rug Company worked with Positive Luxury to develop and implement a Supplier Code of Conduct. This included: anti-corruption, human rights, labour conditions, whistleblowing, privacy and confidentiality, and more. Its purpose was to ensure that:
- Workers’ employment is freely chosen
- Workers are provided living wages
- Working conditions are safe and hours not excessive
- No discrimination, harsh or inhumane treatment
RESULT
100% of Tier 1 suppliers have formally signed up to its Code of Conduct. All suppliers must now present a formal human rights policy, including a statement of actions to protect against slave labour. These actions are supported by over 75% of all suppliers undergoing an annual on-site ESG audit. Through Positive Luxury’s ESG assessment process, The Rug Company was also able to track measurable improvements in both its Sustainable Procurement and Human Rights performance drivers.
LEARN MORE ABOUT THE RUG COMPANY
