Partnerships that accelerate progress We are collaborating with industry associations, civil society organizations, and multi- stakeholder initiatives around the world to promote best practices, to listen to and learn from others’ perspectives and experiences, and to scale innovative solutions, helping everyone to achieve progress at a more rapid pace. See page 32 of the People and Environment in Our Supply Chain Report for more detail on the organizations we work with. Labor and human rights in the supply chain People come first in everything we do. Our commitment to protecting the people in our supply chain has been unwavering, anchored by a simple set of beliefs: People deserve to be treated with dignity and to know their rights. They should be able to speak up if those rights are not being respected — and to know and expect that when they do, we will listen and act. We’re committed to respecting the rights of every individual in our supply chain. We are committed to respecting the rights of every individual in our supply chain — just like we do for our team members, customers, and other partners — and more broadly, to working with others to share our tools and the lessons we’ve learned, and to empowering everyone to achieve progress more rapidly. Listening to workers Effective grievance channels, ongoing worker management communications, and supplier employee feedback are essential to ensuring respect for worker rights and maintaining safe and healthy workplaces. Whether through social dialogue and formal employee representation, workplace satisfaction surveys, anonymous hotlines, focus groups, or interviews during annual assessments, the feedback we receive directly from supplier employees helps us ensure labor and human rights are respected throughout our global supply chain. We also use this feedback to address emerging risks, improve rights training for supplier employees and supplier management, and to continually strengthen our Code and Standards. • Rights awareness: We believe that protection starts with rights awareness, and since 2008, more than 23.6 million supplier employees have been trained on their workplace rights. Under our Code and Standards, suppliers are required to provide employees with training on their workplace rights. This training is generally conducted during new employee orientation, and covers international labor standards, local labor laws, environmental health and safety, and the protections required by our Code and Standards • Feedback channels: Supplier employee interviews are an important part of every assessment conducted. Each year, we interview tens of thousands of supplier employees in their local language and without their managers present, to determine whether or not their experience on the job aligns with auditors’ observations during assessments. In fiscal year 2021, despite the ongoing challenges presented by the COVID-19 pandemic, we interviewed 87,626 workers in our supply chain — over 35,000 more than were interviewed in the previous fiscal year. Our Code and Standards require effective worker feedback channels, including grievance mechanisms, at all supplier sites. We also provide third-party anonymous hotlines, which are also available to our employees (see page 72 ), and the ability to contact the Apple Environment and Supply Chain Innovation (ESCI) team directly at any time and in any language. When an issue is raised, we require supplier management to immediately investigate and to resolve the issue in a timely manner. In 2021, we launched a grievance hotline awareness campaign, and its initial rollout resulted in a 22 percent increase in utilization of these third-party hotlines. The reports we received from supplier employees via hotlines in 2021 included issues related to wages and benefits, employee relations, amenities at supplier facilities, workforce stability, and health and safety. In each case, we investigated and worked directly with the suppliers to drive improvement and correct any compliance issues found. Suppliers implemented a number of actions as a result of supplier employee feedback through these Appendix Governance Communities Suppliers Customers Our People Environment Introduction Apple’s 2022 ESG Report 40
ESG Report | Apple Page 39 Page 41