Code of Conduct
IAR believes in social and environmental responsibility and ethical conduct and expects it's employees and business partners to do the same. IAR is being developed with long-term sustainability in mind, including building sustainable relationships with our business partners.
Furthermore, IAR and its business partners are obligated to all stakeholders to observe high standards of integrity and fair dealing. This is the foundation for and why IAR has created the IAR Code of Conduct. Our policies and the IAR Code of Conduct are further based on:
UN Universal Declaration of Human Rights and connected UN Conventions
ILO Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy
OECD Guidelines for Multinational Enterprises
UN Global Compact
How does the IAR Code of Conduct apply?
The IAR Code of Conduct applies to all our employees and business partners that provide products or services to IAR or that are engaged or instructed to act for or on behalf of IAR, such as suppliers (and subcontractors if used while engaging with IAR), consultants, distributors, agencies, and other representatives.
IAR requires all our employees and business partners to operate by the principles in the IAR Code of Conduct and full compliance with all applicable laws and regulations. The IAR Code of Conduct does not replace legislation; if the two conflicts, the legislation takes precedence. The reverse applies if the IAR Code of Conduct sets a higher standard than the existing legislation.
Should you, or if you are a business partner, your employees, believe that the terms of the IAR Code of Conduct are not adhered to or that IAR is not acting by the IAR Code of Conduct, then we encourage you to raise your concerns to IAR Headquarters.
Implementation and monitoring
IAR monitors the implementation and adherence to the Business Partner Code of Conduct. IAR will assess its business partners’ compliance with the Business Partner Code of Conduct. Violations will be handled immediately, and any violations of the Business Partner Code of Conduct may jeopardize the business partner’s business relationship with IAR, up to and including termination.
IAR respects the laws and regulations of the countries where it operates and requires that its business partners do the same. IAR does not tolerate any corrupt activities, including but not limited to bribery, conflicts of interest, fraud, extortion, embezzlement, and unlawful kickbacks, and its employees or business partners shall not engage in or cause IAR to commit any form of corrupt activities.
Competition and antitrust laws
IAR’s employees and business partners shall comply with all applicable competition and antitrust laws and regulations. This means, among other things, not engaging in price fixing, market sharing, bid rigging, or customer allocation.
IAR does not accept bribes or facilitation payments in any form.
Conflict of interest
Conflict of interest between a business partner and IAR must be avoided. Conflicts of interest may include external business activities, personal financial interests, internal information, and employment of, buying from, and selling to family members and close personal friends. Furthermore, IAR expects you, in your business interaction with IAR, to protect all confidential information provided by IAR and respect the intellectual property of IAR and others.
Human rights & labor standards
IAR recognizes the rights of every child to be protected from economic exploitation and from doing work that is likely to be hazardous to their physical, mental, or spiritual health, harmful to their moral or social development, or interfering with their education.
A child in this context is a person who is less than 15 years of age or less than 14 years of age by the exceptions for developing countries as set out in Article 2.4 in the ILO Minimum Age Convention (No. 138). If relevant national legislation has set a higher minimum age, then this age will apply. Some countries apply the definition of “young workers” to persons above the minimum age and under 18 years of age, which means that there might be legal restrictions regarding the type of work they are allowed to perform.
IAR does not tolerate child labor and expects the same from its business partners. However, IAR acknowledges that child labor exists and realizes it cannot be eradicated by simply setting up rules or inspections. If a child is found producing products or providing services for IAR, it is requested that the employer acts in the child's overall best interest. In such cases, business partners are expected to cooperate in seeking a satisfactory solution that will improve the individual child’s overall situation, with the child’s age, social situation, and education always taken into account before a decision is made.
Forced or bonded labor
IAR does not tolerate the use of any form of forced or bonded labor, including the employment of prisoners or illegal workers, and expects its business partners to do the same. IAR acknowledges that forced or bonded labor can include requiring a deposit of payment or demanding a deposit of identity documents or other personal belongings, all of which are prohibited. If business partners employ foreign workers on a contract basis, they must not be required to remain in employment against their will and shall further have the same rights as local workers. The employer will pay for commissions and recruitment agency fees in connection with the employment where applicable.
All workers shall have the right to leave their workplace and accommodation (if provided) freely during the hours they are not working.
Freedom of association and collective bargaining
IAR expects its business partners to respect the rights of its employees in having the freedom to join, or not to join, an association of free choice, as well as establish an association of free choice, to organize, and to bargain collectively or individually by local laws and regulations. No employee should risk being harassed or retaliated against for exercising these rights.
