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Everyone who carries out work within LKAB's operations must be provided with basic protection according to labour law. The demands LKAB places on suppliers are described here.

Basic requirements

LKAB's ambition is to be one of the most innovative and resource-efficient mining companies in the world through commitment, innovation and responsibility. In order to achieve this goal, we place demands on ourselves as well as on our suppliers.

  • We condemn all forms of corruption and fraud, and demand openness, integrity and honesty in all parts of our business operation in every country.
  • We clearly repudiate child labour, forced labour and working conditions that can be viewed as harmful, abusive or directly hazardous.
  • We look after the environment and the communities where we and our suppliers work, and we want to be an international role model in the mining sector when it comes to the environment, ethics, the working environment, equality and diversity.
  • We will run a business that facilitates sustainable social development and generates well-being.

LKAB's basic requirements ensure that we collaborate with suppliers who share our values regarding sustainability, and who have the ambition of developing and being at the forefront regarding these issues. The basic requirements are based on Global Compact's ten principles, UNICEF's "Children's Rights and Business Principles", the OECD's guidelines for multinational companies and the UN's guiding principles relating to companies and human rights. The basic requirements cover eight areas that have to be satisfied by LKAB's suppliers. The basic requirements have to be complied with, both at the suppliers' own facilities and during work carried out on behalf of LKAB.

We also challenge our suppliers to work in the same manner with their suppliers, to ensure that they also satisfy the basic requirements. By working proactively through these areas and ensuring that the requirements are satisfied and complied with, important steps are taken to develop the operation, reduce risks and strengthen both the supplier's and LKAB's brands.

There are no exceptions to the acceptance of LKAB's basic requirements. These requirements apply to existing suppliers as well as to new, potential suppliers. For further information, acceptance of basic requirements and information about current procurements, see LKAB's Supplier portal.

Collective agreements and insurance rules

Everyone who carries out work within LKAB must be provided with basic protection according to labour law. The fundamental requirements that apply to suppliers carrying out work within LKAB are that the company must possess and be able to show:

  • F-tax certificate
  • Swedish collective agreement or substitute agreement with IF Metall (Mining agreement/ME-Mining agreement depending on operation), Byggnads or corresponding trade union.
  • Requisite liability insurance

Safe and effective work

Safe, enjoyable, cost-effective work is achieved in part by taking responsibility. Safe actions involve taking individual responsibility, showing consideration and highlighting deficiencies. The right attitude is decisive when it comes to preventing ill health and accidents. Dangerous working methods and risky behaviour are never acceptable! The goal is zero accidents and for nobody to be affected by ill health or illness in their work.

Reporting of risks, incidents, accidents and quality deviations must be performed by all suppliers who carry out work within LKAB's operations. Reporting is conducted via LKAB's deviation management system. Contact your appointed contact person to apply for users.

The role and responsibility of the works management are decisive in all work. It is important for representatives of the works management frequently to be present in the work area to ensure compliance with the rules and a positive working situation for the personnel. The employer always has the principal responsibility for its employees' working situation and performance.

Individual responsibility means that everyone takes responsibility for their own efforts, complies with applicable regulations and participates in remedying any deficiencies.

Safety First is the collective name for LKAB's work regarding safety at our workplaces. Collaboration, job satisfaction and a good working environment are principal ingredients for effective, successful work.

In order to ensure safe and effective work, activities must be permeated by a systematic approach to work and by keeping things in good order.

A systematic approach to work means that all those who carry out work:

  • Are aware of the risks (working environment, fire, environment, etc.) in the work that is to be carried out, by means of risk assessments being drawn up, updated and communicated.
  • Are aware of how risks, incidents, accidents and quality deviations should be reported.
  • Know how they should act in the event of an emergency.
  • Have access to correct information.
  • Have work-related decisions communicated in a clear and descriptive manner.
  • Possess the required permits and expertise to carry out the work, and can confirm this.
  • Use work equipment that has been checked, approved, adapted and is in good condition.
  • Have access to and, if necessary, use personal protective equipment that is adapted, approved and in good condition.
  • Receive information about implemented safety and environmental rounds, as well as measures based on these.
  • Have access to a work area that is well arranged in relation to the work that is to be carried out (landfill, chemical handling and parking, for instance).

Keeping things in good order means that:

  • Good order is maintained within the work area – the right thing in the right place.
  • Machines, tools and equipment are adapted for their areas of application.
  • Procedures are in place for keeping premises, machines, tools, equipment, etc., in good condition.
  • The work area is cleaned and restored to its original condition when the work is completed.

Communication

There are general provisions regarding communication within LKAB's operations which entail the following:

  • Always endeavour to achieve personal contact when it comes to providing information or giving feedback at work. All communication should take place in Swedish in the first instance. Other languages may be used, if it has been ascertained that the provider and recipient of the information can understand each other.
  • Communication by telephone and radio should take place in Swedish in the first instance. Telephones and radio receivers must be checked and maintained recurrently to ensure that the equipment is in good condition and good working order.
  • The supplier must safeguard communications with the outside world by having at least one person working in the work area who can speak Swedish or English. In emergencies, communication by telephone and radio must take place in Swedish or English, so that the recipient of the message understands the information.
  • Only Swedish-speaking or English-speaking individuals may work alone, to ensure communication with the outside world. Courier deliveries to Material supplies may however be allowed with the permission of the industrial guard.

