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Human Rights in the value chain

For more than 120 years, both in our internal operations and our value chain, Roche has fostered global human rights. We proactively focus on protecting human rights by doing no harm, making an impactful contribution, and looking at our sphere of influence. We are committed to the protection of Vulnerable Populations (e.g. children; underage workers; migrants; indigenous peoples; local underprivileged communities; and people with low levels of education), advocating for diversity and inclusion, and increased supply chain transparency.

 

We have formalized our standards for the protection of human rights in the Roche Supplier Code of Conduct which requires our suppliers to address namely the following topics:

  • Forced labor
  • Human trafficking
  • Child labor
  • Freedom of association
  • Fair Treatment
  • Discrimination

Consequently, the listed topics are part of the risk based due diligence conducted before engaging with the supplier. 

 

In 2017, Roche Global Procurement developed a scalable risk algorithm, based on our Supplier Code of Conduct requirements, to identify suppliers with a high potential for human rights violations and those industries likely to employ Vulnerable Populations. The algorithm focuses on the following four main risk factors: Country, Industry, Proximity to Roche, and Reputation. 

 

We continue to improve and expand the use of our human rights algorithm. In 2019, we automated our human rights algorithm so that it can be used as part of the due diligence process for new suppliers. We also use the human rights algorithm to assess the entire supplier base (60,000+ suppliers) annually

 

We measure the supplier human rights compliance through our Supplier Sustainability Assurance Visit program. In 2020, there were 111 Human Rights related observations at 48 suppliers. The findings included excessive overtime, inadequate pay of social benefits, and the lack of a human rights policy and corporate training on the protection of human rights. All 48 suppliers have corrective action plans in place (find an example here).

 

Roche’s commitment to protect Vulnerable Populations is linked to our commitment to environmental stewardship. For example, reduction of greenhouse gas emissions cannot come at the cost of human rights. 

 

In 2020, Roche set a global goal to reduce greenhouse gas emissions by transitioning our fleet to electric vehicles. Because we understand the human rights risks involved in mining the conflict minerals required to create electric vehicles, our Global Procurement Fleet team established the human rights criteria for selecting electric vehicles. The electric vehicle manufacturers must:

  1. Accept Roche’s Supplier Code of Conduct and Roche’s right to audit for the electric vehicle manufacturer for labor and human rights compliance
  2. Be in full compliance with OECD Guidance on Responsible Supply Chains
  3. Have an ethical mineral sourcing code of conduct that protects miners and families
  4. Have a recycling program for conflict minerals

Electric vehicle manufacturers who cannot meet these 4 requirements and excluded from our fleet.

Human Rights findings in 2020

  • Number of Human Rights Findings per Country in 2020
    Number of Human Rights Findings per Country in 2020
  • Supplier View on Human Rights findings in comparison to Total findings (2020)
    Supplier View on Human Rights findings in comparison to Total findings (2020)
  • Corrective Action Plan on Human Right Major Findings triggering a Follow-up Audit in 2021
    Corrective Action Plan on Human Right Major Findings triggering a Follow-up Audit in 2021

Looking forward 2021/2022 Human Rights risks

  • 2021 Human Rights Predicted Risk - Number of vendors per country
    2021 Human Rights Predicted Risk - Number of vendors per country
  • Supplier Human Rights Risk per Industry
    Supplier Human Rights Risk per Industry