A Message from Our Chief Executive Officer...QAF-239 01/31/2018 A Message from Our Chief Executive...
Transcript of A Message from Our Chief Executive Officer...QAF-239 01/31/2018 A Message from Our Chief Executive...
QAF-239 01/31/2018
AMessagefromOurChiefExecutiveOfficer
Oursuccessasacompanywillbejudgedasmuchbythemannerinwhichweconductbusinessasbyourfinancialresultsortheproductswedelivertoourcustomers.Tothisend,CarlingTechnologieshasadoptedtheseCorporatePoliciesandCodeofConductasareaffirmationofourcommitmenttoethicalconductandfairdealingascornerstonesofourbusiness.Thesepoliciesreaffirmourcommitmenttofullcompliancewithalllawsandregulationsgoverningourbusiness,andourrespectforinternationalconsensusregardinghumanrightsandtheenvironment.
ThepoliciescontainedintheCodeofConductcannotprovideanswersforeverysituationthatmayarise,butratherareintendedtoassistusindecidingtherightcourseofconductwhenconfrontedwithdifficultbusinesssituationsandissues.Noteverycompanypolicyordirectiveiscontainedinthisdocument.
Eachandeveryemployeehasaroletoplayinensuringcompliancewiththesepolicies,andemployeesinmanagementpositionshaveaspecialresponsibilitytofosteranenvironmentsupportiveofthesepolicies.Pleasetakethetimetoreadandunderstandthesepolicies,andifyouhaveanyquestionsdon’thesitatetocontactyourmanager,HRrepresentativeortheLegalDepartment.
ThankyouforcontributingtothelegacyofintegrityweenjoyatCarlingTechnologies.Sincerely,
RichardSorensonPresident
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Introduction
Oursuccessasacompanywillbejudgedasmuchbythemannerinwhichweconductbusinessasbyourfinancialresultsortheproductswedelivertoourcustomers.Tothisend,theshareholdersofCarlingTechnologies,Inc.anditssubsidiaries(collectively,“Carling”)haveapprovedthisCorporatePolicyManualandCodeofConduct(this“Code”orthe“Policies”),asareaffirmationofourcommitmenttocorporatesocialresponsibility,ethicalconductandfairdealingascornerstonesofourbusiness.ThisCodereaffirmsourcommitmenttofullcompliancewithalllawsandregulationsgoverningourbusiness,andourrespectforinternationalconsensusregardinghumanrightsandtheenvironment.
CarlingTechnologiesisbuiltuponafoundationofstrongcorporatevaluesandbusinesspractices.WearefullycommittedtoservingourcustomersandemployingindividualswithpersonalstandardsconsistentthoseofourCompany:integrity,professionalismandcommitmenttosuperiorresults.OurCorporatePoliciesandCodeofConductaredesignedtodeterwrongdoingandtopromote:
• Honestandethicalconduct,includingtheethicalhandlingofactualorapparentconflictsofinterestbetweenpersonalandprofessionalrelationships;
• Full,fair,accurate,timely,andunderstandabledisclosureinreportsanddocumentswefilewithregulatoryagenciesandinourotherpubliccommunications;
• Compliancewithapplicablelaws,rules,andregulations;• ThepromptinternalreportingofviolationsofthisCode;and• AccountabilityforadherencetothisCode.
TheCodeappliestoalldirectors,officers,andemployeesoftheCompanyanditssubsidiaries.AgentsandcontractorsoftheCompanyarealsoexpectedtoread,understand,andabidebythisCode.ThisCodeshouldhelpguidetheconductofCarling’semployeesinthecourseofourbusiness.ManyoftheprinciplesdescribedinthisCodeare,however,generalinnature,andtheCodedoesnotcovereverysituationthatmayarise.UsecommonsenseandgoodjudgmentinapplyingthisCode.IfyouhaveanyquestionsaboutapplyingtheCode,itisyourresponsibilitytoseekguidance.ThisCodeisnottheexclusivesourceofguidanceandinformationregardingtheconductofourbusiness.Youshouldconsultapplicablepoliciesandproceduresinspecificareasastheyapply.
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I. Labor
Havingadiverseworkforce--madeupofteammemberswhobringawidevarietyofskills,abilities,experiencesandperspectives--isessentialtooursuccess.Wearecommittedtotheprinciplesofequalemploymentopportunity,inclusionandrespect.ThesevenstandardssetforthbelowestablishthecommitmentoftheCompanytoprotectthehumanrightsofworkers,andtotreatthemwithdignityandrespect.Thesestandardsapplytoallworkersincludingtemporary,migrant,student,contract,directemployees,andanyothertypeofworker.
