Communication on Progress

Participant
Published
  • 26-Apr-2021
Time period
  • January 2020  –  December 2020
Format
  • Stand alone document – Basic COP Template
Differentiation Level
  • This COP qualifies for the Global Compact Active level
Self-assessment
  • Includes a CEO statement of continued support for the UN Global Compact and its ten principles
  • Description of actions or relevant policies related to Human Rights
  • Description of actions or relevant policies related to Labour
  • Description of actions or relevant policies related to Environment
  • Description of actions or relevant policies related to Anti-Corruption
  • Includes a measurement of outcomes
 
  • Statement of continued support by the Chief Executive Officer
  • Statement of the company's chief executive (CEO or equivalent) expressing continued support for the Global Compact and renewing the company's ongoing commitment to the initiative and its principles.

  • I hereby confirm that JSC Farmak in its activities adheres to 10 principles of the UN Global Compact in the following areas: Human Rights, Labour, Environment and Anti-Corruption.
    During the reporting year, we were implementing these principles into our corporate culture and business operations.
    JSC Farmak is the leader of the pharmaceutical market of Ukraine. Therefore, we not only implement the principles of sustainable development in our activities, but also disseminate information among all our stakeholders, and try to be an exemplar of the socially responsible business.

    The UN Global Compact is one of the key drivers in the world, uniting companies around the principles of ethical business conduct. This is the second report for our company. Thanks to the report, we look at ourselves from the outside and understand what we managed to achieve during the reporting year and how the company has changed. This report will also allow all stakeholders to understand our work on the implementation of the 10 principles of the UN Global Compact and provide the necessary level of transparency.

    Best regards,
    Volodymyr Kostiuk

Human Rights
  • Assessment, policy and goals
  • Description of the relevance of human rights for the company (i.e. human rights risk-assessment). Description of policies, public commitments and company goals on Human Rights.

  • The company has developed and implemented the Code of corporate culture – the Corporate Book. Thanks to the code of corporate culture, everyone clearly understands what company they work for is, its core values and traditions, objectives and goals, and what behavior the company expects from each of its employees.

    The company provides equal opportunities to all employees and does not allow any manifestations of humiliation or abuse.
    “Our company respects differences and provides equal opportunities to all employees. We must maintain a safe and professional working environment and avoid any manifestations of mistreatment, humiliation or abuse. We must respect fundamental human rights and avoid any decisions made on the basis of race, religion, sex, age, national identity, sexual orientation or marital status. In our company, any manifestations of inappropriate behavior or behavior that is humiliating, threatening, hostile or that is unreasonably interfering with an individual's work, is unacceptable,” the Corporate book says.

    The company guarantees its employees social security and compliance with labour legislation, which is taken care of by the Collective Agreement and the company's trade union.

    The company has created an anonymous employee hotline to accept reports on any violations.

  • Implementation
  • Description of concrete actions to implement Human Rights policies, address Human Rights risks and respond to Human Rights violations.

  • • Distribution of Corporate book among all employees
    • Adoption of common corporate standards through all internal communication channels
    • Creating an employee hotline
    • A trade union for employees has been established

  • Measurement of outcomes
  • Description of how the company monitors and evaluates performance.

  • • Corporate book knowledge test for each new employee
    • Number of hotline calls and investigations conducted

Labour
  • Assessment, policy and goals
  • Description of the relevance of labour rights for the company (i.e. labour rights-related risks and opportunities). Description of written policies, public commitments and company goals on labour rights.

  • n our company we pay special attention to creating safe working environment in every workplace, protecting the life, health and ability to work. We have implemented a constantly evolving Occupational health and safety management system, which is aimed at forming safe behavior at the workplace, as well as the development of skills to prevent any incidents, accidents and occupational diseases.
    "Our inherent element of culture is the principle of ensuring the safety of employees. Adherence to this principle is the individual responsibility of everybody for their own safety and the safety of others," the policy says.

