Code of Conduct

This Code of Conduct sets forth the requirements for suppliers regarding working conditions and environmental issues.

Dangaard Group A/S places great value on its employees and appreciates suppliers that take steps to ensure they are regarded as valued employers, find ways to distinguish themselves as excellent companies, and are thus able to attract and retain the best personnel.

1. Labor and Working Conditions
Working conditions and terms of employment must comply with national labor, social security, and occupational health and safety laws, as well as the principles and international standards of the International Labor Organization’s (ILO) core conventions. The human resources policy must be clear, understandable, and accessible to all workers and the Supplier.

Employee Right to Regular Employment - Regular employment should be provided. All workers must have the right to a written employment contract.

No Forced Labor - Employment must be freely chosen, and workers must be free to leave the premises after their shift ends. No worker may be forced to remain employed longer than they wish. Guards may be stationed only for standard security reasons. The use of any form of corporal or physical punishment or harassment is unacceptable.

No Child Labor—Under no circumstances may children under the national minimum age for admission to employment or work be hired by the Supplier to perform any occupation other than in special cases clearly described in ILO Convention No. 138 (Concerning the Minimum Age for Admission to Employment and Work) of 1973. The minimum age shall not be less than the age at which compulsory schooling is completed and, in any case, children shall always be protected from work that could be harmful to their well-being or jeopardize their health, safety, or morals.

No Discrimination—There must be an anti-discrimination policy in the workplace to ensure that workers are protected from abuse, harassment, bullying, and discrimination. Workers must not suffer any negative consequences or be dismissed due to illness or pregnancy. Discrimination in the workplace and inequality based on religion, race, gender, age, disability, sexual orientation, or ethnic background are not permitted. Workers with the same competence, qualifications, and experience shall have equal opportunities and receive equal compensation.

Freedom of Association - Workers must be able to freely join any labor union. Workers must also have the right to peacefully and legally demonstrate and strike. Any form of penalty against workers who participate in any of the above activities is unacceptable.

Grievance Mechanism - The Supplier must have a viable and transparent grievance mechanism for workers to raise reasonable workplace concerns. Management must be committed to addressing the raised concerns appropriately and fairly.

Working Hours and Leave - The number of working hours per week must comply with national law or, in the absence of such law, must ensure humane and safe working conditions. Workers must be afforded sufficient free time to rest and recover. Overtime must be voluntary and compensated. All workers must be entitled to vacation, sick leave, maternity leave, national holidays, and other applicable leave with benefits in accordance with national law.

Wages and Benefits—All workers must be paid a fair wage and overtime compensation at a level no less than the minimum wage established by law. In the absence of such legislation, a decent wage for the work performed—sufficient to provide for the worker’s family’s basic needs, including food and housing—constitutes the minimum acceptable wage. Workers must be paid regularly and on time. Basic income security should be provided in cases of need, including for health care, sickness, old age, disability, unemployment, injury, maternity, family responsibilities, and death, in accordance with local legislation. It is recommended that factories provide child care for workers with young children, where applicable.

Health and Safety—The supplier’s facility or facilities must meet basic humane standards, such as clean drinking water, hygienic restrooms, and adequate lighting, ventilation, and temperature control. Workers must be permitted to attend to their basic needs and take breaks for meals. Workers must not be exposed to any danger at work. Machinery must be equipped with appropriate safety features. Safety measures must comply with or exceed legal requirements. Workers must have access to appropriate personal protective equipment free of charge. All workers whose duties include tasks requiring the use of personal protective equipment must be instructed and, if necessary, trained in the use of such equipment. First aid supplies and medical assistance must be available during every shift in case of accidents. The Supplier must have a documented emergency prevention, preparedness, and evacuation procedure in place. There should be a sufficient number of unobstructed emergency exits on each floor of the Supplier’s building(s) to ensure that all employees can be evacuated safely. These exits must be accessible at all times; if locked, a key must be placed next to the door inside breakable glass to ensure access. All of the Supplier’s buildings must be equipped with up-to-date fire and safety equipment, which is inspected regularly. Evacuation and emergency procedures, emergency exits, and relevant equipment must, at a minimum, comply with local regulations. Workers must be trained in emergency evacuation. It is essential that all workers have the skills and training required for their respective jobs. Work must begin only after adequate training has been provided to reduce the risk of danger. Risks in all workplaces must be identified and minimized to the extent reasonably possible. Occupational accidents, illnesses, and incidents must be monitored. If a specific risk or hazard is identified, relevant measures must be taken to minimize further exposure of workers to that risk or hazard to the extent reasonably possible.