Thelaborstandardsare:
A) FreelyChosenEmployment
Forced,bonded(includingdebtbondage)orindenturedlabor,involuntaryprisonlabor,slaveryortraffickingofpersonsshallnotbeused.Thisincludestransporting,harboring,recruiting,transferringorreceivingpersonsbymeansofthreat,force,coercion,abductionorfraudforlabororservices.Thereshallbenounreasonablerestrictionsonworkers’freedomofmovementinthefacilityinadditiontounreasonablerestrictionsonenteringorexitingcompany-providedfacilities.Aspartofthehiringprocess,workersmustbeprovidedwithawrittenemploymentagreementintheirnativelanguagethatcontainsadescriptionoftermsandconditionsofemploymentpriortotheworkerdepartingfromhisorhercountryoforigin.Allworkmustbevoluntaryandworkersshallbefreetoleaveworkatanytimeorterminatetheiremployment.Employersandagentsmaynotholdorotherwisedestroy,conceal,confiscateordenyaccessbyemployeestoemployees’identityorimmigrationdocuments,suchasgovernment-issuedidentification,passportsorworkpermits,unlesstheholdingofworkpermitsisrequiredbylaw.
Workersshallnotberequiredtopayemployersoragentsrecruitmentfeesorotheraggregatefeesinexcessofonemonth’ssalary.Allfeeschargedtoworkersmustbedisclosedandfeesinexcessofonemonth’ssalarymustbereturnedtotheworker.
B) YoungWorkers
Childlaborisnottobeusedinanystageofmanufacturing.Theterm“child”referstoanypersonundertheageof15,orundertheageforcompletingcompulsoryeducation,orundertheminimumageforemploymentinthecountry,whicheverisgreatest.Theuseoflegitimateworkplacelearningprograms,whichcomplywithalllawsandregulations,issupported.Workersundertheageof18(YoungWorkers)shallnotperformworkthatislikelytojeopardizetheirhealthorsafety,includingnightshiftsandovertime.Carlinganditssuppliersshallensurepropermanagementofstudentworkersthroughpropermaintenanceofstudentrecords,rigorousduediligenceofeducationalpartners,andprotectionofstudents’rightsinaccordancewithapplicablelawandregulations.TheCompanyshallprovideappropriatesupportandtrainingtoallstudentworkers.Unlesspermittedbylocallaw,thewagerateforstudentworkers,internsandapprenticesshallbeatleastthesamewagerateasotherentry-levelworkersperformingequalorsimilartasks.Intheeventthatitisdiscoveredthataworkerundertheageof15hasbeenemployedbytheCompanyinerror,the
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LegalandQualitydepartmentsmustbeconsultedtodeterminethebestcourseofactiontoprovideforthewelfareofthesubjectworkerinaccordancewithlocallaws.
C) WorkingHours
Studiesofbusinesspracticesclearlylinkworkerstraintoreducedproductivity,increasedturnoverandincreasedinjuryandillness.Workweeksarenottoexceedthemaximumsetbylocallaw.Further,aworkweekshouldnotbemorethan60hoursperweek,includingovertime,exceptinemergencyorunusualsituations,andinnoeventshallworkweeksofmorethan60hoursexceed1%ofthetotalworkweeksduringany52weekperiodforeachfacilityandundernocircumstancesshallanyworkweekexceed72hours.
Workersshallbeallowedatleastonedayoffeverysevendays.
D) WagesandBenefits
Compensationpaidtoworkersshallcomplywithallapplicablewagelaws,includingthoserelatingtominimumwages,overtimehoursandlegallymandatedbenefits.Incompliancewithlocallaws,workersshallbecompensatedforovertimeatpayratesgreaterthanregularhourlyrates.Deductionsfromwagesasadisciplinarymeasureshallnotbepermitted.Foreachpayperiod,workersshallbeprovidedwithatimelyandunderstandablewagestatementthatincludessufficientinformationtoverifyaccuratecompensationforworkperformed.Alluseoftemporary,dispatchandoutsourcedlaborwillbewithinthemoststringentlimitsprovidedbylawsapplicabletothejurisdictioninwhichtheworkerisemployed.
E) HumaneTreatment
Thereistobenoharshandinhumanetreatmentincludinganysexualharassment,sexualabuse,corporalpunishment,mentalorphysicalcoercionorverbalabuseofworkers;noristheretobethethreatofanysuchtreatment.Disciplinarypoliciesandproceduresinsupportoftheserequirementsshallbeclearlydefinedandcommunicatedtoworkers.
