California Transparency in Supply Chains Act: Supplier Disclosure Statement
Baxter seeks to foster and maintain a culture of compliance with applicable laws, rules, and regulations, and the highest standards of ethics and business conduct with respect to forced labor and human trafficking and slavery. Our commitment to fostering this culture of compliance is extended to our relationships with suppliers. Specifically, Baxter does not support, encourage or endorse any form of forced labor or human trafficking and slavery in our operations or in our supplier networks. We take a number of steps with respect to verification of our supply chain and certification of materials to ensure suppliers are operating in an ethical manner with respect to forced labor, including the following:
- On an annual basis, Baxter conducts a sustainability survey of its select suppliers to assess whether these suppliers have programs to address potential human rights risks, including human trafficking and slavery and whether they have been alleged to have violated any human rights standards. This survey is conducted by Baxter and not a third party.
- Supplier contracts include language that permit Baxter, upon advance notice, to access facilities at which any products and services provided to Baxter are manufactured and delivered to assess suppliers’ compliance with Baxter’s Ethics and Compliance Standards for Suppliers. Baxter does routinely conduct quality audits of its suppliers and is currently evaluating the need to audit compliance with company standards for human trafficking and slavery.
- We have incorporated rules against forced labor into our Ethics and Compliance Standards for Suppliers and commercial agreements with suppliers. Suppliers who conduct business with Baxter are required to acknowledge receipt of Baxter’s Ethics and Compliance Standards for Suppliers. Specifically, the Standards forbid the production or manufacture by suppliers of products or services (or incorporation of any materials therein) in violation of laws governing workers’ human rights, including human trafficking and slavery.
- Employees and contractors of Baxter are expected to know, understand and live up to Baxter’s Code of Conduct. Employees have a duty to report any known or suspected violation of the Code, or any laws, rules or regulations applicable to Baxter. Reporting such violations helps to safeguard the reputation and integrity of Baxter and its employees. Baxter’s internal accountability standards and procedures for employees and contractors can be found at the following link: http://www.baxter.com/about_baxter/corporate_governance/ethics_and_compliance/
procedures_for_employees.html#communications_investigations. Baxter's Ethics and Compliance Helpline, a telephone and web resource, is available to employees, their families, suppliers and customers as another channel to report or seek guidance on issues. The Ethics and Compliance Helpline has the ability to connect counselors, 24-hours a day, seven days a week in 150 languages, at 1-877-BAXTER-3.
- Baxter provides training sessions on Baxter’s Code of Conduct for new and existing employees. Additionally, Baxter has a Procurement Ethics course for those who have direct responsibility for supply chain management. This module, beginning in 2012, includes material to educate procurement professionals about human rights risks, including human trafficking and slavery.
Please also see Baxter's Global Human Rights Policy.