Workers’ contracts, working hours, and compensation
IAR expects its business partners to comply with local laws and regulations regarding workers’ contracts and working hours, including overtime and compensation. Salaries should be paid regularly and comply with the applicable local legislation and local market situation. Workers should be entitled to a minimum of one day off in seven and time off for established national and local public holidays. Workers should be granted the stipulated annual leave, sick leave, and maternity/paternity withdrawal without any negative repercussions.
Discrimination, harassment, and diversity
IAR values and promotes diversity and gender balance. IAR expects its business partners to provide a work environment where everybody is treated with respect and dignity and given fair and equal opportunities for development. IAR does not tolerate discrimination or harassment in the workplace, and our business partners shall not discriminate against any worker based on race, ethnicity, sexual orientation, gender, religion, age, disability, political opinion, nationality, or any other potentially discriminatory factor.
Alcohol and/or drug abuse
IAR works proactively to remove any workplace hazards. Individuals producing products or providing services for IAR should not be on company premises or in the workplace if they are under the influence of, or adversely affected by, alcohol, to the extent that this impairs the individual’s ability to perform their work duties. IAR has zero tolerance for using illegal drugs and does not allow individuals producing products or providing services for IAR to be on company premises or in the workplace if they are under the influence of illegal drugs.
IAR requires that applicable health and safety requirements are met for its products and services, and our business partners shall consider this when producing goods or providing services for IAR.
Responsible for sourcing minerals
IAR is committed to complying with relevant laws and regulations requiring the disclosure of the use of conflict minerals. Conflict minerals are minerals from high-risk and conflict-affected areas that have directly or indirectly contributed to the financing of armed groups, where some groups are believed to be responsible for serious human rights violations. Goods provided to IAR shall comply with relevant laws and regulations regarding conflict minerals.
Environment and sustainability
IAR shall meet legal and environmental requirements and expects its business partners to obtain, keep current, and comply with all required environmental permits and licenses for their operations. IAR encourages the development and diffusion of environmentally friendly technologies. IAR recommends that all business partners with significant environmental impact implement certifiable environmental management systems or similar systems that facilitate the business partners’ work with the environment.
IAR continuously seeks ways to reduce the consumption of resources. IAR expects its business partners to strive to reduce their consumption of resources, including energy and water, to reduce their production of waste and pollution, to keep acceptable noise levels, and improve the overall environmental impact of their operations and products along the value chain. Further, chemicals and hazardous materials shall be appropriately labeled and safely stored and recycled, reused, and disposed of correctly.
Health & safety
IAR works systematically with health and safety, is committed to providing a safe work environment, and expects its business partners to do the same. Risks that can cause accidents or impair the health and well-being of individuals while working for IAR shall be reduced. Therefore, occupational health and safety hazards shall be identified, evaluated, and managed through a prioritized process of hazard elimination, engineering controls, and/or administrative controls.
For IAR, a safe work environment means, for example, that work areas are kept clean and free from pollution, machines used in production are safe and do not risk the health of the workers, and instructions regarding the use of personal protection and work equipment are adhered to. Personal protective equipment and work equipment shall be provided to the workers. Further, the work environment shall be well-lit and have temperature and noise at acceptable levels. When noise is above acceptable levels, personal protective equipment such as ear protection shall be used. IAR also expects the above from its business partners.
Building and fire safety
Hazardous material and equipment must be stored according to applicable law. There should be marked emergency exits in all workplaces. Exits must not be blocked and should be well-lit. All workers shall receive information about safety arrangements, such as emergency exits, fire extinguishers, first aid equipment, etc. An evacuation plan should be displayed on each floor of a building. The fire alarm should be tested, and evacuation drills carried out regularly.
First aid and medical care
First aid equipment must be available at appropriate locations, and at least one person in each location should be trained in basic first aid. The business partner should cover the costs of medical care for injuries incurred on its premises if they are not covered by social security or insurance, provided safety rules have not been violated.
Security, theft, and waste
The purpose of our security requirements is to protect IAR's property and systems and reduce the risk of illegal intrusion, sabotage, damage, disruption, data intrusion, or other action that may lead to any form of loss.
Information security refers to material and equipment, as well as information and knowledge. It is the responsibility of all employees to maintain a high standard of security, which includes controlling and managing passwords and PIN codes to computers and mobile phones and using our communication systems when processing, sending, receiving, storing, printing, or in any other way, sharing information that is false, illegal, harassing, or not compliant with professional behavior.
Any form of crime, such as theft, waste, embezzlement, fraud, blackmail, or receipt of bribes, is unacceptable and can lead to disciplinary action, such as a written not or dismissal. Any such violations within IAR will be reported to the police or other appropriate authority.