F) Non-Discrimination
Carlinganditssuppliersmustbecommittedtoaworkforcefreeofharassmentandunlawfuldiscrimination.NeitherCarlingnoranyofitssuppliersshallengageindiscriminationbasedonrace,color,age,gender,sexualorientation,genderidentityandexpression,ethnicityornationalorigin,disability,pregnancy,religion,politicalaffiliation,unionmembership,coveredveteranstatus,protectedgeneticinformationormaritalstatusinhiringandemploymentpracticessuchaswages,promotions,rewards,andaccesstotraining.Workersshallbeprovidedwithreasonableaccommodationforreligiouspractices.Inaddition,workersorpotentialworkersshouldnotbesubjectedtomedicaltestsorphysicalexamsthatcouldbeusedinadiscriminatoryway.
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G) FreedomofAssociation
Inconformancewithlocallaw,Carlinganditssuppliersshallrespecttherightofallworkerstoformandjointradeunionsoftheirownchoosing,tobargaincollectivelyandtoengageinpeacefulassemblyaswellasrespecttherightofworkerstorefrainfromsuchactivities.Workersand/ortheirrepresentativesshallbeabletoopenlycommunicateandshareideasandconcernswithmanagementregardingworkingconditionsandmanagementpracticeswithoutfearofdiscrimination,reprisal,intimidationorharassment.
II. Environment
Carlingbelievesthatbusinesscanhaveaprofoundimpactinprotectingourenvironmentandsafeguardingthefutureofourplanet.Asasociety,wenowareconfrontedwithchallengesrangingfromdepletionofresourcestoglobalclimatechange.Carlingiscommittedtobeingaleaderintakingactionsthatwillhelpaddresstheseenvironmentalissues,withthegoalofinsuringahealthy,safeandeconomicallythrivingworldforallofus.
Withthissignificantresponsibilityinmind,Carlinghasestablishedthefollowingobjectives,andiscommittedtomakingthempartofitsoperatingphilosophy:
• Carlinganditssuppliersshallmeetorexceedallapplicablelawsandregulationsrelatingtotheprotectionorconservationoftheenvironment.
• Allrequiredenvironmentalpermits,approvalsandregistrationsaretobeobtained,maintainedandkeptcurrentandtheiroperationalandreportingrequirementsaretobefollowed.
• Carlingshallbeanenvironmentallyresponsibleneighborinthecommunitieswhereitoperates,byactingresponsiblytocorrectconditionsthatendangertheenvironment.
• Carlingshallconserveresourcesbyreusingandrecyclingmaterials,purchasingrecycledmaterials,andusingrecyclablepackagingandothermaterialswhereverfeasible.
• Chemicalsandothermaterialsposingahazardifreleasedtotheenvironmentaretobeidentifiedandmanagedtoensuretheirsafehandling,movement,storage,use,recyclingorreuseanddisposal.Systemsmustbeimplementedtocontrolandpreventcontaminationofanystormwaterrunoff.
• Carlingshallworktoimproveenergyefficiency,reducegreenhousegasemissions,andgivepreferencetorenewableovernon-renewableenergysources.
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• Carlingshallcomplywithallapplicablelaws,regulationsandcustomerrequirementsregardingprohibitionorrestrictionofspecificsubstancesinproductsandmanufacturing,includinglabelingforrecyclinganddisposal,includingwithoutlimitationanyREACHand/orRoHSdirectives.
• Carlingshallcontinuallyimprovemanufacturingprocessestominimizeeffectsontheenvironmentandreducewaste,andpreventair,waterandotherpollution.
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III. HealthandSafety
Carlingrecognizesthat,inadditiontominimizingtheincidenceofwork-relatedinjuryandillness,asafeandhealthyworkenvironmentenhancesthequalityofproductsandservices,consistencyofproduction,andworkerretentionandmorale.Ongoingworkerinputandeducationisessentialtoidentifyingandsolvinghealthandsafetyissuesintheworkplace.
A) OccupationalSafety
Workerexposuretopotentialsafetyhazards(e.g.,electricalandotherenergysources,fire,vehicles,andfallhazards)istobecontrolledthroughproperdesign,engineeringandadministrativecontrols,preventativemaintenance/safeworkprocedures(includinglockout/tagout),andongoingtraining.Wherehazardscannotbeadequatelycontrolledbythesemeans,workersaretobeprovidedwithappropriate,well-maintained,personalprotectiveequipmentandeducationalmaterialsaboutriskstothemassociatedwiththesehazards.Workersshallbeencouragedtoraisesafetyconcerns.
B) EmergencyPreparedness
Potentialemergencysituationsandeventsshallbeidentifiedandassessed,andtheirimpactminimizedbyimplementingemergencyplansandresponseproceduresincluding:emergencyreporting,employeenotificationandevacuationprocedures,workertraininganddrills,appropriatefiredetectionandsuppressionequipment,adequateexitfacilitiesandrecoveryplans.Suchplansandproceduresshallfocusonminimizingharmtolife,theenvironmentandproperty.
