Supplier Code of Conduct of PRESTAR, s.r.o.

General Requirements

Sustainability is at the core of Prestar’s business operations. The company is committed to and promotes sustainable development throughout its value chain and requires its suppliers to operate in the same manner to build a more sustainable future.
Prestar values the shared commitment of its suppliers and requires them to adhere to and commit to the same international sustainability principles as Prestar, as outlined in this Supplier Code of Conduct. Suppliers are expected to communicate and implement the Supplier Code of Conduct and all relevant policies throughout their supply chain, including contractual commitments.
The term "Supplier" refers to third parties with whom Prestar collaborates in the procurement of goods or services, including their employees, subcontractors, and suppliers’ suppliers. The Supplier shall ensure that all its workers, regardless of status, as well as subcontractors, are informed of Prestar’s Supplier Code of Conduct and comply with the requirements set out in this document.

The principles in this Supplier Code of Conduct align with the following documents:

United Nations Universal Declaration of Human Rights
United Nations Guiding Principles on Business and Human Rights
International Labour Organization (ILO) Declaration on Fundamental Principles and Rights at Work

Compliance with all applicable national and international laws and regulations is the starting point for adhering to this Supplier Code of Conduct and for conducting business with Prestar. In cases where there is a conflict between different national laws or international standards, the strictest applicable standard shall apply. Suppliers are expected to comply with all applicable trade sanctions and export control laws and regulations.

Focus on Human Rights and the Environment

The Supplier must have a management system in place that covers the principles outlined in this document. The Supplier is expected to conduct risk-based due diligence on human rights and the environment to identify, assess, prevent, mitigate, and address risks arising from its own operations and those of its business partners in its supply chain.

Sustainable Sourcing of Raw Materials

Prestar uses common materials for production in accordance with OECD Due Diligence Guidance for Responsible Supply Chains. We do not consider it necessary to address rules regarding minerals from conflict-affected and high-risk areas.
The Supplier must be prepared to identify the sources of materials, demonstrate supply chain traceability, and provide documentation required by regulations and laws.

Human Rights

Prestar expects all its suppliers to respect internationally recognized human rights, including but not limited to those set out in the United Nations Universal Declaration of Human Rights, the International Covenant on Civil and Political Rights (ICCPR), the International Covenant on Economic, Social and Cultural Rights (ICESCR), and the ILO Declaration on Fundamental Principles and Rights at Work. The Supplier is obligated to identify and respect the rights of vulnerable groups, such as indigenous peoples, migrant workers, children, local communities, women, and persons with disabilities.
The Supplier must have due diligence processes in place to measure, prevent, and mitigate adverse human rights impacts and to avoid causing, contributing to, or being linked to adverse human rights impacts.

In addition, the Supplier is obligated to adhere to the following principles related to human rights:

Discrimination

The Supplier shall not permit discrimination or harassment of any worker based on characteristics such as age, gender, ethnicity, nationality, religion, disability, union membership, political affiliation, sexual orientation, pregnancy, disability, or other characteristics protected by local laws.

Freedom of Association and Collective Bargaining

The Supplier recognizes and respects employees’ rights to associate and participate in trade unions and collective bargaining. The Supplier must enable social dialogue and open communication between workers and their representatives without fear of retaliation or harassment.

Child Labour

The Supplier shall actively prevent child labor in its own operations and supply chains. The Supplier must not employ individuals under the age of 15, below the minimum employment age, or younger than the age for completing compulsory education as defined by national laws, whichever is higher. If individuals under 18 are employed, they must not perform hazardous tasks that endanger their health or safety or work that interferes with their education.

Forced Labor, Modern Slavery, and Human Trafficking

The Supplier shall not engage in any form of modern slavery, forced or bonded labor, human trafficking, or debt bondage. All employment decisions must be based on free choice, and all workers must have the freedom to terminate employment with reasonable notice.

The Supplier shall not require workers to surrender personal identification documents, passports, or permits. The Supplier must ensure that workers are not required to pay recruitment or related fees to the Supplier or its business partners.

Employment Contracts, Fair Compensation, and Living Wage

The Supplier shall provide all employees with a written contract specifying their rights and employment conditions in a language they understand well.
The Supplier shall pay workers fairly and at least the minimum wage required by local laws, applicable collective agreements, or industry standards, along with all mandated benefits. Local wage and overtime regulations must be adhered to. Where no minimum wage is required by law or where the minimum wage is insufficient to meet basic needs, the Supplier shall pay workers for a standard working week, excluding overtime, an amount sufficient to ensure a decent standard of living for employees and their families, in line with the ILO’s definition of a living wage.

For each pay period, a detailed payslip must be provided, and wages must be paid on time as stipulated in the employment contract. Unlawful wage deductions as disciplinary measures are prohibited.

Working Hours and Rest Periods

The Supplier is obligated to comply with all applicable laws, regulations, and collective bargaining agreements regarding working hours, rest periods, breaks, annual leave, sick leave, parental leave, and overtime.

Employees must be granted at least one uninterrupted 24-hour rest period every seven days. The Supplier shall ensure that overtime is always voluntary and paid at a premium rate. Additionally, the Supplier shall strive to implement practices that allow workers an appropriate work-life balance.

Local Communities and Indigenous Peoples

The Supplier shall act as a responsible member of the community by minimizing any adverse impacts on local and surrounding areas. Respecting the rights of local communities and indigenous peoples, including their cultural rights and heritage, is essential.

Health and Safety

The Supplier shall ensure the health and safety of its workers by providing safe and healthy working conditions, appropriate safety training, required personal protective equipment (PPE), and occupational health care. The Supplier shall manage the delivery of products and services in compliance with applicable health and safety laws and regulations in the country of operation.

The Supplier must identify, assess, and control hazardous workplace conditions to minimize potential impacts on workers. Potential adverse impacts must be mitigated through safe work systems, fire protection, emergency plans and evacuation procedures, training, regular drills, response procedures, and adequate emergency exits. For project sites, the Supplier must ensure access to clean water, sanitation, and adequate housing.

The Supplier shall track and monitor all health and safety performance data, including but not limited to workplace injuries, occupational illnesses, incidents, near-misses, safety observations, and participation in safety training.

More specific health and safety requirements and site-specific requirements are provided to suppliers along with Prestar’s technical and commercial conditions, which include recommended measures for health protection, safety, environmental protection, quality requirements, and references to contractual documentation.

Climate and Environment

Environmental Management

Prestar continuously strives to reduce the environmental impact of its own operations, supply chain, and the use phase of its technologies. The Supplier is expected to, at a minimum, comply with all applicable environmental laws and regulations and obtain the required environmental permits and licenses in the countries where it operates. The Supplier shall establish an appropriate organizational structure or resources to effectively manage climate and environmental risks and impacts, including but not limited to air pollution, climate change, soil and water ecosystem pollution and degradation, deforestation, and biodiversity loss.

The Supplier shall implement effective control measures and targets to mitigate risks and reduce these impacts, supported by actions such as transitioning to renewable energy sources, improving energy efficiency, responsible management of natural resources, responsible waste disposal, and promoting a circular economy.

In addition, the Supplier must adhere to the following principles related to environmental matters:

The Supplier must properly handle, store, and dispose of all chemicals and hazardous substances to protect workers and the environment. The Supplier must have procedures in place to prevent and respond to environmental emergencies with potential adverse environmental impacts.

Upon request, the Supplier shall provide full information about materials, substances, and mixtures used in the product, including the region or country of origin and a declaration of origin (in compliance with regulatory requirements).

Environmental Monitoring and Cooperation

The Supplier shall monitor and document relevant data and statistics on continuous improvement, including but not limited to energy transition, greenhouse gas emissions, water consumption, use of chemicals with potential impacts on human health and the environment, waste generation and processing, material recycling, and relevant material reuse.

Climate

Prestar is committed, through its Environmental Policy, to continuously improving environmental performance, reducing emissions, and minimizing any negative environmental impacts.

Biodiversity

Prestar protects biodiversity in its operations and supply chains. Suppliers are encouraged to adopt practices that protect natural habitats and ecosystems and ensure that their activities do not lead to habitat destruction or significant biodiversity loss. This includes preventing deforestation, land degradation, and water body pollution.

Resource Use and Waste

The Supplier shall use natural resources responsibly with the aim of reducing or recycling non-renewable materials and exploring circular opportunities in its operations. The Supplier shall strive to minimize waste from its operations and implement waste management systems and procedures, including proper handling, storage, and disposal of hazardous waste in compliance with applicable laws and regulations.
The Supplier is obligated to use water efficiently to prevent depletion and degradation of water resources. The Supplier must prevent water and soil pollution by managing discharges and hazardous substances.

Hazardous Substances and Chemicals

The Supplier shall ensure that products and materials supplied to Prestar meet mandatory product safety requirements and identify, assess, and mitigate risks associated with product use. The Supplier shall strive to reduce the use of hazardous substances and comply with material restrictions and regulations enforced by local and international regulatory authorities.

Business Ethics

To conduct business, we expect suppliers to uphold high standards of business integrity and ethics.

The Supplier shall not engage in any form of direct or indirect corruption, bribery, fraud, theft, money laundering, or illegal tax evasion. They shall conduct business honestly and comply with applicable antitrust and competition laws.

The Supplier shall ensure that its workers or third parties acting on its behalf do not offer, give, or accept lavish or excessive gifts or anything else of value that could be considered a bribe. Any gifts, hospitality, or entertainment must comply with applicable laws, be provided in a legitimate business context, and be reasonable and proportionate. Giving or receiving cash or cash equivalents as gifts is prohibited. The Supplier is expected to refrain from offering gifts or hospitality during tender processes and ongoing contract negotiations.

The Supplier shall inform Prestar’s representatives of any potential or actual conflicts of interest as soon as they become aware of them. The Supplier shall avoid situations that cause or appear to cause conflicts of interest. The Supplier is expected to comply with all applicable export and import control laws, sanctions regulations, and trade restrictions issued by relevant authorities, such as those issued by the EU.

Monitoring Compliance

The Supplier is responsible for cascading and communicating the requirements of Prestar’s Supplier Code of Conduct to its suppliers and subcontractors. This responsibility includes ensuring compliance with monitoring and reliable documentation requirements. Upon request, the Supplier shall provide Prestar with relevant documentation related to the topics covered in this Supplier Code of Conduct.

Prestar reserves the right to assess and monitor compliance with this Supplier Code of Conduct and its implementation. The Supplier shall allow Prestar or third parties authorized by Prestar to verify compliance through dialogue, self-assessment, audits, and/or social impact assessments, including interviews with workers at the Supplier’s premises or Prestar’s workplace. Any practical arrangements, including timing and scope, will be mutually agreed upon, and the Supplier shall cooperate in preparing for and during the audit. Audit information will be treated confidentially.

If audit findings reveal non-compliance with the Supplier Code of Conduct, Prestar requires the Supplier to promptly implement corrective actions. In cases where corrective actions are not taken or progress cannot be achieved, Prestar will reassess the business relationship, which may include suspension or termination as a last resort.

Intellectual Property, Information Security, and Cybersecurity

The Supplier is obligated to respect business confidentiality and maintain the confidentiality of information to which the Supplier and its workers have access during the business relationship. The Supplier shall respect and protect the intellectual property rights of Prestar and third parties.

The Supplier shall process personal data in accordance with applicable laws and agreements, such as the EU General Data Protection Regulation (GDPR).

The Supplier is obligated to comply with all applicable regulations, standards, and agreements on information security and cybersecurity, such as the EU NIS2 Directive and its national implementations.
Given the rapidly evolving changes in information security and artificial intelligence (AI), the Supplier’s organization must ensure continuous monitoring of personal data protection and other data-related regulations and laws to ensure compliance.

Reporting Concerns and Access to Remedy

Prestar aims to foster a culture where employees, workers in the value chain, and other third parties feel comfortable raising concerns about potential violations related to Prestar’s Code of Conduct, Supplier Code of Conduct, or applicable laws without fear of retaliation or harassment. Suppliers are expected to have an effective grievance mechanism for concerns raised by workers within their operations or by third parties and to ensure that those who report suspected or actual violations are protected from retaliation.

If any Supplier, its employees or any other third party has concerns, notices any misconduct, breach of law or violation of the Prestar Supplier Code of Conduct or the Prestar Code of Conduct in connection with doing business with Prestar, they are encouraged to report these issues in confidence to vedenispolecnosti@prestar.cz. A confirmation of receipt, registration of the case and the start of the investigation will be issued the following day after 8.00 a.m.

References to International Standards

This Supplier Code of Conduct is based on established international standards and covers materials related to sustainability for Prestar:

OECD Guidelines for Multinational Enterprises
United Nations Guiding Principles on Business and Human Rights
United Nations Universal Declaration of Human Rights (1948)
Social and Cultural Rights
Core International Labour Conventions
United Nations Convention on the Rights of the Child
United Nations Convention on the Elimination of All Forms of Discrimination Against Women
United Nations Convention on the Elimination of All Forms of Racial Discrimination
United Nations Declaration Against Corruption
EU Corporate Sustainability Due Diligence Directive (CSDDD)
Paris Agreement on Climate Change Measures
Regulation Prohibiting Products Made with Forced Labor on the Union Market