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53

2014 Registration Document

Social responsibility

2

Action plans

Number of social audits (including initial audits *)

2014

2013

2012

Bangladesh

99 (32)

59 (33)

58 (43)

China

1,005 (435)

944 (489)

785 (384)

India

116 (70)

100 (50)

55 (45)

Other countries

288 (165)

231 (173)

146 (104)

TOTAL

1,508 (702)

1,333 (745)

1,044 (576)

* Initial audits: audits to check compliance with the Social Charter prior to listing.

Number of audits with alerts * in 2014

Initial

Follow-up

Bangladesh

17

60

China

137

93

India

38

33

Other countries

44

25

TOTAL

236

211

* An alert is a critical point of non-compliance identified during the audit and requiring immediate action by the supplier.

Breakdown of alerts by non-compliance in 2014

Health & safety

Working hours

Remuneration

Others *

Bangladesh

80%

15%

5%

0%

China

58%

18%

12%

12%

India

68%

14%

8%

9%

Other countries

58%

18%

13%

12%

TOTAL

63%

17%

11%

9%

* Others: alerts linked to chil labour, forced labour, freedom of association, discrimination or disciplinary practices.

The audits recorded in these tables were carried out within the scope

of the ICS and ordered by Carrefour. They cover all food and non-food

suppliers with which Carrefour works or would like to work. Carrefour

was involved in the creation of the Initiative Clause Sociale (ICS – Social

Clause Initiative) which brings together 20 retail banners. The ICS enables

members to share a common code, methodology and audit database.

Each member enters data by incorporating results from social audits

carried out at their suppliers’ sites. Carrefour has contributed about 50%

of the audit volume since the initiative was launched.

◗

Promoting collective agreements

◗

Consolidation of supplier inspection standards

During his speech to the OECD, Carrefour’s General Secretary reaffirmed

the fact that “respect of working conditions in manufacturing should not

be a matter of competition”. In 2014, during discussions within the UN’s

Council on Human Rights, this position - which guides Carrefour in its

respect for human rights - led Carrefour to promote the development

of international standards (UN) on the issue of corporations and human

rights and, in 2015, to consolidate inspection standards.

Carrefour aims to assume its direct responsibilities and influence its

suppliers. The Group’s influence over its suppliers’ supply chains remains

indirect. Accordingly, Carrefour asks its suppliers to impose the same

standards of working conditions on their own suppliers, and to agree to

cooperate as necessary to advance labour relations practices. In 2006,

the Group worked alongside three other international banners to launch

the Global Social Compliance Programme (GSCP). Bringing together

34 major players in the retail and industrial sectors, the programme

promotes the continuous improvement of workers’ conditions based on

the worldwide harmonisation of standards and tools. The GSCP has

developed a standard code based on best practices, and also an audit

methodology, criteria for selecting auditors, an environmental benchmark

and an equivalence process, which should help to avoid duplication of

social audits at production sites. The objective for 2015 is to consolidate

these methodologies.

◗

Summary of the Accord on Fire and Building Safety

in Bangladesh

In May 2013, Carrefour was one of the first retailers in France to sign

the Accord on Fire and Building Safety in Bangladesh. The Accord now

has more than 200 signatories and its 2014 implementation resulted in

inspections of building structures, fire safety measures and dissemination

of the list of over 1,700 factories concerned. During 2014, all factories

working with Carrefour were inspected pursuant to the Accord, and

a specific organisation was established to oversee the inspections.

Progress of the Accord can be followed on:

www.accordbangladesh.com

.