Hasbro, Inc., together with its subsidiaries and affiliates (“Hasbro”), strives to conduct its business in accordance with high ethical and business standards, and seeks to have its vendors, suppliers and licensees conduct themselves in the same manner. Hasbro has long recognized concerns about the quality and character of working conditions around the world, including the United States. We are continually striving to improve the working environment for those involved in the production of our toys, games and licensed consumer products.

Hasbro wants its consumers to have confidence that products manufactured by Hasbro, or its vendors, suppliers and licensees, are produced in accordance with the principles set forth herein and are not made under inhumane or exploitative conditions. Implementation of the Global Business Ethics Principles enables Hasbro to ensure that manufacturing facilities involved in the production of Hasbro products (“Facilities”) understand and adhere to Hasbro’s requirements in this area. Participation in this program and adherence to the Principles is mandatory for all Facilities.

1. Forced Labor - The use of forced, bonded, prison, indentured or compulsory labor in the production or manufacture of Hasbro products is prohibited. This includes modern forms of slavery, human trafficking, compulsory overtime or withholding personal papers, work permits, personal identification, or compensation. It is prohibited for factories to allow or require workers to pay employer or labor agent recruitment or other fees to obtain their employment. Workers shall not be subject to unreasonable restrictions of movement. 




2. Child Labor - The use of child labor is prohibited. No person shall be employed in a factory that produces or manufactures any Hasbro product at an age younger than sixteen¹, or younger than the age for completing compulsory education in the country of manufacture where such age is higher




3. Wages and Benefits - Facilities must comply with all applicable national and local wage laws, including minimum and overtime wage laws, or shall be consistent with the prevailing industry wage standards, if higher. Wages should be paid in a timely manner and wage deductions shall not be used as a disciplinary measure. Employee benefits shall be provided in accordance with national and local requirements.




4. Working Hours - A workweek shall be restricted to 60 hours, including overtime, and workers shall have at least one day off every seven days, except in unusual or emergency situations. All overtime work must be voluntary.




5. Health and Safety - Facilities shall ensure that all employees have a healthy and safe environment, including in dormitories, where provided. Hasbro expects all Facilities to promote an awareness of health and safety issues to their employees including issues surrounding fire prevention, emergency evacuation, proper use of safety equipment, basic first-aid and the proper use and disposal of hazardous waste materials. Facilities must provide reasonable accommodation to pregnant/nursing women to ensure a healthy and safe environment.




6. Abuse; Discrimination - Facility employees shall be treated with dignity and respect. No employee shall be subject to abuse, cruel or unusual disciplinary practices or discrimination in employment or hiring on the grounds of race, religion, origin, political affiliation, union membership, sexual preference, age, gender or pregnancy.




7. Communication of Principles - Facilities will communicate these Principles to employees in an appropriate oral and written fashion and will undertake efforts to educate employees about these Principles on a periodic basis as well as ensure that workers have an effective mechanism to report grievances, without fear of retaliation. Factory workers can report work-related concerns anonymously and without fear of retaliation by emailing Hasbro’s hotline at: EthicalSourcing@hasbro.com.




8. Acceptance of Advantages - Hasbro will not tolerate Facilities who do not conduct business in an ethical and proper manner or who use bribes, kickbacks or provide gifts, favors, or services to gain a competitive advantage with Hasbro.




9. Environmental Impact - Hasbro maintains a commitment to sound environmental programs and practices and encourages the reduction and recycling of waste. Facilities must comply with all applicable laws relating to the environment and dispose of toxic materials in a controlled and safe manner. To that end, Hasbro seeks to conduct business with Facilities who are equally dedicated to pursuing continuous efforts to improve the compatibility of its operations with the environment.




10. Freedom of Association and Collective Bargaining - Hasbro recognizes all employees’ right to choose [or not] to affiliate with legally sanctioned organizations or associations and to bargain collectively without unlawful interference, discrimination, retaliation or harassment.




11. Monitoring and Right to Terminate - Hasbro shall have the right to conduct periodic on-site visits of working and living conditions, including unannounced audits of production records and practices and of wage, hour and payroll information maintained by Facilities, to review and ensure compliance with the Principles. Hasbro retains the right, in its sole discretion, to terminate its relationship with a vendor, supplier or licensee facility in violation of the Principles; however, Hasbro will endeavor to work with Facilities to promptly address any problems discovered in the course of its review or audit. Hasbro will require the implementation of an acceptable written corrective action plan for any problems found during an audit. Failure to address items in the corrective action plan may result in termination of the business relationship.




12. Certification and Prohibition of Unauthorized Subcontracting - Hasbro will require a written statement from Facilities of compliance with these Principles. Unauthorized subcontracting is strictly prohibited and grounds for termination.




13. Compliance with Applicable Laws - Facilities will comply with the national laws of the country in which they are conducting business, any local laws, regulations or standards applicable to their business and the industry standards which have been established in their location; provided, however, in the event of any conflict between the provisions of any of the preceding laws, regulations, or standards and the provisions of this document, then the provision containing the higher standards shall prevail.
    
    Hasbro, as a member of global toy associations and the Responsible Business Alliance (RBA), strongly supports and endorses multi-industry efforts to improve factory working conditions. While Hasbro will retain the right to conduct its own audits, participation in the RBA social compliance program, including regular audits by an approved third-party auditor, will generally be sufficient.
    
    The RBA Code of Conduct is hereby incorporated by reference; in the event of a conflict, the stricter standard applies.

1. Workers under sixteen may be considered on a case-by-case basis when hired in accord with International Labor Organization (ILO) Convention 138.