EC Innovations and its affiliates (collectively referred to as the “company”) are determined to conduct business in accordance with all applicable laws, rules, regulations, and the highest standards of business ethics. Therefore, the company requires all suppliers (as well as their respective affiliates, collectively referred to as “suppliers”) to comply with business ethics and compliance requirements. All suppliers are required to read and adhere to this Supplier Code of Business Conduct and Ethics (“the code”) and train relevant employees to ensure that they understand the code and cooperate in accordance with business ethics and compliance requirements.
1. Lawful Operation
- Suppliers should follow national and local laws and regulations and applicable requirements and refer to applicable laws and regulations of tendering and bidding. These requirements may originate from relevant international organizations.
- Suppliers need to manage their supply chains to ensure the legitimacy of the supply chains.
- Suppliers should strictly implement the contract files in the material procurement project and consciously fulfill the requirements of the contract. If permitted by law, suppliers shall maintain records of their compliance with laws.
- The conduct of business activities must adhere to the principles of openness, fairness, impartiality, integrity, and transparency (except as otherwise required by law), shall not damage the interests of both parties to seek illegitimate interests, and shall not violate the rules and regulations of material procurement and bidding.
- If suppliers violate agreements, regulations, or laws in the business, we shall promptly notify them of such violations, and in serious cases, we may file a complaint or report them to competent authorities.
Clean Cooperation
- Suppliers shall maintain normal business contacts, shall not provide gifts, securities, or valuables in any form, and shall not reimburse, pay, or assume any costs that should be paid by Party A’s employees.
- Suppliers shall not accept requests by Party A’s employees for claiming securities, cash, or cash equivalents such as cash gifts, gift items, payment vouchers, prepaid cards, gift cards, coupons, and electronic gift cards on occasions such as festivals, weddings, funerals, gambling events, and birthdays.
- Suppliers shall not participate in or carry out activities and behaviors such as offering banquets, gym memberships, entertainment, and free use of vehicles that may affect Party A’s fair performance of duties.
- During the processes of Party A’s enrollment, new product development, ratio allocation, performance evaluation, product pricing, quality problem processing, tendering and procurement, emergency procurement, and payment for goods, suppliers should not entice or allow Party A’s employees to seek personal gain by abusing their power, or maliciously collude to seek illegitimate benefits, or illegally accept concessions, discounts, agency fees, and favors from suppliers.
- Party A’s employees shall not introduce their spouses, children, or relatives to suppliers so that they may participate in economic activities such as equipment, materials, procurement, subcontracting, and labor services related to Party A’s material procurement contract. Party A’s employees shall not make recommendations for or require suppliers and related departments to purchase materials other than those required in the material procurement contract.
- Suppliers shall not employ Party A’s employees (current employees or those who have resigned within 1 year) or their relatives to work for suppliers or suppliers’ affiliates in any form.
- Suppliers shall not allow the relatives and friends introduced by Party A’s personnel to engage in their business related to the contract.
- Suppliers shall conduct relevant business through formal channels. Suppliers shall not give gifts, securities or valuables to Party A’s employees. Suppliers shall not invite Party A’s employees to travel and enter commercial entertainment venues, or provide conveniences for Party A’s employees or a third party designated by Party A in terms of home decoration, children’s education, work arrangements for relatives and children, or foreign travel.
- Suppliers shall not provide Party A’s personnel with consumer activities such as private car service, banquets, bathing, fitness services, sauna, tourism, karaoke, and entertainment activities, or private business services such as money lending, car rental, leasing, trading, and gifts.
- Suppliers shall not create private interests for Party A’s employees by means of shareholding, joint venture, cooperation, or OEM.
- Suppliers shall not give gifts, securities, valuables, rebates, facilitation fees, or thank-you gifts to Party A’s leaders and employees for any reason.
- Suppliers shall not conduct business or start enterprises with Party A’s employees or arrange for Party A’s employees or their relatives and friends to work full-time, part-time, or take a temporary post in the supplier’s company or its affiliates to receive remuneration.
