Responsibility for our employees
Netstal1 is one of the world’s leading manufacturers of injection molding machines and system solutions for processing plastics. We serve customers from the packaging and beverage industries as well as the medical technology sector. Netstal employs over 500 people worldwide2. Netstal has been part of the Krones Group since April 2024.
Netstal’s Human Rights Policy Statement supplements the Krones Group Code of Conduct, the Krones Group Declaration of Principles on Respect for Human Rights and the Krones Group Supplier Code of Conduct. These form the basis of all regulations and guidelines that ensure responsible, ethically correct conduct within the company. This is our self-evident claim.
Documents of the Krones Group
The 10 principles ofthe un global compact
Principle 1:
support and respect the protection of internationally proclaimed human rights.
Principle 2:
ensure that they are not complicit in human rights abuses.
Principle 3:
the freedom of association and the effective recognition of the right to collective bargaining.
Principle 4:
the elimination of all forms of forced and compulsory labor.
Principle 5:
the elimination of child labor.
Principle 6:
the elimination of discrimination in respect of employment and occupation.
Principle 7:
apply the precautionary principle in dealing with environmental problems.
Principle 8:
undertake initiatives to promote greater environmental awareness.
Principle 9:
accelerate the development and diffusion of environmentally friendly technologies.
Principle 10:
Businesses should work against corruption in all its forms, including extortion and bribery.
1
Our commitment
Respect for human rights is a fundamental value of Netstal.
We are committed to respecting all internationally recognized human rights – especially those that are relevant to our operations – and support our Declaration of Principles on Human Rights:
- the ten principles of the UN Global Compact
- the Universal Declaration of Human Rights
- The five fundamental principles and rights at work of the International Labor Organization (ILO)
- the OECD Guidelines for Multinational Enterprises
- the UN Guiding Principles on Business and Human Rights
- the United Nations Sustainable Development Goals
We believe that these rights are inherent to all human beings. We acknowledge that these rights are interrelated, interdependent and indivisible. States have a duty to protect human rights. As a company, we recognize that we have a responsibility to respect human rights.
We take responsibility for our employees and take our responsibility to minimize the impact of our business on the environment seriously. Social responsibility and responsible procurement are key components of our work. This enables us to grow reliably, sustainably and over the long term, thereby securing jobs worldwide.
Our guiding principle is to always comply with the applicable legal regulations in all regions and countries in which we operate. If national laws and international human rights standards differ, we ensure that we comply with national laws as a minimum standard. We then work with our operations and partners to find ways to comply with human rights standards as far as possible.
2
Scope
This policy statement applies to our employees in all business units worldwide. With these standards, we commit all employees to behaving appropriately and lawfully – toward colleagues, partners and communities.
We expect our partners to pass on our commitment to respecting human rights to their business partners.
- International Labour Organization
- The fundamental principles and rights at work established by the ILO are:
- Freedom of association and the effective recognition of the right to collective bargaining
- The elimination of all forms of forced or compulsory labor
- The effective abolition of child labor
- The elimination of discrimination in employment and occupation
- A safe and healthy working environment
The four Sustainable Development Goals on which Netstal is focusing:
SDG 5: Achieve gender equality and empower all women and girls
SDG 8: Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
SDG 12: Ensure sustainable consumption and production patterns
SDG 13: Take urgent action to combat climate change and its impacts
3
Basic and primary human rights
The following human rights and employee rights are of particular importance in the context of our business activities:
a. Child labor
We reject all forms of child labor as defined by the relevant ILO core labor standards.3
This applies in particular to the worst forms of child labor, such as hazardous work, which may be harmful to children’s health, safety or morals. In accordance with the relevant ILO core labor standards, we comply with the minimum age for employment, and all our employer practices shall at a minimum be aligned with the aforementioned ILO standards.
b. Forced labor
We reject any form of forced or compulsory labor. Likewise, we reject any form of debt bondage, military labor, modern slavery, and human trafficking. Work must always be voluntary. In accordance with the relevant ILO core labor standards4, we do not tolerate the use of forced or unlawful compulsory labor in our business activities.
c. Diversity and inclusion
We promote a work environment that enables inclusion and values our employees’ diversity. We are committed to equal opportunities and reject any form of discrimination or harassment, such as on the basis of gender, skin color, ethnic origin, nationality, social origin, religion, world view, age, disability, sexual orientation and identity, health status, political or other beliefs, or other legally protected characteristics.5
The basis for selecting and promoting employees at Netstal is qualification, performance, individual skills and experience.
d. Freedom of association and collective bargaining
We recognize and respect our employees’ right to form and join employee representative bodies and trade unions, to engage in collective bargaining to regulate working conditions and, depending on applicable law, to strike.6 Employees will not be discriminated against or favored in any way on the basis of their membership or non-membership of an employee representative body or trade union, or on the basis of the fact that they act as employee representatives.
e. Remuneration
With our compensation and benefits, we want to enable our employees and their families to enjoy an appropriate standard of living. We are therefore committed to an appropriate wage that at least reaches the minimum wage set by applicable law. Otherwise, this is determined by the law applicable at the place of employment. In accordance with the relevant ILO core labor standards7, we are also committed to the principle of equal pay for work of equal value without regard to gender or other discriminatory distinctions. We pay our employees promptly and clearly communicate the basis on which employees are paid.
f. Working time
At a minimum, we comply with all applicable local laws regarding working hours, including overtime, rest breaks and paid vacations. In addition, we are committed to ensuring, to the extent permitted by applicable law, that work breaks, reasonable limits on working hours and regular paid rest leave are provided.
