Purpose: The CME Supplier Code (“the Code”) defines the non-negotiable minimum standards that we ask our suppliers and their sub-tier suppliers (“the Supplier”), to respect and to adhere to when conducting business with CME. This document helps support the continued implementation of our commitment to international standards such as the Ten Principles of the United Nations Global Compact beyond our own operations, to every link of our upstream supply. The Code is an extension of the XIGNUX Code of Ethics and the foundation principals of our Ethical Standards.
Scope: The standards of the Code sets forth expectations for the Supplier with whom CME does business, including their parent, subsidiary or affiliate entities, as well as all others with whom they do business including all employees (including permanent, temporary, contract agency and migrant workers), upstream suppliers and other third-parties. It is the Supplier’s responsibility to disseminate, educate and exercise diligence in verifying compliance of this Code to its employees, agents and sub tier suppliers, including farmers when relevant.
Compliance: CME expects the Supplier to adhere to all applicable laws and regulations and in particular, the Ten Principles of the UN Global Compact herein, and strive to comply with international and industry standards and best practices. In addition, CME reserves the right to verify compliance with the Code through internal or external assessment mechanisms and require implementation of progression towards audit requirements
Continuous Improvement: CME recognizes that reaching the standards established in this Code is a dynamic process and encourages suppliers to continuously improve their operations. Failure to do so shall directly impact the ability of the Supplier to do business with CME
Application: Acknowledgement of the Code is a prerequisite in every CME contract for supply. Through the acceptance of the Purchase Order, making reference to the Code, the Supplier commits that all its operations are subject to the provisions contained in this Code. This Code, or the demonstration of its compliance, does not create any third-party beneficiary rights for the Supplier. The standards of the Code are in addition to, and not in lieu of, provisions of any legal agreement or contract between suppliers and CME.
The Ten Principles of the UN Global Compact (United Nations Global Compact n.d.)
Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights; and
Principle 2: make sure that they are not complicit in human rights abuses.
Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;
Principle 4: the elimination of all forms of forced and compulsory labour;
Principle 5: the effective abolition of child labour; and
Principle 6: the elimination of discrimination in respect to employment and occupation.
Principle 7: Businesses should support a precautionary approach to environmental challenges;
Principle 8: undertake initiatives to promote greater environmental responsibility; and
Principle 9: encourage the development and diffusion of environmentally friendly technologies.
Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.
United Nations Global Compact. n.d. https://www.unglobalcompact.org/ (accessed June 30, 2015).