Modern Slavery Statement

MODERN SLAVERY STATEMENT OF HANSON UK
FOR THE YEAR ENDING 31 DECEMBER 2021

Introduction

This is the modern slavery and human trafficking statement of Hanson UK, being Hanson Quarry Products Europe Limited and all its subsidiaries and UK group companies. This statement is made pursuant to s.54(1) of the UK Modern Slavery Act 2015 (the “Act”) and adopted by Hanson UK companies as their respective slavery and human trafficking statement for the financial year ended 31 December 2021¹.

The Modern Slavery Act 2015 creates offences in respect of slavery, servitude, forced or compulsory labour and human trafficking. Hanson UK is committed to combatting all such forms of modern slavery.

In accordance with the Act, this statement is published on Hanson UK’s websites (www.hanson.co.uk and others). The formal requirement is to publish this statement within six months after the end of the financial year 31 December 2021 (therefore before 1 July 2022) although Hanson UK works to publish its statement as soon as possible after the end of each year. This statement will be reviewed, updated and published annually and the statement will therefore be reviewed and updated at the end of each financial year.

Hanson UK

Hanson UK produces aggregates (crushed rock, sand and gravel), ready-mixed concrete, asphalt, cement, cement related materials and certain contracting services. Hanson UK is a part of the global HeidelbergCement group of companies, which has leading positions in aggregates, cement and concrete. Further information on our company structure can be found here.

The vast majority of Hanson UK's suppliers (and supply chain) are UK based. As such, products and materials are largely sourced only from the UK.  Hanson UK's supply chain also draws on certain supplies to the wider HeidelbergCement group.  Owing to these global suppliers, Hanson UK recognises that some countries in its supply chain may present an increased risk of modern slavery.

As a result of any risks faced by supplies sourced from the UK, as well as in the context of the risks arising from other countries, Hanson UK has in place various policies, procedures and processes to address modern slavery risks in its supply chain. These are described in this statement.

Policies and procedures in respect of modern slavery

Hanson UK operates under a HeidelbergCement group compliance framework which commits the companies to the eight core labour standards of the International Labour Association (the "ILO"), the OECD guidelines for multinational enterprises, the UN's Universal Declaration of Human Rights and the UN Guiding Principles for Business and Human Rights. These principles have also been incorporated into HeidelbergCement's Leadership Principles and Human Rights Position.

Hanson UK follows a Code of Business Conduct which can be found here. This commits Hanson UK to conducting business strictly in accordance with all applicable laws and regulations. Hanson UK is committed to fair employment practices and to following all applicable labour and employment laws.

Hanson UK's standard contractual terms of purchase require suppliers and relevant third parties to comply with a specific Supplier Code of Conduct, a copy of which can be found here. This Supplier Code of Conduct requires vendor compliance with international social accountability standard SA 8000 and principles of the ILO.

Key requirements from the Supplier Code of Conduct in respect of modern slavery are as follows:

• Suppliers must not use child labour in any stage of manufacturing. Suppliers are requested to operate in accordance with the ILO convention recommendation of minimum age for admission to employment.
• Compensation and benefits must comply with fundamental principles relating to minimum wages, overtime hours and legally mandated benefits.
• No form of forced or compulsory labour may be used and employees shall be free to leave employment on reasonable notice.
• Suppliers are expected to adhere to the right of employees to freedom of association and recognition of employees’ rights to collective bargaining, in accordance with local law.
• Workers must have safe and healthy working conditions that meet or exceed applicable standards for occupational health and safety.
• Suppliers must require their own direct suppliers to adhere to the principles of the Supplier Code of Conduct and exercise diligence in verifying that these principles are being adhered to in their supply chains.

Hanson UK's production sites and products are certified to BES 6001 standards in respect of Responsible Sourcing of Construction Products. Responsible Sourcing of Construction Products encompasses social, economic and environmental dimensions. It addresses aspects such as stakeholder engagement, labour practices and the management of supply chains. A list of Hanson UK's accreditations can be found here. Hanson UK operating companies been awarded an 'Excellent' rating in respect of: Aggregates; Asphalt; Cementitious; Concrete Products and Fly Ash construction product categories. Other Responsible Sourcing accreditations have also been awarded.

Hanson UK's Sustainability Policy can be found here. It confirms our objective of striving for the fair treatment of everyone in our supply chain and confirms that we are committed to complying with certain standards (including BES 6001) in respect of the responsible sourcing of construction products.

Assessing and managing risk

The HeidelbergCement group has been running a risk assessment survey in respect of child labour and human rights violations since 2013. Hanson UK has also completed its own human rights risk assessment in 2021.

Hanson UK's suppliers are assessed against wide ranging criteria during tender / appraisal processes. This includes assessment against the Code of Conduct and the Supplier Code of Conduct. Specific diligence is required by the standard appraisal procedure in respect of modern slavery, health and safety and corporate social responsibility, including diligence in respect of working conditions, employee pay, employee age restrictions and independent employee grievance procedures.  The Master Data team at Hanson UK’s Shared Service Centre carry out many wide-ranging background checks in conducting such diligence in order to make a risk assessment as to whether new suppliers meet such criteria and any alerts are flagged for further internal review and also recorded to monitor year by year trends.

The procedures of Hanson UK are regularly assessed against best practice.  Part of this assessment is a review of the extent to which modern slavery can be identified and eliminated from its business and supply chain. 

The HeidelbergCement group has a global pre-qualification program for its suppliers and contractors to assess suppliers’ ability to fulfil HeidelbergCement's requirements with regard to sustainability and corporate social responsibility. Questions are asked and documentation requested in areas relevant to modern slavery including voluntary employment, child labour, freedom of association and human rights and welfare.

Hanson UK and the HeidelbergCement group also have in place a compliance hotline (SpeakUp) for reporting any incidents of non-compliance with the Supplier Code of Conduct.  Since 2013, this has also included criteria for violations of various human rights and of core labour standards such as discrimination and child labour. It enables both internal and external whistle-blowers to provide information about possible human rights violations and infringements of labour standards, as well as in relation to infringements of other laws. Every report is investigated. There were no instances of child labour or forced labour reported or alleged within Hanson UK's business or supply chains in 2020.

Hanson UK implemented specific anti-slavery training as a further enhancement to its protocols. Over one thousand employees in Hanson UK, including all applicable new joiners during 2021, have completed this training to date and further refresher training for all relevant employees is planned for 2022. This is in addition to general compliance training that Hanson UK has in place.  Modern slavery awareness is also raised through an annual company-wide bulletin.

In 2022, a new platform, SAP Ariba Sourcing, is in the process of being introduced worldwide by the HeidelbergCement group, featuring an integrated risk assessment module, which will further enhance its supplier vetting process in relation to modern slavery.   Hanson UK is implementing plans to set up the new portal during 2022, which will then allow for a simplified process when securing suppliers’ agreement to adhere to the Supplier Code of Conduct.  

In addition, Hanson UK has set a 2022 year-end target for suppliers which have contractually agreed to comply with the Supplier Code of Conduct, to account for at least 65% of all 2022 supplier expenditure.

This statement was approved by the board of directors of Hanson Quarry Products Europe Limited on 20 April 2022.

E A Gretton
Director of Hanson Quarry Products Europe Limited