Assignment

Subject: Corporate Social Responsibility & Business Ethics

Date:

5-12-2016

Coca-Cola Beverages Pakistan Limited(CCBPL)

Submitted to:
Madam Madiha Awais
Submitted by:
Aqib Hussain Bba02113070
Abdul Rehman Bba02141007
Muhammad Husnain Amjad Bba02141002

Lahore Business School,

The University Of Lahore.
Rights and Duties
CCBPL started the process of acquiring and investing in locally franchised bottling
operations. This process was completed in 2006 and, thereafter, all manufacturing and
selling rights of Coca-Cola products are now with CCBPL.

CCBPL has 6 plants and 13 warehouses throughout the country and serves a population of more
than 170 million with a production capacity of 111 million physical cases. CCBPL is a
significant player in the growth of Pakistans economy since it is one of the countrys top
foreign direct investments in FMCG (Fast Moving Consumer Goods) business and is one of the
major tax paying beverages companies of Pakistan.
Land Rights and Sugar
The Coca-Cola Company believes that land grabbing is unacceptable. Our Company does not
typically purchase ingredients directly from farms, nor are we owners of sugar farms or
plantations, but as a major buyer of sugar, we acknowledge our responsibility to take action and
to use our influence to help protect the land rights of local communities.

It is the moral and legal right of CCBPL to check and confirm that ingredients
of its beverages are purely Halal.

Human Rights:
Respect for Human Rights
The Coca-Cola Company respects human rights. It is committed to identify, prevent, and
mitigate adverse human rights impacts resulting from or caused by our business activities
before or if they occur through human rights due diligence and mitigation processes.
Community and Stakeholder Engagement
The Company recognizes its impact on the communities in which it operates. We are committed
to engaging with stakeholders in those communities to ensure that we are listening to, learning
from and taking into account their views as we conduct our business. Where appropriate, we are
committed to engaging in dialogue with stakeholders on human rights issues related to our
business. We believe that local issues are most appropriately addressed at the local level. We are
also committed to creating economic opportunity and fostering goodwill in the communities in
which we operate through locally relevant initiatives.

Contractual Human Rights:

Valuing Diversity
The Company values the diversity of the people with whom we work and the contributions
they make. We have a long-standing commitment to equal opportunity and intolerance of
discrimination and harassment. We are dedicated to maintaining workplaces that are free from
discrimination or harassment on the basis of race, sex, color, national or social origin, religion,
age, disability, sexual orientation, political opinion or any other status protected by applicable

law. The basis for recruitment, hiring, placement, training, compensation and advancement at
the Company is qualifications, performance, skills and experience.
Regardless of personal characteristics or status, the Company does not tolerate disrespectful
or inappropriate behavior, unfair treatment or retaliation of any kind. Harassment is
unacceptable in the workplace and in any work-related circumstance outside the workplace.
These principles apply not only to Company employees but also to the business partners with
whom we work.
Freedom of Association and Collective Bargaining
The Company respects our employees right to join, form or not to join a labor union without
fear of reprisal, intimidation or harassment. Where employees are represented by a legally
recognized union, we are committed to establishing a constructive dialogue with their freely
chosen representatives. The Company is committed to bargaining in good faith with such
representatives.
Safe and Healthy Workplace
The Company provides a safe and healthy workplace and complies with applicable safety
and health laws, regulations and internal requirements. We are dedicated to maintaining a
productive workplace by minimizing the risk of accidents, injury and exposure to health risks.
We are committed to engaging with our employees to continually improve health and safety
in our workplaces, including the identi_cation of hazards and remediation of health and
safety issues.
Workplace Security
The Company is committed to maintaining a workplace that is free from violence, harassment,
intimidation and other unsafe or disruptive conditions due to internal and external threats.
Security safeguards for employees are provided as needed and will be maintained with respect
for employee privacy and dignity.
Forced Labor and Human Trafficking
The Company prohibits the use of all forms of forced labor, including prison labor,
indentured labor, bonded labor, military labor, slave labor and any form of human trafficking.
Child Labor
The Company prohibits the hiring of individuals that are under 18 years of age for positions in
which hazardous work is required.

