Appendix 1: Corporate Social Responsibility (CSR) Policy

Application

VMS has established this Policy on the grounds of the ISO 26000:2011 framework. It applies group wide and includes – to the extent the Group can enforce or influence application – joint ventures, partnerships, suppliers, companies and other business entities in which the Group has a participating interest.

Organisational governance

Our organisational structures, decision making processes, visions, policies, targets and programmes reflect the commitment to social responsibility. We demonstrate leadership commitment to use financial, natural and human resources efficiently. Our management and employees create a culture in which the principles of social responsibility are practised, including among others, accountability, transparency, ethical behaviour, respect for international norms of behaviour, and respect for human rights. VMS is also encouraging two-way communication processes across our business and effective participation of all employees.

Human rights

VMS respects the Universal Declaration of Human Rights and is committed to adhere to and support the core principles of human rights which are:

• inherent, in that they belong to every person by virtue of being human;
• inalienable, in that people cannot consent to giving them up or be deprived of them by governments or any other institution;
• universal, in that they apply to everyone regardless of status;
• indivisible, in that no human rights may be selectively ignored; and
• interdependent, in that realisation of one right contributes to the realisation of other rights.

VMS expects every employee to actively support these principles.

In order to identify and address potential human rights issues, VMS makes assessments internally and across the supply chain. The assessments focus, in particular, on human rights risk situations, e.g. political instability, absence of civil rights, poverty, extreme environmental or health challenges, involvement of extractive activities, operation in close proximity to communities, involvement of children, culture of corruption, complex value chains, site security risks. It is our policy to:

• ensure that employed or contracted security personnel are sufficiently qualified;
• not provide goods or services to an entity that violates human rights;
• not enter into a formal or informal partnership or contractual relationship with a partner that commits human rights violations (e.g. modern slavery) in the context of the partnership or in the performance of the contracted work;
• be aware of the social and environmental conditions in which purchased goods and services are produced;
• consider making public statements, or take other action to demonstrate that we do not condone human rights violations, such as acts of discrimination in the workplace; and
• avoid relationships with entities engaged in anti-social activities.

Civil and political rights

VMS respects all individual civil and political rights (e.g. right to life, freedom of opinion and expression, freedom of peaceful assembly, freedom to seek, receive and impart information, the right to own property and the right to a fair hearing).

Economic, social and cultural rights

VMS respects the International Covenant on Economic, Social and Cultural Rights and avoids engaging in activities that infringe, obstruct or impede the enjoyment of economic, social and cultural rights such as the right to education, the right to work in just and favourable conditions, freedom of association, the right to an adequate standard of health, the right to an adequate standard of living in order to protect physical and mental health and well-being, the rights to food, clothing, housing and medical care, the right to necessary social protection in the event of unemployment, sickness, disability, death of a spouse, old age or in other circumstances beyond a person’s control, the right to practise a religion, participate in a particular culture and the right to have genuine opportunities to participate without discrimination in decision making. On a local level VMS is willing to contribute to the fulfilment of such rights where possible.

Wealth and income creation

Successful business is crucial in creating wealth in any community. It is our policy to:

• contribute positively to wealth and income creation through our businesses;
• consider local suppliers of products and services; and
• consider supporting appropriate initiatives to stimulate diversification of existing economic activity in the community.

Social investment

VMS supports social investment such as education, training, culture, health care and income generation with the aim of improving social aspects of community life. It is our policy to:

• not take advantage of a community’s dependence on our business activities;
• promote the community by participating in social development projects; and
• consider partnering with other organisations to maximise synergy.

Responsible political involvement

VMS supports public political processes and encourages public policies that benefit society as a whole. It is our policy to:

• avoid any kind of behaviour that undermines the public political processes, such as manipulation, intimidation and coercion;
• be aware of responsible political involvement and contributions, and to avoid any conflicts of interest;
• restrict the activities of people communicating or advocating on VMS’s behalf to those who have been approved by job description or contract;
• avoid any attempt to control or exert undue influence on politicians or policymakers; and
• prohibit activities that involve misinformation, misrepresentation, threat or compulsion.

Promoting social responsibility in the value chain

VMS encourages other companies to implement proper social responsibility standards through its procurement decisions. It is our policy to support good practices on ethical, social, environmental, health and safety and gender equality criteria in other companies. VMS has implemented a Responsible Procurement Policy accordingly.

Conflict free minerals sourcing

VMS is committed to ensuring conflict free minerals sourcing in order to comply with Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act on Conflict Minerals. This law defines conflict minerals as certain minerals (such as Casseterite for steel production and cobalt for battery production) originating from the Democratic Republic of Congo or adjoining countries. Our suppliers of products containing steel or cobalt need to demonstrate traceability and accountability of the raw materials they deliver to us.

Respect for property rights

It is our policy to promote respect for property rights and not engage in activities that violate them such as counterfeiting and product piracy.

Consumers

VMS is aware of its responsibilities to consumers with regards to our products. We therefore constantly strive to increase the safety of our products. We keep up-to-date with health and safety laws, regulations and other standards to address all health and safety considerations. It is our policy to not engage in any practice that is deceptive, misleading or fraudulent, including omission of critical information. We provide accurate and clear information. VMS is committed to supporting sustainable consumption and we want to contribute by providing accurate information to consumers with the aim of ensuring that ethical, social, economic and environmental factors are taken into account. We offer consumers socially and environmentally beneficial products and services considering the full life cycle of the product, to reduce adverse impacts on society and the environment.

It is our aim to support initiatives that enable consumers to be well informed, conscious of their rights and responsibilities and to be able to make knowledgeable purchasing decisions. VMS is committed to supporting consumer education with regards to making responsible decisions on sustainable packaging via trade associations.

Community involvement and development

We aim to be actively involved in the development of local communities. We engage in a respectful manner with the community and its institutions in order to reflect and reinforce democratic and civic values. It is our policy to:

• consult representative community groups in determining priorities for community development activities;
• participate in local associations where possible and where appropriate; and
• maintain transparent relationships with local government officials and political representatives.

Education, skills development, culture

It is our aim to:

• promote education at all levels, and engage in actions to improve the quality of and access to education, promote local knowledge;
• encourage the enrolment of children in formal education;
• promote cultural activities where appropriate;
• consider facilitating human rights education and awareness raising; and
• consider participating in local and national skills development programmes, including apprenticeship programmes.

Technology development and access

Information/communication technologies are key for human resource development and technology diffusion in communities. It is our aim to:

• consider contributing to the development of innovative technologies that can help solve social and environmental issues in local communities;
• consider engaging in partnerships with organisations, such as universities or research laboratories; and enhance scientific and technological development with partners from the community.