Human Rights and Labor Practices
Key Performance in 2023
Rights and Liberties Protection Department (Ministry of Justice) awarded CPRAM as a model company on human rights in 2O22 for 3rd consecutively year in an outstanding level in the large business category
CP Axtra, the leading wholesale business with the trademark “Makro,” has been awarded the prestigious international accolade, “HR Asia Best Companies to Work for in Asia 2O23.” This marks the fourth consecutive year that the company has been recognized as the most desirable workplace in Asia. Additionally, its retail subsidiary, “Lotus’s,” has secured this honor for the third consecutive year. These recognitions come from HR Asia magazine, a prominent media in human resource management, widely acknowledged in the Asian region
of employees at the management level and above of the CP All Group receive knowledge. and pass the examination to measure knowledge and understanding of the course "Human Rights with the Business Sector"
of employees at all levels of CP All Group received training and passed the "Human Rights" course knowledge test
of critical tier-1 suppliers received training and underwent risk assessment on human rights
of new store partners (Business Partners) have undergone training on human rights
of the target areas have been certified with ISO 45OO1: 2O18
Key Progress in 2023
CPRAM Company Limited participated in the Human Rights Awards Competition in 2O23
Monitored and evaluated the implementation of the organization's existing risk control measures regarding human rights
Conducted a Human Rights Impact Assessment (HRIA) through the Human Rights Due Diligence Process (HRDD)
Organized activities to promote respect for and compliance with international human rights standards for employees at all levels in CP ALL Group
Conducted continuous activities to promote workplace safety, occupational health, and environmental conditions for all employees in CP ALL Group
Expanded the scope of creating human rights awareness to tier-1 suppliers and key stakeholders
Significantly Affected Key Stakeholders
Supporting the SDGs
SDG 3 Ensure healthy lives and promote well-being for all at all ages
3.4 Reduce premature death from non-communicable diseases through prevention, treatment, and support for mental health and well-being
3.6 Reduce deaths and injuries due to road accidents
SDG 5 Achieve gender equality and empower all women and girls
5.1 End discrimination against women and girls everywhere
SDG 8 Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
8.5 Achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value
8.8 Protect labour rights and promote safe and secure working environments for all workers, including migrant workers, in particular women migrants, and those in precarious employment
SDG 10 Reduce inequality within and among countries
10.3 Ensure equal opportunity and reduce inequalities of outcome, including by eliminating discriminatory laws, policies and practices and promoting appropriate legislation, policies and action in this regard
SDG 16 Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels
16.3 Promote the rule of law at the national and international levels, and ensure equal access to justice for all
Performance Against Goal
2O3O Goal
100The Company has continuously conducted Human Rights Impact Assessment following United Nations Guidelines, of its operations and suppliers with high sustainability risks
Progress against goals
Performance Summary 2023
Human Rights Assessment
The Company’s operation area and business activities
100% of FTE were assessed on human rights risk and impact
54.77% of FTE have high human rights risks or salient issues*
100% of FTE (i.e., 54.77% of FTE identified with human rights risks) have mitigation measures and remediation process implemented Additionally, all of 8 Business Units have mitigation plan implemented
* Human rights issues identified at high risk are employee occupational health and safety, employee discrimination and harassment including equal remuneration, supplier occupational health and safety, community health and safety, community standard of living, and customer health and safety (food safety & well-being) in 7-Eleven, CPALL’s distribution center, 24Shopping, and CPRAM business
The company’s Tier-1 suppliers
completed risks assessments
identified to be at risk
identified to be at risk and has impact mitigation measures
Awareness on Respecting and Complying with Human Rights Principles
Training
of employees have been trained
of store partners (business partners) has been trained
of the Company’s Tier-1 Suppliers has been trained
Grievances on Human Rights Violations
Human Rights Violations
Discrimination
Harassment or Sexual Assault
Violations of Indigenous Rights
Mitigation measures and corrective actions
CP ALL Public Company Limited guarantees that appropriate corrective action will be taken. In cases of human rights violations, monitoring, inspection, planning preventive measures, mitigation, and continuous reporting are conducted. Additionally, compensation and remediation are considered and provided in various forms to ensure that affected rights-holders receive appropriate reparation. These actions aim to alleviate the impact of human rights violations, providing affected individuals with suitable or improved conditions. Examples of actions in place are apologizing, restitution, rehabilitation, compensation in the form of monetary or non-monetary measures, punishment, and prevention of harm, such as a prohibition order or a guarantee of no recurrence
