LKAB has a strong stance on business integrity, and we are following the international guidelines defined by the UN Global Compact's ten principles, "Children's Rights and Business Principles" (CRBP), the OECD's guidelines for multinational companies and the UN's guiding principles relating to companies and human rights.
The LKAB Group (referred to below as LKAB) has a strong stance on business integrity and we follow the international guidelines defined in the following: the Ten Principles of the UN Global Compact, the Children’s Rights and Business Principles (CRBP), the OECD Guidelines for Multinational Enterprises, the UN Guiding Principles on Business and Human Rights, and the UN Sustainable Development Goals (also known as Agenda 2030). LKAB encourages its suppliers to implement these guidelines in their own operations and value chain. We condemn all forms of corruption and fraud, and demand transparency, integrity and honesty in all aspects of our business, in all countries. Similarly, we dissociate ourselves from child labour, forced labour and working conditions that may be seen as harmful, offensive or downright dangerous. Climate and the environment make up another area included in this Supplier Code of Conduct.
LKAB wants to set an international example in sustainable development and its operations are to enable the long-term development of communities that create value for future generations and generate prosperity.
LKAB wants to build relationships with suppliers that are mutually beneficial and that are based on shared values and expectations of how we act. We are keen to engage with our suppliers in constructive, transparent and enriching dialogue about improvements and about how we can together contribute to setting an example in sustainability. Part of this development work is linked to sustainability audits.
This Supplier Code of Conduct applies to all suppliers of goods and services that work with LKAB on a contractual basis, and also to their employees. The Supplier Code of Conduct is not designed to be applicable to occasional or small one-off payments, such as taxi journeys, restaurant meals, purchase of train tickets or similar.
In this Supplier Code of Conduct the collective term “suppliers” refers to all kinds of suppliers, including contractors, suppliers, distributors, subcontractors, consultants and agents. As a supplier you are responsible for all actors in your own supply chain. LKAB’s suppliers, including its subcontractors, must always comply with relevant legislation, rules and regulations in the countries in which they carry on business.
The Supplier Code of Conduct is made up of two parts: basic requirements and enhanced requirements.
All suppliers must fulfil LKAB’s basic requirements from the very first delivery of a product or service.
The enhanced requirements either go into greater depth in the areas covered by the basic requirements or relate to other additional areas of requirements. In consultation with LKAB, audited suppliers are to draw up an action plan detailing the activities that need to be implemented in order to fulfil the enhanced requirements and the date by which this is to be achieved. However, LKAB expects all suppliers to aim to fulfil the enhanced requirements.
LKAB reserves the right to visit the supplier’s premises in order to follow up and audit the supplier’s compliance with LKAB’s Supplier Code of Conduct or equivalent requirements. The audit is intended to be a constructive activity that allows us to together develop the sustainability work further. The supplier is expected to contribute to the audit by acting transparently. The audit consists of a review of documents and processes and of how implementation takes place in practice. All information in the audit is treated as confidential.
In the same way, LKAB’s suppliers are expected to evaluate their own supply chain to ensure that it complies with the requirements in LKAB’s Supplier Code of Conduct or equivalent requirements. If non-conformances are found at LKAB’s supplier or in its supply chain, this is to be remedied as soon as possible at no additional cost to LKAB. If the supplier is guilty of serious non-conformances or repeatedly demonstrates that it is unwilling to make improvements, this may put the supplier’s business relationship with LKAB at risk. Audits do not remove or limit the supplier’s obligations or liability to LKAB.
“SPEAKUP” WHISTLEBLOWER SYSTEM
Everyone is urged to notify suspected breaches to LKAB, so that LKAB finds out about them in time and is able to remedy situations, ways of working and incidents that contravene our Code of Conduct, policies, laws, rules and guidelines and risk harming the company, our employees or any outside party.
For more information about SpeakUp and how to report something, see the link below: