SCA is committed to ensuring compliance with the Code of Conduct and to the work that aims to verify the application of its policies.
Ethical Business Practice
In 2008, SCA developed a new methodology to assess compliance in relation to the Business Practice section of the Code of Conduct. The Business Practice Reviews cover adherence to SCA’s business practice requirements as outlined in the Code of Conduct, compliance with relevant internal control regulations and global SCA policies, conducted by SCA’s Internal Audit function.
In 2010, SCA’s operations in Italy and Mexico were reviewed under this method. The reviews provided good understanding of compliance with regard to conflicts of interest, global SCA policies and internal control rules, the principle that decisions concerning certain HR issues must be approved by the decision-maker’s manager, the division of powers and so forth. No observations were made in connection with reviews of any of these operations.
Between 2005 and 2007, SCA performed 28 Code of Conduct assessments (including human rights) in 26 wholly owned and two jointly owned SCA facilities in 12 countries.
In 2010, the earlier assessments were reviewed. The procedure for how future assessments will be performed was subsequently further developed and updated guidelines were added relating to how they will be executed, documented and reported. Furthermore, the assessments were supplemented with questionnaires to enable self-assessment.
Between 2005 and 2007, SCA performed 28 Code of Conduct assessments (including human rights) in 26 wholly owned and two jointly owned SCA facilities in 12 countries.
In 2010, the earlier assessments were reviewed. The procedure for how future assessments will be performed was subsequently further developed and updated guidelines were added relating to how they will be executed, documented and reported. Furthermore, the assessments were supplemented with questionnaires to enable self-assessment.
Code of Conduct violations
During 2010, a total of eight cases of violation of the Code of Conduct were reported: one case of corruption in the US, two cases of discrimination and three cases of theft in Europe, and one case of corruption and one case of Internet misuse in Asia. In all cases, the employment of the staff members involved was terminated.
SCA views all forms of corruption very seriously and consistently takes suitable measures when such events are uncovered. In one case of corruption in 2010, the employee had launched a competing business on the Internet. The employment contract of this employee was terminated and a legal process is ongoing. The second case involved embezzlement and this employee’s contract was also terminated.
One case of discrimination involved sexual harassment and the offending employee was dismissed. The second case of discrimination involved a disagreement between an employee and manager concerning working hours and the employee felt discriminated against. The parties came to an agreement resulting in termination of the employment.
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