Promoting equal opportunities and diversity for employees
Gender Diversity
| Total (Persons) | FTEs (%) | |
|---|---|---|
 Male |
||
 Female |
||
| Remark: FTEs is Full Time Equivalent | ||
Age Diversity
| Number (person) | % of FTEs | |
|---|---|---|
 Under 3O years old |
||
| 3O-5O years old |
||
 Over 5O years old |
Nationality Diversity
| Share in total workforce (%) | Share in all management positions (%) | |
|---|---|---|
 Thailand |
|
|
 Cambodia |
|
|
 Myanmar |
|
|
 Korea |
|
|
 India |
|
|
 Australia |
|
|
 Other |
|
|
Capability Building of Female Employees
People with Disability
FTEs 0.70
Freedom of Association
The Welfare Committee of the Company’s workforce
Risks and Opportunities
Business and human rights are issues that receive continuous global attention because the workforce is considered a crucial pillar in developing the sustainable operational capabilities of every organization in the business sector. In each business activity, such as raw material sourcing, production processes, transportation, and services, there is a risk of human rights violations, as well as compliance with labor-related regulations and laws. This has led organizations worldwide to operate under the principles outlined in the United Nations Guiding Principles on Business and Human Rights (UNGP), issued in 2011. These principles aim to demonstrate accountability for human rights and promote equal treatment, safety, and a good environment in the workplace. Additionally, they include initiatives to promote good health for employees and suppliers.
Therefore, the Company stipulates regular reviews and assessments of human rights risks, and the process of monitoring human rights in a comprehensive manner on a regular basis. This includes setting an operation framework in alignment with the international human rights protection principles and the country’s laws. This is to prevent any human rights violations throughout the value chain due to the organization's management approach towards all stakeholders.
Management Approach
The Company established and operated in accordance with policies on human rights and labor practices, encompassing all areas of business operations, including suppliers and business partners—which are in accordance with the UN Guiding Principles on Business and Human Rights (UNGP) and International Labor Organization (ILO) This includes the labor laws of each country where the company conducts business, encompassing significant human rights issues. such as child labor, forced labor, discrimination, harassment, etc.
In this regard, the Company has a process to assess important issues, impacts, and human rights risks on a regular basis every 3 years in all areas of business activities, encompassing workflow analysis (Full time equivalent: FTE), especially for units with risks. The Company also established integrated preventive measures and mitigated the impact of high-risk issues through the human rights process. The details are as follows:
Human Rights Due Diligence: HRDD
Human Rights Risk Assessment
Human Right Impact Assessment: HRIA
The Company aims to raise awareness of and promote compliance with international human rights principles among employees at all levels., business partners, and level 1 key suppliers through various projects. The Company pushes for equality in the cost of living and employment in accordance with the policy and principles of compensation and benefits. This includes assessing the livelihood of employees and Tier-1 suppliers. Other topics revised are salary and benefits for employees and business partners (Store partners) to receive equal and fair compensation. The Company aims to expand the target to cover 100% of employees by 2025.
There are plans to extend the assessment to suppliers Furthermore, the Company assesses risks related to safety, occupational health, and environmental conditions in the workplace, covering all the Company’s operational areas. This also involves implementing various projects to support and promote well-being for employees and their families through different initiatives, support for the education of employees' children, and employees' health care. Employees are also provided with the option to choose healthcare benefits for their parents, spouses, or children (IPD), flexible working arrangements, among other benefits.
Human Rights Due Diligence Process
The Company conducted human rights audits, and efficient human rights audit periodically every 3 years. To identify key issues and rights holders affected, covering all operational areas and all business activities of the Company, including business partners, suppliers, contractors, joint ventures, and Mergers and Acquisitions. The Company considers important human rights issues that are likely to be relevant to its business operations, including forced labor, human trafficking, child labor, right and freedom of association, right to collective bargaining, equal remuneration, discrimination, sexual harassment, and other forms of harassment. Other issues include security, environment, and customer rights, encompassing stakeholders who are at risk of human rights violations-such as employees, communities and locals, business partners, suppliers, contractors, customers, and consumers. And vulnerable groups such as women, children, indigenous people, migrant workers, third-party contracted workers, people with disabilities, elderly people, and LGBTQ+. The Company listens to issues from relevant stakeholders to ensure the prevention of human rights violations in the Company's business operations.