C) OccupationalInjuryandIllness
Proceduresandsystemsaretobeinplacetoprevent,manage,trackandreportoccupationalinjuryandillnessincludingprovisionsto:encourageworkerreporting;classifyandrecordinjuryandillnesscases;providenecessarymedicaltreatment;investigatecasesandimplementcorrectiveactionstoeliminatetheircauses;andfacilitatereturnofworkerstowork.
D) IndustrialHygiene
Workerexposuretochemical,biologicalandphysicalagentsistobeidentified,evaluated,andcontrolled.Engineeringoradministrativecontrolsmustbeusedtocontroloverexposures.Whenhazardscannotbeadequatelycontrolledbysuchmeans,workerhealthistobeprotectedbyappropriatepersonalprotectiveequipmentprograms.
E) PhysicallyDemandingWork
Workerexposuretothehazardsofphysicallydemandingtasks,includingmanualmaterialhandlingandheavyorrepetitivelifting,prolongedstandingandhighlyrepetitiveorforcefulassemblytasksistobeidentified,evaluatedandcontrolled.
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F) MachineSafeguarding
Productionandothermachineryshallbeevaluatedregularlyforsafetyhazards.Physicalguards,interlocksandbarriersaretobeprovidedandproperlymaintainedwheremachinerypresentsaninjuryhazardtoworkers.
G) Sanitation,Food,andHousing
Workersaretobeprovidedwithreadyaccesstocleantoiletfacilities,potablewaterandsanitaryfoodpreparation,storage,andeatingfacilities.Workerdormitoriesaretobemaintainedtobecleanandsafe,andprovidedwithappropriateemergencyegress,hotwaterforbathingandshowering,adequateheatandventilation,andreasonablepersonalspacealongwithreasonableentryandexitprivileges.
H) HealthandSafetyCommunication
Workersshallbeprovidedwithappropriateworkplacehealthandsafetytrainingintheirprimarylanguage.Healthandsafetyrelatedinformationshallbeclearlypostedinthefacility.
IV. UnauthorizedPayments/Bribery/MoneyLaundering
Employeesmaynotoffer,pay,promisetopay,orauthorizepaymentanyCarlingcompanyfundsorotherassetstoanypersoninhisindividualcapacityforthepurposeofobtainingorretainingbusiness,orforobtainingorrewardingfavorabletreatmentinanygovernmentorcommercialrelationship.Suchpaymentsmayberegardedasbriberyandmayviolatethelawsofmanycountries.Paymentsprohibitedbythispolicymaynotbemadeindirectlythroughanintermediary.Furthermore,paymentsmaynotbemadeundercircumstanceswhichsuggestsuchpaymentswillbeusedinamannerinviolationofthispolicy.
Thefollowingareexamplesofprohibitedpayments:
A) SuppliersandCustomers.
Nopaymentmaybemadetoanemployeeoragent,inhisindividualcapacity,ofavendororcustomerforthepurposeofinfluencinghisconductinrelationtothevendor’sorcustomer’sbusinesswithCarling.Paymentsofnominalamountsoritemsofnominalvaluemaybemadeinaccordancewithestablishedlocalbusinesspractices,solongasproperlydisclosedandreportedinthecompany’sbooksandrecords,inordertoprovidecasualentertainmentgiftsorgratuitiestoindividualsotherthangovernmentofficials.
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B) Governments.
Nopaymentmaybemadetoanofficial,employeeoragent,inhisindividualcapacity,ofanygovernmentforthepurposeof(a)influencinghisconductinhisofficialcapacity,or(b)inducinghimtousehisinfluencetoaffectanyactofgovernmentforthepurposeofobtainingorretainingbusinessforCarling.Suchpaymentsmaybeillegalandmayresultinsignificantcriminalpenalties.Theanti-briberylawsofmanycountriesprohibitCarlingfromofferingorgivinganymoneyoranythingofvalue,directlyorindirectly,throughathirdparty,toagovernmentofficialforthepurposeofimproperlyobtainingormaintainingbusinessorsecuringanimproperadvantage.Theprohibitionappliestogiftsandgratuitiesofanykind,travelandentertainment,offersofemploymentorcontributionstocharity.A“Governmentofficial”generallyincludesnotonlyofficersandemployeesofagovernmentorgovernment-controlledentityorenterprise,butalsoofficersoremployeesofapublicinternationalorganization,apoliticalpartyorofficialthereof,oracandidateforpublicoffice.
