132021Apr

Tesco Service Level Agreement

On sites where there are unions, we work with suppliers to ensure that union representatives are treated with respect and that there is no discrimination. While there have been complaints of discrimination, Tesco actively encourages bilateral negotiations to resolve disputes and encourage management training to improve relations with union leaders. We have worked closely with the EIT to address several cases of trade union discrimination in factories in Sri Lanka, India and Turkey. In our banana supply chain, we are in regular dialogue with trade union representatives of the Ethical Trading Initiative, with representatives of the International Confederation of Trade Unions (ITUC), the International Food Union (IUF) and the Congress of Trade Unions (TUC). We also have regular bilateral meetings with regional civil society organizations such as Banana Link and COLSIBA – the Confederation of Latin American Banana Unions. For a service provider, this also often means that the metrics defined in their SLAs become important KPIs, which they monitor and report as indicators of their overall strategic performance. And the relationship is „definitely getting stronger,“ Bendon adds. „The teams here are proud of our work and focus on delivering high quality, value, discernment, innovation and service.“ Before the new agreement came into force in 2014, the relationship could be „transactional,“ „distant“ and „much more complex,“ says Jon Hedge, amT`s purchasing director. For many suppliers, „each with its own supply chains has not had the opportunity to use the scale in the most efficient way.“ In our own businesses and procurement, dedicated employees at headquarters work closely with all service providers as well as our internal staff function, distribution centre and security managers to deal with risks. This includes training staff to identify potential indicators of modern slavery. In 2019, we reviewed our ethical audit requirements for suppliers in our own UK/ROI divisions.