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Modern slavery and human trafficking are egregious issues, and YETI is committed to working with contract manufacturers who provide safe and fair working conditions for every worker.
In 2006, YETI set out to build a cooler without compromise. Turns out we weren’t alone in our frustration with cheap gear. Over 10 years later, YETI continues to design and develop innovative and outstanding outdoor products that deliver exceptional performance and durability.
Prior to partnering with new suppliers, we use internal and third-party auditors to conduct risk assessments, and we use the results of these assessments to inform our sourcing decisions. These assessments are conducted in accordance with our Responsible Sourcing Guide to ensure a comprehensive understanding of the supplier’s operations. Additionally, YETI’s Master Purchase Agreements require suppliers agree to our Supplier Code of Conduct, which specifically prohibits forced labor, child labor, and human trafficking of any kind.
Each year we audit a minimum of 33% of our suppliers to assess the level of compliance with our labor expectations. To ensure consistency all internal and external auditors are trained and certified on the SA8000 standard. We choose which suppliers to audit based on risk and time passed since last audit. Additionally, through our affiliation with the FLA, suppliers are selected at random for announced or unannounced assessments by independent 3rd party auditors. We also require suppliers to conduct an annual self-assessment to monitor continuous improvement at the factories. Our internal team works with the third-party auditors and suppliers to develop and complete Corrective Action Plans to address opportunities identified during audits and assessments.
Through our supplier agreements, all YETI suppliers are required to comply with our Supplier Code of Conduct as well as any more stringent laws in the locale, region, and country in which they do business. To drive accountability for fair treatment of labor upstream through the supply chain, our Master Purchase Agreements include requirements that our direct suppliers hold their suppliers to the same anti-slavery and human trafficking standards outlined in our Supplier Code of Conduct.
Our team of internal auditors works with factory leaders and workers to develop action plans to resolve any instances of non-compliance with our Supplier Code of Conduct. While we generally believe in sustainable remediation for certain issues, non-compliance with standards regarding slavery and trafficking is considered a zero-tolerance issue for YETI. Suppliers who otherwise violate our Supplier Code of Conduct may be subject to contract termination, depending on the number and type of non-compliances found and their severity.
At annual supplier meetings, we conduct social responsibility training for our supplier representatives. Supply Chain employees at YETI receive training on our Responsible Sourcing Guide and Supplier Code of Conduct. Violation of our Supplier Code of Conduct by one of our associates can result in disciplinary action, including termination of employment.
Training is provided for YETI Social Compliance personnel via the FLA training portal, and the Supplier Code of Conduct is communicated to our suppliers through our supplier agreements, our third-party supporting partners, and directly from YETI personnel.