I Introduction: Duke University is committed to conducting
its business affairs in a socially responsible manner consistent with
its health care and educational mission. Duke University expects
nothing less of its licensees. Therefore, Duke University licensees
will conduct their business in a manner consistent with, and follow
work place standards that adhere to, this Code of Conduct (the Code).
II Notice: The following Code of Conduct shall apply to all
licensees of Duke University. Throughout this Code the term
"licensee" shall include all persons or entities who have entered a
written Licensing Agreement with The Collegiate Licensing Company
(CLC) to manufacture products bearing the name, trademarks and/or
images of Duke University. Additionally, this Code shall apply to all
of the licensee's contractors. Throughout this Code the term
"contractor" shall include each contractor, subcontractor, vendor, or
manufacturer that is engaged in a manufacturing process that results
in a finished product for the consumer. "Manufacturing process" shall
include assembly and packaging.
As a condition of being permitted to produce and/or sell licensed
products bearing the name, trademarks and/or images of Duke
University, each licensee must comply with this Code and ensure that
its contractors comply with this Code. This Code constitutes a
requirement for licensees pursuant to Paragraph 24 of the Licensing
Agreement. Accordingly, all licensees and contractors are required to
adhere to this Code within 6 months.
III Remediation: If Duke University determines that any
licensee or contractor has failed to remedy a violation of this Code,
then Duke University will consult with the licensee to examine the
issues and determine the appropriate measures to be taken. The
remedy will, at a minimum, include taking all steps necessary to
correct such violations including, and without limitation, paying all
applicable back wages, or any portion of them, found due to workers
who manufactured the licensed articles. If consultation and agreed
upon measures fail to adequately resolve the violations within a
specified time period, then Duke University and licensee will
implement a corrective action plan on terms acceptable to Duke
University. Duke University reserves the right to terminate its
relationship with any licensee that continues to conduct its business
in violation of the corrective action plan. In such event, Duke
University will provide the licensee with 120 days written notice.
IV Standards: Duke University seeks licensees who take a leadership
role on these issues and, to the extent practical, exceed the
standards in this Code. Duke University licensees must operate work
places, and ensure that their contractors operate work places, that
adhere to the following minimum standards and practices:
A. Legal Compliance: Duke University licensees must comply
with all applicable legal requirements in conducting business related
to, or involving, the production or sale of products or materials
bearing the name, trademarks and/or images of Duke University. Where
there are differences or conflicts with this Code and the applicable
laws of the country of manufacture, the higher standard shall prevail.
B. Environmental Compliance: Licensees will be committed to
the protection and preservation of the global environment and the
world's finite resources, and conduct business accordingly.
C. Ethical Principles: Licensees will be committed in the
conduct of their business to a set of ethical standards which include,
but are by no means limited to honesty, integrity, trustworthiness,
and respect for the unique intrinsic value of each human being.
D. Employment Standards: Duke University will only do
business with licensees whose workers are present at work voluntarily,
not at undue risk of physical harm, fairly compensated and not
exploited in any way. In addition, the following specific guidelines
must be followed:
1. Wages and Benefits: Licensees recognize that wages
are essential to meeting employees' basic needs. Licensees must
provide wages and benefits which comply with all applicable laws and
regulations, and which match or exceed the local prevailing wages and
benefits in the relevant industry.
2. Working Hours: Except in extraordinary
circumstances, employees shall (i) not be required to work more than
the lesser of (a) 48 hours per week and 12 hours overtime or (b) the
limits on regular and overtime hours allowed by the law of the country
of manufacture and (ii) be entitled to at least one day off in every
7-day period.
3. Overtime Compensation: In addition to their
compensation for regular hours of work, employees shall be compensated
for overtime hours at such a premium rate as is legally required in
that country, but not less than at a rate equal to their regular
hourly compensation rate.
4. Child Labor: No person shall be employed at an age
younger than 15 (or 14, where, consistent with International Labor
Organization practices for developing countries, the law of the
country of manufacture allows such exception). Where the age for
completing compulsory education is higher than the standard for the
minimum age of employment stated above, the higher age for completing
compulsory education shall apply to this section. Licensees agree to
work with governmental, human rights, and non-governmental
organizations, as determined by Duke University and licensee, to
minimize the negative impact on any child released from employment as
a result of the enforcement of this Code.
5. Forced Labor: There shall not be any use of forced
labor, whether in the form of prison labor, indentured labor, bonded
labor or otherwise.
6. Health and Safety: Licensees must provide workers
with a safe and healthy work environment. If residential facilities
are provided to workers, they must be safe and healthy facilities.
7. Nondiscrimination: Licensees shall employ
individuals solely on the basis of their ability to perform the job.
8. Harassment or Abuse: Every employee shall be
treated with dignity and respect. No employee shall be subject to any
physical, sexual, psychological or verbal harassment or abuse.
Licensees will not use or tolerate any form of corporal punishment.
9. Freedom of Association: Licensees shall recognize
and respect the right of employees to freedom of association and
collective bargaining.
10. Labor Standards Environment: In countries where law
or practice conflicts with these labor standards, licensees agree to
work with governmental, human rights, labor and business organizations
to achieve full compliance with these standards. Licensees further
agree to refrain from any actions that would diminish the protections
of these labor standards. In addition to all other rights under the
Licensing Agreement, Duke reserves the right to refuse renewal of
Licensing Agreements for goods made in countries where: (a) progress
toward implementation of the employment standards in the Code is no
longer being made; and (b) compliance with the employment standards in
the Code is deemed impossible. Duke University shall make such
determination based upon examination of reports from governmental,
human rights, labor and business organizations and after consultation
with the relevant licensee.
V Compliance and Disclosure: Sixty (60) days prior to the date of
the annual licensee renewal, licensee shall provide the following to
Duke University:
A. the company names, owners and/or officers, addresses, phone
numbers, e-mail addresses and nature of the business association for
all of the licensees' contractors and manufacturing plants which are
involved in the manufacturing process of items which bear, or will
bear, the name, trademarks and/or images of Duke University;
B. written assurances that it and its contractors adhere to
this Code (except that in the initial phase-in of the Code, licensee
must provide such written assurances within 6 months of receipt of
this Code); and
C. a summary of the steps taken, and/or difficulties
encountered, during the preceding year in implementing and enforcing
this Code at each site.
Note: Licensee shall immediately report to Duke University when
changes occur that materially affect the application of these labor
standards, such as the selection of a new factory.
VI Verification: It shall be the responsibility of each Duke
University licensee to ensure its compliance with this Code, and to
verify that its contractors are in compliance with this Code.
A. Internal and External Monitoring: It is recognized that
clearly defined methods of internal monitoring, training and
independent external monitoring have not yet been determined by Duke
University and licensee. Duke University and licensee agree to
undertake efforts to determine and clearly define the obligations
associated with the development of adequate training and monitoring
methods, including establishment of a reasonable time frame within
which compliance measures, including internal monitoring and
independent external monitoring, will begin. Duke University seeks
to participate in the methods developed and agreed to by the White
House Apparel Industry Partnership, or other selected group, provided
that, among other things, there is a demonstrated commitment to
independent external monitoring. In this process, Duke University and
licensee are committed to the principles of:
1. establishing clear evaluation guidelines and
criteria,
2. creating a database of records and information
required to determine compliance with this Code,
3. creating an informed workforce, including
communicating this Code to workers in their own languages, both orally
and by posting the Code in a prominent place at the factories,
4. access, on a confidential basis, to the
manufacturing facilities and information required to determine
compliance with this Code by independent external monitors selected by
Duke University and agreed to with the licensee,
5. conducting periodic announced and unannounced
visits, on a confidential basis, of an appropriate sampling of company
factories and facilities of contractors to survey compliance with this
Code,
6. opportunity for employees to report noncompliance
with this Code in a manner that ensures they will not suffer
retaliation for doing so,
7. establishing relationships with labor, human
rights, religious and other local institutions, and
8. publicizing to consumers the content of this Code
and the compliance by site (excluding proprietary information) with
this Code by licensees.
Jim Wilkerson
Director of Trademark Licensing and Stores Operations
Duke University, Durham, North Carolina 27708-l0850
fax: 919 684-6411
email: Jim.Wilkerson@duke.edu
Human Rights for Workers:
http://www.senser.com
Robert A. Senser, editor
Copyright 1998
hrfw@senser.com. (Send e-mail)