Policy Commitment
1
Embedding
2
Human Right Policy
Assessing Impact
3
Intergrating and Acting
4
Tracking Performance
5
Communicating Performance
6
Stakeholder Engagement
7
Engage with various stakeholders. both internal and external consisting of employees, community. public agencies, civil organizations. The aim is to communicate the Company's human rights performance
Remediation and Grievance Mechanism
8
Human Rights Risks Assesment
The Company conducted Human Rights Risk Assessment (HRRA) periodically every 3 years to assess the risk of human rights violations throughout the value chain by identifying the key issues and the affected rights holders. Human Rights Due Diligence (HRDD) encompasses 8 main business groups by 100% of the business area and accounted for 100% of business activities, which consists of 4 activities: Employees Practice, Community Rights, Customer Rights, Supplier & Contractor Rights.
Identify Associated Activities throughout Value Chain
Scope of Assessment: Human Rights Issues
The Company has a systematic and effective Human Rights Due Diligence encompassing all locations of the Company’s business operations, including all activities pertinent to the Company’s value chain, covering suppliers, partners, contractors, business alliance groups, joint ventures, and mergers and acquisitions. Additionally, the Company has considered human rights issues with potential risks associated with its operations.
The human rights issues identified include:
The scope of Human rights due diligence and Human rights risk assessment cover: stakeholders and affected rights holders whose rights may be at risk of violation from CP ALL business activities, including:
These stakeholder groups were identified through engagement with relevant stakeholder groups so that the Company can have the confidence that business operations will not violate human rights.
Results of 2023/24 Human Rights Risk Assessment
From the recent human rights risk review and assessment in 2023/24 to evaluate past, present, and future risks, which encompass the rights of employees, suppliers and contractors, community rights, and customer or consumer rights, including working conditions, occupational safety and health, discrimination and harassment, forced labor, standard of living, and data privacy. The company identified the following salient issues:
For the results and management actions, please refer to: Summary Report
In case of human rights violations, the Company has a continuous monitoring, auditing, and reporting process. The process is under integrated measures to prevent and reduce human right impacts of high-risk issues. This ensures that rights-holders affected by human rights violations receive appropriate compensation and remedy, as well as alleviating the impact to ensure they are in suitable or improved conditions .Examples are apologies, restitution, rehabilitation, and compensation in the form of monetary or non-monetary forms. Other corrective actions are punishment and prevention of harm, such as a prohibition order or a guarantee against recurrence.
Human Rights Impact Assessment
After completing the human rights risk assessment process, the Company stipulates the Human Rights Impact Assessment on those affected by actions in the areas of risk that require proactive management. This is achieved through data collection and surveys of stakeholders, encompassing all employees across all areas with Salient Issues and high risk that require proactive management. The assessment is divided into four main groups: 1. Operations at 7-Eleven stores, 2. CP ALL distribution centers, 3. 24Shopping distribution centers, and 4. CP Ram’s manufacturing and logistics operations. Upon identifying impacts, measures to mitigate them are implemented, along with efforts to communicate equal treatment according to human rights principles within the organization through infographic communication, advocacy campaigns, and senior management communication via newsletters to all employees across the organization.
Integrated human rights prevention and mitigation measures for high-risk issues Under the scope of responsibility of the Company’s Store Partners (business partners)
| Right Holders | High Risks Issues | Preventive measures and impact mitigation | Integrative measures |
|---|---|---|---|
| Employees at 7-Eleven stores and 24shopping | Safety and Health
|
|
|
Creating awareness on human rights
The Course “Human Rights and the Business Sector”
The Company organized a training course on "Human Rights and the Business Sector" for management-level employee in the CP ALL Group and its subsidiaries to raise awareness and promoted appropriate human rights practices, including preventing human rights violations both within and outside the organization. The course covers important human rights topics
International Standards on Respecting Human Rights
Human Rights Risk Assessment
Preventive Guidelines on Human Rights Violations
Organizational Culture and Respect for Human Rights
In 2023, there were 181,108 training participants. A plan was developed to increase the scope of this awareness-raising, this aims to ensure full understanding among all employees and operational areas, including store partners (business partners) through an online platform, the goal of a completion rate of 100% by 2025
Communication on “Human Rights within the Company and Subsidiaries”
The Company communicated the policies, regulations regarding work ethics, business ethics, and workplace codes of conduct to all employees at every level, ensuring their understanding and compliance. This is done to promote adherence to policies and regulations, as well as to prevent human rights violations within the organization. Communication takes various forms, including:
- Creating collaboration records to promote mutual cooperation and nondiscriminatory practices
- Communicating policies and penalties through Infographics
- Conducting in-person campaigns and communication activities to encourage respectful interactions. This is in accordance with company regulations
Fair Labor Practices
