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IRIS USA Code of Conduct

IRIS USA, Inc.'s Code of Conduct policy reflects our commitment to our employees and to the communities in which we live and work. IRIS USA strives to put into place programs that treat employees with dignity and respect, and provide them a safe and environmentally responsible setting in which to work. IRIS USA expects our suppliers to have similar programs in place and to operate in a manner consistent with the standards reflected in this Code of Conduct. IRIS USA may end its relationship with any supplier who fails to meet these expectations, or who doesn’t require the same commitment from a sub-supplier.

Legal Compliance

IRIS USA expects its suppliers to comply with all applicable national and/or local laws and regulations related to such areas as labor, immigration, health and safety, the environment, etc. IRIS USA also expects its suppliers will provide their employees with adequate information and training in relation to all relevant legal, regulatory and internal requirements that apply to their jobs.

Labor Standards

Voluntary Labor – All work must be voluntary. Use of forced, prison or indentured labor is prohibited.

Child Labor – The use of child labor in any stage of manufacturing is prohibited. The term “child” refers to any person employed under the age of 18 (or 16 where the law of the country permits), under the age for completing compulsory education, or under the minimum age for employment in manufacturing in the applicable country, whichever is greater. The use of workplace apprenticeship programs, which comply with all legal regulations, is supported.

Hiring & Employment Practices – Suppliers must implement hiring practices that ensure equal employment opportunity for all qualified applicants and employees. All employment decisions, such as hiring, promoting, demoting, transferring, establishing working conditions, and terminating must be made in compliance with applicable anti-discrimination laws. Suppliers must establish hiring practices that accurately verify an employee’s age and legal right to work in the country in which the work is to be performed.

Humane Treatment & Non-Discrimination – No employee shall be subject to abuse, cruel or unusual disciplinary practices, or discrimination in employment on the grounds of race, color, religion, creed, national origin, sexual orientation, age, gender, disability, or veteran’s or non-veteran’s status.

Work Hours -- Employees are not permitted to work more than 14 hours in a day, or more than 60 hours in a week. Employees are not permitted to work more than six consecutive days; every employee must be given at least one day off in every seven days worked. All overtime must be on a voluntary or contractual basis.

Wages & Benefits – Compensation and benefits are to be provided in accordance with all applicable wage and benefit laws. At a minimum, suppliers are encouraged to provide wages and benefits that are sufficient to meet employees’ basic needs and provide some discretionary income.

Health & Safety – Employees must be provided a safe and healthy work environment that is in compliance with national laws and regulations.

Dispute Resolution – Suppliers must provide a mechanism that fosters communication between employees and management and allows employees to express complaints and desires without fear of reprisal; that ensures employees’ concerns and problems are recognized and addressed appropriately; and that serves to check managers’ and supervisors’ understanding and implementation of company policies.

Freedom of Association – Employees must have the right to join associations of their own choosing or to refrain from joining them in accordance with applicable laws and without unlawful interference.

Environmental Standards

Suppliers must ensure compliance with all applicable environmental laws, including all laws related to the handling of chemicals in an environmentally-safe way, the handling, storing and disposal of hazardous waster in an environmentally-safe way, and recommended routines to avoid and/or reduce air pollution. Suppliers are also encouraged to implement programs and practices that reduce waste by contributing to the recycling and reuse of materials and products.

Ethics

IRIS USA requires a high standard of ethical behavior from all its employees and expects them to conduct themselves in their dealings with outside parties in a manner that does not reflect negatively on the Company or create a conflict of interest. Accordingly, IRIS USA requires that all transactions between IRIS USA, its employees and outside parties be based on competitive factors relating to price, quality, delivery, previous record, etc, not on favor or preference. Likewise, IRIS USA expects its suppliers to honor these standards.

Communications

Suppliers must take appropriate action to ensure that the content and understanding of the IRIS USA Code of Conduct and the principles embodied therein are communicated to its employees.

Monitoring

IRIS USA shall have the right, via an independent auditing firm, to conduct periodic on-site visits for the purposes of conducting audits of production operations, payroll and personnel records, and safety, work and environmental practices that might determine compliance or non-compliance with the IRIS USA Code of Conduct. If an on-site inspection reveals non-compliance with the IRIS USA Code of Conduct, action plans must be developed to correct the issues of non-compliance in a manner satisfactory to IRIS USA. If a supplier fails to correct any area of non-compliance, or demonstrates non-compliance of a grave character, IRIS USA maintains the right to immediately terminate the business relationship.

Notice

Suppliers shall promptly notify IRIS USA in writing if any failures to comply with the IRIS USA Code of Conduct occur.