Key Topic: What Makes a Good Code of Conduct?

In an office building, a woman holds a clipboard at a desk across from a man with a computer
Photo Credit: Sora Shimazaki_Pexels

A good code of conduct is:

  • A foundation for more detailed guidance for decision-makers who implement the social compliance system within the company.
  • A public document that clearly states the actors within the company who are responsible for its development, oversight, and implementation.

The content of codes:

  • The content of codes has become more standardized in recent years, consolidating around core content areas that generally include:
    • Governance and management of the code
    • Scope of coverage
    • Labor standards
    • Additional workplace policies, such as a right to humane treatment and freedom from sexual harassment
    • Environmental standards (note: while these standards are often included in the larger code of conduct, they are not discussed further in Comply Chain, as this tool focuses on child labor and forced labor)
    • Management systems, procedures, and practices for implementation and enforcement
    • Legal liabilities and penalties for failure to implement code provisions
    • Links to contractual controls, supply chain risk reduction, and enforcement mechanisms, such as terminating relationships with suppliers due to child labor and forced labor violations
  • With respect to labor standards, a strong code should address areas covered by the International Labor Organization’s (ILO) core labor standards, which are a set of Fundamental Principles and Rights at Work.
  • The following examples demonstrate the various forms that codes can take: