Code of Conduct

Code of Conduct


INTRODUCTION


Spell Designs Pty Ltd is a global fashion label. Our vision is to become one of the most inspiring and conscious fashion brands in the world. We understand that every garment we produce has an impact. We are committed to truly understanding and finding the most effective way to manage and reduce these negative impacts on the environment and communities in which our global families live and work, empowering our global workforce & our community of customers. The foundations of our Spell Supplier Code of Conduct (our “Code”) are based on the most respected global standards and initiatives relating to our three pillars of sustainability: People, Planet and Prosperity. This Code of Conduct outlines the minimum requirements that should be implemented throughout every stage of our value chain as we work together to ensure the highest standards are being met within our business operations.


Our Code is based upon the foundations of the Ethical Trading Initiative (ETI) Base Code and the International Labour Organisation (ILO) respectively. The four categories pertain to:


  • Freedom of association and the effective recognition of the right to collective bargaining;
  • Elimination of forced or compulsory labour;
  • Abolition of child labour; and
  • Elimination of discrimination in respect of employment and occupation.

We are committed to making a measurable contribution on our global community and environment through responsible procurement by working closely with each of our global partners. If we determine a supply chain partner is not compliant, then we will work with them to implement a corrective action plan to make improvements to remedy the problem. Failure to improve will result in Spell seeking new supply chain partners who share our vision.


CODE TERMS


Our Code Terms apply to all supply chain partners including agents, traders, manufacturers, farmers, and subcontractors. Should a direct partner require a subcontractor, Spell must be notified, in writing. It is the direct partner’s responsibility to ensure all subcontractors comply to Spell’s Code of Conduct and respective policies. Our supply chain partners are responsible for implementing this Code and applicable local and international laws into the business. Our Code will be provided to all supply chain partners in the applicable local languages and communicated to all direct and indirect employees of our organisation.

PEOPLE


CHILD LABOUR


There shall be no use of child labour. The age for admission to employment shall not be less than the age of completion of compulsory schooling and, in any case, not less than 15 years. It is expected that our Suppliers develop adequate policies and programs which provide for the transition of any child found to be performing child labour to enable them to remain and attend in education until no longer classified as a child. Children and persons under 18 shall not be employed in hazardous conditions or at night. These policies and procedures shall confirm to the provisions of the relevant ILO standards.


FORCED LABOUR, INVOLUNTARY LABOUR & MODERN SLAVERY


Spell forbids and therefore prohibits the use of any forced or involuntary labour or any form of Modern Slavery, including prison labour, slavery, servitude, debt bondage, human trafficking, and deceptive recruitment. All work shall be under voluntary conditions. Our Suppliers shall not restrict the movements of workers by requiring deposits, imposing financial penalties, requiring recruitment fees, or retaining identity documents or other personal legal documents. Workers shall be free to leave and have the ability to terminate their employment after reasonable notice. Compliance with the Uyghur Forced Labor Prevention Act, Pub.L.No.117-78 (2021) (“UFLPA”) is mandatory and materials, including in particular, without limitation, apparel and cotton and cotton products, may not be sourced from the Xinjiang Uyghur Autonomous Region (XUAR) of the People’s Republic of China or other regions prohibited by US or International Law.


WAGES


Wages must be paid regularly and on time and reflect the experience and qualifications of the employee. Wages and benefits paid shall meet at least legal or industry minimum standards, whichever is higher, and always be sufficient to meet basic needs of workers and their families and to provide some discretionary income. Workers must be provided with appropriate information in their language of understanding, about their employment conditions in respect to wages before they agree on employment. Disciplinary measures around wages or unfair deductions shall not be permitted. Workers should be informed about how their wages are made up, including wage rates, pay periods and deductions from their pay. At Spell we support living wages, and our Suppliers are audited against a criteria in which wages are taken into consideration, helping us to ensure all workers are receiving a fair wage.


WORKING HOURS


Hours of work shall comply with applicable local laws and industry standards. In any event, workers shall not on a regular basis be required to work in excess of 48 hours per week and shall be provided with at least one day off in every seven-day period. Overtime shall be voluntary, shall not exceed 12 hours per week, shall not be demanded on a regular basis and shall always be compensated at a premium rate which is recommended not to be less than 125% of the regular pay-rate.
Working hours may only exceed 60 hours in any seven-day period only in exceptional circumstances where all the following ILO conditions are met:

This is allowed by national law;


  • This is allowed by a collective agreement freely negotiated with a workers’ organization representing a significant portion of the workforce;
  • Appropriate safeguards are taken to protect the worker’s health and safety;
  • The employer can demonstrate that exceptional circumstances apply such as unexpected production peaks or disruptions, accidents, or emergencies.

NON-DISCRIMINATION


Our Suppliers must not discriminate when it comes to recruitment, wage policy, admittance to training programs, employee promotion policy, policies of employment termination, retirement, and any other aspect of the employment relationship. Suppliers shall treat all employees based on the principle of equal opportunities, regardless of race, colour, gender, sexual orientation, pregnancy, religion, political opinion, union membership, nationality, social origin, economic situation, medical condition, or disability.


