Under the Sustainability Strategy, human rights are a material topic in the social dimension. RATCH sets a goal to achieve effective human rights management and prevention of violations within the company, all joint ventures with operational control and uncontrol and targets zero violation to the human rights of stakeholders throughout the value chain in 2030. A 5-year roadmap (2023-2027) was devised to steer the organization towards the target.
Enforcement of Human Rights Policy
RATCH started the Human Rights Policy drafting process in 2022. The principles and guidelines were drawn up in alignment with domestic legislation, corporate governance best practices and international human rights principles that encompass the Universal Declaration of Human Rights (UDHR), the United Nations Guiding Principles on Business and Human Rights (UNGPs), the United Nations Global Compact (UNGC) and the ILO Declaration on Fundamental Principles and Rights at Work.
The Human Rights Policy shapes the human rights management and operational guidelines of the company and controlled businesses, for all activities that concern employees or workers, the supply chain, community and society. RATCH also encourages joint ventures, business partners, suppliers and other related parties in the supply chain of the company and controlled businesses, domestically and abroad, to uphold human rights principles and act accordingly to the policy or apply the policy in their operations.
| Human Rights Principles |
- Commit to zero tolerance of child labour by clearly specifying age criteria and conditions of employment strictly in line with local labour laws in any country.
- Promote fairness in the workplace by treating all employees and workers as well as migrant workers in a fair and equal manner at all operating sites. Work rules and conditions are identified in mutually-agreed employment contracts, entailing wage and welfare, working period, overtime work, work on holidays and other benefits which at least meet minimum legal requirements. The maternity rights of pregnant employees/workers are protected; they can take a maternity leave with pay for a period specified by laws or above and have the rights to return to the same job after maternity leave.
- Apply zero tolerance of all forms of forced labor by giving assignments to employees and workers based on their consents and individual capabilities. The company does not tolerate forced labor, prisoners’ contribution, slavery and other forms of forced labor exploited for any advantages of its own operation and the supply chain of the company and its controlled entities.
- Allow employees and workers to voluntarily join or not to join activities. They also enjoy freedom of expression as long as it does not violate any laws or moral rules.
- Promote the safety and occupational health of individuals and assets of the company, employees, workers, and stakeholders related to the company and its controlled entities, as well as the supply chain. This principle ensures safe work environment and preventive safety measures and safety risk monitoring systems in line with related safety and occupational health legislation, relevant universal standards and the company’s rules.
- Fight against torture and extortion by not participating in any act involving human trafficking, extortion, harassment or any use of force, undesirable bullying or humiliating against dissimilarity of others physical and verbal sexual harassment and sexual assault or cause of physical and mental embarrassment deemed in violation of human dignity.
- Respect the rights of indigenous/ethnic peoples at all operating areas, through the acceptance, protection and promotion of their traditions, wisdom, cultures, original rights and cultural heritage.
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| Human Rights Management |
- Develop the Human Rights Due Diligence process for the company, controlled entities and the supply chain, to identify human rights risks, impact assessment, and preventive, mitigating and remediating measures as well as an appropriate, fair or universally-accepted remediation process; and investigate human rights violations and compliance with the Human Rights Policy for regular reporting and disclosure.
- Open for complaints or reports on human rights violations involving the activities of the company, controlled entities and the supply chain through the company’s website: www.ratch.co.th and ensure fairness and protection for the complainants or reporting persons in accordance with measures specified in the Code of Conduct.
- Instil and create a corporate culture on human rights where all are alert for violations and do not remain silent; communicate and share knowledge on human rights with the Board of Directors, the Management and employees of the company, controlled-entities and the supply chain in a continuous and constant manner.
- Review the Human Rights Policy on an annual basis or in case of major events, for constant conformity with legislation, universal principles and/or business environment.
- Deem human rights violations a wrongful act against the Company’s Code of Conduct and Human Rights Policy, which is subjected to disciplinary actions or penalties if such act is illegal.
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The Company has set forth human rights principles covering the rights of employees and stakeholders in the Code of Conduct and guidelines in the Corporate Sustainability Policy.
Human rights principles
Code of Conduct |
Guidelines on human rights
Corporate Sustainability Policy |
- The vow on treatment of stakeholders is based on legal requirements, honor, respects and concern about human dignity.
- Treat stakeholders with respect to their rights to freedom and equality, with none-discrimination of gender, race, language, religion, social status, economic status or educational background. Right to political freedom is included.
- Protect personal rights and keep confidential information. Access to such information, disclosure and usage is carried out as needed or when required by law.
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- Treat all employees and workers in a fair and equal manner, without discrimination. The work assignment must be properly given to all employees based on their ability and appropriate compensation. Child labor aged below 18 years and illegal labor is prohibited. This principle entails employees and workers of suppliers and/or stakeholders.
- Take care and protect safety of employees, workers and the company’s property without infringing others’ rights and safety; and protect personal rights, confidentiality, as well as disclosure and usage of personal data.
- Respect the rights of employees and workers of the Company and suppliers and treat them equitably with concern about human dignity.
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Human Rights Due Diligence (HRDD)
In 2022, RATCH started implementing the Human Rights Policy. Being aware that human rights is an essential factor for successful and sustainable business, the company kicked off the development of the Human Rights Due Diligence, starting with the Human Rights Risk Assessment (HRRA) to identify actual risks, potential risks and preventive and mitigative measures for the possible impacts on the company’s rights holders.
