V E R S I O N: 21/03/12

NESTLE
Background Document on Child Labour Page 1 of 13 21.03.2012 BACKGROUND DOCUMENT Child Labour This document has been produced to provide background material to complement the Nestl Commitment on Child Labour, and to guide Nestl staff and consultants hired by Nestl in its interpretation and implementation. This document and the Commitment may be shared with suppliers and stakeholders. This document is composed of the following Annexes: Annex 1: Summary of Child Labour Annex 2: Commodities of High Risk for Child Labour Annex 3: Child Labour, Light Work and ILO Convention 138 Annex 4: ILO Convention 182 on Worst Forms of Child Labour and Hazardous Work Annex 5: Global Compact Principle Five: What is Child Labour Annex 6: UN Convention on the Rights of the Child Annex 7: Organisations that can provide Technical Assistance & Guidan The term child labour is defined as work that deprives children of their childhood, their potential and their dignity, and that is harmful to physical and mental development. In 2008, it was estimated that there were 215 Mn child labourers of which 115Mn were engaged in hazardous work. 60% of these were in agriculture of whom only 20% were paid, the majority serving as unpaid family workers. In agriculture, the use of pesticides, carrying heavy loads, and using dangerous tools and machinery are all activities that are considered to be indicative of the worst forms of child labour. The definition of the worst forms of child labour covers all forms of slavery or practices similar to slavery, the sale or trafficking of children, debt bondage or serfdom; the forcible recruitment of children for use in armed conflict; the commercial sexual exploitation of children; the involvement of children in drug trafficking; and work that is likely to harm childrens health, safety or morals. Hazardous work is that which is likely to jeopardise the health, safety or morals of young persons. This is particularly problematic in countries that do not have the capacities to maintain effective national occupation safety and health systems. An important definition is of light work which is not harmful to health or development and does not prejudice attendance at school or vocational training. Under international labour standards light work is allowed for children who are 13-15 years old (or 12-14 if the countries have a developing country exception under ILO).

The ILO states that not all work done by children should be classified as child labour that is to be targeted for elimination. Childrens or adolescents participation in work that does not affect their health and personal development or interfere with their primary education, is generally regarded as being something positive. This includes activities such as helping their parents around the home, assisting in a family business or earning pocket money outside school hours and during school holidays. ILO states that these kinds of activities contribute to childrens development and to the welfare of their families; they provide them with skills and experience, and help to prepare them to be productive members of society during their adult life.

The US Department of Labor Report: 2010 Findings on the Worst Forms of Child Labour. (Published December 2011) highlighted the following commodities and countries where child labour has been identified. It should be noted that this list changes from year to year, with some countries such as Ghana, Tanzania, Thailand changing status frequently. Child labour in Madagascan vanilla production was listed in the 2009 report, but not in 2010. Some care is therefore needed in interpreting this list. Coffee: Brazil, Cameroon, Colombia, Cote dIvoire, Dominion Republic, El Salvador, Guatemala, Guinea, Honduras, Kenya, Mexico, Nicaragua, Panama, Tanzania, Uganda Cocoa: Cameroon, Cote dIvoire, Ghana, Guinea, Nigeria Sugarcane: Belize, Bolivia, Brazil, Burma, Colombia, Dominion Republic, El Salvador, Guatemala, Kenya, Mexico, Pakistan, Panama, Philippines, Thailand, Uganda Rice: Brazil, Burma, Colombia, Dominion Republic, India, Kenya, Mali, Philippines, Uganda Livestock: Bolivia, Brazil, Chad, Ethiopia, Lesotho, Mauritania, Namibia, Paraguay, Uganda, Zambia Fishing: Bangladesh, Burma, Cambodia, El Salvador, Ghana, Honduras, Nicaragua, Tanzania, Thailand Vanilla: Uganda Fruit: Argentina, Belize, Brazil, Ecuador, Honduras, Mexico, Nicaragua, Philippines, Turkey Nuts: Bolivia, Brazil, Guinea, Turkey Cassava: Brazil, Cambodia, Nigeria Vegetables & Spices: Argentina, Bolivia, Burma, Chile, Dominion Republic, Guatemala, Mexico, Philippines, Turkey Oil Palm: Indonesia, Malaysia Tea: Kenya, Malawi, Rwanda, Tanzania, Uganda Nestl has identified the following commodities (as at October 2011) as priorities for its work: Cocoa, Hazlenuts, and Vanilla. In Malaysia, Nestls supplier also involved child labour in their oil palm farm.