Kmart Australia Kmart Ethical Sourcing Code And Supplemental Standards

17 December 2013

Kmart is committed to conducting its business with the highest standards of integrity, in accordance with our international obligations and in compliance with all applicable laws. We work with suppliers who share and follow our high standards of conduct in whichever country they operate.

Kmart’s Ethical Sourcing Code includes minimum requirements and expectations that all suppliers must meet as a condition of doing business with Kmart. The Ethical Sourcing Code is based on Kmart’s commitment to respecting the core labour standards established by the International Labour Organization (ILO), protecting and respecting human rights as set out in the United Nations Universal Declaration of Human Rights and promoting environmental sustainability.

The Ethical Sourcing Code applies to all vendors, factories or authorised sub-contractors (“suppliers”) involved in the manufacturing of any merchandise where Kmart works with factories directly, Kmart proprietary branded merchandise and licensed branded merchandise sold exclusively at Kmart.

The Ethical Sourcing Code forms part of the contract with suppliers. Kmart expects suppliers to be honest and transparent in their dealings with Kmart and commit to making continuous improvements in their operations. In the event there is a violation of the Ethical Sourcing Code or a supplier does not demonstrate a willingness to comply, Kmart reserves the right to discontinue business with the supplier.

Kmart’s Ethical Sourcing Code does not replace the local laws of the countries in which our suppliers operate. At a minimum, suppliers should always be familiar with and comply with all relevant laws and regulations. In the event of a conflict between these standards and a local law, the stricter requirement must be followed.

The Ethical Sourcing Code is supported by supplemental standards containing additional requirements which also form part of the contract with suppliers. The complete Kmart Ethical Sourcing Code and Supplemental Standards can be obtained by visiting www.kmart.com.au

Kmart is committed to working with suppliers that can effectively implement our Ethical Sourcing Code and continuously improve practices in their factories. We do this by providing ongoing training, education and support, along with regular supplier forums at which case studies and best practices are shared. Having a local presence is also critical. Kmart has office representatives on the ground located in most of the countries where our suppliers operate and third-party representatives in the remaining countries.

For any questions regarding this Code or Kmart’s wider Ethical Sourcing Program, contact Tracie Walker, General Manager Kmart Corporate Affairs and Sustainability [email protected]

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