Preventing and mitigating risks
When Essity identifies, or has reason to believe, that a supplier is not complying with our Global Supplier Standard or Supplier Code of Conduct, we seek to understand the situation and work with the supplier to address the issue. Our goal is to prevent and mitigate adverse impacts through dialogue, corrective actions, and continuous improvement.
Working with Direct Suppliers
Suppliers are expected to inform Essity if they become aware of actual or suspected breaches within their operations or supply chains. When non-compliance is identified, Essity engages with the supplier to assess the issue and, where appropriate, develops a corrective action plan with clear follow-up activities and timelines.
As a general principle, Essity prefers to work with suppliers to improve conditions rather than immediately terminate a business relationship. This is especially important in cases involving human rights issues, where responsible engagement can help achieve lasting improvements for affected people.
Addressing Risks Further Upstream
Some risks and adverse impacts occur beyond Essity's direct suppliers and may be linked to broader industry or societal challenges. In such cases, meaningful improvement often requires collaboration. Essity may therefore work with suppliers, industry peers, certification schemes, non-governmental organizations, and other stakeholders to help address root causes and drive broader change.
Escalation and Last Resort Measures
If a supplier is unwilling or unable to address serious non-compliance, Essity may escalate the matter and ultimately reconsider the business relationship. Ending a supplier relationship remains a last resort and is evaluated on a case-by-case basis, taking into account potential impacts on affected workers and communities.