ThaiBev Sustainability 2019

SUSTAINABILITY

SUSTAINABILITY REPORT 2019

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Human Rights

GRI 103-1, GRI 103-2, GRI 103-3, GRI 412-1, GRI 412-2

Human rights are fundamental rights relating to life, body, mind, thoughts, and wellbeing that all humans are equally entitled. ThaiBev conducts its business by adhering to the principles of Human Rights and respecting the Human Rights of all stakeholders, including employees, suppliers, and business partners.

ThaiBev is also committed to complying with the provisions of International Human Rights Standards, International Labor Standards, the United Nation Universal Declaration of Human Rights, the International Labor Organization (ILO) Declaration on Fundamental Principles and Rights at Work, Thailand’s Labour Protection Act (No. 6) B.E. 2560 (2017), and with respect for the ILO.

ThaiBev sets guidelines for the Human Rights management throughout the value chain as follows:

Respect Human Rights by treating all parts of the business equally without discriminating between employees, communities, business partners, including children and women, disabled and disadvantaged people, indigenous groups, local communities, and foreign workers.
Proactively tackling Human Rights issues through the Human Rights due diligence process, examining violations of Human Rights through the company’s mechanism on the promotion and protection of Human Rights, and regularly inspecting and monitoring potential Human Rights impacts.
Communicate Human Rights practices to all stakeholders, and providing a transparent and effective channel for complaints, establishing a fair treatment process for those who are affected. In addition, ThaiBev has appointed a labor relations team to advise employees when violations occur in the company.
Provide knowledge, training and support for employees, suppliers, and customer to strictly respect the Human Rights of all stakeholders in their businesses by taking into consideration ThaiBev’s policies and regulations, such as ThaiBev’s Code of Business Conduct, Supplier Code of Practice, and Human Rights Policy. In 2019, a Human Rights workshop was organized for selected employees from various departments at risk of potentially causing Human Rights violations, such as Production, Logistic, Procurement, Sales and Marketing, and Human Capital, to educate them about Human Rights risks.

In 2019, there were no Human Rights violations reported in ThaiBev. However, ThaiBev is aware that its business activities may be directly or indirectly linked to a violation of the Human Rights of stakeholders. ThaiBev is therefore seriously committed to reducing the risk and potential violations by consistently using ThaiBev’s Human Rights risk assessment mechanisms. In addition, the company has implemented additional mitigation measures to solve and reduce the likelihood of Human Rights violations that may result from ThaiBev’s business activities.

Projects and Initiatives in support of the Human Rights Policy

1. Establishing a Human Rights Due Diligence Process

This program has been organized for the third year since its inception in 2017. In 2019, ThaiBev has identified three important Human Rights risks, which are:

Employee health and safety
Employee working conditions
Community health and safety

The next process is to hold a meeting among all relevant parties to find root causes for collaborative solutions, track success, and further communicate to those involved.

2. Establishing Employee Wellness Management Working Team

Every ThaiBev employee is an important stakeholder of the company and their Human Rights must be honored. Therefore, all employees will be taken care of by the Wellness Management Working Team and the Welfare Committee. This allows employees to fully demonstrate their potential under a suitable working environment. In addition, paying attention to the health of employees, both physical and mental, helps make ThaiBev employees work happily.

The Employee Wellness Management Working Team is also an important channel for receiving complaints and learning about grievances from employees whose human rights have been violated.

3. Selection and Inspection of manufacturers and service providers for Human Rights risks

ThaiBev has established the Supplier Code of Practice covering the Human Rights issues, which apply to all suppliers. In addition, ThaiBev has a process to identify the Human Rights risk of its suppliers, beginning from the selection of new suppliers to annual Human Rights risk assessment for active suppliers.

To serve as a communication channel with its suppliers, the company has established an online portal for buying and selling products, namely the Supplier Life Cycle Management (SLCM) system (http://www.paninter.com). The system requires all new suppliers to comply with the Supplier Code of Practice and undertake risk assessments, including Human Rights, before registering as a company supplier. ThaiBev also has a Procurement Service Center that receives complaints, and tracks and solves problems related to procurement, including coverage of Human Rights issues as well.

All of these mechanisms are used to regularly monitor the suppliers’ procurement processes and operations to ensure they meet the company’s human rights requirements and policies.

Insight

Saksayam Arunsang

Category Manager, Construction and Material Handling Procurement Pan International (Thailand) Co., Ltd.

“Participating in the Human Rights workshop has helped me understand clearly that Human Rights are an important issue in the context of procurement. This is particularly relevant to the contractor’s employment that I am responsible for, which is a group at risk of Human Rights violation in terms of compensation, and occupational health and safety. In mitigating these risks, ThaiBev has considered Human Rights risks starting from the selection of contractors and stipulated conditions in the contract of employment.

In addition, the company has a process for regularly inspecting business partners to ensure that these business partners are aware and comply with ThaiBev’s Human Rights requirements and treat their employees fairly.”

Moving Forward

ThaiBev plans to create knowledge and understanding about Human Rights by communicating and providing ongoing trainings and workshops for its employees both domestic and overseas, as well as for its contractors and suppliers. The company organizes annual training and includes Human Rights topics in its new employee orientation program.
ThaiBev proceeds to improve the three risk issues identified in the Human Rights inspection process in 2019, including employee health and safety, employee working conditions, and community health and safety. In addition, ThaiBev is committed to prevent risks that may occur in the future by implementing Insights Life Cycle Management (SLCM) system (http://www.paninter.com). The system requires all new suppliers to comply with the Supplier Code of Practice and undertake risk assessments, including Human Rights, before registering as a company supplier. ThaiBev also has a Procurement Service Center that receives complaints, and tracks and solves problems related to procurement, including coverage of Human Rights issues as well.

All of these mechanisms are used to regularly monitor the suppliers’ procurement processes and operations to ensure they meet the company’s human rights requirements and policies. measures to ensure safety, occupational health for the working environment and wellbeing of employees in all regions continuously and extensively. It will also organize safety activities for employees in companies in the ThaiBev Group, as well as a project to develop paramedic and rescue experts at the operation sites and communities around the factories.
ThaiBev performs on-site risk assessment, including Human Rights issues, for all of its critical tier 1 suppliers. The company also collaborates with these key suppliers to mitigate Human Rights risks that could arise from its non-tier 1 suppliers.

ThaiBev 2019 Sustainability

ThaiBev
2019 Sustainability