17. Human Rights

The company discloses what measures it takes, strategies it pursues and targets it sets for itself and for the supply chain for ensuring that human rights are respected globally and that forced and child labour as well as all forms of exploitation are prevented. Information should also be provided on the results of the measures and on any relevant risks.

In the company: The respect and observance of human rights in our business activities are addressed by standards and measures at various stages of the supply chain. We consider our corporate values to provide the basis for all our actions. As an owner-managed family business that has been successfully developing cosmetic products for more than 15 years, we stand for our corporate values of passion, courage, trust, reliability, openness and responsibility. We also stand for loyalty – to our employees, to our business partners and to our locations. We assume responsibility and are committed to a high standard of ethics, fairness and transparency. In addition, compliance with human rights is ensured through our adherence to legal standards such as the German constitution (Grundgesetz) and labor law. 

At the supplier: The cooperation with our suppliers is based on long-standing, close and trusting business relationships. We expect our partners to also act responsibly and work according to our standards. In order to build this basis for our business relationships on a common, defined foundation, a Code of Conduct for business partners was introduced in 2017. The Code of Conduct must be recognized and signed by all suppliers and partners and is based on the ILO Core Labor Standards and, of course, compliance with stipulated and local laws. Compliance with the Code of Conduct and our quality standards at our suppliers is checked by external audits. In addition, a new process is currently being developed for this purpose that specifically checks compliance with social standards. A further means of monitoring compliance with human rights in our supply chain is the sustainability assessment by EcoVadis, which also checks for fair working practices and fair business practices. 

In our supply chain  A major challenge of our business model is the extensive supply chain up to TIER 4/5. In order to follow the national action plan for human rights, we have carried out an analysis of our raw materials portfolio. Strategically important raw materials were identified, subjected to a supply chain assessment and a risk analysis was carried out.

The raw material mica has been identified as a high risk material for potential negative human rights impacts. As a first measure, a continuous Mica Supply Chain Mapping was introduced with the aim of achieving 100% transparency of the mica supply chain in our value chain in the long term. The willingness of our suppliers to participate in this Supply Chain Mapping was defined as a prerequisite for our business relationships, with the consequence that we voluntarily forgo suppliers who do not wish to disclose their mica supply chain. Currently, Supply Chain Mapping only applies to natural mica with India as the country of origin, as this is where the greatest risk of negative human rights impacts exists worldwide. In the long term, however, all other countries of origin of natural mica must also be included in the Supply Chain Mapping. In 2017, we joined the RMI (Responsible Mica Initiative) to find joint solutions to the problems in the mica supply chain and to implement our goals. The transparency of our mica supply chain is continuously measured and recorded as one of our key performance indicators. Our goal is to achieve full transparency of the mica supply chain by 2023.  

Status 2017: 61 percent transparency
Status 2018: 62 percent transparency and/or 88 percent transparency if RMI members are classified as completely transparent.   

Raw materials based on palm oil and palm kernel oil were identified as another human rights risk factor in our supply chain. In order to reduce the negative effects of palm oil cultivation on humans and nature and to stop them in the long term, sustainable cultivation is one of the most important "adjustment screws". For this reason, we became a member of the RSPO (Roundtable on Sustainable Palm Oil) in 2018. The higher the demand for sustainable palm oil is, the stronger are the incentives for producers to work in a sustainable manner. Every participant in the supply chain has the opportunity to promote and support sustainable palm oil. Some of our products contain palm oil and/or palm oil derivatives, although the proportion of palm oil in our product portfolio is relatively low compared to skin care products. According to our calculations, less than 15 percent of our raw materials contain palm oil, while the proportion of pure palm oil/palm kernel oil is less than 0.1 percent. Nevertheless, we are committed to meeting our responsibility as a player in the palm oil supply chain. As part of our sustainability strategy. we have therefore decided to purchase RSPO Credits from January 2018 to fully compensate the quantities of palm oil derivatives we use and thus promote the sustainable cultivation of palm oil. In addition, we compensate our quantities of pure palm oil and pure palm kernel oil by purchasing special RSPO credits that directly benefit small palm oil farmers. Quantities of credits purchased in 2018:
Total credits purchased:     440
         
Purchasing details 2018:      
CSPO (Certified Sustainable Palm Oil)     364 Credits
CSPKO (Certified Sustainable Palm Kernel Oil)   73 Credits
IS-CSPO (Smallholder – Certified Sustainable Palm Oil)   1 Credit
IS-CSPKO (Smallholder – Certified Sustainable Palm Kernel Oil)   2 Credits
         

Future topics: In 2018, we joined the RBI (Responsible Beauty Initiative) to address further and future issues related to negative human rights impacts in the raw material supply chain. Here, too, we would like to work together with other industry representatives on solutions and goals for a transparent and sustainable supply chain.