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Kohler Global Human Rights Policy

Introduction

At Kohler Co. (“Kohler”), we believe better business and a better world are inextricably linked. Business can flourish only when human rights are protected and respected, and we have a responsibility to contribute to and ensure positive human rights impacts. This Policy contains overarching principles that embody our commitment to ensure human rights are upheld within our operations and supply chain.

Human rights apply to all individuals regardless of race, color, religion, national origin, ethnicity, age, disability, sexual orientation, gender, gender identity or expression, marital status, military service, and any other status protected by law.  Each Kohler employee (“associate”) has an obligation to other individuals with whom they interact to honor and respect each other’s fundamental human rights.

Our Policy Statement

This Policy outlines the core standards and expectations we have for our business, associates, suppliers, and business partners. This Policy is founded on international standards including the Universal Declaration of Human Rights, UN Guiding Principles on Business and Human Rights, the International Bill of Human Rights, and the principles concerning fundamental rights set out in the International Labor Organization’s Declaration on Fundamental Principles and Rights at Work.   

Kohler complies with applicable international and local legal requirements in the countries where we operate.  Where local law conflicts with the requirements of this Policy, Kohler will comply with local requirements while striving to uphold the principles set forth in this Policy.

This Policy applies to Kohler and its related entities at all its facilities worldwide. Kohler also expects its suppliers, contractors, and agents to uphold these principles within their own businesses. Suppliers must also uphold the principles outlined in Kohler’s Supplier Code of Conduct.

Policy Oversight

The most senior Human Resources executive, Labor and Employment executive, and Compliance and Ethics executive are responsible for the interpretation and execution of the Policy. These executives, along with Kohler’s operating executives, will ensure that the Global Human Rights Policy is upheld in all aspects of Kohler’s business. 

Our Commitment

Kohler strives to provide a respectful, safe, and healthy working environment for all our associates as stated in our Code of Ethical Conduct. Kohler recognizes its commitment and responsibility to the following:

Health and Safety: Kohler operates all its facilities in a safe and responsible manner that protects the health and safety of our associates and the communities in which we operate.  Kohler complies with applicable health and safety laws, regulations, and its own internal requirements.

Compensation: Kohler is committed to providing wages and benefits to our associates that are competitive in relation to the industry in which they work and the local labor market.  Kohler pays its associates equitably for all hours worked in full on a timely basis by following all relevant wage and hour laws and regulations.   

Hours Worked and Rest Periods: Kohler follows all laws, regulations, and our internal policies on maximum hours worked, days of rest, and break periods to ensure that our associates can perform their work in a safe and healthy manner.

Diversity, Equity, and Inclusion and Non-Discrimination: Kohler prohibits discriminatory practices with respect to all aspects of the employment relationship and promotes and embraces equal opportunity and diversity, equity, and inclusion for all its associates within its business operations.  Kohler has zero tolerance for unlawful discrimination or conduct that negatively impacts an associate or group of associates based upon any legally protected characteristic.

Harassment and Respectful Workplace: Kohler will not tolerate individuals or groups of individuals creating an intimidating, hostile, abusive, or offensive work environment for Kohler associates or contractors.  Such conduct is considered harassing and disrespectful, and it is prohibited in all phases of the employment relationship.

Child Labor: Kohler prohibits the use of child labor in our operations and supply chain that is in violation of local laws and regulations or international standards.  Kohler condemns all forms of child exploitation and will never permit a child to perform work that may threaten their health and safety or negatively impact their educational training.

Freedom of Association: Kohler respects our associates’ right to join or not join a legally recognized organization, such as a labor union, without fear of reprisal, intimidation, or harassment.  We are committed to collective bargaining in good faith in situations where our associates have legally elected a freely chosen representative.

Forced Labor and Human Trafficking: Kohler prohibits the use of all forms of forced, bonded or compulsory labor, prison labor, indentured labor, and any form of human trafficking. All employment is freely chosen and associates are free to end their employment with us at any time.  Where required, associates have written contracts of employment that comply with local legislation and are clear about wages, benefits, notice, and other job-related requirements.

Freedom of Movement and Documentation: Kohler prohibits unreasonable restrictions on its associates’ freedom of movement in the facility and prohibits any unreasonable restrictions on associates entering or exiting company facilities.

As part of the hiring process, workers are provided with required documents relevant to their employment in a language they understand with a description of the terms and conditions of employment.  Kohler and its agents are prohibited from holding or otherwise destroying, concealing, confiscating, or denying access by associates to their identity or immigration documents, such as government-issued identification, passports, or work permits, unless such holdings are required by law.

Ethical Recruitment: Kohler maintains a “no fees” recruitment policy that applies to our internal operations as well as any agents that represent Kohler during the job recruiting process. We do not ask for or require money or charge fees to applicants or our associates or their families for the purpose of being hired or as a condition of maintaining employment. We require all third-party recruiting agencies to adhere to a “no fees” recruitment policy for applicants as well.

Responsible Sourcing

Kohler has an extensive and diverse supply chain, and our suppliers are an integral part of our business and a critical link to the fulfillment of our mission to source responsibly and sustainably. Our Supplier Code of Conduct communicates our expectations that our suppliers will practice the highest legal and ethical standards when conducting our business, including expectations with regards to the respect for the human rights, including labor rights, of the workers in our extended supply chain. We will only work with suppliers who certify they will follow our Supplier Code of Conduct or provide their own code that meets all minimum standards of Kohler’s Code.

Addressing Human Rights Impacts

We perform due diligence to identify and prevent human rights risks to people in our business and supply chain.  Human Rights due diligence is an ongoing process that requires keen attention during changing business conditions or the establishment of new business relationships.  We recognize that during these times it is necessary to perform additional due diligence to assess and mitigate the increased risks. When registering, suppliers are assessed on their human rights and forced labor risk. If deemed appropriate, further review will include self-assessments and onsite audits.

Reporting and Remedies

We continue to build the awareness and knowledge of our associates through training on human rights and encourage them to speak up through our reporting mechanisms. Kohler provides an Ethics Helpline for internal reporting that is available to our associates in their native language.  Our associates may also choose to report potential violations of this policy to management or human resources representative.

If we identify adverse human rights impacts resulting from or caused by our business activities, we are committed to provide for or cooperate in fair and equitable remediation. We are committed to increasing the capacity of our management team to effectively identify and respond to concerns if they arise.

Violations: Kohler associates who violate this policy will be subject to discipline, up to and including, termination of employment.  Suppliers and agents who fail to comply with this policy or the Supplier Code of Conduct, where applicable, will be subject to termination as a supplier or agent. 

Modern Slavery and Human Trafficking Statement

Introduction

Our mission at Kohler Co., including its subsidiaries, (“Kohler”) is to contribute to a higher level of gracious living for those who are touched by our products and services. We believe better business and a better world are inextricably linked. Business can flourish only when human rights are protected and respected, and we have a responsibility to contribute to and ensure positive human rights impacts. This statement contains overarching principles that embody our commitment to ensure human rights are upheld within our operations and supply chain.

Our Business and Suppliers

Kohler is a worldwide manufacturer of kitchen, bathroom, and energy solutions, along with hospitality destinations. Accordingly, we have suppliers that span the globe, including suppliers located in Asia, North America, South America, Africa, Europe, and Australia.

Our Policies, Risk Assessment, and Training

We are committed to ensuring that there is no modern slavery or human trafficking in our supply chains or in any part of our business. Our Global Human Rights Policy reflects our commitment to acting ethically and with integrity in all our business relationships and to implementing and enforcing effective systems and controls to ensure slavery and human trafficking is not taking place anywhere in our supply chains.

We operate with several other policies, codes of conduct, and risk assessment measures to ensure that we are conducting business in an ethical and transparent manner.

These include:

• Policies on anti-bribery, supplier conduct, supplier selection, corporate ethics, and equality and diversity.
• A Supplier Code of Conduct which defines our expectations in our supply chain. We only do business with suppliers who have certified to us that their business practices are lawful, ethical and in compliance with the principles set forth in this Supplier Code of Conduct. All new direct suppliers also must pass a rigorous assessment process.

In addition, as part of our due diligence processes, Kohler may undertake affirmative measures, such as on-site audits of production factories, to monitor compliance with our codes of conduct.

Our Ethics Helpline encourages associates to report illegal or unethical behavior. Any matters reported will be thoroughly investigated and appropriate action taken where necessary.

Our Global Human Rights Policy permits taking disciplinary action including dismissal of associates found to be in breach of this policy.

To measure our effectiveness, we report on performance indicators and any actions taken because of audits.

We provide training to our associates to ensure a high level of understanding of the risks of modern slavery and human trafficking in our supply chains and our business. Our associates are also required to complete an annual ethics training.

This statement is made pursuant to the U.K Modern Slavery Act 2015, California Transparency in Supply Chains Act of 2010, and constitutes our modern slavery and human trafficking statement for all additional regulations which require such disclosures. For more information, please visit Kohler Co.

Cynthia Durkin, VP-Compliance and Ethics
12/14/2023

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