Festo_Sustainability-Report_2020

“ Protecting human rights from abuses ... • by third parties (including companies) • through appropriate policies, regulation and jurisprudence (Guiding Principle 1–10) Responsibility ... • to act with due care • to not infringe upon the rights of others • to eliminate adverse impacts in which they are involved (Guiding Principle 11–24) Responsibility of the state and the economy ... • to provide better access to the victims • to provide effective remedy, both judicial and extrajudicial (Guiding Principle 25–31) 1. The state duty to protect human rights 2. The corporate responsibility to respect human rights 3. Access to remedy United Nations Guiding Principles on Business and Human Rights 4.2 Human rights By signing the joint declaration on human rights and working con- ditions, the Management Board has committed itself to complying with internationally recognised human rights and the fundamental labour standards of the International Labour Organization (ILO) worldwide. Since 2010, Festo has systematically addressed the issues of human rights and child labour with its direct suppliers in the inter- national production network. Compliance with human rights and the prohibition of child labour are firmly agreed via the Code of Conduct, the Code of Conduct for Business Partners and as part of supplier audits. On 16 June 2011, the UN Human Rights Council adopted its Guid- ing Principles on Business and Human Rights. These refer to all states as well as transnational and other business enterprises – regardless of their size, sector, location, ownership or structure. To realise human rights, all actors depicted must fulfil their respon- sibilities. The primary duty rests with states to protect and imple- ment human rights. Businesses should ensure that they respect human rights in all their activities. With the help of complaint mechanisms, both states and companies must ensure that human rights violations can be identified and that those affected are guar- anteed remedial measures in the event of harm. The chart on the right shows our current measures for implement- ing the National Action Plan for Business and Human Rights (in future: Act on Corporate Due Diligence in Supply Chains – LkSG). These are continuously reviewed and expanded. VDMA peer group Since 2020, we have been involved in a peer group of the VDMA to discuss the core elements of the new law and different methods of risk analysis as well as to exchange experiences. Festo is aware of its corporate duty of care and is continuously working on aware- ness campaigns as well as process-related further development. An examination of compliance with human rights or a human rights impact assessment as part of the Act on Corporate Due Diligence in Supply Chains has not yet been carried out at the Festo Group’s business locations.  GRI 412-1 Policy statement Festo is committed to respecting human rights. The corpo- rate duty of care for this is laid down in the Code of Con- duct and the Code of Conduct for Business Partners. Risk analysis (procedure for identifying impacts) Since 2020, we have been working on a methodology to sys- tematically assess human rights risks in the value chain. Since 2010, we have been conducting system-based audits (embargo, sanctions list and goods list audits as well as a critical end-use audit) as part of our export control. These audits are intended to, among other things, identify human rights violations and initiate appropriate measures. Complaint mechanism A whistle-blower portal has been an integral part of the Festo compliance management system since 2015. Com- plaints or information about human rights violations can be reported anonymously. The next step would be a sys- tematic processing of the complaint.  See Compliance, page 38 Reporting As part of the sustainability report, the core elements of the Act on Corporate Due Diligence in Supply Chains are reported on annually. The GRI Index explains the corre- sponding key performance indicators (KPI) on the topic of human rights.  GRI 407-1 , GRI 408-1 , GRI 409-1 , GRI 414-1 , GRI 414-2, page 20  GRI 412-1, page 40  GRI 410-1 , 411-1 , 413-2, page 88 Measures and effec- tiveness monitoring Graphic based on the ‘protection, respect and remedy’ analytical framework 4. Ethics and governance 4. Ethics and governance Current measures to implement the NAP 40 41 Festo SE & Co. KG Sustainability Report 2020 Festo SE & Co. KG Sustainability Report 2020