Human rights management

Our commitment to respect and promote human rights is fully integrated into our operating policies, such as Valmet's Code of Conduct, Supplier Code of Conduct, and other related guidelines. We operate in full compliance with all applicable national and international laws, regulations, and generally accepted practices as well as our own Code of Conduct, whichever sets higher standards.

As a global company and employer, Valmet respects and promotes the protection of human rights as expressed in all internationally recognized human rights declarations and conventions, such as

• the United Nations (UN) Universal Declaration of Human Rights

• the UN Covenant on Civil and Political Rights

• the UN Covenant on Economic, Social and Cultural Rights, and 

• the International Labor Organization’s (ILO) Declaration of Fundamental Principles and Rights at Work. 

We have a Human Rights Due Diligence Process to ensure compliance with human rights-related commitments. The framework is based on the principles set out in the UN Guiding Principles on Business and Human Rights and the OECD Guidelines for Multinational Enterprises.

Valmet's human rights due diligence process includes: 

• Salient human rights issues analysis

• Human rights impact assessments (HRIA) for high-risk suppliers and operations

• Sustainability impacts assessment of business changes

• Human rights management practices and tools in project business

• Suppliers’ sustainability risk screening and third-party audits

• Supplier and customer engagement and capacity building on human rights

Read more about our Human Rights Due Diligence Processes in Valmet's Human Rights Policy Statement.

We have identified the following salient human rights risks in our operations and value chain:

• Conditions of migrant workers in supply chain

• Inadequate working conditions

• Forced labor and child labor in supply chain

• Limited access to grievance mechanisms and remedy

• Discrimination

• Lack of freedom of association and collective bargaining

Identified vulnerable groups and potential human rights risks

Valmet has identified potentially vulnerable groups related to the salient human rights impacts both in our own operations and in our supply chain.

Valmet has policies and processes in place in several areas for promoting human rights among its employees. Valmet has a non-discrimination policy and an Equal Opportunity and Diversity Policy. Among others, there are processes in place for an equal opportunity plan to prevent discrimination and promote equal renumeration between men and women, for monitoring the work-life balance, and local monitoring of working hours.

Valmet has a wide supply chain of approximately 30,000 active direct suppliers from more than 60 countries with different sustainability risk levels. Suppliers provide Valmet with various metals-based products and components, electronics as well as different services.  Valmet makes most of its purchases in industries, where the potential human rights risks relate to freedom of association, possible use of forced and child labor, and occupational health and safety.

Valmet has also acknowledged that countries such as China, Indonesia, India, and Thailand, where it has both its own operations and makes purchases, are commonly identified as risk countries in terms of human rights impacts. Local communities, migrant workers, and third-party contracted labor have been identified as vulnerable groups in addition to own employees.

Number of sites with mitigation plans 

Valmet has defined a location specific human rights impact assessment process for high-risk locations. Valmet has conducted four local human rights impact assessments in our own operations in Thailand, Indonesia, China and India. The assessments were carried out by an independent third party. The findings of these assessments were mainly related to employee engagement, health, safety and environmental management and sustainable supply chain management. We also defined and implemented the corrective action plans and all of the corrective actions have been completed and verified.

In addition to human rights impact assessments, Valmet has also Health, Safety and Environmental management mitigation plans for each local site. Valmet’s location-level annual action plans include concrete actions to mitigate risks of serious harm or injury both to our employees, partners, the community, and the environment.

We are continuing our systematic approach to all Valmet sites globally to standardize human rights assessments and our way of operating.  

Remediation actions

As a part of Valmet’s human right due diligence framework, Valmet has a remediation process in place. In case of a serious human rights violation occurs, an Incident Management Team (IMT) is established to coordinate the remediation actions and to ensure their implementation. No significant human rights violations have been identified from three four scale human rights impact assessments done in India, Thailand, Indonesia and in China, and therefore no remediation actions have been taken.