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Human Rights

  2. Social
  3. Human Rights

Strategy

1
Integrating Human Rights, diversity and inclusion into business operations across the value chain both in Thailand and abroad.
2
Foster value and initiate human rights programs for all stakeholders across the value chain and society.
  • 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

SCGP has continuously implemented its human rights due diligence process, consisting of four steps:

1
Identifying human rights risk issues
2
Identifying vulnerable groups
3
Formulating preventive and mitigation plans and remediation actions
4
Monitoring results

Human Right Case - Remedy standard procedure


Human Rights Management

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.

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

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, disable, vulnerable groups
  • 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 2023

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 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

  1. 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

Scope Salient Human Rights Issues Affected Stakeholders and Number of Companies Mitigation and Remediation Actions Result Monitoring No. of Sites
SCGP’s Own Operations Health and safety Employees of SCGP and subsidiaries(78 companies)
  • Comply with relevant OHS regulations, international standards, and other relevant OHS requirements following the analyzed business risk.
  • Continuously implemented Occupational Health and Safety management according to the “SCG Safety Framework of all Thailand and abroad operations.
  • Establish strategies, objectives, quantitative targets, and key performance indicators, both proactive and reactive. Setting up prioritization and action plans to improve the Occupational Health and Safety Management System.
  • Manage occupational health and safety risks that may be presented to employees and contractors wherever possible by eliminating, reducing, setting up control measures, and encouraging a safer work environment.
  • Communicate, develop worker’s knowledge, competency, consult and promote safe work behavior according to the Bradley Curve Model.
  • Establish participation in occupational health and safety of employees, relevant committees and working groups, such as promoting the reporting and improvement of Site Inspection and/or Near miss.
  • Communicate, educate, and monitor compliance with high-risk work standards and safety rules in production processes, offices, travel, and transportation.
  • Promote incident reporting and investigation in order to recognize the root causes and determine corrective/ preventive action to prevent reoccurrence event.
  • Reduce work risks by using technology both in the workplace and transportation, such as Advanced Driving Assistance System (ADAS), Driver Monitoring System (DMS), as well as developing an SAFEsave platform for data reporting, analysis and monitoring.
  • 100% of target employees have reported unsafe condition and/or near misses, which has improved 6 issues/ person/ year.
  • 83% of companies and subsidiaries within the scope of the SPAP assessment have results at Standard Level or higher.
  • 1 company and subsidiary where an work-related injury or occupational illness and disease resulted in fatality.
  • 11 companies and subsidiaries where an Lost time work-related injury or occupational illness and disease.
 8
Migrant workers’ rights Employees of SCGP and subsidiaries (78 companies)
  • Communicate, educate to raise awareness on safety, and welfare migrant workers are entitled to.
  • Conduct assessment according to The Sedex Members Ethical Trade Audit (SEDEX) in four aspects namely labor standards, health and safety, business ethics and environment.
  • 13 subsidiary companies passed the audit
Operations of Contractors and Suppliers Health and safety SCGP’s contractors / carriers (2,491 companies)
  • Manage the safety of contractors through the CSM Committee, covering safety planning, contractor selection and contracts, preparing, and controlling, including before-during-after work. The CSM periodic assessment is required.
  • Require routine contractors pass the SCG Contractor Safety Certification System; SCS assessment.
  • Establish the transportation safety standard, control and evaluate the effectiveness of implementation.
  • Continuously monitor the safe driving behavior of transportation drivers through GPS and In-Cab Camera systems.
  • Establish participation in occupational health and safety of contractors such as Contractor Safety Recognition, Contractor Safety Project Contest etc.
  • Manage occupational health and safety risks that may be presented to employees and contractors wherever possible by eliminating, reducing, setting up control measures, and encouraging a safer work environment.
  • Communicate, educate, and monitor compliance with high-risk work standards and safety rules in production processes, offices, travel, and transportation.
  • Promote incident reporting and investigation in order to recognize the root causes and determine corrective/ preventive action to prevent reoccurrence event.
  • Reduce work risks by using technology both in the workplace and transportation, such as Advanced Driving Assistance System (ADAS), Driver Monitoring System (DMS).
  • 99% of operation contractors certified under SCG Contractor Certification System
  • 100% carriers have been assessed through goods transportation safety standard and 53% passed criteria.
  • 0 of contractors/ carriers with fatality work-related injury.
  • 9 of contractors/ carriers with lost time work-related injury.
 9
Employment conditions SCGP’s contractors / suppliers (2,491 companies)
  • Review SCGP Supplier Code of Conduct, and communicate to demonstrate commitment to work with contractors/ suppliers in Supplier Day 2022.
  • Regulate and ensure that new and major contractors / suppliers are committed continuously to comply with the SCG Supplier Code of Conduct.
  • Conduct ESG risk assessment that includes human rights risk assessment.
  • Promote and advise contractors / suppliers to mainstream human rights into their business conduct.
  • 100% of contractors and suppliers demonstrate commitment to comply with SCGP Supplier Code of Conduct.
  • 100% of contractors and suppliers with procurement spending of over 1 million baht processed through ESG risk assessment.
Forced labor
Migrant workers’ rights
Operations of Joint Ventures Health and safety SCG’s joint ventures (6 companies)
  • Communicate and share good practices in order to scale up and strengthen the execution and performance.
  • Disseminate high-risk operations safety standards in production process, workplace, travelling, and transportation as well as Life Saving Rules to be aware of acceptable operational guidelines.
  • 0 company with fatality work-related injury.
 0
  • 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

