California Transparency in Supply Chains Act Statement
The California Transparency in Supply Chains Act (SB657) requires large retailers and manufacturers to provide information to consumers regarding their efforts to prevent slavery and human trafficking within their supply chain. Bed Bath & Beyond Inc. is committed to sourcing quality merchandise while developing long-term relationships with vendors who share common principles of responsible sourcing. The Company engages with non-governmental organizations and industry peer groups to stay up to date on social supply chain issues.
Our vendors and buying agents are required to adhere to our Supplier Code of Conduct. The Supplier Code of Conduct details policies relating to child labor, involuntary labor, human trafficking and slavery, hiring, employment and disciplinary practices, non-discrimination, health and safety issues, environmental protection, wages and benefits, working hours, and employee relations.
Information regarding relevant Company policies and programs, such as the Social Compliance Audit Program, the Supplier Code of Conduct, Cotton Sourcing requirements and Conflict Minerals Policy are made available to vendors in our Product Safety & Compliance (“PS&C”) Manual, which is reviewed and updated regularly, as well as through other vendor communication channels.
Vendors and factories have primary responsibility for monitoring compliance throughout their supply chains and correcting non-compliances. If the Company discovers a Vendor producing merchandise in or subcontracting to an unauthorized facility, the Vendor may become ineligible to do business with the Company.
We engage in dialogue with our suppliers through the remediation and RFP negotiation process as well as social auditing.
We require validation of social compliance for all factories manufacturing our Owned Brand products and all factories where we are the importer of record. We partner with a third-party to help facilitate and manage our audit program, which includes review of existing third-party audits and on-site factory audits. Our audit program covers all aspects of our Supplier Code of Conduct, including the assessment of potential human trafficking and slavery risks.
On-site audits include meeting with factory managers, a factory tour, and worker interviews outside the presence of factory management, as well as document review. Each supplier is notified in advance of a two-week window when an on-site audit is expected to take place, but the actual audit is unannounced.
Existing audit review consists of the review of vendor-submitted audit results performed in accordance with designated audit standards by an approved auditing company.
All vendors must adhere to our Supplier Code of Conduct and other Company policies set forth as part of our comprehensive Product Safety & Compliance Manual. Vendors are required to acknowledge compliance with our PS&C Manual at the time of onboarding.
The Product Safety & Compliance team manages the Audit Program. Company executives and the Board of Directors are updated periodically on the status of the Audit Program.
The Product Safety & Compliance team, as well as other Associates with roles related to the supply chain, participates in meetings and webinars provided by third-party providers to stay current regarding the issues of human trafficking and slavery and to further develop the Audit Program. All Company Associates are expected to adhere to the Code of Conduct and Company Policy of Ethical Standards for Business Conduct and report any violations in accordance with those policies.