Supplier Code of Conduct

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Overview

Supplier Code of Conduct

The Estée Lauder Companies Inc. and its subsidiaries (ELC) aim to develop long-lasting, trusting and mutually beneficial relationships with suppliers who share our strong values and who demonstrate the same commitment to operating responsibly and ethically across all facets of business. As part of this commitment, we require our suppliers to fully comply with our Supplier Code of Conduct detailed below.

Legal Compliance: ELC is committed to conducting its business in accordance with the highest ethical standards and in compliance with all applicable laws and regulations in the countries where we do business. We aim to meet or exceed requirements of applicable environmental, health and safety laws and regulations, corporate standards and other standards to which the company subscribes. We expect our suppliers to do the same.

Child Labor: ELC suppliers must not employ child labor. The term "child" means any person employed under the age of 15 (or 14 where the law of the country permits) or under the minimum age for employment in the country, whichever is greater.

Forced Labor: ELC suppliers must not use forced or compulsory labor of any kind, be it prison, bonded, indentured or otherwise. Furthermore, mandatory overtime is not permitted, and workers must be allowed to leave their employment after giving reasonable notice.

Human Rights: ELC suppliers must treat their employees with respect and dignity. They must not engage in any kind of physical, verbal, psychological or sexual abuse or misconduct.

Hours: ELC suppliers must uphold the local legal limit on hours worked, and where no limit is imposed, they must not engage workers for more than 60 hours a week at most-outside of extraordinary circumstances. Workers must receive at least 1 day off each week and must not be required to take work home.

Wages: ELC suppliers must pay their employees the legal minimum wage or the prevailing industry wage (whichever is higher) as well as any legally prescribed benefits. Workers must not be subject to financial penalties for poor performance or face illegal deductions for benefits payments.

Discrimination: ELC suppliers must not subject their workers to any unfair or unjustified discrimination with regard to hiring, remuneration, promotion or termination. Any employment decisions must be based on worker ability and not on personal characteristics such as race, creed, color, religion, gender, age, national origin, alienage or citizenship status, sexual orientation, gender identity or expression, marital, partnership or familial status, disability, genetic information, veteran/military status, domestic violence victim status or any other characteristic protected by law.

ELC suppliers are expected to comply with the law in all circumstances. In cases where applicable law conflicts with the provisions in this policy, suppliers are expected to comply with the law, while seeking to meet the underlying principles of this policy.

Freedom of Association: ELC suppliers must recognize the right of employees to freely associate and must comply with all local laws governing the right of employees to select or not to select workplace representatives.

Health and Safety: ELC suppliers must ensure that their workers perform their work in clean, healthy and safe environments. Any residential facilities must be similarly maintained. Work areas must be of a standard to prevent accidents and illnesses and to ensure an adequate level of sanitation.

Environment: In addition to upholding local environmental laws, ELC suppliers must strive to continually improve their performance.

Subcontracting: Subcontractors must agree to abide by ELC’s Supplier Code of Conduct. All manufacturing facilities, including decorating facilities, may not be changed without notice to and approval by ELC.

Communication: ELC suppliers must make all reasonable efforts to communicate the ELC Supplier Code of Conduct to workers and must ensure that workers have the opportunity to ask questions and make complaints under the Code.

Ethical Practices and Anti-Corruption Policy: All ELC suppliers and their officers, directors and employees must adhere to the highest standards of business ethical conduct. Below is a summary of ELC’s Anti-Corruption Policy. Please read the policy carefully as all suppliers must comply with its terms.

Improper Payments, Gifts and Entertainment: ELC employees may not give or receive gifts or entertainment unless they are not provided as a quid pro quo, modest in value, infrequent, unsolicited, given on a customary gift giving occasion, reasonable and customary in our business and permissible under the rules of the Suppliers’ organization.

Cash and cash equivalents such as gift cards and gift checks are never acceptable. Gifts of tickets for entertainment of any nature (theater, sporting event, etc.) require that the donor attend the event with the recipient.

Supplier Code of Conduct

Supplier Code of Conduct

Code of Conduct for our Suppliers

The Estée Lauder Companies will work with suppliers as appropriate, to ensure that they fully understand the intent and requirements of the Supplier Code of Conduct.

If a supplier appears to be in non-compliance with the ELC Supplier Code of Conduct, ELC expects the Supplier to cooperate with ELC and provide such additional information to ELC for it to make a determination whether the supplier is in compliance. If ELC determines that the supplier is not in compliance, then the remedies may include, among other things, termination of business with ELC or the development and implementation of a corrective action plan that would need to be implemented within a certain fixed time period. ELC may follow such implementation by an audit, as it deems appropriate.

The Estée Lauder Companies approves new suppliers or new manufacturing plants that pass both its Supplier Code of Conduct audit and a Quality Assurance audit.

Additional information about our commitment to sustainability can be found in the Sustainability section of our website.

Summary of ELC's Anti-Corruption Policy

ELC has a zero tolerance policy for corruption or bribery. No ELC employee, agent, distributor, vendor, supplier, or other representative may, either directly or indirectly:

  • Offer or give anything of value to a government official or any other person as an incentive to, or in exchange or as a reward for, obtaining an inappropriate business advantage for ELC; or
  • Give, offer, solicit or accept anything of value that is intended to induce the recipient to violate his/her duty of loyalty to his/her employer

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The Estée Lauder Companies' Supplier Code of Conduct

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