Human Rights
Strategy
- Employees: Respecting rights is fundamental and enhance diversity and inclusion
- Contractors: Risk minimization and enhance quality of life in work environment including labor, health and safety and well being
- Suppliers: Human rights risk minimization which may affect value chain
- Community: Build engagement based on the principle of respecting fundamental rights and enhance quality of life
- Customers: Deliver products, services and solutions with quality and safety for fundamental rights and better living
- Stakeholders: Continuously undertake human rights risk management to prevent adverse impacts that SCGP has caused or contributed to or directly linked to its activities across the value chain.
Management
1. SCGP has announced and reviewed SCGP Human Rights Policy and SCGP Diversity and Inclusion Policy in line with United Nations Global Compact (UNGC), the International Labor Organization (ILO) Declaration on Fundamental Principles and Rights at Work, and other international standards, as well as driven implementation of such policies through SCGP ESG Committee.
2. SCGP has established a unified organization-wide risk management framework and carried out human rights due diligence process in all facets in a proactive manner to prevent human rights violation
3. “Human Rights” are rights inherent to all human beings, regardless of physical or mental status, race, nationality, national or social origin, ethnicity, religion, gender, language, age, skin color, education, social status, culture, tradition or any other status as stipulated by laws of each country and treaty each country has commitment to. Human rights include the rights to life and liberty, freedom from slavery and torture, human trafficking, harassment, forced labor and child labor*, freedom of expression, freedom of association and right to collective bargaining, the right to work and working hours, the right to education, equal remuneration and other rights such as personal data protection, occupational health and safety, and minorities in local community and community rights. Everyone** is entitled to these rights, without discrimination in accordance with diversity and inclusion.
*According to the definition of human rights, the regulations on child labor refer to the Labor Protection Act of 1998, such as Section 44, which prohibits employers from hiring children under the age of 15 as employees, and other relevant laws.
**Everyone includes nine groups of stakeholders: (1) Shareholders/Investors/Business partners/Creditors, (2) Employees, (3) Customers, (4) Suppliers/Contractors, (5) Communities, (6) Government agencies, (7) Mass Media, (8) Civil Society/ Academics/Thought Leaders, and (9) Business Associates.
4. The human rights policies and requirements apply to all activities of SCG Packaging (employees, direct business activities, products, and services) and SCG Packaging's business partners, such as joint ventures and companies in which SCG Packaging has other investments, including contractors, suppliers, agents, intermediaries, governments, customers, clients, local communities, and other relevant parties. They are encouraged to support and comply with these policies, and respecting rights of community, consumer and related stakeholders.
SCGP has continuously implemented its human rights due diligence process, consisting of four steps:
Human Right Case - Remedy standard procedure
Remarks:
- Disciplinary actions can include verbal warnings, monetary compensation, and non-monetary compensation for damages or other cases, depending on the circumstances.
- In cases affecting mental health, the company will take care of the affected individuals through iStrong (following steps 6-8) and will implement appropriate measures to support the affected individuals as deemed necessary, depending on the circumstances.
SCGP implemented Human Rights in accordance with United Nations Framework and Guiding Principles on Business and Human Rights (UNGP) by adhering to 3 principles as follows;
- Protect: SCGP has strictly complied with laws and is committed to human rights respect in accordance with internationally accepted standards especially giving support to and complying with Universal Declaration of Human Rights: UDHR, United Nations Global Compact: UNGC, United Nations Guiding Principles on Business and Human Rights: UNGP and the International Labor Organization Declaration on Fundamental Principles and Rights at Work: ILO. Moreover, SCGP also commit to manage Human Rights according to Code of Conduct and other company-specific statement of commitment.
- Respect: SCGP is committed to the ethical business practices and adheres to the Four Core Values in its business operations. Since 1987, it has included human rights and labor practices in SCGP Code of Conduct and supervision through relevant policies to support concrete implementations/ initiatives and communicate to personnel throughout the organization including business of contractors, suppliers and joint ventures as follows.
- Human Rights Policy that committed to implement cover related Country/ Industry specific issues.
- Diversity and Inclusion Policy
- Privacy Policy
- Expectation letter in driving and promoting business operations to respect human rights from joint venture and business partner company.
Those related human rights policies expand to contractors and supplier through SCGP Supplier Code of Conduct and all stakeholders through Stakeholder Engagement Policy for driving policies into action by ESG Committee, SCGP. In 2021, SCGP has joined the SCG Human Rights and Stakeholders Engagement to establish human rights framework and Human Rights Due Diligence Process Guideline that embedded in Enterprise Risk Management of SCG and SCGP which cover actual and potential human rights impact identification and risk assessment of all groups of stakeholders in value chain by focusing on proactive actions to prevent human rights violations as a guideline for concrete implementation that covers all groups of stakeholders.
Human Rights Due Diligence Process Guideline which covers all group of stakeholders in value chain by focusing on proactive actions to prevent human rights violations and use as a guideline for concrete implementation which consist of 4 steps as follows;
Identifying Human Rights Issues
- Right to life
- Right to liberty and security
- Right not to be subjected to slavery, servitude or forced labor, including trafficking and child labor
- Right not to be subjected to torture, cruel, inhuman and/or degrading treatment or punishment
- Right to recognition as a person before the law
- Right to equality before the law, equal protection of the law, non-discrimination
- Right to freedom from war propaganda, and freedom from incitement to racial, religious or national hatred
- Right to access to effective remedies
- Right to a fair trial
- Right to be free from retroactive criminal law
- Right to privacy
- Right to freedom of movement
- Right to seek asylum from persecution in other countries
- Right to have a nationality
- Right of protection for the child
- Right to marry and form a family
- Right to own property
- Right to freedom of thought, conscience and religion
- Right to freedom of opinion, information and expression
- Right to freedom of assembly
- Right to freedom of association
- Right to participate in public life
- Right to social security, including social insurance
- Right to work
- Right to enjoy just and favorable conditions of work
- Right to form and join trade unions and the right to strike
- Right to an adequate standard of living and collective bargaining
- Right to health
- Right to education
- Right to take part in cultural life, benefit from scientific progress, material and moral rights of authors and inventors
- Right of self-determination
- Right of detained persons to humane treatment
- Right not to be subjected to imprisonment for inability to fulfill a contract
- Right of aliens due process when facing expulsion
- Rights of minorities
Reference: Guide to Human Rights Impact Assessment and Management (HRIAM)
Human Rights Related Issues
Groups at risk on human rights issues
Stakeholders are persons or groups of persons who are directly or indirectly affected by a business operation of SCGP, as well as those who may have interests in a business operation of SCGP, or abilities to influence over the outcomes of a business operation of SCGP such as customers, employees, communities, shareholders, business partners, government agencies, intellectual leaders, etc.
- Shareholders
- Employees (Women, Pregnant women, Disability person, LGBTQI+, Employee with health issues)
- Customers and Consumers
- Suppliers including Suppliers’ employees,
- Suppliers’ contractors, Third-party employees
- Business Partners
- Competitors
- Joint Venture Partners
- Creditors
- Communities
- National and Local Government Agencies
- Media
- Civil Society Sector, Academia, and Opinion Leaders
- Advocacy organizations
- Development organizations
- Local, indigenous, minorities in local communities such as children, migrant workers, vulnerable groups (e.g. the disabled, the people with income lower than minimum living wage)
- International organizations
- Lenders and international financial institutions
- NGOs
- Others (Disability, Pregnant woman, LGBTQI+)
- 100% of SCGP’s own operations have been assessed for Human Rights risks
- 100% of Contractors and Critical Tier 1 Suppliers have been assessed for Human Right risks
- 100% of Joint Ventures (> 10% share) have been assessed for Human Right risks
Human Rights Salient Issues in 2024
Risks in SCGP’s Own Operations
Risks in Operations of Contractors and Suppliers
| No | Human Rights Risks |
|---|---|
| 1 | Land rights/ forced or involuntary displacement of communities |
| 2 | Environmental and health & safety impacts from business areas / activities |
| 3 | Human trafficking / Excessive use of force by public and private security forces ** |
| 4 | Corruption ** |
| 5 | Air pollution or dust |
| 6 | Personal data protection |
| 7 | Product and service safety for customers and consumers |
| 8 | Complaints management and access to remedy |
| 9 | Sourcing from conflict-affected area *,** |
| 10 | Waste and hazardous waste management |
| 11 | Labor rights |
| 12 | Employment/ working conditions |
| No | Human Rights Risks |
|---|---|
| 13 | Health and safety |
| 14 | Child labor * |
| 15 | Gender-based discrimination |
| 16 | Freedom of expression *,** |
| 17 | Migrant workers rights |
| 18 | Sexual harassment ** |
| 19 | Non-sexual harassment ** |
| 20 | Freedom of association and the right to collective bargaining * |
| 21 | Forced labor * |
| 22 | Discrimination on other basis |
| 23 | Rights of indigenous peoples *,** |
| 24 | Human rights defenders violation *,** |
Remarks: N/A for * SCGP’s Own Operations and ** Operations of Contractors and Suppliers
There is one salient human rights issue with high level of risks
- Health and safety
SCGP has established measures to reduce and control human rights risks and continuously monitoring the effectiveness of such measures as the detail on SCGP’s Key Activities on Human Rights Risks
Salient Human Rights Issues
Number of SCGP and Subsidiaries (Companies/Sites) with mitigation plans : 73