Inparticular,theU.S.ForeignCorruptPracticesAct(FCPA)makesitacrimeforCarling,oranyofitssubsidiaries,officers,agents,oremployeestodirectlyorindirectlyofferorpayabribetoaforeignofficial.TheFCPAappliestopaymentstoanyforeignofficial,regardlessofrankorposition.Theterm“foreignofficial”referstoanypersonactinginanofficialcapacityforanyofthefollowing:
• Anyforeigngovernmentincludinganydepartment,agency,militarybranch,courtorlegislature
• Anypartiallyorwholly-ownedgovernmententity,suchasanationalizedcorporationorindustry
• Anypoliticalparty,includingpartyofficialsorcandidates• Employeesofpublicinternationalorganizations(oranyoftheirdepartmentsoragencies)
suchasTheWorldBank,theInternationalFinanceCorporationortheRedCross• Anymemberofaroyalfamily
Paymentstoaforeignofficialareconsideredcorruptwhenmadeforthepurposeofinfluencingaforeignofficialtomisusehisorherofficialcapacityinawaythathelpsourcompanyobtainorretainbusinessorobtainlegislation,regulation,orrulingsthatwouldbenefitourbusiness.IfCarlingcannotobtainacontractwithoutpayingabribe,youshouldreportthemattertoyoursupervisorandtheLegalDepartmentandceaseanynegotiationswiththesubjectparty.
Inlimitedcircumstances,paymentsofnominalamountsmaybemadeinaccordancewithestablishedlocalbusinesspractices,solongassuchpaymentsarefullydisclosedandaccuratelyreportedintheCompany’sbooksandrecords,inordertopersuadegovernmentemployeeswithadministrativeorclericaldutiestoproperlyperformtheirgovernmentalactsandservices.Becausethelawsthatapplytogovernmentemployeesarecomplex,theLegalDepartmentmustbeconsultedbeforeanyofferofanygift,entertainmentorbenefitofanykindismadetoagovernmentemployee.Nosuchpayment,however,maybemadewithoutthepriorapprovaloftheseniorlocalmanager.
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C) Non-EmployeeRepresentatives.
AnypersonwhoisnotanemployeebutactsonbehalfofCarlinginanymanner(e.g.,aconsultant,agent,etc.)mustcomplywiththispolicyandanyapplicableanti-briberylaws.
Carlingforbidsknowinglyengagingintransactionsthatfacilitatemoneylaunderingorresultinunlawfuldiversion.TheCompanyshalltakeaffirmativestepstodetectandpreventunacceptableorillegalformsofpaymentandfinancialtransactions.Anti-moneylaunderinglawsoftheUnitedStatesandothercountriesandinternationalorganizationsrequiretransparencyofpaymentsandtheidentityofallpartiestotransactions.Wearecommittedtofullcompliancewithanti-moneylaunderinglawsthroughouttheworldandwillconductbusinessonlywithreputablecustomersinvolvedinlegitimatebusinessactivitiesandtransactions.
V. AntitrustandFairCompetition
CarlingiscommittedtocompliancewithallapplicablelawsregardingantitrustandtraderegulationinthecountrieswhereCarlingdoesbusiness.Carlingrepresentativesshallatalltimesengageinopenandfairprocurementactivitiesregardlessofnationalityorthesizeofthetransaction.Suppliersshallbeselectedonacompetitivebasisbasedontotalvalue,whichincludesquality,suitability,performance,service,technology,andprice.
Thefollowingbusinessarrangementsmaypotentiallyraiseissuesundervariousantitrustlawsinmanycounties:
A)PriceFixing.Agreementsbetweencompetitorstofixorinfluencethepricesatwhichtheysellto,orbuyfrom,thirdpartiescanbeillegal.Anillegalagreementmaybeimpliedwithoutformalcontracts,writings,handshakes,orevenexpresswordsindicatingagreement.
B)ResalePriceMaintenance.Itmaybeillegalforasuppliertoagreewithadistributoronaminimumresalepriceforthesupplier’sproduct.
C)DivisionofMarketsorProductLimitations.Itmaybeillegalforcompetitorsorpotentialcompetitorstoagreetodividemarketsbygeographicareas,customersorproductlines,orlimitthevolumeofgoodswhichtheysell.
D)Boycotts.Itmaybeillegaliftwoormorepartiesagreenottodobusinesswithathirdparty,eventhougheachpartymayhavealegitimatebasisforanindividualrefusaltodobusiness.Acompany,actingunilaterally,however,isnormallyfreetoselectthepartieswithwhichitwilldeal.
E)Tying,Reciprocity&Exclusivity.Itmaybeillegaltosellcertaingoodsorservicesonlyontheconditionthatthecustomeralsobuyssomeothergoodsorservicesfromtheseller.Itmayalsobeillegaltoconditionpurchasesfromasupplieronreciprocalpurchasesofother
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goodsorservicesbythesupplier.Itmaybeillegaltorequireacustomertobuyitsrequirementsofaparticularproductfromasingleseller.
