Human Rights: Significant Investments
During 2009-2010, nearly 52 % of our total capex cash flow of Rs.1100 crores was incurred on machinery and technology, which were sourced from reputed global suppliers/vendors who follow internationally accepted norms and standards on Human Rights. Approximately Rs. 498 Crores were invested on new factories, hotels, modernisations.
All large contracts in ITC, for the construction of hotels, factories, and significant upgrades, included environment, health, safety and human rights’ clauses covering decent place of work, and beyond compliance labour practices.
In 2009-2010, large projects such as the ITC Hotel Royal Gardenia, the Cigarette factory at Pune, the Personal Care products Unit at Manpura and the Food Technology Centre at Bengaluru, have been completed. Also, construction of the Leaf threshing plant at Mysore, the Master Facility of the Lifestyle Retailing business at Manesar and the ITC Hotels at Chennai and Kolkata are in progress. All these were managed and supervised by ITC managers, who also ensured proper implementation of Human Rights compliance. Systems have been established to ensure compliance of our Policies and Standards, through rigorous audits by Corporate Internal Audit and Corporate EHS.
Human Rights: Supply Chain
As a large and multi-product enterprise whose products are benchmarked nationally and internationally, we recognise our responsibility to proactively encourage high levels of ‘Human Rights’ standards in our supply chain.
Our approach to managing human rights in the following distinct categories is described below:
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Our major businesses are vertically integrated across several Divisions that follow ITC policies. |
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We procure inputs for the Company’s agri-based businesses entirely from state controlled trading platforms and the open market. |
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We position our managers at all significant ‘outsourced’ manufacturing facilities (cigarettes, personal care, branded apparels and packaged foods) to ensure high standards of product quality and adherence to ITC’s guidelines on EHS and labour practices. Government officials also routinely inspect these units to ensure relevant labour and factory acts, which, inter alia, provide for the necessary EHS and labour practices standards. |
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The execution of ITC’s human rights policies is obligatory for all service providers operating within our establishments. |
During 2009-2010, the total number of service providers was 4,445 of which 1,015 operated within the Company’s premises and 3,430 worked off-site. 97% of contracts on-site and 99% of contracts off site, included important clauses on Human Rights, environment, health and safety. No contracts were cancelled during the year as a result of non-compliance with ITC’s human rights clauses.
Prevention of Discrimination at
the Work Place
During 2009-2010 no incident of discrimination in any of the ITC units was reported either to the concerned units or statutory authorities.
Freedom of Association
During 2009-2010 no incidents of violation of freedom of association were reported either to the concerned units or statutory authorities. Within ITC’s operations, there are no areas where the right to exercise freedom of association and collective bargaining is at risk.
Prohibiting Child Labour and Preventing Forced Labour at Work Place
During 2009-2010 no incidents of child or forced labour were reported either to the concerned units or statutory authorities.
Our approach to human resource is premised on the fundamental belief of fostering meritocracy in the organisation, which promotes diversity and offers equality of opportunity to all employees. |
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Diversity and Equal Opportunity
We believe that every individual brings a different and unique set of perspectives and capabilities to the team. A discrimination-free workplace for employees provides the environment in which diverse talents can bloom and be nurtured.
Governance Bodies and Diversity
Our approach to human resource is premised on the fundamental belief of fostering meritocracy in the organisation, which promotes diversity and offers equality of opportunity to all employees. We do not engage in or support direct or indirect discrimination in recruitment, compensation, access to training, promotion, termination or retirement based on caste, religion, disability, gender, age, race, colour, ancestry, marital status or affiliation with a political, religious, union organisation or minority group.
 The Board of Directors at the apex, as trustees of shareholders and responsible for the strategic supervision of the Company, consists of 4 Executive Directors (including the Chairman) and 11 Non-Executive Directors as on March 31, 2010. The Non-Executive Directors come from different fields, thereby ensuring multi-dimensional perspectives in setting the strategic agenda.
The strategic management of the Company rests with the Corporate Management Committee comprising full time Executive Directors and seven members drawn from senior management representing diverse functions.
The executive management of each business is vested with the Divisional Management Committee (DMC), headed by the Chief Executive. The DMC draws resources from different functions. Each DMC is responsible for and focused on the management of its assigned business.
Equal Remuneration
Our compensation philosophy does not differentiate on gender, caste or age. It is linked to responsibility levels and based on performance. We also ensure compliance with the Equal Remuneration Act which mandates every employer to pay equal remuneration to men and women employees for the same work or work of similar nature. |
