Nestlé in society Creating Shared Value and meeting our commitments 2015
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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />
Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />
Nutrition, health<br />
<strong>and</strong> wellness<br />
Rural development<br />
Water<br />
Environmental<br />
susta<strong>in</strong>ability<br />
Human rights<br />
<strong>and</strong> compliance<br />
Our<br />
people<br />
G4-EC1, Indirect economic impacts G4-DMA, G4-EC7, G4-EC8, Procurement practices G4-DMA, G4-EC9, Employment G4-DMA, Equal remuneration for women <strong>and</strong> men G4-DMA,<br />
Supplier assessment for labor practices G4-DMA, Freedom of association <strong>and</strong> collective barga<strong>in</strong><strong>in</strong>g G4-DMA, Child labor G4-DMA, Forced or compulsory labor G4-DMA,<br />
Supplier human rights assessment G4-DMA, Local communities G4-DMA, G4-SO1, G4-SO2, Supplier assessment for impacts on <strong>society</strong> G4-DMA<br />
Basel<strong>in</strong>e study results<br />
Farmers welcome tra<strong>in</strong><strong>in</strong>g, <strong>and</strong> request more of it. Information<br />
from the basel<strong>in</strong>es has highlighted areas of <strong>in</strong>terest for further<br />
tra<strong>in</strong><strong>in</strong>g, though we need to f<strong>in</strong>d ways to measure tra<strong>in</strong><strong>in</strong>g<br />
outcomes to assess their true worth, <strong>and</strong> to follow the<br />
progress of <strong>in</strong>dividual farmers more closely to see which ones<br />
attend multiple sessions. We must also ensure that tra<strong>in</strong><strong>in</strong>g is<br />
accessible to everyone, <strong>in</strong> l<strong>in</strong>e with <strong>our</strong> new objective.<br />
3. Farm workers<br />
We believe that it is important to focus not only on farmers,<br />
but also on the farm workers who provide the permanent <strong>and</strong><br />
casual lab<strong>our</strong>, primarily at harvest<strong>in</strong>g season, though often<br />
throughout the year on larger farms. Farm workers are often<br />
migrant lab<strong>our</strong> who are frequently ‘<strong>in</strong>visible’ to traditional<br />
support programmes. To attract workers to farm<strong>in</strong>g requires<br />
that farm work is appeal<strong>in</strong>g.<br />
Basel<strong>in</strong>e study results<br />
Data has been difficult to gather but there appears to be a<br />
generally <strong>in</strong>secure situation for workers, especially migrants.<br />
While they are keen to acquire skills, they rarely receive<br />
tra<strong>in</strong><strong>in</strong>g. The data we were able to gather <strong>in</strong>dicates that while<br />
<strong>in</strong> some countries m<strong>in</strong>imum wages are paid, elsewhere a<br />
comb<strong>in</strong>ation of wages, hous<strong>in</strong>g <strong>and</strong> food is provided. Data<br />
also suggests that farmers have difficulty f<strong>in</strong>d<strong>in</strong>g sufficient<br />
available workers <strong>in</strong> most of the countries surveyed.<br />
The design <strong>and</strong> application of the Rural Development<br />
Framework to date has raised the profile <strong>and</strong> importance of<br />
farm workers, yet the current basel<strong>in</strong>es have not yielded many<br />
<strong>in</strong>sights to guide <strong>our</strong> work. We will cont<strong>in</strong>ue to gather a better<br />
underst<strong>and</strong><strong>in</strong>g of the status of farm workers, while focus<strong>in</strong>g<br />
<strong>our</strong> activities on:<br />
• Ensur<strong>in</strong>g that farm workers are able to access tra<strong>in</strong><strong>in</strong>g <strong>and</strong>,<br />
where appropriate, that the provision of tra<strong>in</strong><strong>in</strong>g explicitly<br />
targets farm workers <strong>and</strong> family members;<br />
• Ensur<strong>in</strong>g that farm workers are paid the m<strong>in</strong>imum wage;<br />
• The liv<strong>in</strong>g conditions <strong>and</strong> hygiene of workers;<br />
• Health <strong>and</strong> safety;<br />
• Child lab<strong>our</strong>, particularly among migrant workers; <strong>and</strong><br />
• Lab<strong>our</strong> conditions <strong>in</strong> <strong>our</strong> supply cha<strong>in</strong>s.<br />
We have a responsibility to ensure that farm workers <strong>and</strong><br />
others employed <strong>in</strong> <strong>our</strong> supply cha<strong>in</strong>s work <strong>in</strong> fair lab<strong>our</strong><br />
conditions that meet the terms of <strong>our</strong> Supplier Code.<br />
Our Rural Development Framework pays particular attention<br />
to vulnerable worker groups, especially seasonal, migrant,<br />
women <strong>and</strong> non-family workers. We seek to improve conditions<br />
of employment <strong>and</strong> work <strong>and</strong> to eradicate forced lab<strong>our</strong>, <strong>and</strong> we<br />
support non-discrim<strong>in</strong>ation <strong>and</strong> freedom of association.<br />
Implement<strong>in</strong>g <strong>in</strong>itiatives such as the UN Global Compact<br />
<strong>and</strong> the International Lab<strong>our</strong> Organization’s (ILO’s) Conventions<br />
<strong>and</strong> recommendations works best when farmers <strong>and</strong> their<br />
workers underst<strong>and</strong> the value of improved conditions <strong>and</strong> its<br />