3. Prohibition of Child Labor
- Suppliers are prohibited from employing employees under the age of 16 unless permitted by national or local laws and in accordance with the International Labour Organization guidelines.
- When suppliers employ employees who are over 16 years old but under 18 years old, they shall ensure that their working environment and working hours adhere to local laws and regulations of the country or region.
- Suppliers need to adopt legal methods to determine the true age of each employee and carry out systematic file management.
- Suppliers should comply with laws and regulations related to the minimum working age and prohibit the employment of persons, including trainees or school students of any age, which violates the local minimum working age and mandatory educational age regulations.
4. On-time Payment
- According to the requirements of applicable laws, suppliers shall pay wages and provide benefits to all employees in a fair and timely manner.
- Suppliers shall ensure that all hourly wages meet at least the minimum of the legal wage or the minimum wage of the local industry (if higher).
- Suppliers shall pay overtime and bonuses as required by law.
- Suppliers shall provide the wages, benefits, incentives, bonuses, and overtime pay in written form for all employees in accordance with applicable laws.
5. Fair and Equal Treatment
- Suppliers shall not physically, psychologically, or verbally harm employees, and all employees shall be treated with respect.
- Suppliers shall ensure that the workplace is free of discrimination based on race, age, gender, class, political views, religion, marital status, disability, pregnancy, or other non-work-related characteristics.
- Suppliers shall adhere to all laws related to harassment and abuse.
6. Right to Organize and Right to Appeal
- Suppliers shall respect employees’ right to form and join industrial unions and carry out collective bargaining in a peaceful and legal manner as per relevant laws.
- Suppliers shall comply with all applicable laws regarding freedom of association and collective bargaining.
- Suppliers shall not threaten, harass, intimidate, or retaliate against employees engaging in free association or collective bargaining.
- Suppliers shall ensure that employees have the rights and channels to complain and keep such complaints confidential.
7. Environment, Health, and Safety
- Suppliers shall comply with applicable national and local laws and regulations regarding environment, health, and safety, and continuously improve the environment, health, and safety conditions.
- Suppliers shall provide a safe and healthy work environment. If suppliers provide accommodation to employees, they shall ensure the health and safety of employee living spaces.
- Suppliers shall manage the handling of hazardous materials and equipment in a proper manner.
- Suppliers shall provide training and emergency response measures to prevent accidental injuries.
- Suppliers shall take appropriate measures to reduce energy consumption, avoid waste, and protect the environment.
- Suppliers shall dispose of and store hazardous materials and wastes properly, avoiding damage and pollution to the environment.
8. Work Hours
- Suppliers shall adhere to all applicable laws and regulations regarding regular work hours, overtime, and benefits.
- Suppliers shall provide all employees with documents regarding compensation, work hours (including overtime), wage standards, benefits, and any deduction provisions.
- Suppliers shall provide statutory holidays, public holidays, and paid leave for all employees.
- Suppliers shall provide all employees with overtime pay no less than that required by law, or arrange for an equal amount of time off.
- Suppliers shall ensure that the overtime hours of employees do not exceed national or local legal requirements.
9. Voluntary Employment
- Suppliers shall employ workers on a voluntary basis. No prison labor or slave labor shall be employed.
- Suppliers shall not cause physical or psychological harm or impose any form of forced labor on employees.
- At the start of employment, suppliers shall not require employees to pledge their original legal identification documents such as ID cards, household registration books, passports, or driver’s licenses.
- Suppliers shall not impose any compulsory labor on any employee, including but not limited to imprisonment and debt bondage.
- Suppliers shall not imprison employees or restrict their freedom of movement.
- Suppliers shall respect employees’ free choice of career and help employees complete resignation procedures and settlement of wages in accordance with the law.
10. Miscellaneous Terms
- This code defines ECI’s specific requirements regarding suppliers’ social responsibility and environmental management, which apply to all suppliers within the ECI system.
- Suppliers shall take active measures to ensure adherence to the requirements of this code, improve their overall image, and provide better services for ECI.
- Suppliers shall keep relevant records and evidence and render cooperation to ECI if necessary.
