Vendor Code of Conduct

As a company that has business units spread throughout Indonesia, PT Indocement Tunggal Prakarsa Tbk. has strong commitment to compliance with applicable laws and regulations and always implement the principles of good industrial practice. The Supplier Code of Conduct aims to meet international social accountability standards SA 8000 and environmental standards ISO 14001 as well as requirements of the International Labor Organization (ILO) in the upstream supply chain.

This Supplier Code of Conduct is the basis of all contractual relationships and applies globally to all suppliers and other third parties. Through the Supplier Code of Conduct, the Company intends to create a fair and transparent cooperative relationship with all suppliers and related third parties and to avoid unfair business competition practices including bribery and corruption. In addition, the Supplier Code of Conduct is also a commitment to always comply with and implement applicable laws and regulations and carry out good industrial practices. Accordingly, in the event a supplier fails to comply with and/or implement this Supplier Code of Conduct, termination of the contractual relationship will eventually occur.

The Supplier Code of Conduct regulates the following:
Working Conditions/Labour:

  1. Suppliers may not employ child labor in any stage of production. Suppliers are required to comply with ILO convention recommendations regarding the minimum age for employment.
  2. Compensation and benefits must be in accordance with fundamental principles relating to minimum wages, working hours, overtime and legally required benefits.
  3. All forms of forced or compulsory labor as defined by the ILO Forced Labor Convention including forced overtime, debt bondage, trafficking in persons, slavery or forced labor by prison prisoners shall not apply and all employees are free to leave work upon reasonable notice.
  4. Suppliers are expected to comply with the employee's right to freedom of association and the recognition of the employee's right to collective bargaining, where permitted by law.
  5. Workers are expected to ensure safe and healthy working conditions that meet or exceed applicable standards for occupational health and safety. This includes, at a minimum, compliance with applicable laws and regulations in Indonesia, and holding the necessary permits, licenses and applications.
  6. Suppliers must have appropriate procedures and safety infrastructure and equipment in place, and to continuously improve their health and safety performance.

Environmental Standards:

  1. Supplier operations are expected to include at least compliance with applicable laws and regulations and will be carried out with due diligence and concern for the environment. In addition, suppliers are required to have appropriate environmental procedures, and continuously improve their environmental performance.
  2. All products and services provided are expected to meet the environmental, quality and safety criteria set out in the relevant parts of the contract, and are safe for use.

Business Ethics:

  1. Business must be run with integrity. No payments, services, gifts, entertainment or other benefits are offered or given to Company employees and any third parties intended to influence the way Company employees or third parties perform their duties. Similarly, the Company will not offer or provide such payments, services, gifts, entertainment or other benefits to any supplier that is intended to influence the way the supplier performs his or her duties.
  2. Respect human rights and ensure that suppliers are not complicit in human rights violations. Violence or discrimination against employees as defined by the ILO Violence and Harassment Convention and the ILO Discrimination Convention of any kind is unacceptable in terms of work-related treatment (including recruitment, promotion, termination of employment). This includes but is not limited to gender, cultural origin, skin color, religion, sexual orientation, disability or age.

Suppliers are expected to be responsible for compliance with the principles of this Supplier Code of Conduct and thoroughly verify that these principles are adhered to in their supply chain. The Company will continue to work closely with suppliers regarding compliance and will continue to review and improve these guidelines if necessary.

Suppliers can submit any complaint regarding non-compliant behavior, whether related to applicable law via the "Speak Up" compliance hotline.

Indocement's supplier code of conduct can be downloaded here.