effect on productivity. Our aim is that <strong>our</strong> field support staff<br />
will, by shar<strong>in</strong>g knowledge <strong>and</strong> <strong>in</strong>formation, be able to provide<br />
education <strong>and</strong> tra<strong>in</strong><strong>in</strong>g on issues such as human rights, lab<strong>our</strong><br />
rights, liv<strong>in</strong>g wages, <strong>and</strong> health <strong>and</strong> safety, as well as build<strong>in</strong>g<br />
capacity <strong>and</strong> foster<strong>in</strong>g opportunities for dialogue between<br />
workers <strong>and</strong> their representatives.<br />
Through the <strong>Nestlé</strong> Commitment on Child Lab<strong>our</strong> <strong>in</strong><br />
Agricultural Supply Cha<strong>in</strong>s, we are focus<strong>in</strong>g on the supply<br />
cha<strong>in</strong>s of cocoa, vanilla <strong>and</strong> hazelnuts. See Human rights <strong>and</strong><br />
compliance for more <strong>in</strong>formation on <strong>our</strong> commitment to<br />
elim<strong>in</strong>ate child lab<strong>our</strong>.<br />
4. Women’s empowerment<br />
In addition to underst<strong>and</strong><strong>in</strong>g the proportions of men <strong>and</strong><br />
women farmers who supply us, there are f<strong>our</strong> areas where<br />
<strong>in</strong>sights can guide <strong>our</strong> work: the role of women <strong>in</strong> <strong>society</strong> <strong>and</strong><br />
the family; access to services (such as tra<strong>in</strong><strong>in</strong>g, f<strong>in</strong>ance <strong>and</strong><br />
l<strong>and</strong>); the tasks undertaken by women on the farm; <strong>and</strong><br />
<strong>in</strong>come levels <strong>and</strong> s<strong>our</strong>ces of <strong>in</strong>come.<br />
Basel<strong>in</strong>e study results<br />
The results of <strong>our</strong> assessments mirror those of global surveys,<br />
reveal<strong>in</strong>g a variable picture with more equality <strong>in</strong> Asia than <strong>in</strong><br />
Africa, <strong>and</strong> with Central <strong>and</strong> South America somewhere <strong>in</strong><br />
between. Evidence ranges from women hav<strong>in</strong>g responsibility<br />
for the family budget <strong>and</strong> jo<strong>in</strong>t decision-mak<strong>in</strong>g through to<br />
them be<strong>in</strong>g excluded from decision-mak<strong>in</strong>g <strong>and</strong> hav<strong>in</strong>g little<br />
access to tra<strong>in</strong><strong>in</strong>g.<br />
Rather than develop<strong>in</strong>g a separate strategy for women<br />
farmers, we believe gender awareness <strong>and</strong> tra<strong>in</strong><strong>in</strong>g need to be<br />
<strong>in</strong>tegrated <strong>in</strong>to <strong>our</strong> overall approach. This means elim<strong>in</strong>at<strong>in</strong>g<br />
any unconscious bias aga<strong>in</strong>st women <strong>in</strong> <strong>our</strong> current work,<br />
such as for tra<strong>in</strong><strong>in</strong>g.<br />
Women will be an important audience for deliver<strong>in</strong>g<br />
<strong>in</strong>itiatives on nutrition <strong>and</strong> hygiene. There may be specific,<br />
locally def<strong>in</strong>ed <strong>in</strong>itiatives designed to improve the role of<br />
women <strong>in</strong> <strong>society</strong> through management roles with<strong>in</strong> cooperatives,<br />
improved access to res<strong>our</strong>ces <strong>and</strong> develop<strong>in</strong>g their<br />
own s<strong>our</strong>ces of <strong>in</strong>come.<br />
See Cocoa to read more about <strong>our</strong> work to promote<br />
gender equality.<br />
5. Water <strong>and</strong> sanitation<br />
Water is one of the priority areas of <strong>our</strong> Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />
approach to bus<strong>in</strong>ess. <strong>Nestlé</strong> supports the human right to<br />
water <strong>and</strong> is committed to assist<strong>in</strong>g with the provision of clean<br />
water <strong>and</strong> improved sanitation to priority communities where<br />
we s<strong>our</strong>ce agricultural commodities.<br />
The scale of the challenge to address the provision of clean<br />
water <strong>and</strong> adequate sanitation across the communities we are<br />
s<strong>our</strong>c<strong>in</strong>g from is a significant one that will require <strong>in</strong>vestment<br />
<strong>and</strong> collaborative action from various players, led by<br />
government. This is a significant challenge for an <strong>in</strong>dividual<br />
company <strong>and</strong> we have yet to f<strong>in</strong>d the appropriate level of<br />
<strong>in</strong>tervention for <strong>Nestlé</strong>. Our focus will be guided by the need to<br />
help communities meet the human right to water <strong>and</strong> sanitation.<br />
Our <strong>in</strong>itial <strong>in</strong>terventions will, therefore, focus upon<br />
alternatives to the usage of water from streams for dr<strong>in</strong>k<strong>in</strong>g<br />
water <strong>and</strong> the prevention of surface water pollution. A focus<br />
upon hygiene, as part of farmer tra<strong>in</strong><strong>in</strong>g modules, is particularly<br />
important <strong>and</strong> will re<strong>in</strong>force work on nutrition <strong>and</strong> gender.<br />
<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 98