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Suppliers comply with laws and company’s policies:

'SUPPLY CHAIN POLICY RELATED TO SLAVERY AND HUMAN TRAFFICKING

Costco has a Supplier Code of Conduct (the “Code”), which prohibits human rights abuses in its supply chain. This Code is global in its scope and applies to all suppliers and their facilities, as well as our manufacturing facilities. It is derived in substantial part from the policies, standards, and conventions of the United Nations and the International Labour Organization, as well as other leading independent standards, such as the Responsible Business Alliance and Worldwide Responsible Accredited Production. Practices such as human trafficking, physical abuse, restricting freedom of movement, confiscation of passports and other documentation, unsafe work environments, failure to pay adequate wages, excessive or forced overtime, illegal child labour, and many other aspects of worker welfare are addressed by the Code. By signing Costco’s supplier agreement, the supplier warrants compliance with the Code, including by its sub-suppliers. We may acknowledge and accept a supplier's code as equivalent to our Code.' - 2

 

Supplier Code of Conduct indirectly linked to in the statement and found here https://mobilecontent.costco.com/live/resource/img/static-us-landing-pages/16w0604-sustainability-conduct.pdf

 

Forced Labour:

'Employee(s) means any current or former employee, laborer, worker, or staff member employed or contracted by the Supplier, Facility or Subcontractor, which includes all foreign and migrant workers.' - SCoC 2

'VI. FORCED, BONDED, INDENTURED, SLAVE AND PRISON LABOR, AND HUMAN TRAFFICKING

All Employees shall work on a voluntary basis and not be subject to any exploitation, such as forced, bonded and indentured labor, or sexual exploitation. Employees shall not be subject to any forms of coercion, fraud, deception, or giving up control of their person to another for the purpose of such exploitation.4' - SCoC 3

 

Code of conduct or supplier code includes clauses on slavery and human trafficking:

'VI. FORCED, BONDED, INDENTURED, SLAVE AND PRISON LABOR, AND HUMAN TRAFFICKING

All Employees shall work on a voluntary basis and not be subject to any exploitation, such as forced, bonded and indentured labor, or sexual exploitation. Employees shall not be subject to any forms of coercion, fraud, deception, or giving up control of their person to another for the purpose of such exploitation.4' - SCoC 3

 

Prohibit charging of recruitment fees to employee:

'VI. FORCED, BONDED, INDENTURED, SLAVE AND PRISON LABOR, AND HUMAN TRAFFICKING

Supplier and Facility shall only use legally recognized employment agencies with a current license and shall ensure that recruitment of Employees, whether directly or indirectly, is in compliance with Applicable Laws and Regulations. Employees shall not pay any fees or other payments to the employer or agent for the purpose of being hired or as a condition of employment. No such fees shall be deducted and withheld from wages or otherwise passed on to the Employees.' - SCoC 3

 

Prohibit use of child labour:

'V. CHILD LABOR AND YOUNG WORKERS

All Employees shall be of at least legal age established by local law. If the local law does not set a minimum age, Employees must be at least fourteen (14) years old. Official and verifiable documentation of each Employee’s date of birth, or a legally recognizable means of confirming each Employee’s age, shall be maintained.

...

Employees under the age of eighteen (18) shall not perform hazardous work that may jeopardize their health, safety or morals. Hazardous work includes, but is not limited to: work at dangerous heights or in confined spaces; work with hazardous substances, dangerous machinery, equipment and/or tools; work that involves the manual handling or transport of heavy loads; and night work.' - SCoC 3

 

Suppliers protect migrant workers:

'VIII. LABOR AND EMPLOYMENT MANAGEMENT

F. Foreign or Migrant Employees

Foreign or migrant Employees shall: a) be employed in full compliance with the laws of the host country, including employment, labor and immigration laws; and b) not be subjected to threats of termination or deportation.' - SCoC 5

 

Suppliers respect labour rights:

'VIII. LABOR AND EMPLOYMENT MANAGEMENT

B. Wages and Benefits

Employees shall be paid at least the legal minimum and overtime wages for hours worked.

E. Freedom of Association and Collective Bargaining

Employees who wish to join or not join trade unions and to bargain collectively shall not be interfered with, penalized or retaliated against. Employees shall not be discriminated against based on such associations.' - SCoC 4-5

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Prohibition of forced and child labour is not explicit. Hence, it is not considered.