Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

Effective Date: Revision: Page:

20-042012 0 Page 1 of 8

T o:

Management Representative Ambadi Enterprises Limited

In the light of Internal Audit the following findings statement are reported for your kind action.

Sr. No

SA 8000 Clause No

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

Audit No.

Audit Date

1.

Child labour

a) Check the age proof of the persons working in the organization.[Age should be above 15 years]

yes

b) Check how subcontractors employees are also covered in this aspect. c) In case child labour is available check what is the action taken for remediation of child labour.[Schooling, financial support] Page 1 of 8
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Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

20-04-2012 0 Page 2 of 8

Sr. No

SA 8000 Clause No
d ) e ) f ) g ) h )

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

No child labour shall be engaged. Young workers [age:15-18] can be engaged. They should be assigned jobs which are fit for young persons only. Young workers register is to be maintained. Young workers duty time and schooling shall not exceed 10 hours. Duty hours will not exceed 8 hours. No night shift is allowed. If there is any hazardous work-young workers should not be exposed to it. In the absence of age proof, the competent medical authoritys certificate of age can be accepted. Compulsory deposit of money to be employed in the job is not allowed.

2.

Forced and Compulsory

a )

Labour

b ) c ) d ) e ) f ) g )

Ask employees whether their identity cards or certificates are held by the company as a condition for employment. The company should not deduct part of salary to force the continuation of the workers. Check with employees whether such deductions are done. Check whether security guards are used to force workers to remain in the job. Compulsory continuation in job (by not allowing the workers who want to leave the job) is not allowed. Check whether the employees have the freedom to resign and go away if they so desire. There should be no hindrance on them. Whether people of external origin (without proper papers)are Held as employees? Page 2 of 8
Effective Date: Revision: Page:

h )

Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

20-04-2012 0 Page 3 of 8

Sr. No

SA 8000 Clause No
i ) j )

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

Whether bonded labour system is followed by engaging all members of a family under forcible conditions. Can workers refuse overtime?

Health and Safety

a )

Check the list of chemicals and their MSDS.

b ) c ) d ) e ) f )

Whether safety precautions as per the MSDS are followed? Whether adequate personal protective equipment are available?(mask, glove etc) Is there an officer responsible for health and safety? Are exits marked clearly Whether health and safety training has been given?

g ) h ) i ) j ) k ) l )

Whether employees are aware of the hazardous associated with their area of operation and how to protect themselves? Whether adequate personal are trained in fire fighting? Whether adequate personal are trained in first aid?

Whether emergency preparedness plan is available? Whether accident register is maintained? Whether emergency evacuation points are identified? Page 3 of 8

Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

Effective Date: Revision: Page:

20-04-2012 0 Page 4 of 8

Sr. No

SA 8000 Clause No

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

m ) Whether sufficient first aid boxes are available? n ) o ) p ) q ) r ) s ) t ) u ) v )

Whether mock drills have been conducted? Fire Cylinder easily access able

Monthly Fire Equipment Status properly L.T. Panels have rubber matt. Whether emergency plan and the H&S manual are amended based on experiences? Whether pregnant women and feeding mothers are given jobs which are fit for their state? Whether proper drinking water is provided? Whether gang ways have been properly identified and free of clutter. Whether dormitories provided by the company are clean, safe and have adequate toilets?

w ) Has the company conducted risk analysis on the materials ,processes and equipments[Health and Safety] x ) 4. Freedom Of Association And Right To Collective Bargaining. a ) b ) c )

Is crche provided when legally required? Whether unions are allowed in the company? How many unions are there?
1

Are employees free to join unions(and that of their choice) Page 4 of 8

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Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

20-04-2012 0 Page 5 of 8

Sr. No

SA 8000 Clause No
d )

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

Whether worker representatives are elected?

5.

Discrimination

a ) b )

Whether equal pay for equal work is given? How promotion decisions are made (among worker category)

c ) d ) e ) f ) 6. Disciplinary practices a ) b ) c ) d ) e ) f ) g )

Whether people of particular religion, region, and sex are discriminated against? Are pregnant women discriminated against? Are women dismissed when found pregnant? Are women subjected to sexual harassment? Are standing orders available? Are they followed? How is disciplinary action taken?

Are fines levied as part of disciplinary action? Is physical punishment like beating, illegal confinement etc, carried out? What are the legal cases pending related to disciplinary action? Are employees provided a fair opportunity to explain their side prior to decision on disciplinary action? Page 5 of 8
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Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises

20-04-2012 0 Page 6 of 8

Limited

Sr. No

SA 8000 Clause No
a )

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

7.

Working hours

The company exceeds 8 hour duty per day per head

b ) c ) d ) e ) f )

What is the normal overtime level? Work week cannot exceed 48 hrs. Overtime shall not exceed 12 hours per week. Is one day weekly off given? How are working hours tracked?

g ) 8.
Remuneration

What is the maximum number of consecutive hours worked? Are minimum wages as per regulation paid? Are the minimum wages meeting the basic need wages[BNW- see guidance note for calculations] Are there pay slips with full wage details?[including explanation of deductions]

a ) b ) c )

d ) e ) f ) 9. Management Systems a )

Whether premium rates are paid for overtime Salary pay dates to employees Method of Payments Is there a defined and documented SA policy (in local language also)? Page 6 of 8
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Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

20-04-2012 0 Page 7 of 8

Sr. No

SA 8000 Clause No
b )

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

Is it displayed prominently?

c ) d ) e ) f )

Does it include a commitment to meet national laws related to labour welfare? Is there a senior officer appointed as SA 8000 MR? Are there worker representatives who can interact with management on SA 8000 matters? Is the representative freely elected from among workers?

g )

Are works committees established?

h ) i ) j ) k ) l )

Are top management reviews conducted formally regarding SA 8000 performance and arrive at divisions for improvement? Is worker training on SA aspects provided? Is SA performance monitored? Audited? Are undertakings obtained from suppliers and subcontractors on compliance to SA 8000 requirements

Are suppliers checked for minimum SA requirement compliance prior to registration? m) Are there home workers? n Whether all welfares/safety measures are provided to ) home workers? o ) Whether home worker records are maintained by the company? Page 7 of 8
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Internal Audit Checklist (SA 8000:2008)

Ambadi Enterprises Limited

20-04-2012 0 Page 8 of 8

Sr. No

SA 8000 Clause No

Points to be verified

Evidence checked

Whether complying Yes /No

NC / OBS Ref

p ) q ) r ) s ) t )

Whether audits are conducted on home worker? Root cause analysis is done on all concern and action is taken to avoid recurrence. Is there regular communication with interested parties on SA 8000 performance? Whether company engages in dialogues with interacted parties on SA compliance.

Whether company provides access to auditors to verify compliance. identification of Goods in some department found missing

NOTE: O Means for Observation; NC Means for Nonconformity

Management Representative

Page 8 of 8