1. Responsibility to Employees:

With the continuous development of the Company, and being a good supplier to many international high-end enterprise, for purpose not only to satisfy customers who have high demand in labor to all their global partners, but also to recruit, train, retain more high qualified employees, Lishen Company shall have a corresponding responsibility to employees.

No Forced Labor: The Company pursues the freely chosen employment principle in recruiting employees. Forced, bonded (including debt bondage), indentured labor and prison labor shall not to be used. All work must be voluntary. Transporting, transferring or receiving vulnerable persons by means of threat, force, coercion, abduction or fraud for the purpose of exploitation shall not be used as well. Suppliers and other cooperating organizations shall not require employees to surrender any government-issued identification, including ID card, passports, or work permits, as a condition of employment. In addition, they shall not charge any fees in the form of the guarantee deposit to employees.
No Child Labor: The Company ensures respect for the rights of children. In the process of enrolling employees, it shall not contain or support any child labor younger than 16 years of age. And the Company shall provide the protection policy for young employees between 16 and 18 years of age.
Humane Treatment: The Company shall not allow any corporal punishment, mental coercion or verbal abuse of employees. There is to be no harsh and inhumane treatment including any sexual harassment, sexual abuse, corporal punishment, mental or physical coercion or verbal abuse of employees; nor is there to be the threat of any such treatment. Disciplinary policies and procedures of suppliers and other partners shall be clearly defined and transmitted to employees.
Non-Discrimination: The Company shall not support or engage in discrimination based on ethnicity, nationality, religion, disability, gender, sexual orientation, marital status, pregnancy, political affiliation, union membership, age or other situations in hiring and employment practices such as payment, access to training, promotions, rewards, termination of contract and so on. In addition, employees or potential employees should not be subjected to medical tests that could be used in a discriminatory way, such as pregnancy testing and hepatitis B testing.
Freedom of Association: The Company shall guarantee all rights of employees to associate freely join or not join labor unions, keep open communication to make decision. Open communication and direct engagement between employees and management are the most effective ways to resolve workplace and compensation issues. Suppliers and other partners shall respect the rights of workers to associate freely, join or not join labor unions, seek representation, and join workers’ councils. Employees shall be able to openly communicate and share grievances with management regarding working conditions and management practices without fear of reprisal, intimidation or harassment.
Working Hours, Wages and Benefits: The Company shall arrange working hours and overtime in accordance with requirements of national and local laws and regulations. The Company shall offer the pay no less than the minimum wage standard, and shall follow the wage laws and regulations, including minimum wage, overtime wage, mandated benefits and legally entrusted benefits. The Company shall not deduct wages as a means of disciplinary action.
Health and Safety: The Company shall provide healthy and safe work environment and take appropriate actions to decrease the incidence of occupational injury and occupational disease.

2. Social Responsibility Management System

The Company adopts or establishes a management system to take critical analysis and improvement of the use of program, to ensure the responsibility to employees can be embodied, amended and perfected. The Company shall take continuously effective SR management goals, regularly update all related policies and procedures every year, and keep good communication with employees, to continuously improve SR management situation. The Company shall observe the requirements of SR and the relevant laws and regulations, to achieve efficient SR management performance.

The Company commits its responsibilities and obligations to society and employees in accordance with national and local laws and regulations. And it shall continue relevant improvement measure and correction procedure, regarding SR as the goal. Through various channels, based on the national and local policies and items, as well as SR, the Company shall make company policy in accordance with social responsibility and labor condition, and improve production processes and work environment.

3.No Using Conflict Mineral

Because of the partial metal mineral has caused human rights violation, the environmental disruption, and has become the source of the armed forces, which led to international disputes. Lishen Battery Co., Ltd. commits not to use conflict mineral, not to accept the Primary mineral material in the exploitation from Africa Congo and neighboring conflict countries, and strengthen supply chain management, to formulate the relevant management rules and regulations, confirm the source of the products containing tantalum, tin, gold, tungsten, ensure that the metal does not come from conflict mining area.