Photography

There is a general ban on photography within LKAB's industrial areas and premises, unless a special permit has been obtained. This ban also applies to the publication of images and film from LKAB's areas in external channels (mass media, social media, marketing, political messages, etc.) without a special permit. A special permit can only be issued by unit managers or their substitutes.

Press visits and media productions

Prior to press visits and visits by external stakeholders' media producers (photographers, film-makers, etc.) to LKAB's operations, the Information Department must always be contacted for an assessment and handling. The Information Department always contacts the party concerned in the operation that is to be visited, before any decision regarding the visit is made.

Alcohol and drugs

LKAB has a policy regarding alcohol and drugs. Work within LKAB's operations may not be carried out under the influence of alcohol, drugs or other non-medicinal preparations.

For this reason, random alcohol and drugs tests are performed on everyone who works within LKAB. In addition to the random tests, test are also carried out if there is a suspicion that a person is under the influence and in conjunction with serious accidents/incidents. The tests are performed by an external drug testing company. If it is demonstrated that a person is under the influence, that individual will immediately lose their entry permit to LKAB. If a breath test indicates that a person is under the influence of alcohol when driving a vehicle, the police will be notified if there is any suspicion of a traffic offence.

When staff are called in for drugs tests, the works management must ensure that the individuals in question present themselves immediately along with valid ID. If the person does not turn up, their entry permit will immediately be withdrawn.

If a person is found to be under the influence of alcohol or drugs, LKAB will contact the relevant supplier and the person's entry permit will be withdrawn. In such cases, the supplier has an obligation to implement comprehensive measures in order for the person to regain their entry permit. The entry permit is regained if the person, on the basis of the measures implemented by the supplier, is no longer deemed to constitute a safety risk to LKAB.

Smoking

All smoking indoors is prohibited. When smoking outdoors, consideration must be given to people and ongoing work in the immediate vicinity.

Insufficient compliance with requirements

Deficiencies/deviations are normally dealt with between LKAB's appointed contact person and the supplier's works management. When deficiencies are highlighted, the most important thing is to act in order to prevent serious incidents occurring or to prevent the deficiencies being repeated.

The supplier is responsible for notifying LKAB of any subcontractors engaged in any element, and to ensure that these comply with applicable laws and regulations. Failure to comply with applicable regulations can lead to measures according to LKAB's sanctioning system and contract negotiations.

The sanctioning system can be applied if an employee has acted in contravention of applicable regulations:

  • Traffic infringements
  • The use of violence or the threat of violence, persecution, victimisation or extortion.
  • Damage to property owned by LKAB or another party.
  • Incorrect operation or driving of works equipment or vehicles.
  • Incorrectly maintained or equipped vehicle. See Vehicle requirements for penalty amounts.
  • Incorrect use or absence of personal protective equipment.
  • Non-approved removal or damage to safety devices.
  • Incorrectly erected cordons, protective railings, scaffolding, non-permitted entry into an area that has been cordoned off, or infringement of Lockout & Tagout.
  • Use of non-permitted equipment or equipment that is in poor condition.
  • Blocking of evacuation routes.
  • Other transgressions that are obviously in breach of laws/regulations, LKAB's internal regulations or LKAB's basic requirements.

All transgressions must be reported rapidly to the nearest works management which, if possible, must act to prevent a repeat. The works management is responsible for reporting transgressions to the contact person.

  • The degree of severity increases in the event that:
  • The supplier has been engaged on a number of occasions and the individual making the transgression is judged to have committed a conscious error.
  • The supplier's transgression has entailed that their own personnel and the personnel of others are exposed to an obvious risk.
  • The supplier has an extended responsibility within Safety First based on the size and scope of the company.
  • The supplier has breached the above on repeated occasions.

The sanctioning system is applied as follows:

  • Verbal reminder from the appointed contact person within LKAB – The supplier has carried out a minor transgression.
  • Written reminder from the appointed contact person within LKAB – The supplier has carried out a significant transgression.
  • Sanctions based on applicable contract (handled by LKAB's Purchasing department) – The supplier has carried out a serious or repeated transgression.

Clarification regarding traffic infringements:

Infringement Low Medium High Unacceptable
Speed infringements 1-15 km/h above the indicated speed limit. 1-10 km/h on 30 km/h roads. 16-30 km/h above the indicated speed limit. Repeated infringements by 1-15 km/h over a 12-month period. 31-35 km/h above the indicated speed limit. Repeated infringements over a 12-month period. More than 36 km/h above the indicated speed limit.
Incorrect parking First occasion Second occasion Third occasion > 3 occasions over a 12-month period
Vehicles on idle First occasion Second occasion Third occasion > 3 occasions
over a 12-month period.
Sanction: vehicle entry permit withdrawn. Letter to supplier. Vehicle driver, supplier, vehicle entry permit withdrawn for 1 month + Letter to the supplier. Vehicle driver, supplier, vehicle entry permit withdrawn for 3 months + Letter to the supplier. Sanction: assessed depending on events. Vehicle driver, supplier, vehicle entry permit withdrawn for at least 6 months. Handled by Purchasing.

Sanctions is handed to the driver of the vehicle if violations has been made regarding incorrect parking or idling. The owner of the vehicle is responsible to investigate who has committed the violation if no person is present.

NOTE! - The driver is not allowed to drive within LKAB operations if the entry permit is withdrawn.