F)RestrictionsonDistribution.Incertaincircumstances,somerestrictionsondistributionmaybeillegal,suchasrestrictingterritorieswithinwhichdistributorsmayoperateorthecustomerstowhomtheymaysell.
G)DiscriminationBetweenCustomers.Alegalquestionmayberaisedifthesamegoodsaresoldtocompetingcustomersatdifferentprices.IntheU.S.,thepricediscriminationmaybejustifiedifthedifferencesarecostjustifiedorpriceshavebeenestablishedingoodfaithtomeetacompetitor’sprices.Itmaybeillegaltoprovideadvertisingorpromotionalallowances,ortoprovideothersalesassistancetocustomers,unlessthepaymentsorservicesaremadeavailableon“proportionallyequalterms”toallcustomers.
H)Monopolization&AttemptstoMonopolize.Amonopolizationchargeisariskifacompanycontrolsadominantsegmentofthemarketforaproductorserviceinagivengeographicarea,orifacompanyengagesinunfairactionstoattainthatposition.
I)UnfairMethodsofCompetition.Certaindeceptiveorunfairpracticeswhichtakeunfairadvantageofcustomers,competitors,orthegeneralpublicmaybeillegal.Thesepracticesinclude,butarenotlimitedto,makingmisleadingorunsubstantiatedadvertisingclaims,theftoftradesecretsordisparagingcompetitorsbymakingfalsestatementsabouttheirproductsorfinancialstatus.
U.S.federallawrequiresthatcertaingovernmentprocurementrulesrelatedtoethicsandbusinessconductarefloweddowntosubcontractors.Employeesareexpectedtoknowandcomplywithallgovernmentprocurementrulesapplicabletoourbusiness.
VI. EmployeeInformationPrivacy
Carlingrespectstheconfidentialityofthepersonalinformationofitsemployees.Thisincludesemployeemedicalandpersonnelrecords.Accesstopersonalinformationshallonlybeauthorizedwhenthereisalegitimateandlawfulreason,andaccessisonlygrantedtoappropriatepersonnel.RequestsforconfidentialemployeeinformationfromanyoneoutsidetheCompanyunderanycircumstancesmustbeapprovedinaccordancewithourpolicies.
Anytransmissionofpersonaldatashallbemadeonlyincompliancewithapplicablelawsgoverningtheprivacyofemployeedata,bothinthehomecountryoftheemployeeandoftheCarlingentitytransmittingandreceivingsuchdata.
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VII. ConfidentialInformation
ManyemployeesinthecourseoftheiremploymenthaveaccesstoconfidentialinformationthatisofconsiderablevaluetoCarlingorthatcouldpotentiallyexposeCarlingtoliabilityifimproperlydisclosed.Confidentialinformation,forexample,canbefinancial,(revenues,earnings,sales),productrelated(futureproductplans,technicaladvances,drawingsandspecifications),orpersonnelandfacilitiesdecisions.
Employeeswhopossesssuchinformationhaveaspecialresponsibilitytokeepsuchinformationconfidential.Thismeansthatprecautionsshouldbetakennottodiscloseconfidentialinformationunlessnecessaryforbusinesspurposes.Carlingisinvolvedinanumberofrelationshipswithoutsideparties,includingcustomers,whichrequireadditionalcarewithrespecttoconfidentialinformation.Disclosureofsuchnon-publicinformationmay,insomecases,constituteacrimeandsubjectthedisclosertocriminalpenalties.
ReleasesofconfidentialinformationoutsidetheCompanyshouldonlybemadewiththeapprovalofaVicePresidentwiththemostdirectresponsibilityforthematter,whowillconsultwiththeCEOinthecaseofmattersofmajorsignificance.FinancialinformationshouldonlybereleasedwiththeapprovaloftheChiefFinancialOfficer.
Technicalknow-howandtradesecretsareparticularlysensitive.Allsuchinformationrecordedindrawings,blueprints,reports,memos,emailsandotherdocumentationmustcarrythelegend“CarlingTechnologiesConfidentialProprietaryInformation”.Itistheresponsibilityofthemostseniormanagerateachlocationtocontrolaccesstocompanypremisesbyvisitorstopreventtheinadvertentdisclosureofconfidentialinformation.
VIII. Procurement
Webelieveindoingbusinesswiththirdpartiesthatembraceanddemonstratehighprinciplesofethicalbusinessbehavior.Werelyonsuppliers,contractors,andconsultantstohelpusaccomplishourgoals.Tocreateanenvironmentwhereoursuppliers,contractors,andconsultantshaveanincentivetoworkwithCarling,theymustbeconfidentthattheywillbetreatedinanethicalmanner.Weofferfairopportunitiesforprospectivethirdpartiestocompeteforourbusiness.Themannerinwhichweselectoursuppliersandthecharacterofthesuppliersweselectreflectonthewayweconductbusiness.