2. Corruption and Bribery
The ethical guidelines require that all business relationships be conducted without personal gain. Corruption or bribery cannot be tolerated, whether by direct or indirect means, in the form of money, gifts, or other unfair advantages. Employees and suppliers are urged not to misuse their position to grant unwarranted personal or business advantages. Furthermore, they are not permitted to give inappropriate gifts to business partners. Gifts to government officials or federal employees must be avoided. Employees are permitted to accept low-value gifts in accordance with national customs and practices, provided that the intention is not to influence the recipient.

3. Community Involvement
The Supplier must identify and assess potential risks and impacts of its operations on local residents in the event of accidents, environmental releases, and major changes in operations. A procedure must be in place for handling complaints and other issues raised by local residents. The Supplier is encouraged to disclose information relevant to local residents in an open and appropriate manner. The requirements of national law regarding public information and consultation must always be met. The Supplier must respect the cultural heritage of the community and ensure that the rights of indigenous peoples and traditional livelihoods are not jeopardized.

4. Climate and Environmental Issues
The ethical guidelines state that the company prioritizes and strives for processes, methods, products, and services that have a minimal impact on the environment. The Supplier must take responsibility for its impact on the environment and human health. Environmental standards, permits, and regulations shall, at a minimum, comply with the requirements established by the country in which the factory is located. Ideally, they are based on a global perspective.

Use of Chemicals—The Supplier must certify that all products and their packaging delivered are fully compliant with the provisions of the REACH Regulation (1907/2006/EC) and/or the required safety standards, depending on the product and the territory in which the product will be marketed. All materials used in production must not contain any substances of very high concern (SVHC) in concentrations exceeding 0.1% by weight, as defined in the applicable SVHC Candidate List. In accordance with Article 33(1) of the REACH Regulation, the Supplier must promptly provide Dangaard Group A/S and its relevant business units with information regarding changes to their list of chemical suppliers when such changes affect manufactured products. The Supplier must also immediately report any article containing a newly identified SVHC in concentrations exceeding 0.1% (w/w) as soon as the substance is included in the SVHC candidate list.

Origin of Materials - The Supplier must ensure that all materials used in the production of goods are legal. Upon request, the Supplier will provide the necessary information regarding the source of the materials used.

Handling of Wastewater/Effluent Discharge and Air Emissions—All emissions and effluents to air, water, and soil must be minimized and controlled to comply with local or national laws and other requirements set by authorities. Emissions, effluents, and waste management must be monitored to ensure compliance with local or national laws and other requirements in all situations. Best available techniques and practices should be used for pollution abatement and control, taking into account the technical characteristics of the facility in question, its geographical location, and local environmental conditions to ensure a high level of protection for the environment as a whole.

Handling of Solid Waste and Hazardous Waste—Waste shall be managed by reputable, legally authorized, and licensed enterprises. The Supplier shall seek opportunities to minimize the use of hazardous chemicals and other materials to the extent reasonably possible. The storage and handling of chemicals and other hazardous materials shall be safe, and releases into the environment shall be minimized and adequately controlled.

Noise - Noise levels must comply with national limits, and employees working in noisy environments must have access to protective equipment free of charge.

Minimized and Controlled Waste and Emissions – The Supplier should always strive to minimize its environmental impact by improving energy efficiency, optimizing processes, and using as few environmentally hazardous products or substances in production as possible.

Protection of Biodiversity—The Supplier must strive to minimize adverse effects on biodiversity in the planning and implementation of its operations and projects. In particular, the Supplier shall avoid causing harm to any endangered species and their habitats. No operations or projects shall be located in environmental conservation areas protected under local or national law or other statutes. It is recommended that areas of high importance for biodiversity (e.g., wetlands) be avoided whenever possible, and in any case, impacts on such areas must be carefully minimized.

5. Compliance
The purpose of this Code of Conduct is to encourage the Supplier to act responsibly. The Supplier is obligated to comply with the standards set forth in this Code of Conduct upon signing the document.

Dangaard Group A/S has the right to audit the Supplier’s facilities or request information to verify compliance. The same requirements also apply to any subcontractors hired by the Supplier.

If Dangaard Group A/S observes any actions that violate this Code of Conduct and such violations are not remedied within an agreed-upon timeframe, Dangaard Group A/S is free to terminate the agreement with the Supplier.