Efforts to Eliminate Forced Labor in Supply Chains

Recent Posts

Table of Contents

The state of California passed a law in 2010 requiring companies that operate in California to disclose their efforts to stop slavery and human trafficking in their supply chains. As a retailer that does business in California, Michaels must comply with this law.

Michaels is committed to lawful and ethical business practices. We expect the same from our suppliers. We aim to prevent slavery and human trafficking in our supply chains.

Many of our products come from overseas suppliers. We believe the risk of forced labor is generally low in our supply chain, but we focus compliance efforts on foreign suppliers. Here are some of the ways we address this issue:

Supplier Code of Conduct

Michaels’ Vendor Code of Conduct requires suppliers to follow all labor laws. It strictly prohibits forced labor, including slavery and human trafficking.

Audits of Suppliers

Michaels and third parties we hire conduct announced and unannounced audits of foreign suppliers. We check that they comply with our Code of Conduct, including the ban on forced labor. We are starting a certification process where suppliers must confirm their materials comply with anti-slavery laws.

Employee Training

We train management and international business employees on preventing slavery and human trafficking. All employees take training on ethical business conduct. They must act lawfully when working domestically and abroad. Employees are expected to report any unethical or illegal activity in the supply chain. Michaels also has a hotline for reporting code of conduct violations.

Accountability

Suppliers who violate these expectations will be reviewed immediately. We may end relationships with suppliers unless they take satisfactory corrective action. Michaels employees who fail to follow our ethics code face discipline including termination.