AllprocurementsofgoodsandintangiblesshallbemadethroughthePurchasingDepartmentoremployeeassignedpurchasingresponsibilityatthespecificCarlinglocation.Eachprocurementrequiresawrittencontract,eitherintheformofaproperlyexecutedstandardpurchaseorder(fortangiblegoods)oranagreementpreparedorreviewedbytheLegalDepartment(forservicesandintangibles).
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Eachpersondealingwithapotentialsuppliershouldnotifysuchsupplierthatthecompanywillnotbecommittedtoanyprocurementwithoutapurchaseorderoragreement.Thisisparticularlyimportantbecauseoralcommunicationsundercertaincircumstancesmaybeconsideredbinding.OnlyPurchasingDepartmentpersonnelareauthorizedtosignpurchaseordersandcommitCarlingtoprocurementofgoods.Whereservicesandintangiblesarepurchased,thetermsandconditionsoftheCompany’srelationshipwiththeserviceprovidershallbegovernedbyanagreementreviewedorpreparedbytheLegalDepartment.
TheCompanyshallmaintainaProcurementManualspecifyingthedetailedproceduresandrequirementsforprocurement.EverysuppliermustbequalifiedpursuanttoproceduresspecifiedbytheQualityControlpersonnelateachlocation,whichisresponsibleformaintainingacurrentlistofallqualifiedvendors.AllsuppliersmustcomplywiththeCompany’sCodeofConductforSupplierspreparedfromtimetotime.
IX. ConflictsofInterest
EveryemployeehasadutyofundividedloyaltytoCarling.ThismeansthatemployeesshouldmakedecisionsobjectivelyandintheCompany’sbestinterests.Competingpersonalinterestscaninterferewithanemployee’sjudgmentorcreateanunfavorableimpressionorimplicationofimpropriety.Forthesereasons,eachemployeeshouldeitheravoidorfullydiscloseinwritingtothecompanyanyactivity,interest,associationorrelationshipthatcouldconflictwiththeindependentexerciseofhisorherjudgmentinthebestinterestsofthecompany.Carlingbelievesthatmostquestionsinvolvingapotentialconflictofinterestcanbeequitablyresolvedifadequatelydisclosedtoandreviewedbymanagement.Followingareexamplesofcircumstancesinwhichconflictsofinterestfrequentlyarise:
• Owning,directlyorindirectly,asignificantfinancialinterestinanyentitythatdoesbusiness,seekstodobusiness,orcompeteswiththeCompany.
• Holdingasecondjobwhichmayinterferewithanemployee’sabilitytodohis/herregularjob:
• Employing,consulting,orservingontheboardofacompetitor,customer,supplier,orotherserviceprovider:
• Hiringasupplier,distributor,orotheragentmanagedorownedbyarelativeorclosefriend:• Solicitingoracceptinganycash,gifts,entertainment,orbenefitsfromanycompetitor,
supplier,orcustomer,wherethebenefitexceedscommonbusinesscourtesiesofmodestvalueconsistentwithcustomaryethicalbusinesspractices;
• Employingafamilymemberorsomeonewithwhichyouhaveaclosepersonalrelationship;and
• TakingpersonaladvantageofcorporateopportunitiesinwhichtheCompanyhas,ormayhave,aninterest.
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Nopolicycansetoutacompletelistofallpossibleconflictsofinterest.Somecircumstanceswillclearlyindicateaconflict,andinthosecases,anemployeeshouldonhisowninitiativeresolveoravoidtheconflict.However,thefollowingrestrictionshavebeenadoptedtoavoidcertainconflictsofinterest:
A) Gifts.Noemployeeormemberofhisfamilyorotherclosepersonalrelationshouldacceptanygift,service,hospitalityorotherbenefitfromanypartydoingorattemptingtodobusinesswithCarling,orfromacompetitor,wherethatgift,service,hospitalityorotherbenefitexceeds$50individually,or$100intheaggregateinanyyear.AnygiftsinexcessofthisamountmustbereportedtotheseniorlocalmanagerandtheLegalDepartment.Giftsprovidedtobusinesspartnersmaynotexceedthegreateroftheaboveamountoranyapplicablelimitsprovidedbytherecipient’spolicies.
