Nokia standards for factory labour conditions

Aim of this standard is to set clear requirements for labor conditions at Nokia factories. These are voluntary commitments made by Nokia to complement local legislation. These standards are based on Nokia's Code of Conduct, UN human rights declarations, ILO conventions, international ethical standards and international labor laws. They also have been benchmarked against SA8000 and EICC.

Below is a summary of the standard, listing the key requirements in each topic.

1) Working hours
It is the advantage of both the factory employees and the employer to control working hours so that employees’ free time and well-being is ensured.

The regular working week in factory must be set according to local legislation, but not exceeding 48 hours even if local law allowed that. At least one rest day per any 7 day period must be guaranteed for every employee. Overtime work must be voluntarily accepted by the employee and must not cause the employee to work over 60 hours in a week. If a freely negotiated collective agreement exists between employer and employee organizations, employer can require overtime to cover a sudden, short-term business demand, if there is an agreement about such a case in the collective agreement.

2) Compensation
Fair pay and transparent compensation practices.

Compensation must always be above legal minimum wages. Total compensation including wages and benefits must strive to cover the basic needs of employees. Relevant market and industry data must be studied when defining the salary levels. When collective agreement exists, and is negotiated with employees, salaries must be set according to it. The pay structure, pay slip and payment processes must be clear and understood by workers, and available in local or appropriate language.

3) Non-Discrimination
Employment decisions shall only be made based on employee's ability to do the job.

Discrimination based on any personal attribute (such as age, gender, nationality, opinions, memeberships, religion, disabilities or race) must be strictly forbidden, as well as all kind of harrassment, whether sexual, physical or mental. Employees must be free of any discrimination and harassment in all employment practices, such as recruitment, promotions, access to training or setting pay levels. Factories must have grievance and disciplinary processes in place in order to support the development of a workplace free of any discrimination and harassment. Special attention must be put on recruitment practices. Testing for pregnancy or chronic disease e.g. HIV or Hepatitisis must not be used as a criteria for hiring.

4) Freedom of Association
Employee representation and freedom of association encourage open and active dialogue between management and employees.

Employees must be entitled to peaceful assembly, even if this freedom is restricted by law. In those countries the employees must have a right to select a representative/s to enable communication between the employees and the management. Employees must have a right to join associations of their own choice, and to select their representatives according to the local and international practices. The management must support, encourage and implement active communication and dialogue with employees and/or employee representatives.

5) Forced labour
Forced labour is a serious violation of a fundamental human right and can not be tolerated.

All forms of forced labor must be forbidden. Nokia or Nokia's external labour providers or recruitment agencies must not be engaged in nor support the use of forced labour. Work contracts must be made and offered in written to all employees in local or appropriate language. Employees must not be required to place any deposits for gaining employment. Employer must not hold any identification papers of employees or limit the freedom of movement in any ways. The notice period must be reasonable and employees must not be fined for resigning.

6) Child labour avoidance
Children don't have the physics, knowledge or experience of an adult, and therefore children enjoy distinct rights to protection.

Employment processes must be designed to strive that no children are working in factories. Age of the candidate must always be verified prior to recruitment. Young workers may be employed according to local legislation to support youth employment. Young worker refers to any person at least the age of 15 but under 18, or older if so specified in local legislation. However, young workers must not be exposed to any hazardous work, overtime work or nightshifts, as per ILO recommendations.

7) Disciplinary practices
Organizations need disciplinary measures to maintain safe and effective operations. Disciplinary actions shall always respect worker’s mental, emotional and physical well-being.

Physical punishment, or physical or mental coercion and verbal abuse are not tolerated. Factory must set up a progressive disciplinary process and share it to employees in local or appropriate language. Disciplinary salary reductions (e.g. fines) are not allowed from the basic wage. Employees must have a right to respond or internally appeal against the disciplinary decisions concerning themselves.

8) Occupational Health and Safety
OHS provides employees with safe working environment and promote employee health.

Employer must provide information and training to all employees about occupational health and safety issues already at induction and repeat it regularly. First aid and other emergency training must be offered and promoted to ensure adequate amount of trained personnel. Occupational health services must be available to all employees regarding work related health issues, as well as programs promoting health and well-being. Occupational standard operating procedures must be in place and available to all employees. Health hazards must be prevented by systematic identification, assessment, control and documentation. Contingency plans must be in place, and fire and evacuation drills must be performed.

9) Management systems
Management system provides tools for the management to monitor and develop processes and practices to enhance working conditions.

Factory management must own the responsibility for and commit themelves to ensuring compliance with the Nokia Labour Condition Criteria at the respective factory. Nokia Labor Condition Standard must be communicated internally and provided in the local language. Labour condition compliance in factories must be assessed every second year by a 3rd party, i.e. professional social audit company. Employees must have a confidential channel to raise grievances and report misconducts of this standard. Cases of grievances must be followed-up by management on regular basis