Principles of Ethical Conduct

The company KRPA PAPER, a.s. (hereafter "company"), in line with its corporate policy, has adopted the Rules of Ethical Conduct within the scope of its subject of business.

Compliance with these Rules, common in the European business environment, is required from all employees of the company.

1. General Principles of Ethical Conduct

1.1  Compliance with Legislation

The basic principles of the company include compliance with the legislative requirements. All employees are obliged to act in accordance with the legislative requirements of the Czech Republic, and to ensure that they are not violated.

Employees are also obliged to act in accordance with:

• internal regulations, concerning the work responsibilities of employees, occupational safety, fire protection, handling of chemicals, transport of chemicals, prevention of major accidents, reporting of extraordinary events, handling of computer equipment and data.
• Rules of Ethical Conduct.

1.2  Responsibility for the Perception by the Public

The company, in line with its Code of Ethics, promotes compliance with the Ethical Rules in the company''s conduct. All employees, together with the senior management, are actively involved in the dissemination of the Code of Ethics and ensure its application in practice.

The company fulfils its ethical, environmental, social and other obligations towards the public, based on the fulfilment of day-to-day duties of the employees with a view to preventing inappropriate behaviour, which could harm the company in relation to public institutions and business partners.

 

The quality, environmental friendliness and medical harmlessness of the products are ensured by meeting the requirements of the international standards and standards adopted by the company. The review of these established standards is carried out annually by independent certification bodies.

 

1.3  Mutual Respect, Honesty and Credibility

Employees are aware of their duties and responsibilities arising from the internal and legal regulations, above all the duties and responsibilities arising from:

• Labour Code,
• Work Rules,
• Code of Ethics

The company ensures comparable conditions for its employees regardless of their age, race, nationality, religion, gender or handicap. Violence, threats, intimidation, any attacks or other inappropriate behaviour at work are not tolerated. Human dignity, privacy and individual rights of each individual are respected.

1.4   Responsibilities of Management

Management

• is responsible for the employees entrusted to him/her in terms of the Organization Code and the Work Rules, including appropriate training.
• with respect to the principles of the Code of Ethics, organizes and checks the fulfilment of the assigned tasks, observes the legal and internal regulations, and prevents any violation thereof.
• does not oversee any violation of the legal regulations, and draws consequences in terms of the labour law in the event of any attempt to violate them.
• is aware of the fact that any breach of occupational safety, fire protection, neglect of preventive measures and maintenance leads not only to ethical consequences for the company and disabled employees, but also to material and financial damages that significantly outweigh the costs of preventive activities.

2. Relationship towards Business Partners

2.1 Business Courtesy

• Employees are not allowed to give or receive gifts and small presents that do not conform to common business practices, which could be perceived as a bribe or special advantage.
• Employees must not, either directly or indirectly, offer, give, require or accept bribes in order to establish or maintain business relationships, with the exception of corporate gifts of small value (with a company logo). Other gifts must be tactfully refused.

2.2 Business Relationships

The Ethical Rules guarantee potential suppliers unbiased tender bid checking. The same conditions apply when entering into business contracts with the company''s customers.

Employees are obliged to inform their superiors of any personal interests, which might affect the assignment and execution of their working task.

After evaluating the risk of conflict of interest, the superior decides on measures in the area of checking and approval of the business relationship, for example transfer of responsibilities for the relationships with a given business partner to another employee.

While tendering for contracts, suppliers must not be favoured or disadvantaged in any unfair way whatsoever, the same applies to customers.

Employees may only accept reasonable and well-founded invitations from business partners to discuss work-related matters, or should declining an invitation in a given environment be contrary to the principles of polite behaviour.

Employees must not make any personal orders, or enter into transactions with companies with whom they have business contacts, if they could benefit from them.

2.3 Giving of Gifts by the Company

With regard to the giving of gifts, the company proceeds according to the following rules:

• As a matter of principle, the company does not meet any requests for contributions to natural persons, nor does it make any payments, even of small amounts, to private accounts. An exemption from the rule can be made by the chairman of the board, namely taking into account social or other aspects of the request. The company does not provide any contributions to persons that could harm the company’s reputation.
• The recipient of a gift and the specific method of its use must be known. The use of a gift must at all times be supported by the presentation of accounts.

3. Prevention of Conflict of Interest

Employees, while performing their tasks, must not get into conflict of interest.

Employees may carry out gainful activity, in addition to their employment, provided that this activity does not interfere in the legitimate interests of the employer.

Employees are entitled to carry out, in addition to their employment, other gainful activity identical to the subject of activity of the employer with prior written consent of the employer.

Conflict of interest also involves the provision of business information, recommendations, know-how and information, which can assist in performing competitive activities of other individuals.

Employees, who discoveres competitive activities of another employee working for the company, must immediately report the fact to their superiors.

4. Information Provided

The company provides its business partners and other interested groups only with correct, relevant information. The accounting data provided is in accordance with the accounting principles.

5. Confidentiality

In internal matters of the company that have not been disclosed to the public, confidentiality must be maintained. This applies to, for example, information on the company’s organization and its facilities, technology, raw materials used, business practices, as well as research and development activities.

Confidentiality must be maintained even after the termination of employment, namely in accordance with the relevant provisions of the Labour Code, or under the provisions of a contract of employment.

6. Complaints and Suggestions

Where possible, employees should use internal options to settle disputes arising from their work activities.

Every employee may lodge a complaint, or point out the circumstances that may lead to any violation of the Ethical Rules, with his/her superior or the head of the company''s personnel department. Documents relating to the investigation of the complaint are confidential, and any countermeasures against the person who has given an impetus to the investigation, are not tolerated.

 

Ethical Code for download (PDF; 2,3 MB)