Supplier Code of Conduct

At Calgary Hyundai, we strive to work with suppliers who treat their workers with dignity and respect, adhere to applicable laws and regulations, and make their products in an environmentally sustainable manner. Accordingly, we require each supplier providing us with products to comply with the following Supplier Code of Conduct (the “Code”).* We strongly recommend that our other branded suppliers and subcontractors comply with our Code or similar standards:

1. Compliance with Laws

In all their activities, suppliers must ensure they conduct business in accordance with the applicable laws, rules, and regulations of Canada and the jurisdictions in which they operate.

2. No Forced or Child Labour

Suppliers shall not use forced labour, whether in the form of prison labour, indentured labour, bonded labour, or otherwise. Suppliers must allow employees to keep their own identification documents and to resign from their positions at anytime. Suppliers shall not employ people younger than the minimum age required under the laws of the applicable jurisdiction, or the minimum age for the completion of compulsory education, or the minimum age of employment required by law in the country of manufacture, whichever is highest.

3. No Harassment, Abuse, or Discrimination

Suppliers shall treat every employee with respect and dignity, and shall not subject any employee to physical, sexual, psychological, or verbal harassment or abuse. Suppliers shall not subject any person to discrimination in employment (including hiring, salary, benefits, advancement, discipline, termination, or retirement) on the basis of gender, marital status, race, religion, age, disability, sexual orientation, nationality, political opinion, social or ethnic origin or any other condition that could give rise to claims of discrimination.

4. Health and Safety

Suppliers shall provide a safe and healthy environment to prevent accidents and injury to health from occurring and comply with applicable laws and regulations. Suppliers shall identify, assess, and minimize the impact of emergency situations by implementing emergency plans and response procedures. These plans and procedures must include the following: emergency exits are accessible and fully functional at all times, fire extinguishers must be visible, accessible, present and charged, evacuation plans must be posted, and drills must be conducted at least annually. Suppliers shall identify, evaluate, and control exposure to hazards and ensure the use of any applicable personal protective equipment.

5. Freedom of Association and Collective Bargaining

Suppliers shall recognize and respect the right of employees, or their representatives, to freedom of association and collective bargaining, or their abstention from doing so, in accordance with the laws of the applicable jurisdiction. Management is encouraged to engage in direct communication with employees.

6. Wages and Benefits

Suppliers shall pay employees at least the minimum wage required under the laws of the applicable jurisdiction, or the prevailing industry wage if no minimum wage law applies and shall provide legally mandated benefits.

7. Hours of Work and Compensation

Employees should not be required to work more than the legally required number of work hours per week, or the maximum number of work hours per week, permitted under the laws of the applicable jurisdiction, whichever is less, except in extraordinary business circumstances. Employees should be granted at least one day off in every seven-day period. In addition to their compensation for regular hours of work, suppliers shall compensate employees for overtime hours at the applicable premium rate in their jurisdiction. In jurisdictions that have not established premium overtime rates, suppliers shall not pay employees less than their regular hourly rate for overtime hours.

8. Ethical Standards

Suppliers are held to the highest standards of integrity. Corruption, bribery, and extortion are strictly prohibited. Suppliers must respect all intellectual property rights and applicable regulatory requirements of the jurisdictions from and to which they ship.

9. Environmental Impact

Suppliers must meet all applicable environmental laws and regulations in their jurisdiction to manage hazardous materials and all waste and emissions materials. In addition, suppliers are encouraged to have environmental policies, and environmental management systems containing goals with targets that are focused on the continuous improvement of overall environmental performance.

Monitoring and Compliance

To ensure compliance with our Code, Calgary Hyundai shall have the right to monitor factories producing products through audits by third parties. Calgary Hyundai seeks relationships with suppliers that are committed to manufacturing products under fair and safe labour conditions and sound environmental practices. If Calgary Hyundai determines that a particular factory does not comply with the Code, Calgary Hyundai will typically strive to work with the supplier to develop and implement an appropriate corrective action plan. Nevertheless, depending upon the circumstances, Calgary Hyundai may elect to end its relationship with a supplier that produces products for Calgary Hyundai at any time for failing to adhere to the Code.