SOCIAL RESPONSIBILITY POLICY

Objective

To define the criteria that guarantees that the decision making process of the staff respects the dignity and human rights of people, in accordance to Mexican Federal Labor Law (LFT), the International social standards determined by the International Labour Organization (ILO), and as stipulated by the SA 8000 Norm.

Policies

1. Minimun working age.

      The minimum age to employ a person, either directly or through a provider or contractor, is 18 years old. In the company the child labour is not allowed according to LFT Article 5 fraction XII, 22,22 bis. 23 and 175. The company shall adhere to the Child Labor Remediation procedure.

2. Humane working conditions.

      Each job position must be designed to be performed with the tools, environment, equipment, facilities, conditions and schedules that allow to fulfill its purpose, preserving the phisical integrity, average capacities of effort and performance, as well as the person’s dignity, in accordance with Art. 5 Fraction III and 62 of LFT. The recruitment, permanence in the company and termination take part in completly freedom of the worker, who decides to apply for the job, stay in the company and leave it when he decides; the company refrains to retain identity documents and payments in exchange for the permanence of the worker in the company. The employees stay in the company’s facilities only during working hours.

3. Equal opportunities.

      The selection, hiring, development, and promotions of the workers are based on their own merits regardless of their race, color, religion, sex, age, nationality, sexual orientation, gender identity, civil status or disabilities accoridng to Art. 3, 56, 86, 154 and 164 of LFT.

4. Respect of freedom of association.

      The company respects and collaborates with the trade union and other agencies chosen by workers to be represented under the corresponding legal framework. Article 154 and Seventh Title of LFT.

5. Discipline.

      Each person who works in the company has the responsibility to follow the standards, policies, and work instructions that apply. The actions to correct the deviations that may be presented could range from verbal warning to the ending of labor relationship, according to 3° Article, 105 and 110 of LFT, whitin the framework of respect and dignity. Never to be used physical punishments or another inhumane treatment.

6. Work schedule.

       The nature of the operations requires to establish schedules that allow the continuity of the process, for this purpose, hours, rest days and changing roles must be established to allow workers to fullfill their activities, to the extent permitted by the law Art. 58, 59, 60, 61, 66 and 68 of LFT.

7. Remunerations.

      At the moment of hiring the worker recieves a complete explanation about incomes and social benefits to be earned, and on every payday the company gives a written explanation of every payment and deductions of the period. If the worker has doubts, he can ask the Human Resources Coordinator or the Human Resources Assistant the clarification of his receipt. At every moment, Plásticos La Ardilla S.A. de C.V. ensures to pay salaries above the minimum wage in force to the economic area of the worker according to the Articles 90, 91 and 91 of LFT.

8. Health and Work safety.

      The company undertakes the stablishment of processes, safe facilities and the necessary measures to prevent work-related accidents and illnesses, as well as to provide prevention training and personal protective equipment to perfomr the work within secure conditions, hygiene and tprotecting the internal work environment, complying with Art. 123, Ninth Title of LFT, at the Federal Regulation of Safety and Hygiene at Work.

9. Pregnant woman.

       Pregnant employees will not rotate work shifts, will not work in night shifts, nor perform dangerous activities that endanger the worker and the baby’s health. Also they will start a monitoring programme with a doctor of Mexican Social Security Institute (IMSS). Art. 166, 167 LFT.

10. Humane and respectful treatment.

      Every individual has the right to colaborate and develop in a healthy and respectful environment. Therefore, the company will not tolerate any type of abuse or sexual harassment, coercive treatment, exploitative, threatening or unworthy, under no circumstances, against the workers, contractors, suppliers, clients or any person.

11. Questions, worries and complaints.

      Any employee could report any violation, seek consultancy, appeal a sanction, report any deviation of Social Responsability Policy, without fear of reprisals, choosing to address it through the Suggestion Box, or directly with his immediate superior, with the superior of his boss, HR department or any other authority figure in the company, whom, in the case of complaints, are bounded to report them to the Health and Security’s Management Representative to provide a solution, recording evidence from its beginning until a solution is given.

12. Update and revision.

       The CEO, the Social Performance Team, the Worker’s Leader, the Health and Security’s Management Representative and the Commisioned of the Responsibility Management System commit themselves to make annual reviews on the Social Responsibility Policy in accordance with the current standards set out by the ILO, in January every year.