B) Family/PersonalRelationshipsFamilymembersoremployeeswithaclosepersonalrelationshipshouldnotbeemployedinasituationwhereonewillsuperviseorevaluatedirectlyorindirectlytheother’sperformanceorwheretheworkingenvironmentmaybeaffectedbytherelationship.Additionally,ifanyemployeeproposestoenterintoanybusinesstransactionwithafamilymember(orwhereafamilymemberistheprimarybusinesscontact),suchrelationshipshouldbedisclosedtotheLegalDepartmentpriortotransactinganybusiness.
X. TradeCompliance
EmployeesandotherrepresentativesofCarlingareresponsibleforcomplyingwithapplicablelawsandregulationsthatgoverntheimportandexportofproducts,technicaldataandservices.Allproductsimportedorexportedintoanycountryshallbeproperlymarkedinaccordancewithsuchlawsandregulations,andanyaccompanyingpaperworkrequiredundersuchlawsmustbetimelysubmitted.
TheLegalDepartmentmayissuepoliciesorinstructionsregardingcompliancewithapplicablelawsandregulationsfromtimetotime,andthesepoliciesandinstructionsmustbestrictlyadheredto.Lawsandregulationsgoverningimportsandexportsarecomplexandmaychangefrequently.Failuretocomplywiththeselawsandregulationscanresultinsignificantcriminalandcivilpenalties,includinglossofimportprivileges.EmployeesshouldseekadvicefromtheLegalDepartment.
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ReportingViolationsToreportviolationsoftheCodeofConductwithoutfearofretribution,employeesmaymakeanonymousreportsofviolations.TheCompanyhasestablishedaComplianceLinewhichwillbeoperatedbyanoutsideagencytoofferasimplewaytomakeanonymousreportsofviolationsorotherirregularities.EmployeesmaycalltheEthicsHotLineat1-866-530-8140tollfree24hoursaday,ormaylogreportsonlinebyvisitinghttps://CarlingTech.EthicalAdvocate.com.Anyemployeewhoreportsaviolationwillbetreatedwithdignityandrespectandwillnotbesubjectedtoanyformofdisciplineorretaliationforreportingingoodfaith.Retaliationagainstanyonewhoprovidesinformationorotherwiseassistsinaninvestigationorproceedingregardinganyconductthattheemployeebelievesingoodfaithconstitutesaviolationofapplicablelawsorregulations,thisCodeofConduct,orCarling’srelatedpoliciesisprohibitedandwill,initself,betreatedasaviolationoftheCodeofConduct.ComplianceEmployeesareresponsibleforunderstandingandcomplyingthisCodeofConduct.Supervisorsareresponsibleforassistingtheirstaffsinunderstandingthesepoliciesandensuringcompliance.Ifaviolationisfound,theappropriateCarlingcompanywilltakeappropriatedisciplinaryaction,whichwillincludeoneormoreofthefollowingsanctions:awarning(whichmaybenotedinemployeepersonnelrecord),suspension,termination,andreferralforcivilactionorcriminalprosecution.Disciplinaryactionmayalsobetakenagainstemployeeswhodeliberatelyfailtoreportaviolation,employeeswhodeliberatelywithholdrelevantandmaterialinformationconcerningaviolation,andemployeeswhofalselyreportviolations.CertificationInordertoensurethateachemployeeisawareofhis/herobligationsunderthisCodeofConduct,theimportanceofcomplyingwithsuchobligations,andtheavenuesinwhichviolationsofthisCodeofConductmaybereported,theCompanyrequireseachemployeetoacknowledgethathe/shehasreadandunderstoodeachofthePoliciessetforthinthisCodeonanannualbasis.TheacknowledgementformwillbeprovidedtoeachemployeeinJanuaryofeachcalendaryear,andincludesasectioninwhichemployeesmayidentifypotentialconflictsofinterestandviolationsoftheCodeofConduct.
QAF-239 01/31/2018
TO: Quality and Legal Departments, Carling Technologies, Inc.
CERTIFICATE
I hereby certify that I have read and understand all of the policies set forth in the Carling Technologies, Inc. Corporate Policies and Code of Conduct and I have complied and will continue to comply with those policies, except as otherwise disclosed below.
.
________________________________ (Employee Signature)
________________________________ (Please Print Name)
________________________________ (Date)
DISCLOSURE:
REPORTING VIOLATIONS
To report another’s violations of the Company’s Code of Conduct without fear of retribution, or to request advice when in doubt about the propriety of a particular act or omission, call or write to the Legal Department at +1 (860) 793-7772 or [email protected].
Employees also may, if they wish, make reports of violations of the Code of Conduct anonymously. The Company has a Compliance Hotline operated by an outside agency to offer a simple way to make anonymous reports of violations or other irregularities. Employees may call the Ethics Hotline at 1-866-530-8140 toll free 24 hours a day, or may log reports online by visiting https://CarlingTech.EthicalAdvocate.com.