SCG Business
Philosophy
  • Adherence to fairness
  • Dedication to excellence
  • Belief in the value of the individual
  • Oncern for social responsibility
SCG Code
of Conduct
  • Human and Labor Rights
  • Environment
  • Health and Safety
  • Anti-Corruption
SCG Supplier
Code of Conduct
  • Business ethics
  • Labor and Human Rights
  • Occupational Health and Safety
  • Environment
Human Rights Policy
  • 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
SCG Diversity and Inclusion Policy
  • Treat everyone following human rights principle on equal basis without discrimination,
  • Avoid any act considered violation of human rights,
  • Support human rights protection
SCG Data Privacy Policy
  • Protect personal data for all stakeholder.
Human Rights Program/ Initiatives

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

1
Being a role model in human rights, both directly through business activities, and indirectly by providing support and encouraging business partners in the value chain, including joint-ventures to recognize, protect, and respect human rights in their business operations.
2
0 - case of human rights violation.
3
100% of identified risks are well-managed through mitigation and preventive plans, and remediation actions.
4
Female employees in all management positions account for 24% by 2030

Performance 2023

1

case of human rights violation.

100%

Employees took Ethics and Human Rights e-Testings and the passing rate was at score.

23.8%

Female employees in all management positions

67 people

Supported people with disabilities by hiring as permanent employees and promoting self-employment

Female Share of Workforce

23.8%

Female share of total
workforce (%)

23.8%

Female in all management
positions (%)

24.8%

Female in junior management positions (%)

14.0%

Female in top management
positions (%)

18.8%

Female in management positions in revenue-generating functions (%)

53.8%

Share of women in STEM-related positions (as % of total STEM positions)

Workforce Breakdown by Nationality

% of total workforce

% of total management workforce

Human Rights Due Diligence Process
Identifying Human Rights Risk Issues
Identifying Vulnerable Groups
Formulating Preventive and Mitigation Plans, And Remediation Actions
Monitoring Results
  • Personal data protection
  • Occupational Health and Safety in Workplace and Transportation
  • Labor rights
  • Harassment
  • Minorities in local community
  • Community rights
  • Pandemic

Even though there’s no human rights violation case, SCGP continue to comply with the principles of SCGP Code of Conduct including human and labor rights and strengthen to mitigate those risks to prevent violation.

  • Disability people
  • pregnant women
  • LGBTQI+
  • employees with health issues
  • Minorities in local communities
  • Customers and Consumers
  • Supplier' employees
  • Suppliers' contractors
  • Business Partners
  • Building Stakeholders Engagement
  • Whistleblowing System
  • Ethics e-Testing
  • Organizational Commitment Survey
  • Governance Risk and Compliance