CALIFORNIA TRANSPARENCY IN SUPPLY CHAINS ACT
In 2012, the State of California passed the California Transparency in Supply Chains Act. Under the law, certain retail sellers and manufacturers are required to disclose their efforts to eradicate slavery and human trafficking from their direct supply chains. The points outlined below highlight the Act's mandatory disclosures, followed by an explanation of how Hibbett is addressing each of them:
1. Verification – Hibbett is committed to fair labor practices among its suppliers. As outlined in the Hibbett Vendor Compliance Manual, Hibbett has a strict policy prohibiting the use of forced or child labor in the manufacturing of the merchandise that it purchases. The provisions of the Hibbett Vendor Compliance Manual are part of Hibbett’s agreements with its suppliers. Additionally, Hibbett requires as a condition of doing business that all vendors be compliant with the Immigration Reform and Control Act (IRCA), Fair Labor Standards Act, the Occupational Safety and Health Act, and other applicable laws for merchandise produced in the United States. For merchandise produced outside of the United States, Hibbett also requires strict compliance with the laws of the country where the merchandise is manufactured pertaining to forced or child labor. Hibbett does not currently engage in ongoing verification of product supply chains to evaluate and address risks of human trafficking and slavery.
2. Audits - Hibbett sells primarily branded products manufactured by vendors. Hibbett relies upon its vendors to comply with all applicable laws. Hibbett does not currently conduct audits of suppliers to evaluate supplier compliance with Hibbett standards for trafficking and slavery in supply chains.
3. Integrity of Components - By executing Hibbett’s standard agreements, every vendor or contractor certifies that materials incorporated into goods and merchandise that they supply to Hibbett comply with all applicable laws and regulations. Additionally, the Hibbett Vendor Compliance Manual includes the policies set forth in #1, above. The provisions of the Hibbett Vendor Compliance Manual are part of Hibbett’s agreements with its suppliers. Thus, as a condition of doing business with Hibbett and as a means of self-certification, Hibbett’s suppliers agree to comply with all applicable laws, including laws prohibiting the use of forced or child labor in the manufacturing of the merchandise that Hibbett purchases.
4. Accountability – Vendors and contractors must manifest their commitment to the implementation of anti-slavery and human trafficking principles by warranting that they will adhere to applicable laws and regulations when they contract to do business with us. Additionally, Hibbett employees are subject to the Hibbett Code of Business Conduct and Ethics, which requires that each employee comply with all applicable laws, rules and regulations.
5. Training – Hibbett employees receive and acknowledge the Hibbett Code of Business Conduct and Ethics when they are hired as well as on an annual basis. Hibbett does not currently provide employees or contractors with ongoing training regarding human trafficking and slavery.
CALIFORNIA PROPOSITION 65
Date of Last Revision: June 26, 2017
In 1986, California voters approved the Safe Drinking Water and Toxic Enforcement Act known as Proposition 65. According to the State of California, the purpose of Proposition 65 is to ensure that people are informed about exposure to chemicals known by the State of California to cause cancer, birth defects and/or other reproductive harm.
As such, Proposition 65 mandates that the Governor of California maintain and publish a list of chemicals that are known to cause cancer, birth defects and/or other reproductive harm. The list, which must be updated annually, includes a wide variety of chemicals that can be found in dyes, solvents, drugs, food-additives, by-products of certain processes, pesticides and tobacco products.
A company with ten or more employees that operates within the State of California (or sells products in California) must comply with the requirements of Proposition 65. To comply, businesses are: (1) prohibited from knowingly discharging listed chemicals into sources of drinking water; and (2) required to provide a "clear and reasonable" warning before knowingly and intentionally exposing anyone to a listed chemical.
The list contains more than 850 chemicals, and must be updated once a year. The list has a wide range of naturally occurring and synthetic chemicals that are known to cause cancer or birth defects or reproductive harm. These chemicals can be used in common manufacturing or construction practices, or may be byproducts of chemical processes, such as motor vehicle exhaust.
There are many commonly used items that may contain listed chemicals subject to the State of California's Proposition 65 mandates. Some of the products that may require California Proposition 65 warning labels include:
- Products made with Fabric, Leather, Vinyl, Foam, Synthetic and Non-woven Material
- Glassware, Ceramics and Tableware
- Batteries and/or Products that contain batteries
- Beauty Products (including first-aid kits and lotions)
For general information on the Proposition 65 list of chemicals, you may contact OEHHA's Proposition 65 program at (916) 445-6900, or visit http://www.oehha.ca.gov/prop65.html. For enforcement information, contact the California Attorney General's Office at (510) 622-2160, or visit http://ag.ca.gov/prop65/