Number of SCGP Joint Ventures (Companies/Sites) with mitigation plans : 6
Number of Contractors and Suppliers (Business Partners) with mitigation plans : 2930
| Scope | Salient Human Rights Issues | Affected Stakeholders | Mitigation and Remediation Actions | Result Monitoring |
|---|---|---|---|---|
| SCGP’s Own Operations | Health and safety | Employees of SCGP and subsidiaries as well as Joint Ventures (including stakes above 10%) |
|
|
| Contractors and Suppliers | Health and safety | Contractors / carriers |
|
|
Remarks :
- Target is 0 of Lost time Injury and Fatality of employee and contractor
- Result monitoring (data of 2024)
- 100% of SCGP’s own operations have been assessed for Human Rights risks
- 100% of Contractors and Critical Tier 1 Suppliers have been assessed for Human Right risks
- 100% of Joint Ventures (> 10% share) have been assessed for Human Right risks
- Remedy: Provide a channel to all group of stakeholders to provide information about fraud, non-compliance with laws, regulations, rules, the Code of Conduct, Human Rights Policy and other applicable policies by handling complaints effectively and determine mitigation actions to reduce impacts including remediation actions for those affected via whistleblower system The complaints received through this channel, as well as other channels will be consider and investigate by the committee then conclude result and propose punishment as well as determine remediation actions for
Human Rights Governance
Philosophy
- Adherence to fairness
- Dedication to excellence
- Belief in the value of the individual
- Oncern for social responsibility
of Conduct
- Human and Labor Rights
- Environment
- Health and Safety
- Anti-Corruption
Code of Conduct
- Business ethics
- Labor and Human Rights
- Occupational Health and Safety
- Environment
- Avoid any act considered violation of human rights,
- Support human rights protection
- Communication, dissemination, education, creation of understanding to any stakeholders in the business value chain
- Treat everyone following human rights principle on equal basis without discrimination,
- Avoid any act considered violation of human rights,
- Support human rights protection
- Protect personal data for all stakeholder.
An ESG committee oversees human rights by ensuring the company respects human rights in all its activities, including its business partners and supply chain. This involves adhering to international standards like the Universal Declaration of Human Rights (UDHR) and conducting due diligence to identify and address human rights risks. The committee also ensures transparent reporting, grievance mechanisms, and training for employees on human rights issues.
This ESG committee ensures the company's commitment to human rights through several key measures:
- Policy Implementation: The committee monitors the implementation of the Human Rights Policy, ensuring it aligns with international standards such as the Universal Declaration of Human Rights (UDHR), the United Nations Global Compact (UNGC), and the International Labor Organization (ILO) conventions.
- Due Diligence: A Due Diligence Process is continuously developed and conducted, covering new investments, mergers, and partnerships to identify potential human rights risks and impacts. This process includes planning for corrective and preventive actions to manage and prevent human rights violations.
- Monitoring and Reporting: The committee ensures that human rights implementations, mitigation efforts, and incidents of discrimination and harassment are communicated, reported, and disclosed to the public in a complete and transparent manner.
- Grievance Mechanisms: Up-to-date and effective grievance mechanisms and escalation processes are provided for reporting incidents. Whistleblowers who report human rights violations are protected.
- Training and Awareness: The committee supports communication, dissemination, and education to create understanding and provide support to employees, suppliers, and contractors regarding human rights principles. Regular training on human rights, including discrimination and harassment, is provided.
- Non-Discrimination and Anti-Harassment: SCG is committed to non-discrimination, anti-harassment, and zero-tolerance policies against all forms of harassment. Allegations are taken seriously, handled confidentially, and may result in remedial, disciplinary, or legal action.
- Regular Review: The human rights policy is regularly reviewed to take into account changes that are significant to the organization.
Employee
Communicate basic knowledge to employees at all levels for better understanding and raise awareness of human rights through many channels such as E-Mail, One page, Signage, VDO etc.
Contractors/ Suppliers
SCGP procures with business ethical supplier with professionalism able to deliver quality products and services. We conduct supplier development plan taking into account and in alignment with the risks including environmental, social and governance (ESG) aspects. The highlight implementations as follows;
- Conduct risk assessment and certify all suppliers annually and continually, applying enterprise risk management framework and “SCGP Sustainable Procurement Framework” which covers Environmental, Social and Governance (ESG) issues.
