Aeon Supplier Code of Conduct (CoC)

Aeon Supplier Code of Conduct (CoC)

Aeon promises safety and security to our customers. To that end, we believe that we should fulfill our social responsibilities in the manufacturing process as well, and in 2003 we established Aeon own Code of Conduct for Aeon Aeon Supplier Code of Conduct). Aeon Supplier Code of Conduct is a supplier regarding "Production of products in a safe and healthy work environment where the human rights of employees are protected and with proper consideration for stakeholders and the environment". We ask (manufacturing contractors) to comply.
In March 2019, we revised Aeon Supplier Code of Conduct in response to changes in social issues. The content emphasizes that each organization in the supply chain requests the organization related to the company to respond. If each organization tackles these issues, it will lead to the manufacture of safe and secure products, and will also earn the trust and security of stakeholders.

Aeon Supplier Code of Conduct (Shall correspond to our auditing process from September 2019)

1. Laws and Regulations

Shall comply with all applicable legislation, bylaws, and regulations of the countries and regions in which business is operated. Shall also demand that all of your suppliers, subcontractors, and contractors comply with legislation, bylaws, regulations, and our supplier Code of Conduct.

2. Child Labor

There shall be no use of, or support of use of a child who is not yet the older of either age 15 or the age at where a child is allowed to be used in that country. For individuals who have not yet reached the age of 18 or who are at or above the age at which it is legally permitted to use or employ them, education shall be given priority where there are compulsory education laws, and they shall not be placed in a situation where they would be subjected to physical or mental health or developments risks or danger.

3. Forced Labor

The use and employment process shall not be forced or be complicit in force that is against a employees’ will by means of violence, intimidation, restraint, mental or physical means or of unjustly limiting their freedom of conduct.

4. Working Hours

Shall comply with legislation relating to working hours, breaks and holidays and other industry standards. Overtime work must be voluntary, and should not be demanded regularly. In terms of work exceeding statutory working hours, a determinate overtime allowance shall be paid.

5. Wages and Benefits Package

Shall comply with legislation on national wages and benefits. Wages and various benefits shall be paid and deducted in accordance with the relevant legislation and records shall be kept. Wages shall be in excess of the amount required to meet employees’ basic needs. The paid wages shall include overtime allowances and shall be described in a manner comprehensible to employees.

6. Abuse and Harassment

Shall not engage in, have any involvement in or be complicit in any punishment of employees, use of mental or physical force or use of abusive language. Shall not permit any acts of harassment including gestures, language or physical contact in any workplace within the business activity.

7. Discrimination

Shall not discriminate or be complicit in employment discrimination relating to recruitment, wages, promotion, training, termination or retirement on the grounds of race, nationality, ethnicity, gender, age, origin, religion, academic background, physical or mental disability, sexual orientation or gender identity. All decisions pertaining to employment shall be based on criteria relating to the ability to accomplish the required task.???

8. Freedom of Association and the Right to Collective Bargaining

Shall respect employees’ right to organize, join and manage a labour union chosen by theemployees themselves, and for the employees’ representative to enter into collectivebargaining with the company. Where there are legal and regulatory restrictions imposedon the right to freedom of association and collective bargaining, shall establish as analternative measure, a complaint handling system where management and employeerepresentatives can take their concerns and to respond in good faith.

9. Health and Safety

Shall provide employees with a safe and healthy working environment compliant with applicable legislation, in addition to providing effective steps to prevent disease including accidents, injuries and emotional issues relating to potential health and safety. Shall apply similar health and safety standards to dormitories and cafeterias provided to employees.???

10. Environment

It shall not be sufficient to only comply with all legislation relating to the environment of the nation and the region in which manufacturing is being undertaken, instead maximum consideration shall be given to the environment. There shall be confirmation that the raw materials and the products used conform to the legislation of the nation and region from which they are obtained, that international treaties and protocols are being applied and that the environmental policies specified by Aeon are satisfied.

11. Business Transactions

Shall comply with the laws relating to the country of origin of final product and its components and of business transactions of the exporting country and region.

12. Integrity and Transparency

Shall never be involved in unethical actions such as bribery, falsification, manipulation or concealment of records, evidence or testimony in any business activity. Information relating to business activities shall be correctly disclosed in accordance with the applicable regulations and standard business practices.

13. Engagement

Shall integrate the requested content of Aeon’s suppliers Code of Conduct into their own company or their own organisation’s management system, and work throughout the entire organization to resolve social issues occurring throughout the whole supply chain.

Aeon Supplier Code of Conduct is available in the following languages.
? Japanese ? English ? Chinese (Simplified) ? Vietnamese ? Myanmar / Burmese ? Cambodia / Khmer ? Bangladesh / Bengali
? Chinese (Traditional) ? Thai ? Nepali ? Hindi ? Laotian ? Spanish ? Portuguese ? Italian
? Indonesian ? Malay ? Korean

Auditing and Communication with our Suppliers

Briefing session for new suppliers

Declaration of compliance

To protect the human rights of the supply chain, Aeon requires all suppliers who outsource the manufacture of Topvalu products to declare compliance with the Aeon Aeon 's policy and that our suppliers connect with raw material suppliers and suppliers.

External Audits

To enable objective assessments, we outsource the auditing and evaluation at overseas Topvalu production plants to external auditing organizations. The factory will make an improvement plan for the issues discovered during the audit. Six months after the inspection, an Aeon authorized auditor will visit the factory to check if the improvement is progressing as planned.

Second-party Audits

Second-party audits where Aeon certified auditors conduct audits and evaluations are done for the second audit and after for overseas factories, and for the first time and after for Japanese factories. Aeon certified auditors provide advice and help build a self-sustained management system so that suppliers and factories can take the lead in managing and exerting influence on our supply chain.

First-party Audits

Factories that can be managed in-house through two-party audits will be asked to shift to one-party audits. The supplier will check the status of the factory in the questionnaire at Aeon, and if there is a problem, please report the improvement. The purpose of the Supplier Transaction Code of Conduct is not to carry out audits, but to manage it by the suppliers themselves, so it is a mechanism for suppliers who understand the direction to run PDCA in-house.



Employee Training

Training Aeon Certified Auditors

Aeon certified auditors not only conduct audits but also follow up on improvements. In particular, the social environment overseas is changing every year, and the issues vary depending on the country and region. Therefore, we need to build a framework and bring up leaders in each location who can quickly and adequately respond to audit evaluations, auditors, and training to sales representatives.