FREEDOM OF ASSOCIATION AND THE RIGHT TO COLLECTIVE BARGAINING


The right of all workers to form and join trade unions and bargain collectively shall be recognised. Workers’ representatives should not be discriminated against and have the support of the organisation to carry out their functions in the workplace. An open mind and encouraging attitude towards trade unions and their activities must be a prerequisite. If the right to freedom of association and collective bargaining is restricted under law, the employer must facilitate the means for independent and free association and bargaining.


DISCIPLINARY PRACTICES


Physical abuse, threats of physical abuse, unusual punishments or discipline, sexual and other harassment, and intimidation by the employer is strictly prohibited.


HEALTH AND SAFETY


A safe and hygienic working environment shall be provided and shall exercise best occupational health and safety practices, bearing in mind the prevailing knowledge of the industry and of any specific hazards. Our Suppliers must comply with applicable national laws and standards on Workplace Health and Safety practices and management. Appropriate attention shall be paid to occupational hazards specific to this branch of the industry and assure that a safe and hygienic work environment is provided for. Effective regulations, policies and procedures shall be implemented to prevent accidents, injuries and illness and minimise health risks as much as possible. Clean, safe, and sanitary facilities and equipment shall be provided.
In the case of emergencies, the workplace must be prepared to evacuate and protect employees including:

Fire alarm and fire extinguisher must be easily accessible on every floor;


  • Adequate first aid equipment must be easily accessible; and
  • At least one person in each division must be trained in the provision of first aid.

Effective health and safety training shall be provided and repeated regularly for workers. Pregnant employees shall be educated about any potential risks that some tasks may pose. If accommodation is provided, these environments shall be clean and safe, meeting the basic needs of the workers. A senior management representative must be assigned to manage and uphold the health and safety of workers.


LEGALLY BINDING EMPLOYMENT RELATIONSHIP


Obligations to employees under labour or social security laws and regulations arising from the regular employment relationship shall not be avoided through the use of labour-only contracting arrangements, or through apprenticeship schemes where there is no real intent to impart skills or provide regular employment. All workers shall be given the opportunity to participate in education and training programs.


EFFECTIVE GRIEVANCE MECHANISMS


Procedures shall be in place that allow employees to anonymously or directly raise and address workplace grievances or unlawful activities confidently without fear of retaliation or reprisal. Complaints shall be respectfully received and evaluated promptly in confidentiality and corrective actions taken as necessary.


BRIBERY AND CORRUPTION


Spell does not tolerate any corruption, extortion, or bribery within its supply chain. A bribe includes financial or other advantages which are given, promised, offered, accepted, requested, or received with the intention to influence the ability to make objective and fair business decisions.


COMMUNITY


Born and raised in Byron Bay, Australia, the idea of community is at the heart of Spell. We align with Suppliers who show commitment to their communities. Be it investment in education or local infrastructure, we encourage all our Suppliers to be the leaders of social development in their local communities.


PLANET


ENVIRONMENTAL RESPONSIBILITY


We choose to work with businesses who share our commitment to sustainability and preservation of the environment. We ask our Suppliers to choose leading technologies that reduce the negative impacts that their manufacturing has on the environment. Our Suppliers should have systems and policies in place to manage energy and water consumption, waste disposal, and take steps to reduce environmental pollution and climate impact. Suppliers must comply with all applicable environmental laws in the country of business. In addition, we expect businesses to implement practices that promote environmental responsibility and garner relevant certifications to demonstrate their commitment.


CHEMICAL SAFETY


Spell has a commitment to ensure its products are made without the use of hazardous chemicals to protect the environment and workers and will at any stage work with Suppliers to test against our provided Restricted Substance List (RSL) and Manufacturing Restricted Substance List (MRSL). By agreeing to and signing this Code, our Suppliers declare they agree to abide by our RSL and MRSL which is located at our website at https://au.spell.co/pages/restricted-substances-list. Compliance with this list is essential and in the event we identify non-compliant substances we will work with partners to find an adequate solution. If any Suppliers are not able to comply, please inform Spell before this document is signed. Once signed, you declare you can confirm to our chemical safety obligations under national and other equivalent legislation.


SUSTAINABLE SOURCING AND TRANSPARENCY


Upon request by Spell or a third-party organisation, any partners, including manufacturers and Suppliers (Tiers 1 to 6) within our supply chain shall present relevant documentation to qualify the sustainability claims in the aim of ensuring full transparency within the value chain. We expect our Suppliers to be transparent and not intentionally mislead an auditor or enquirer. Upon availability, requested details shall be provided.


ANIMAL WELFARE


Garments or products produced from animal-based materials must meet the highest ethical animal welfare standards and practices that focus on the OIE Five Freedoms. We strongly believe that animals are entitled to humane treatment and have the freedom to express normal behaviour. This must be achieved through implementation of good animal husbandry and becoming certified to selected animal welfare programs or initiatives where applicable.