The importance we place on maintaining high ethical and corporate social responsibility is reflected in our commitment to the labor and human rights of our employees. Our codes, standards, programs, and audit procedures are built around the recognition that everything we do in connection with our work must reflect the highest possible standards of ethical business conduct and our employees are treated with respect and dignity.
NXP is responsible for providing a work environment in which ethics, integrity, and trustworthiness are accepted and shared, not just among ourselves but with all our stakeholders, including the communities in which we operate and work. We support the aim of the International Labor Organization (ILO) to arrive at universally accepted labor standards and have therefore adopted internal policies, standards, procedures and guidelines with respect to the topics discussed below.
NXP became an Electronic Industry Citizenship Coalition (EICC) member in April 2014. NXP fully supports the vision and goals of the EICC. The requirements from the EICC Code of Conduct are either part of NXP's own Code of Conduct or have been included in NXP policies, standards, and procedures. NXP also commits to apply similar requirements to its suppliers, through the NXP Supplier Code of Conduct, and to monitor application of the Supplier Code of Conduct to the best of its ability.
We have specific standards in place regarding labor and human rights. These standards are to be strictly followed by NXP and all NXP suppliers, such as external manufacturing partners, direct material suppliers, tools and machines suppliers as well as suppliers of logistics and packaging services, and onsite service providers, and are thoroughly tested during our audits.
Our internal audits at NXP facilities reveal no significant issues or violations relating to worker’s rights, health and safety, or environmental compliance. The audits have identified areas where further improvements can be made, particularly in strengthening site specific social responsibility processes and management systems.
NXP's auditable standards on labor and human rights consist of the following categories:
We shall under no circumstance make use of any form of slave, forced, bonded, indentured, or prison labor. All work must be voluntary and there will not be restriction on movement of workers and their access to basic liberties. Depending on local law requirements, everybody is free to terminate their employment with NXP upon reasonable notice without penalty. We will only employ, directly or through others, such as labor agents, people who are working of their own free will. Workers shall not be required to participate in any form of forced savings or loan program where repayment terms are indicative of debt bondage or forced labor. Paying fees, deposits or debt repayment for their recruitments or employment is never required and no one shall be deprived of his or her identity papers upon starting work for NXP. NXP has taken the extra step of setting a new standard regarding document retention. Detailed information can be found in the side story.
NXP pays for all fees in the recruitment of workers. Such fees and expenses include
To address concerns at all stages of the recruitment process, NXP started a comprehensive training and audit program of all labor agents and sub-agents in the sending and receiving countries to ensure compliance of the NXP standards and to mitigate the risk of modern day slavery. While in the sending countries of the labor agents and sub-agents, we educate them of NXP requirements, such as: Employment contracts written in native language of the worker, contract shall have accurate written details in regarding working conditions, nature of work, wages, benefits, working hours, and duration of contract. Contract shall be the same at the time of recruitment and at the receiving country. NXP’s “No Fee Policy” and no withholding government issued documentation is thoroughly discussed in the training sessions. NXP goes through each Labor and Human Rights topics listed. In addition to training our suppliers, we also educate students that are potential employees of NXP within the villages of the sending country to educate them on their human rights and what it is like to be a foreign migrant worker. After training and collaboration, NXP audits the labor agents and sub-agents to help them identify areas of strength and weakness.
Our efforts to eradicate modern day slavery, educate our supply chain and students earned us the Thomson Reuters Foundation’s Stop Slavery Award for policy and implementation.
NXP will under no circumstance use child labor.
We will always adhere to the legal minimum age requirements in all countries in which we operate. We will never employ children under the age of 16, under the age for completing compulsory education, or under the minimum age for employment in the country, whichever is stricter. In order to make sure all our employees are age-qualified, NXP has a strong age-verification process during the recruitment and selection process. If workers between the ages of 16 and 18 are employed, we will ensure that this work does not affect or preclude their educational opportunities or obligations, nor jeopardize their health and safety, including restrictions on overtime and night work.
Our work weeks shall not exceed the maximum set by local law and shall, in any event, not be more than 60 hours, including overtime, except during emergencies or unusual situations. Workers will be entitled to have at least one day off per seven-day period. Overtime work is voluntary, unless agreed upon by a collective labor agreement or union contract, or during emergencies or unusual situations. Worker can refuse to work overtime hours without penalty. Our workers will have legally mandated breaks, holidays and vacation days. Adequate and effective policy and systems/procedures are established to determine, record, manage, and control working hours, including overtime.
Our remuneration shall be consistent with the provisions of all applicable wage laws, including those relating to minimum wage, overtime hours, and legally mandated benefits. In compliance with local laws, workers shall be compensated for overtime at pay rates greater than regular hourly rates. Deductions from wages as a disciplinary measure are not permitted. Vacation time, leave periods, and holidays are consistent with applicable laws and regulations. Workers shall be paid in a timely manner. Workers shall always be aware of the composition of pay and benefits, in a detailed and clear manner, prior to employment. Workers shall receive clear statements in detail, in a language understood by workers. All employees, whether they are direct or foreign migrant workers are treated the same way at NXP.
There shall not be harsh or inhumane treatment of workers, including any sexual harassment, sexual abuse, corporal punishment, mental or physical coercion, or verbal abuse; nor is there to be the threat of any such treatment. Employees shall be able to communicate openly with management regarding working conditions without having to fear reprisal, intimidation, or harassment. Disciplinary policies and procedures in support of these requirements shall be clearly defined and communicated to workers. There will be no restriction of workers’ access to basic physical comforts such as toilets, bathrooms, drinking water or medical facilities. There will be free exit and entry of facility or dormitories and will not limit access to specific times of the day.
NXP is committed to diversity in its workforce and encourages equality of opportunity and fairness. Therefore, we do not tolerate any kind of harassment or discrimination based on, among other things, race, color, age, gender, sexual orientation, ethnicity, disability, pregnancy, religion, political affiliation, veteran status, union membership, or marital status in hiring or employment practices such as promotions, rewards, or access to training.
NXP is committed to providing an attractive working environment for employees and we will recruit, hire, and promote employees solely on the basis of suitability for the job. We will recruit, select, provide opportunities for development and training, and promote on the basis of objective and non-discriminatory criteria.
NXP recognizes the freedom of employees to establish or join an organization of their choice and will respect this right. We will not make employment subject to the condition that a person must not join a union or must terminate membership in a trade union.
NXP respects the right to be represented by trade unions and other employee organizations. NXP will, whenever applicable, engage in the negotiation process either on its own behalf or through employers' associations. Local rights and co-determination will be fully respected with a view to reaching agreement on the terms and conditions presented by employees.
Workers shall be able to openly communicate and share grievances with management regarding working conditions and management practices without fear of reprisal, intimidation, or harassment. More information about grievance and whistleblower policies can be found in NXP’s Code of Conduct.