g. Occupational health and safety
Our employees’ safety, health and well-being are of utmost importance to us. We comply with the respective applicable occupational health and safety laws as a minimum standard and are committed to further-reaching standards of our own for the continuous improvement of occupational safety to create a safe and health-promoting working environment, to preserve employees’ health, to protect third parties, and to prevent accidents, injuries, and work-related illness.8
h. Data protection
We respect all individuals’ privacy and the confidentiality of any personal data we have about them. Our data protection policy provides appropriate safeguards for transferring personal data belonging to employees, customers and suppliers within Netstal. Netstal’s data protection management works to ensure compliance with relevant data protection regulations in each case and to minimize the impact on privacy.
i. Use of security forces
When deploying internal and external security forces to protect our business activities, we ensure that they are committed to respecting internationally recognized human rights.
j. Environment
We are committed to protecting the environment. We are aware that our business activities impact the environment and climate. We regularly check whether our business activities comply with legal regulations for the protection of the environment and climate, such as the use, collection, storage, recycling and disposal of hazardous substances and waste.9 Furthermore, we have introduced further measures and special programs to avoid or at least minimize negative impacts on the environment and climate.
k. Local communities and indigenous peoples
We recognize that our business activities may have an impact on local communities and indigenous peoples. We respect their rights and strive to minimize impacts on local people and their livelihoods.
4
Due diligence
Our commitment to respecting human rights is also reflected in Netstal’s policies, e.g., in our Compliance and Ethics Code, Supplier Code of Conduct and in our operations. To comply with international human rights standards, national laws and Netstal policies, we conduct appropriate due diligence on human rights and environmental risks to identify, assess and address potential and actual negative impacts in our business activities and supply chain.
From this we want to derive measures to avert potential risks, align our management processes accordingly and raise awareness of these issues among employees, business partners and suppliers. This will be integrated into Netstal’s existing risk management processes.
Based on the aforementioned frameworks, the following nine human rights topics were identified for this purpose, which could potentially be relevant along our value chain:
- Prohibition of discrimination, right to equal opportunities and equal treatment10
- Prohibition of slavery and forced labor11
- Prohibition of child labor, protection of minors12
- Freedom of thought, expression and religion
- Freedom of assembly and association13
- The right to sphere of freedom and self-determination
- The right to work, fair wages, safe working conditions and social security14
- The right to health, welfare and safety at work15
- The right to education, further education, training
5
Complaint mechanism
We encourage our employees, business partners and other external third parties to report suspected human rights violations or breaches of this declaration to our internal or external compliance officers via the existing reporting procedure at the e-mail address compliance@krones.com. Our employees can also contact their supervisors, local management, and the relevant HR and legal departments.
6
Notice mechanism and handling of violations
Upon receipt of a tip, a risk-based review of the reported activity is conducted. If it is determined that there is a risk that our business activities or business activities within our supply chain are causing or contributing to negative impacts on human rights or the environment, we have procedures in place to assess, modify, stop and/or correct our activity. We will also take appropriate measures aiming to prevent or stop the risk from materializing within our supply chain, if possible, or minimize the impact. If the human rights violation or breach of this policy statement is due to the behavior of individual employees, this may result in labor law measures. In the event of a legal violation, we also reserve the right to refer the matter to the relevant authorities for further action in accordance with local legislation.
7
Implementation
Responsibility for the implementation of this declaration of principles is managed by the Netstal board. This ensures that every area of our company is aware of its own responsibility for respecting human rights and implementing them on a daily basis.
8
Communication and training
Netstal will communicate this policy statement to employees in an appropriate manner. We also offer our employees specific training on human rights and environmental issues.
9
Stakeholder engagement and evaluation
We recognize that we are an integral part of the communities in which we operate. We seek constant dialogue with stakeholders to better understand and take into account their views and expectations regarding human rights.
We also regularly review and evaluate how we can best optimize and strengthen our approach to human rights and environmental protection within our sphere of influence.
11
Final clause
This Netstal Declaration of Principles on Human Rights comes into force on January 1, 2023; it has no retroactive effect. No rights or claims of individuals or third parties can be derived from this declaration of principles. Only the German version of this declaration of principles is binding.
If you have any questions about the Human Rights Policy Statement, please contactcompliance@krones.com
1. Netstal comprises NETSTAL Maschinen AG and all subsidiaries controlled by it.
2. Even if only the masculine form is used for natural persons for reasons of linguistic simplification, the content always refers to persons of all gender identities. The term “employees” also includes managers at all levels and members of management.
3. ILO Conventions No. 138 and No. 182
4. ILO Convention No. 29, No. 105 and Protocol of June 11, 2014 to Convention No. 29 of the ILO
5. ILO Conventions No. 100 and No. 111
6. ILO Conventions No. 87 and No. 98
7. ILO Conventions No. 100 and No. 111
8. ILO Conventions No. 155 and No. 187
9. For example, the Minamata Convention on Mercury of October 10, 2013, the Stockholm Convention on Persistent Organic Pollutants of May 23, 2001 and the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal of March 22, 1989, as amended.
10. Cf. ILO Conventions No. 100 and No. 111
11. Cf. ILO Convention No. 29, No. 105 and Protocol of June 11, 2014 to Convention No. 29 of the ILO
12. Cf. ILO Convention No. 138 and No. 182
13. Cf. ILO Conventions No. 87 and No. 98
14. Cf. ILO Convention No. 155 and No. 187
15. Cf. ILO Convention No. 155 and No. 187