The company commits to respecting the labor rights of employees and fair practices to comply with laws and policies under Thailand and International Labor Protection Act through appropriate employment, wages, working hours, holidays, and benefits. Measures also include a safe workplace and a good environment. The Company promotes welfare for employees, as follows:
| Welfare | Rights according to the law | Rights the Company set for Employees |
|---|---|---|
| Maternity leaves for female employees |
|
|
| Public Holiday | No fewer than
|
|
| Annual personal leave | No fewer than
|
|
| Business leaves |
|
|
| Paternity leaves with wages for male employees in case of a new-born child | 0 |
|
| Personal care leave to create balance in life, work, and personal life, such as making contributions to the community according to the employee's interests, caring for sick family members or have physical and mental conditions, and leaving on employees’ own birthday | - |
|
| Part-time working options for full-time employees for employees at the officer level and managerial level | - | During employee holidays only (minimum 4 hours per day) |
The Company offers various welfare benefits to employees and provides support covering all key areas of the Company. The objective is to enhance holistic well-being for employees while working with the Company, such as emergency loan benefits from financial institutions with special interest rates, housing rental subsidy, subsidy in case of working in a provincial office (hardship allowance), as well as welfare security for life, such as provident funds, life insurance for disease and accident, group health insurance that provides protection for employees and their families, welfare on emergency loans for employees and their families, and financial assistance in the event of disasters. Other welfare includes health services (CP ALL Health Care Center) and a fitness center for employees (The Tara fitness Club) with a trainer who is an expert in a variety of disciplines. There are other projects, such as the Exercise My Way project and health measurement service by pharmacists with modern equipment—with the objective of promoting employees’ health.
Notes: Important areas in the implementation of support encompassing employees working in the office area, distribution center area, and operating areas of 7-Eleven stores.
Freedom of Association
The Company facilitates freedom of expression of opinions and channels for individuals to inform their concerns through a variety of channels such as electronic mail, information center, Company's online media, bell ringing, and Voice of Employee system, as well as through the Welfare Committee in the workplace, established under the Labor Protection Act 1998. At present, there are 2,397 employees representing the Welfare Committee or 100% of all employees. A meeting is organized every quarter for discussion. In 2023, additional recommendations approved were as follows:
1. Education loan welfare program for employees' children
2. Medical expenses project for employees’ parents in inpatient cases (IPD)
3. Add a shuttle bus to Rangsit and Bang Yai routes for employees
Promoting equal opportunity and employee diversity
The Company commits to treating all employees equally and to respect the diversity of individuals on the basis of nondiscrimination of race, religion, gender, the color of one’s skin, language, age, and those with disabilities. The Company encourages and considers all employees in the employment process—for them to get an opportunity to develop their potential and career advancement equally. Supporting career development by hiring individuals with disabilities, the Company has been consistently advocating for employee rights. In 2023, various seminars and workshops were conducted to educate and promote awareness on topics aligned with global social trends such as "Diversity, Equality, and Inclusion." During Pride Month, activities were organized specifically for the LGBTQ+ community to foster support for diversity and gender equality, as well as supporting all sectors and agencies in reducing inequality and truly creating opportunities. This extends to encouraging all groups of employees to show their full potential, internally and externally, to expand into the development of suitable products and services via an understanding of people’s diverse needs. Expected consequences are non-discrimination and absence of all forms of threats in business operations.
Living Wage
Due to employees being a crucial pillar in driving business success, the Company prioritizes their welfare above all else, ensuring they receive adequate care. It is mandatory that the Company’s employees shall receive proper care, welfare, training, and other rewards and experience a good atmosphere at work and a safe workplace. The Company ensures that all employees are paid fair wages. The Company, therefore, has established a policy and principle on compensation and benefits. Employees and business partners (Store partners) salaries and benefits are regularly reassessed to be competitive in the same industry group, Additionally, the Company provides financial support and compensation that exceeds legal minimum wage requirements, along with additional allowances for expenses other additional allowances, such as overtime payments, transportation allowances, special allowances, housing rental support, food subsidies, and performance incentive payments. to ensure that the Company fairly pays wages and other benefits, The Company also conducts evaluations of compensation and benefits the Company analyses wages annually by participating in a wages and benefits survey program led by leading global consultancy organizations, the Korn Ferry Hay Group and Mercer. The Company has also arranged to assess the impact of changing costs of living and other employment considerations in business operations. The Company has a target to fully assess the living wage of 100% of its employees within 2025 and putting in place plans to increase this analysis to critical tier-1 suppliers and contractors in the future.