SCGP Sustainable Procurement Framework
- 100% of contractors and suppliers with procurement spending of over 1 million baht passed ESG risk assessment
- 100% of contractors and suppliers demonstrated intent to comply with SCGP Supplier Code of Conduct
- 100% of major carriers certified under Fleet Carrier Standards
- Formulate supplier development and capability enhancement plan for business sustainability including ESG aspects for consistency and efficiency like Contractor Safety Management
Joint Ventures
SCGP expects and encourage joint ventures, such as associate companies or other investments where SCGP does not have overall control, as well as contractors, suppliers and others to emphasize the importance of a commitment to human rights. The highlight implementations as follows;
- Announced expectation letter and communicate to Joint ventures to promote and create mutual understanding of SCGP’s human rights expectations.
- Establish human rights questionnaire which cover Policy/ Commitment, Human Rights Due Diligence Process and key performance and survey annually to know the current status and jointly plan to support the implementations of Joint ventures from SCGP.
- 100% of Joint Ventures* have been assessed for Human Rights risks.
Remark: * = > 10% SCGP share
Community
SCGP considers it the company’s responsibility to advance its business in conjunction with social and environmental development according to sustainable development guidelines. As such, followed to drive the business with SCG ESG by developing the ESG 4 Plus Guidelines “Achieve Net Zero – Go Green – Reduce Inequality – Embrace Collaboration” plus fairness and transparency, placing emphasis on addressing problems that affect livelihoods and quality of life by helping to enhance occupational skills that can lead to income generation and, thus, sustainably alleviate the critical social problem of inequality.
Reduce Inequality by Power of Community
The problems of inequality and poverty in Thai society are intensifying as the COVID-19 epidemic continues to escalate, impacting the occupation and livelihood of many people.
SCGP is working towards reducing inequality and strengthening communities through the Power of Community project, which provides training to enhance knowledge alongside virtue and inspire communities to rise up and develop themselves by maximizing the value of their products with unique local identities, learning the principles of marketing and branding, expanding sales channels through e-commerce, and creating a life plan for sustainability. The goal of Power of Community project is to create stable communities with incomes of tens to hundreds of thousands per month, and as poverty and inequality still persist in many areas, SCGP will continue to expand this initiative.
Diversity and Inclusion management is considered as SCGP management commitment and is embedded in our corporate culture throughout the organization and appropriately integrate into business strategy. In 2020, SCGP announced its Diversity and Inclusion Policy and continuously implemented until now.
- SCGP manages the equality and fairness of its workforce diversity everywhere where it operates business activities including the extent to its suppliers and joint venture businesses by following its principle of human rights.
- SCGP treats all employees equitably, respects and embraces the diversity of its personnel across the organization, undertakes management with transparency, and adheres to ethical business conduct. It also places emphasis on the diversity of its employees across all aspects. Relevant initiatives include increasing the proportion of female executives, taking care of mid-career employees, encouraging a new generation of employees to develop startups, and developing an LGBTQI+ inclusion policy.
- SCGP respects to Diversity and inclusion, no discrimination against gender, age, physical condition, disability, nationality, religious, culture, and any other workforce diversities that go beyond legal compliance.
- SCGP Human resources management in hiring and placement, compensation, development, promotion, rotation and hiring of mid-career employees, training and guidance etc., has adhered to the principle of fairness and equality such as hiring people with disabilities and support activity to promote their quality of life, promoting women are equal in their pursuit of career growth as well as in welfare and compensation
- SCGP has implemented initiative support to a diverse workforce such as expand capability building program for overseas employees by given opportunity to learn and attend Flagship Program such as Business Concept Development (BCD), Management Development Program (MDP). Moreover, the Management Development Committee formed the Female Employee Development Working Group to support and oversee the achievement of the target of having 24% Female employees in all management positions by 2030.
- SCGP has joined SCG Broadcast Live in Theme: Woman in leadership inspiration talk to raise awareness on non-discrimination and harassment (both sexual and non-sexual harassment) and create inspiration of all employees about value of diversity.
Since 2019, SCGP joined with The Sedex Members Ethical Trade Audit (SEDEX) is an organization whose members consist of business organizations around the world. It requires the members to comply with SEDEX standards in four areas: labor standards, health and safety, business ethics, and environment, which assure companies, suppliers, customers, and employees of the organization’s responsible business practice and respect for human rights.
In 2022, 13 companies in SCGP have implemented SEDEX’s regulations, assessed by external auditors and become members of SEDEX.
Target
Performance 2024
0
100%
23.3%
84 people
Female Share of Workforce
25.1%
workforce (%)
23.3%
positions (%)
21.9%
10.3%
positions (%)