Essity favors an open communication and in case breaches are discovered, or if there are suspicions about breaches, the supplier is contacted for discussion and debriefing. According to our frame agreements, suppliers are obliged to notify Essity if a supplier discovers or has reason to believe that breaches against the code of conduct is taking place in their own supply chain. Essity’s general approach is that walking out from a supplier should be the last solution. In most cases, it is much better for all parties to maintain business relationship while implementing a corrective action plan where regular follow ups are leading to an improved situation. This is particularly true when the breaches concern serious human rights issues.
Findings Beyond Direct Supplier
Certain findings are not directly associated with our first-tier suppliers. It can be a structural or even societal problem reflected many steps down in the supply chain and engaging with or even switching supplier would not make a difference. In this case, it is not efficient trying to solve the issue alone. Essity engages with relevant NGOs, supports local communities, collaborates with other companies that share the same values as Essity, or joins business initiatives that target the issue.