Supplier Code of Conduct

Nidec Drives Supplier Code of Conduct

Nidec Drives, part of the Nidec Group, manufacturing Control Techniques and KB Electronics branded products, expects its suppliers to project its values and principles, to act with integrity and treat people and the environment with respect – all actions that reflect Nidec Drives’ priorities. In this way, we are able to employ high calibre suppliers that demonstrate responsibility and a commitment to fairness and honesty.

The Nidec Drives Supplier Code of Conduct (“Supplier Code of Conduct”) embodies the broad principles set forth in the Nidec Group Corporate Social Responsibility Charter, entitled “CSR Charter”, which is available at: http://www.nidec.com/en-NA/sustainability/principle/charter/. We encourage all of our suppliers to familiarise themselves with the Supplier Code of Conduct and the CSR Charter as we expect each supplier to adhere to these principles. The following summary provides an overview of the Supplier Code of Conduct principles.

Ethics

Highest Ethical Behaviour – Our policies and practices direct Nidec Drives employees to conduct business lawfully and ethically wherever we operate. We adhere to firm, uncompromising standards for Nidec Drives’ leadership and employees with respect to interactions with customers, suppliers, government agencies and the public and we demand that our suppliers support this requirement as they work on Nidec Drives business.

Anti-corruption – Our suppliers must comply with all laws and regulations forbidding payment of money, products, gifts or services, directly or indirectly, to any individuals or entities in order to corruptly induce favourable business treatment or to corruptly affect governmental decisions.

Conflicts of Interest – Nidec Drives considers it inappropriate for suppliers’ employees to have any personal, business or financial interest that conflicts with their responsibilities to their employer.

Ethics Hotline – To facilitate reporting of ethics concerns, we provide Nidec Drives employees and suppliers a Global Ethics Compliance Hotline operated by us. Reports to the hotline are anonymous if requested. We tolerate no form of reprisal against employees or suppliers who report concerns. Employees and suppliers can report a concern by emailing the Nidec Global Ethics Compliance team: 

Human Rights and Labour

Conditions of Employment – Nidec Drives stress to our suppliers the importance of operating with reasonable working hours to maintain a positive and productive work environment consistent with commonly accepted practices in each locale. We oppose any form of forced, bonded or indentured labour, or involuntary prison work. Further, compensation practices should comply with applicable wage laws, including those relating to minimum wages, overtime compensation and legally mandated benefits.

Discrimination – Nidec Drives require suppliers to prohibit discrimination against or harassment of any employee or applicant on the basis of race, colour, religion, sex, sexual orientation, age, disability, national origin, or any other factor deemed unlawful.

Freedom to Associate – Suppliers should respect the rights of workers to associate freely and seek representation in accordance with local laws.

Humane Treatment – Nidec Drives objects to any form of harsh or inhumane treatment, including sexual harassment, sexual abuse, corporal punishment, mental or physical coercion or verbal abuse and expects its suppliers to banish any such practices within their organisation.

Prohibition of Child Labour – Our policies oppose child labour and we forbid our suppliers to use child labour in any facility or business.

Working and Living Conditions – We expect our suppliers to provide their employees with a healthy and safe working environment in accordance with all applicable laws and regulations and to protect their employees from short, immediate and long-term harm. Where housing is made available to employees, we expect our suppliers to ensure a healthy and safe living environment for employees in accordance with all applicable laws and regulations.

Modern Slavery – We expect our suppliers to comply with all applicable laws and regulations preventing slavery and human trafficking, including without limitation the UK Modern Slavery Act 2015 and to comply with our Anti-Slavery and Human Trafficking Policy.

Other

Environment - Suppliers should operate their facilities in a manner that protects the environment and meets or exceeds applicable laws and regulations. We further stress the need for our suppliers to foster programs that reduce energy consumption and waste and that adopt sustainable practices in their facilities and we emphasise the importance of creating sustainable and innovative products and services that improve energy efficiency, and minimise environmental harm.

Management Systems – Suppliers should maintain a management system that demonstrates adoption of the principles embodied in this Supplier Code of Conduct and that tracks and documents compliance with all applicable laws, government policies and regulations. Suppliers must comply with any request by Nidec Drives to audit their management system to verify compliance with the principles of this Supplier Code of Conduct.

Supply Chain Management – Suppliers should actively promote sustainability throughout their supply chains, collaborating closely with stakeholders in their value chains to promote sustainable supply chain practices and initiatives. Nidec Drives expects its suppliers to use their best efforts to extend the principles embodied in this Supplier Code of Conduct to their suppliers and agents that are engaged in the production, supply and support of products or services for Nidec Drives.

Technology - Nidec Drives expects its suppliers to keep abreast of developing and sustainable technology, and to employ such technologies in the products supplied, manufacturing techniques and systems used.

 

Issued October 2024