Preamble
The diverse group of men and women who work for Ford is our most important resource. In recognition
of their contributions, policies and programs have been developed to ensure that our employees enjoy the
protection afforded by principles agreed upon in this document (the "Principles"). While these principles
are not new to Ford, they are vitally important to what we stand for as a company.
The Principles are based on a thorough review of labor standards espoused by various groups and
institutions worldwide, including those outlined by the International Labour Organization and stand as a
general endorsement of the following human rights frameworks and charters:
•The UN Universal Declaration of Human Rights
•The ILO Tripartite Declaration of Principles concerning Multinational Enterprises and
Social Policy
•OECD Guidelines for Multinational Enterprises
•The Global Sullivan Principles of Social Responsibility
These Principles are, however, intended to represent a statement of Ford's own high standards.
The universe in which Ford operates requires that these Principles be general in nature. In certain
situations national law, local legal requirements, collective bargaining agreements and agreements freely
entered into by employees may be different than portions of these agreed upon Principles. If these
principles set higher standards, the Company will honor these Principles to the extent which does not
place them in violation of domestic law. Nevertheless, we believe these Principles affirm important,
universal values that serve as the cornerstone of the relationship between employees and management for
us.
Ford and the signatories to this document confirm their support for these Principles and for the
Company's Code of Basic Working Conditions, Business Principles, and Corporate Citizenship strategy.
Freedom of Association and Collective Bargaining
The achievement of business competitiveness, employee involvement and employment security are positively influenced by good relations and mutual trust between employees and management within the Company. This requires the on-going cooperation of management, unions, works councils, employee representatives and employees, ensuring that social dialogue at Ford be characterized by mutual respect and understanding. Procedures for information and consultation provide the opportunity for issues to be raised by either the management or employee representatives to ensure that the views of both parties are fully understood.
Ford recognizes and respects its employees' right to associate freely, form and join a union, and bargain collectively in accordance with applicable law. The Company will work constructively with employee representatives to promote the interests of our employees in the workplace. In locations where employees are not represented by a body of employee representation/ unions, the Company will provide opportunities for employee concerns to be heard. The Company fully respects and supports workers democratic right to form a union and will not allow any member of management or agent of the Company to undermine this right or pressure any employee from exercising this right.
Cooperation with employees, employees' representatives and trade unions will be constructive. The aim of such cooperation will be to seek a fair balance between the commercial interests of the Company and the interests of the employees. Even where there is disagreement, the aim will always be to work out a solution that permits constructive cooperation in the long term.
Timely information and consultation is a prerequisite for successful communication between management and employee representatives. Information will be provided in good time to enable representatives to appropriately prepare for consultation.
Collective bargaining on conditions of work is the expression in practice of freedom of association within the workplace, a responsibility to bargain in good faith in order to build trust and productive workplace relations. Even when disagreement occurs, all parties will be bound by group collective and legislative requirements and the aim will be to reach adequate solutions.
The signatories respect the employees' democratic rights to determine representation and will not use tactics of harassment or discrimination to influence employees’ exercise of these rights.
Harassment and Unfair Discrimination
The signatories will not tolerate harassment or unfair discrimination on the basis of race, religion, color, age, sex, sexual orientation, union activity, national origin, or against any employee with disabilities.
Ford acknowledges the rights of its employees to raise concerns. From this it follows that any worker who, acting individually or jointly with other workers, considers that he has grounds for a concern should have the right to raise such concern without suffering any prejudice whatsoever as a result, and to have such concern examined pursuant to an appropriate procedure.
Forced or Compulsory Labor
Ford will not use forced or compulsory labor regardless of its form.
Child Labor
Ford opposes the use of child labor. In no event will the Company employ any person below the age of 15, unless this is part of a government-authorized job training or apprenticeship program that would be clearly beneficial to the person participating.
Wages and Conditions
Ford will promote its employees' material well being by providing compensation and benefits that are competitive and comply with applicable law, and acknowledges the principle of "equal pay for work of equal value" in that the Parties affirm their commitment not to discriminate because of race, religion, color, age, sex, sexual orientation, union activity, national origin, or against any employee with disabilities.
Hours of Work and Vacation
Ford will comply with applicable law regulating hours of work and vacation periods.
Occupational Safety and Health Protection
Ford will strive to promote the safety and health of those who make, distribute or use its products.
The Company will provide and maintain for all employees a safe and healthy working environment that meets or exceeds applicable standards for occupational safety and health. Management and employee representatives work jointly regarding considerations and measures in the Field of occupational safety and health protection to eliminate workplace accidents, injuries and fatalities as detailed in Ford Motor Company's Safety Operating System.
Education, Training and Development
Ford promotes and supports appropriate education, training and development for its employees, and will continue to establish beneficial ties with institutions with expertise in this area, such as universities, research and training facilities.
Continued dialogue in this area between employee representatives and management assists the early identification of employee adaption needs, ensuring appropriate skills upgrading and improved employability, to meet long-term business requirements.
Suppliers and Business Partners
Ford will encourage business partners to adopt and enforce similar policies to those contained in these Principles, as the basis for establishing mutual and durable business relationships. The Company will seek to identify and utilize business partners who aspire in the conduct of their business to standards that are consistent with this document and will provide the network an opportunity to raise issues for discussion and resolution.
The Company conducts assessments of selected existing and prospective Tier 1 suppliers in multiple countries. The assessments provide feedback to Ford and suppliers about how well they are meeting legal requirements and Ford’s expectations. They also provide insight into the effectiveness of our training programs. Assessments consist of a detailed questionnaire, a document review, factory visits, and management and employee interview's, and are conducted with the assistance of external auditors. Ford will review such assessments with the Network, as requested, in connection with its regular meetings and will respond to issues raised.
Sustainability and Protection of the Environment
Ford will respect the natural environment and help preserve it for future generations by working to provide effective and practicable environmental solutions and avoiding waste. The Company will work to continuously reduce the environmental impacts of our business in line with our commitment to contribute to sustainable development. The Company will measure, understand and responsibly manage its resource use, especially the use of materials of concern, and the use of non-renewable resources.
Ford seeks to ensure coherence between social, economic and environmental objectives.
Integrity
Ford will be honest, open and transparent and model the highest standards of corporate integrity. The Company will compete ethically and avoid conflicts of interest and have zero tolerance for the offer, payment, solicitation or acceptance of bribes.
Accountability
The signatories to this agreement commit themselves to these principles on a global, national, and local level.
The ongoing compliance of these Principles can be raised and discussed between the Company and Union in the Regions or at the Ford Global Information Sharing Forum. When issues are identified, the Parties will work together to find mutual solutions. In addition a more detailed monitoring process will be discussed by the parties at the next Global Information Sharing Forum meeting.
General
Ongoing compliance with these Principles will be reviewed at the annual meeting with management.
April 25, 2012