Set of Zero-tolerance Policies in Compliance with RBA Code of Conduct

GIGABYTE commits to complying with local laws under high moral standards and obeying regulations of industrial responsibility. Although we are not a formal member of the Responsible Business Alliance (RBA, originally known as EICC), we voluntarily support the RBA Code of Conduct, including aspects of labor, health and safety, environment, and ethics.

 

  • Diversity and Nondiscrimination
  • Harassment Prohibition
  • Workplace Safety
  • Prevention of Human Trafficking, Forced Labor and Child Labor
  • Working Hours and Minimum Wage Standards
  • Freedom of Association/Collective Bargaining
  • Privacy and Freedom of Expression
  • Product Responsibility and Environmental Stewardship

 

In order to effectively carry out supply chain management, GIGABYTE amended the documentation to re-establish criteria for supplier evaluation and requirements for signing contract/commitment in 2017. Four zero-tolerance policies were also established. GIGABYTE has zero tolerance for the use of child labor, forced labor, discharge of untreated toxic or harmful matters or materials, and any behavior that may cause direct injury to employees. If any violation is identified, the improvement shall be made within a specified time frame. If the supplier designated by a customer fails to improve as scheduled, GIGABYTE would notify the customer. If the supplier that is not designated by any customer fails to meet the improvement standards, we would reduce orders, cease the business, or cancel the qualification of the supplier in order to avoid risks of supply chain and losses to our customers. For more information about the RBA, please visit the RBA website at:http://www.responsiblebusiness.org/

In addition to ethical requirements, to fully understand the impact of products on the environment and society, GIGABYTE launched a product environmental responsibility disclosure project in 2016. For more details, please refer to Extended Product Responsibility.

 

Prohibition on Conflict Minerals

Tin, tungsten, tantalum, and gold (3TG) minerals are indispensable raw materials in electronic products. However, such minerals may come from the areas of forced labor, child labor, or armed conflict. Using the minerals from these conflict areas as raw materials means indirect support of oppression and harm to the local human rights and living conditions. Therefore, GIGABYTE introduces the Responsible Minerals Initiative (RMI) under the RBA to investigate the use of 3TG minerals by first-tier suppliers and traces the source through the Conflict Minerals Report Template (CMRT) to further manage raw materials to jointly safeguard human rights and values.

In 2019, RMI included cobalt mines in the scope of conflict mineral investigation, and GIGABYTE also immediately added cobalt mines into investigating items and expanded the scope of the investigation gradually to show our emphasis on conflict minerals reporting.

The number of suppliers included in conflict minerals investigation in the recent 4 years

3TG Minerals

We further conducted statistical analysis on the CMRT responses to understand the actual management of conflict minerals by each supplier, and through their regulations and requirements for upstream to outline the use and management of conflict minerals by second-tier suppliers.

After screening the completeness of conflict mineral management policies of all suppliers, we selected 158 companies that surely used 3TG minerals from the Covered Countries in their processes and reviewed their management approaches in order to plan timely control measures in time.

The screening result found that only 2 high-risk suppliers had not defined a clearer conflict minerals management policy or conducted due diligence on their supply chains. GIGABYTE has drawn up a list and is formulating a follow-up tracking mechanism.

Conflict Minerals Management Status of the Suppliers using 3TG Minerals from Covered Countries

Cobalt Mineral

According to the cobalt investigation of 353 first-tier suppliers in 2020, only 91 suppliers used cobalt in their production processes. Among them, 56 (61.5%) suppliers have already established cobalt sourcing management policies. Although currently cobalt is not as widely used as 3TG metals, GIGABYTE will continue to expand the scope of cobalt investigation to eliminate human rights oppression caused by conflict minerals.