Human Rights Risk Assessment: HRRA
RATCH assessed the human rights risks in activities of the company, operational controlled entities and suppliers, covering both actual and potential risks.
Assessment Method
- Identification
- Analize issues in the company’s activities and study actual risks faced by companies in the same industry, global trends and emerging events during the COVID-19 pandemic.
- Consider an act a risk if it may cause impacts on rights holders and the vulnerable.
- Identify women, pregnant women, children, people with disabilities, the elderly, LGBTQI+ persons, indigenous peoples, migrant workers and third party’s employees as the vulnerable.
- Assessment of Inherent Risk
- Assess and prioritize exsiting risks that have not yet been controlled.
- Assessment of Residual Risk
- Assess and prioritize the risk remaining after mitigation measures have been applied.
- Prioritization of Risks
- Prioritize salient issues from extreme residual risks and identify mitigating measures to reduce the risk level.
Rights Risk Assessment Process
Rights Holders and Human Rights Issues Under Assessment
| Involved rights holders |
Assessed human rights issues |
| Employees |
- Work environment
- Health and safety
- Discrimination and violation
- Freedom of association and collective bargaining
- Illegal workforce
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| Tier1 Suppliers/Contractors |
- Work environment
- Health and safety
- Discrimination and violation
- Discriminating acts against suppliers/contractors in procurement process
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| Community |
- Health and safety
- Standard of living
- Land ownership and resettlement
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| Customers |
- Health and safety
- Personal data
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| All rights holders |
- Cybersecurity/Information safety
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Assessment results and preventive measures
| Issues of RATCH and operating controlled entities |
Preventive measures |
| Health and safety of Tier1 suppliers/contractors |
- Enforce Supplier Code of Conduct in the supplier selection process.
- Strengthen the enforcement of rules and regulations on safety, occupational health and the environment.
- Supervise accordingly to ISO14001 environmental management standard.
- Assess job risks prior to starting work.
- Include labor protection and safety measures as a condition in the contract.
- Arrange safety training for suppliers/contractors and sub-contractors.
- Demand suppliers/contractors to evaluate job risks and set preventive and remediation measures.
- Monitor suppliers/contractors’ operations and compliance with safety measures.
- Prepare a process/measure to handle complaints as well as a compensation and remediation process.
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| Health and safety of community |
- Comply with the company’s Human Rights Policy and the Code of Conduct.
- Prepare a complaint-receiving process along with a rehabilitation and remediation process .
- Assign the Community Relations Unit to interact with community.
- Prepare an emergency/crisis response plan and evacuation plan, engaging community with regular drills.
- Follow EIA measures on community development.
- Establish a tri-partite committee as a panel for dialogue with community and relevant stakeholders.
- Survey community satisfaction.
- Organize activities to raise community safety awareness.
- Contribute fund to the Power Development Fund (in Thailand).
- Identify a dialogue process with community for settling concerned issues or remediation actions.
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| Community standard of living |
| Issues of the company and controlled entities’ tier1 supplier/contractors |
Preventive measures |
| Safety and health of suppliers’ employees |
- Evaluate supplier risks and categorize them accordingly to risks and impacts on goods and service supply.
- Demand the application of Supplier Code of Conduct.
- Make the assessment on human rights issues a part of qualification process.
- Evaluate the risks on safety and occupational health of high-risk suppliers.
- Organize risk orientation for suppliers’ employees and demand safety assessment prior to starting work.
- Make safety equipment a condition of the contract.
- Require suppliers to provide insurance to employees for high-risk jobs.
- Require suppliers to provide medical checks to employees for high-risk jobs.
- Require job risk assessment every 2 years.
- Apply universal safety standards in the operations: Stop Work Authority and Lock-out/Tag-out LOTO.
- Control the operations accordingly to ISO45001.
- Require suppliers to show medical examination reports; permit to work in confined space, permit for hot work, height work permit or other permits required by laws.
- Make sub-contractors’ ESG assessment a condition of the tier1 supplier contract.
- Monitor compliance with the company’s measures and rules.
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| Issues of non-controlled entities |
Preventive measures |
| Labor treatment and complaint channel |
- Communicate the company’s policy and guidelines with joint ventures for their application.
- Establish a human rights risk assessment process for activation in the project development stage/investment decision-making process.
- Supervise joint ventures’ compliance with human rights principles through the Asset Management Function and the company’s representatives sitting in the joint ventures’ board of directors.
- Coordinate and cooperate with joint ventures in identifying corrective measures and reporting to the Board of Directors.
- Advise joint ventures to develop a Human Rights Due Diligence process and disclose the results accordingly to industry best practices and universal standards.
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Remediation
RATCH is committed to continuously conducting human rights risk assessment whilst preparing risk mitigation and prevention measures, monitoring and reporting of performance to ensure effectiveness of its human rights management. The Group also continues to review policy commitments as well as addressing any complaints and providing effective remedy in case of violation, to relevant affected rights holders.
In case of human rights violations or adverse human rights impacts caused by RATCH’s activities, the Group will take remediation actions, which may involve compensations and other forms of remedy including: apologies, restitution, rehabilitation, financial or non-financial compensation, and repetitive prevention measures.
RATCH’s Complaint-receiving channel and issue-solving procedure is outlined below
2023 Plan
| Work plan |
Target |
- Review the Company’s Human Rights Risk Register developed in 2022.
- Assess impacts with respect to human rights on employees.
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- 100% of employees of RATCH and controlled entities is covered by the impact assessment.
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