LVMH 2019 . E t h i c s a n d r e s p o n s i b l e p a r t n e r s h i p s
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E T H I C S A N D R E S P O N S I B L E PA R T N E R S H I P S
THE LVMH GROUP CULTIVATES ITS DIFFERENCE THROUGH A CONSTANT QUEST FOR EXCELLENCE. WE MUST THEREFORE
BE EXEMPLARY WHEN IT COMES TO ETHICS, CORPORATE SOCIAL RESPONSIBILITY, AND RESPECT FOR OUR STAKEHOLDERS.
Benchmark ethical texts and their application
LVMH s commitments to its employees and stakeholders are reflected in its long-standing support for benchmark initiatives such as the United Nations Global Compact, and in the adoption of internal charters and codes of conduct which serve as benchmark texts for all of its Maisons. These include the LVMH Code of Conduct, the Supplier Code of Conduct, the Environment Charter, the Charter on Working Relations with Fashion Models and Their Well-Being, and the Recruitment Code of Conduct. The Group has a dedicated governance structure that ensures its values and benchmark ethical texts are applied at the operating level. This structure includes the Ethics & Sustainable Development Committee within the Board of Directors, which is comprised mostly of inde- pendent directors. The Group s senior executive team coordinates the initiatives of LVMH's Ethics & Compliance, Audit, Internal Control, Operations, Procurement, Environment, Social Development, and Financial Communication Departments. Given its businesses, LVMH reflects these commitments and values by paying special attention to various issues. It notably focuses on implementing an employee inclusion and personal growth policy; promoting and passing on expertise and key skills; protecting personal data; reduc- ing its impact on ecosystems and natural resources; and establishing and maintaining responsible supply chains. LVMH works collaboratively to implement appropriate policies and systems, raise awareness within its Maisons and ensure they make progress, particularly in managing these issues and their relations with suppliers regarding environmental, social and ethical matters. It aims to pro- mote and ensure sustainable supply chains.
Fair and responsible relations with our partners
Supporting our partners is a key strategic priority. LVMH aims to establish long-term relations with them based on a shared quest for excellence and a desire to establish a set of common ethical rules, practices and principles. For example, the Group is developing a global policy to ensure that its partners and suppliers adopt best environ- mental, social and societal practices. The policy involves sensitizing them to the overall issues and providing train- ing in areas specific to their own activities. LVMH and its Maisons take a collaborative approach and support them with audits and the rollout of action plans, where necessary over 1,500 audits were conducted in 2019. LVMH s policy for the responsible sourcing of raw materi- als of animal origin is a key example of this commitment. The Group firmly believes it must continue to promote decent working conditions, animal well-being, wildlife conservation and environmental protection throughout its supply chains. With this in mind, in 2019 the Group launched the Animal-Based Raw Materials Sourcing Charter, which covers supplies of fur, leather, exotic leather, wool and feathers. This charter enables the Group to make long-term commitments in three areas: full traceability in supply chains; animal farming and trapping conditions; and respect for local populations, the environ- ment and biodiversity.
Further information can be found in the Environment section and in the 2019 Universal Registration Document.