    The company developed over 250 safety guidelines for different areas of work.
    The company also provides security training and briefings for all new employees.
    The company has implemented the standard ISO 45001: Occupational Health and Safety Management System.

  • Implementation
  • Description of concrete actions taken by the company to implement labour policies, address labour risks and respond to labour violations.

  • • Implementation of health and safety guidelines in all relevant areas
    • Conducting safety training and briefings
    • Promotion of health and safety principles among employees through internal communication channels

  • Measurement of outcomes
  • Description of how the company monitors and evaluates performance.

  • • Number of health and safety trainings and briefings conducted
    • Number of health and safety guidelines developed
    • Number of occupational accidents

Environment
  • Assessment, policy and goals
  • Description of the relevance of environmental protection for the company (i.e. environmental risks and opportunities). Description of policies, public commitments and company goals on environmental protection.

  • JSC Farmak implements sustainable development at all levels of the company: from operating activities to corporate culture.
    The company constantly monitors its impact on the environment and works on the minimization of emissions and resources savings.

    We adhere to European regulations and standards. Among them are the following:
    ISO 14001: Environmental management systems, and ISO 50001: Energy management systems.

    In 2020 we managed to significantly reduce emissions of pollutants into the atmosphere by 33.05% vs. 2019 thanks to the operation of modern Viessmann Vitomax boilers. Consumption of natural gas per hryvnia of products decreased by 11.2% vs. 2019.
    The company continues to replace gas-discharge lamps with LED lighting. During the reporting period, 229 combined light and motion sensors were installed on the lighting system in stairwells, halls and toilets.

    The company is working on raising the environmental awareness of employees. The Environmental Management System has been developed and implemented. It provides a set of guidelines mandatory to minimize the impact of the company. In order to comply with all the requirements, the systematic staff trainings are conducted. In addition, Farmak arranges environmental campaigns for its employees: planting of trees, cleaning parks, collecting of the used batteries, etc.

    The company has launched the Ecoschool project aiming at raising environmental awareness among schoolchildren.

  • Implementation
  • Description of concrete actions to implement environmental policies, address environmental risks and respond to environmental incidents.

  • • Implementation of the Environmental Management System
    • Implementation of ISO standards in production
    • Holding environmental campaigns for the employees
    • Promotion of the principles of sustainable development among stakeholders
    • Development of environmental awareness among employees
    • Development of environmental awareness among schoolchildren

  • Measurement of outcomes
  • Description of how the company monitors and evaluates environmental performance.

  • • Pollutant emissions decrease, %
    • Resources conservation, %
    • Number of internal campaigns held
    • Number of schoolchildren who passed training on the Ecoschool portal

Anti-Corruption
  • Assessment, policy and goals
  • Description of the relevance of anti-corruption for the company (i.e. anti-corruption risk-assessment). Description of policies, public commitments and company goals on anti-corruption.

  • JSC Farmak conducts transparent business and at all times complies with applicable law. The company has a zero tolerance approach to bribery and corruption. The company has an anti-corruption program, which contains rules and recommendations on how to make ethical business decisions and prevent corruption.

    The company regulates the practice of accepting and giving gifts.

    When entering into the contract, all counterparties of the company sign the anti-corruption statement: “Each of the Parties to the Agreement, its affiliates, employees or agents undertake not to take any action aimed at stimulating the employees of the other Party or third parties in any way related to the implementation of this Agreement, including by providing monetary amounts, gifts, gratuitous performance of work (services) to them and in any other ways not specified in this clause, make the employee or a third party dependent and aimed at ensuring that such employee or a third party performs any actions in favor of the stimulating Party of its affiliates, employees or agents".

  • Implementation
  • Description of concrete actions to implement anti-corruption policies, address anti-corruption risks and respond to incidents.

  • • Implementation of the anti-corruption program
    • Dissemination of information on anti-corruption requirements among employees
    • Signing anti-corruption provision with all counterparties of the company

  • Measurement of outcomes
  • Description of how the company monitors and evaluates anti-corruption performance.

  • • Number of gifts registered
    • Number of anti-corruption provisions signed