California Transparency in Supply Chains Act

 

Abbott believes in being a socially responsible company and doing what is right, not just by our customers, but by the world in which we live. Abbott is committed to safe and fair working conditions, beyond our employees and the stores in which our products are sold, but also extending to the partners in our supply chain. Abbott always has had and will continue to have a zero tolerance policy regarding human trafficking and slavery. Abbott has a global policy against trafficking and slavery in supply chains. Abbott engages in verification of product supply chains to evaluate and address risks of human trafficking and slavery. Specifically, Abbott utilizes a supplier classification model to determine appropriate activity level to assess risk. A supplier may receive a letter, a survey or an on-site audit (usually announced ahead of time) based on this model. Information received from the supplier is then assessed to determine whether to take further steps. Currently, this verification is conducted by Abbott employees in its Global Purchasing Services Compliance department.

 

Abbott’s Supplier Guidelines state our expectations to suppliers conducting business with Abbott that they are prohibited from engaging in illegal behavior, including human trafficking and slavery. Abbott’s internal Code of Business Conduct also incorporates standards prohibiting slavery/trafficking or engaging in illegal behavior. Abbott requires direct suppliers to certify that materials incorporated into Abbott’s products comply with local and national laws of the country or countries in which they are doing business. Certifications are also obtained from suppliers that they comply with standards as outlined in our Supplier Guidelines. Abbott maintains internal accountability standards and procedures for both employees and contractors failing to meet company standards regarding slavery and trafficking. In particular, Abbott employees worldwide train annually on Abbott’s Code of Business Conduct. Likewise, all contractors assigned to Abbott are required to review and abide by Abbott’s Code of Business Conduct.

 

Employees and contractors assigned to Abbott who fail to abide by Abbott’s Code of Business Conduct may be subject to reprimand or other adverse consequences, up to and including termination of employment or assignment. Abbott provides training to its employees and management who have direct responsibility for supply chain management, regarding human trafficking and slavery, particularly with respect to mitigating risks within the supply chains of products.