In March 2000, two German-based multinationals - Faber-Castell (writing, drawing and painting products) and Hochtief (construction) - signed framework agreements on the worldwide observance of fundamental social standards with the International Federation of Building and Wood Workers and the relevant German trade unions.
On 3 March 2000, the German-based manufacturer of writing, drawing and painting products, Faber-Castell, signed a framework agreement on workers' rights in the company's worldwide operations. The trade union side signatories were the International Federation of Building and Wood Workers (IFBWW) and the German metalworker's union IG Metall (which took over union representation with Faber-Castell in Germany after merging with the former Wood and Plastic Workers Union (Gewerkschaft Holz und Kuntstoff, GHK)). The pencil producer has about 5,500 employees working in more than 100 countries in all continents. In the new agreement, Faber-Castell has committed itself to establishing employment and working conditions which respect the main Conventions and Recommendations of the International Labour Organisation (ILO) in all its production and sales companies.
The agreement contains a Code of Conduct, according to which the company has committed itself to respecting the following principles:
The agreement states that the written Code of Conduct has to be available at all workplaces in appropriate languages. The implementation of the agreement will be checked by a monitoring committee, composed equally of representatives of Faber-Castell management and of trade unions. The committee will meet at least every two years and will propose appropriate measures in the event that a production or sales company has not observed the Code.
Shortly after the Faber-Castell agreement, a similar deal was concluded on 15 March 2000 at the German-based multinational construction group Hochtief. The agreement, signed by the company's executive board, the company's German works council, the German construction workers' union IG Bauen-Agrar-Umwelt (IG BAU) and IFBWW, recognises ILO global social standards for all 37,000 employees working in the group's subsidiaries worldwide. Moreover, Hochtief has agreed to impose the same obligations on its subcontractors.
The agreed "Hochtief Code of Conduct" refers explicitly to the ILO Conventions and advocates that:
If the trade unions or employee representatives become aware of any contravention of this Code of Conduct, they should report this to the executive board of Hochtief, which will examine and introduce suitable measures to remedy the problem. Hochtief will appoint a special officer whose job is to monitor the application of the agreement.