Work Hours, Wages and Benefits

The Company compensates employees competitively relative to the industry and local
labor market. We operate in full compliance with applicable wage, work hours, overtime and
benefits laws.
Guidance and Reporting for Employees
The Coca-Cola Company creates workplaces in which open and honest communications
among all employees are valued and respected. The Company is committed to following all
applicable labor and employment laws wherever we operate.
If you believe that a conflict arises between the language of the policy and the laws,
customs and practices of the place where you work, if you have questions about this
policy or
if you would like to report a potential violation of this policy, you should raise those
questions and concerns through existing processes, which make every effort to maintain
confidentiality.
You may ask questions or report potential violations to local Management, Human Resources.
Employees can also report suspected violations through the EthicsLine secured internet website
at www.KOethics.com or by calling the appropriate toll-free number for your location, which
can be found on the www.KOethics.com website.
Legal right:
The Company is committed to investigating, addressing and responding to the concerns of
employees and to taking appropriate corrective action in response to any violations.
Supplier Guiding Principles
Compliance with Applicable Laws and Standards
We expect our suppliers to share our commitment to respect all human rights. Suppliers to The
Coca-Cola Company and suppliers authorized by The Coca-Cola Company are required to meet
the following standards, at a minimum, with respect to their operations as a whole:
Laws and Regulati ons
Supplier will comply with all applicable local and national laws, rules, regulations and
requirements in the manufacturing and distribution of our products and supplies and in the
provision of services.
Child Labor
Supplier will comply with all applicable local and national child labor laws.
Forced Labor
Supplier will not use forced, bonded, prison, military or compulsory labor or any form of
human trafficking.
Abuse of Labor
Supplier will comply with all applicable local and national laws on abuse of employees and will
not physically abuse employees.

Freedom of Association and Collective Bargaining

Supplier will comply with all applicable local and national laws on freedom of associati on and
collective bargaining.
Discrimination
Supplier will comply with all applicable local and national discrimination laws.
Wages and Benefits
Supplier will comply with all applicable local and national wages and benefits laws.
Work Hours & Overtime
Supplier will comply with all applicable local and national work hours and overtime laws.
Health & Safety
Supplier will comply with all applicable local and national health and safety laws.
Environment
Supplier will comply with all applicable local and national environmental laws.
Business Integrity
Supplier will comply with all applicable local and national laws and will not use bribes or
fraudulent practices
Demonstration of Compliance
Supplier must be able to demonstrate compliance with the Supplier Guiding Principles at the
request and satisfaction of The Coca-Cola Company
If the eight Core Conventions of the International Labor Organization establish higher standards
than local law, the ILO standards need to be met by the supplier. These minimum requirements
are a part of all agreements between The Coca-Cola Company and its direct and authorized
suppliers. We expect our suppliers to develop and implement appropriate internal business
processes to ensure compliance with the Supplier Guiding Principles.
The Company routinely utilizes independent third-parties to assess suppliers
compliance with the SGP.
The assessments generally include confidential interviews with employees and on-site nonemployee workers. If a supplier fails to uphold any aspect of the SGP requirements, the supplier
is expected to implement corrective actions.
Legal Right: The Company reserves the right to terminate an agreement with any supplier that
cannot demonstrate that they are upholding the SGP requirements.

Situation
IUF members in Pakistan started to launch protest actions in March 2014 over a failure to reach
an agreement on Chartered of demand about labour salaries. In retaliation Coca-Cola's Turkish
Bottler operating in Pakistan-Coca-Cola Iecek (CCI) escalated the attack on unions by

terminating the union president,Nasrullah Chohan, at Lahore. On March 28 management also

increased harassment of union members by stopping them from attending Friday prayers and
the violators were sent show cause notices.The management of Lahore plant also tried to make
its own labor union leader .
CCBPL dismissed 15 permanent workers who are union officers and members who refused to
sign the resignation letter and take the Voluntary Separation Scheme (VSS) payment. Their jobs
were immediately outsourced rather than being genuinely redundant. CCBPL and CCI have
aggressively pursued the mass redundancies by threatening those who refuse to resign and take
VSS with termination.

Justice
After many protests and Nasarullah Chohans refusal to take bribery atlast CCBPL used
distributory justice approach and the matter resolved when CCBPL reappointed Nasarullah
Chohan and other 15 permanent workers(members of union) back at Lahore Plant and fairness
by making District Labor Officer Naeem Ch.(CCBPL appointed person) to resign and by calling
off those show cause notices.

How CCBPL do justice with employees ?

CCBPL retributive justice as it has standard way for punishment for all its
permanent employees.As they face the committee which further decides what to do
with the employee but generally it gives 3 warnings time before termination.
As it happened at the end of 2013 that an employee named Zafar Bhatti,production
line technician was the reason for 1000 pets of bottles to be made without the syrup
and only with carbonated water.He faced the committee to provide with an
explanation but in the end he was resumed and given a warning by CCBPL.
In 2014, during the protest against the termination of labor union President at
Lahore plant an employee named Danish had to face committee only because
someone saw him in the protesting crowd and reported he also faced the committee
and in the end he was also given a warning and resumed.