I. Introduction
The purpose of this Code of Conduct (Code) is to ensure that our suppliers demonstrate responsible business conduct. The Code follows globally agreed minimum standards and asks our suppliers to manage adverse impacts on:
human rights, including labour rights, the environment, anti-corruption, and animal welfare (despite the lack of internationally endorsed principles on animal welfare)
This Code of Conduct is build upon the standards provided by Dansk Fashion and Textile (DM&T). The scope of minimum requirements is based on the Ten Principles of the UN Global Compact. The required management of potential and actual adverse impacts on the scope is aligned with the UN Guiding Principles on Business and Human Rights (the UNGPs). Managing adverse impacts is distinct from legal compliance. As a precondition, suppliers are expected to comply with national law.
Saks Potts reserves the right to put forward additional or more specific requirements and conditions related to sustainable development; e.g. on the use of chemicals.
II. Process Requirements
Saks Potts expects all suppliers to develop and implement the following:
1. Adopt Policy Statement:
Which must:
Be approved by the most senior level of the supplier.
Be informed by experts on human rights including labour rights, environmental, and anti-corruption principles.
Stipulate the supplier’s expectations of employees and business relations on human rights, including labour rights, environment, and anti-corruption.
Be publicly available and communicated both internally and externally.
Be reflected in other operational policies and procedures necessary to embed the policy statement throughout the supplier’s operations.
2. Carry through Due Diligence:
That – as a minimum – includes the following elements:
Identification: On a regular basis, the supplier must identify potential and actual adverse impacts on human rights including labour rights, environmental, and anti-corruption principles.
Prevention and mitigation: When potential or actual adverse impacts are identified, suppliers must take action to prevent or mitigate such adverse impacts.
Accounting: Actions to prevent or mitigate identified adverse impacts, must be closely tracked to ensure effectiveness. Suppliers are expected to communicate their findings, actions, and tracking to relevant stakeholders including Saks Potts
3. Provide for access to remedy:
Where the supplier identifies that it causes or contributes to actual adverse impacts on human rights including labour rights, environmental, and anti-corruption principles, the supplier must enable access to remedy for those affected and/or inform relevant authorities.
The supplier must provide access to remedy through legitimate processes (grievance mechanisms) to victims of actual adverse human rights impacts, that the supplier causes or contributes to.
If the supplier is merely linked to actual adverse impacts, the supplier must use its leverage to make the causing or contributing entity address the impacts.
III. Sustainability Requirements
Through the establishment of the processes outlined above, the principles that Saks Potts expects suppliers to manage adverse impacts upon are described in the four following subsections:
1. Human rights, including labour rights
Suppliers should – as a minimum - manage their adverse impacts on the human rights stated in the International Bill of Human Rights that includes the core labour rights from the International Labour Organisation’s Declaration on Fundamental Principles and Rights at Work.
2. Environmental principles
Suppliers should manage all significant potential and actual impacts on the external environment, in relation to the areas of impacts addressed by the principles in the Rio Declaration on Environment and Development.
3. Anti-corruption principles
Suppliers should establish adequate processes to counter corrupt practices. Such processes should address the scope outlined by the United Nations Convention against Corruption.
4. Animal welfare
Suppliers should manage all significant potential and actual adverse impacts on animal welfare.
Suppliers should – as a minimum - manage all significant potential and actual adverse impacts on animal welfare, in accordance to The Five Freedoms recommendations on animal welfare set out by the World Organisation by Animal Health (OIE). These recommendations serve as the guiding principles on all farms producing animal derived materials for Saks Potts.
Fur
Saks Potts is phasing out the use of fur hence there will not be purchased any more fur from mid 2021. From 2022 we will no longer produce or sell any type of fur from animals raised purely for their fur.
Animal Hair
We do not use any mohair in our collections unless the suppliers can offer full transparency and document the animals are treated fairly. We will, under no circumstances, accept the use of angora due to its often cruel and painful procedures.
Wool
We do not accept mulesing practices.
Leather and Shearling
We only accept leather and shearling that is a by-product from the meat industry. All tanneries in our supply chain must comply with our Restricted Substance List (RSL).
Exotic Skins
We do not accept any exotic skins or skins from wild animals, including but not limited to; snake, alligator, crocodile, lizard, ostrich, emu or kangaroo.
Down and Feather
We do not accept force-feeding, and down and feather from foie gras production is banned. We only use virgin down and feathers from animals that are a by-product from the meat industry. All virgin down and feathers must come from suppliers with a valid Responsible Down Standard certificate (RDS).
5. Chemical Restrictions
All Saks Potts product must comply with European REACH directive. All Saks Potts Products must not contain more than 0,1% per article of the subtances listed on the REACH Candidate List (SVHC – Subtances of Very High Concern)
Note: Each part of the product is considered as an article, e.g. one button is one article, sewing thread is one article, fabric is one article etc. It is supplier’s responsibility to keep updated on the SVHC list, which can be found on this link: https://echa.europa.eu/candidate-list-table
IV. Implementation and Collaboration
1. Scope of Application
This Code applies to Saks Potts’ first tier suppliers. Suppliers shall ensure that their first tier suppliers have adequate processes in place to manage adverse impacts on human rights including labour rights, environmental, and anti-corruption principles. As part of this obligation, suppliers must:
Make their first tier suppliers aware of the scope and processes outlined in the Code and pose similar requirements to such suppliers as featured in this Code;
If adverse impacts are discovered, use their leverage with their suppliers in order to make such suppliers adequately address such impacts; and
Undertake reasonable efforts to ensure that their suppliers operate in accordance with this Code.
2. Records and Documentation
Suppliers must maintain appropriate records to demonstrate compliance with the requirements of this Code. Appropriate records include, but are not limited to:
Policy Commitment(s);
Documentation of due diligence processes, including impact assessments and records from the tracking process on specific actions;
Information on grievance mechanisms.
3. Continuous Collaboration
The aim of this Code is to form the basis for collaboration between Saks Potts and suppliers for continuous improvements in managing adverse impacts on principles for sustainable development.
Saks Potts expects all suppliers at any time to be able to declare in writing their stage of implementation in relation to the requirements contained in this Code. Suppliers shall cooperate in answering further questions, self-assessments, and if deemed necessary cooperate with Saks Potts in improving management systems and addressing specific impacts. If necessary, suppliers must accommodate visits from Saks Potts to assert compliance, including providing for physical access to any representative from Saks Potts or independent third parties.
By non-compliance, suppliers must self-correct within a fixed period. Failure to self-correct, or if suppliers fail to demonstrate willingness to improve systems or address identified adverse impacts, Saks Potts reserves the right to end the business relationship immediately.
