Labor Code and Principles

Scotty Gear Retail Corp dba Desert Cactus (“Desert Cactus”) is committed to being proactive regarding fair labor practices and workplace conditions, providing our licensor partners with confidence that our products bearing their marks are produced in accordance with the respective institution’s standards.

These Labor Code and Principles (“Code”) are consistent with labor code of conduct requirements of the Fair Labor Association (“FLA”), collegiate institutions, and other licensors, and set forth overarching guidelines for workplace standards for factories that produce licensed product that help ensure that licensees do not produce product utilizing child labor or sweat shop conditions. Desert Cactus is an active member of the FLA, which provides a model of collaboration, accountability, and transparency and serves as a catalyst for positive change in workplace conditions. As an organization that promotes continuous improvement, the FLA strives to be a global leader in establishing best practices for respectful and ethical treatment of workers, and in promoting sustainable conditions through which workers earn fair wages in safe and healthy workplaces.

The Code includes labor code of conduct standards that cover various topics, including wages and benefits, working hours, child labor, health and safety, and freedom of association. Desert Cactus will routinely work with the FLA and also use independent third-party auditors to assess suppliers’ compliance with the Code and other licensor requirements. If Desert Cactus learns that a supplier has failed to comply with the Code and other licensor requirements, then such supplier is expected to take corrective actions and make improvements. Desert Cactus has the right to terminate the relationship/agreement with non-compliant suppliers.

Suppliers to Desert Cactus are required to meet the following standards, at a minimum, with respect to their organization as a whole.

Employment Relationship

Employers shall adopt and adhere to rules and conditions of employment that respect workers and, at a minimum, safeguards their rights under national and international labor and social security laws and regulations.

Nondiscrimination

No person shall be subject to any discrimination in employment, including hiring, compensation, advancement, discipline, termination, or retirement; on the basis of gender, race ,religion, age , disability, sexual orientation, nationality, political opinion, social group, or ethnic origin.

Harassment or Abuse

Every employee shall be treated with respect and dignity. No employee shall be subject to any physical, sexual, psychological, or verbal harassment or abuse. These rules will also prohibit removing basic comforts that other workers receive.

Forced Labor

There shall be no use of forced labor, including prison labor, indentured labor, bonded labor or other forms of forced labor.

Child Labor

No Person shall be employed under the age of 15 or under the age for completion of compulsory education, whichever is higher.

Freedom of Association and Collective Bargaining

Employers shall recognize and respect the right of employees to freedom of association and collective bargaining.

Health, Safety and Environment

Employers shall provide a safe and healthy workplace setting to prevent accidents and injury to health arising out of, linked with, or occurring in the course of work or as a result of the operation of employers’ facilities. Employers shall adopt responsible measures to mitigate negative impacts that the workplace has on the environment.

Additionally, workers will not be subject to recruitment fees or deposits, employer will not retain any personal documents, employees will have freedom of movement, and there will be a limit on any loans given to employees.

Hours of Work

Employers shall not require workers to work more than the regular and overtime hours allowed by the law of the countries where the workers are employed. The regular work week shall not exceed 48 hours. Employers shall allow workers at least 24 consecutive hours of rest in every seven-day period. All overtime work shall be consensual. Employers shall not request overtime on a regular basis, and shall compensate all overtime work at a premium rate. Other than in exceptional circumstances, the sum of regular and overtime hours in a week shall not exceed 60 hours.

Compensation

Every worker has a right to compensation for a regular work week that is sufficient to meet the worker’s basic needs and provide some discretionary income. Employers shall pay at least the minimum wage or the appropriate prevailing wage, whichever is higher, comply with all legal requirements on wages, and provide any benefits required by law or contract. Where compensation does not meet workers’ basic needs and provide some discretionary income, Desert Cactus will work with the supplier and FLA to take appropriate actions that seek to progressively realize a level of compensation that does.

Proactively addressing global CSR issues will provide our partners with confidence that all officially licensed branded merchandise bearing their marks in produced in accordance with the institution's standards.

This code is regularly provided to all employees, translated into two languages, and is available online at our website, desertcactuscorporate.com.