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Responsible Business

ZTE continually strives to develop and promote high standards of business behaviour and social responsibility. Our Guide to Ethical Business Practice promotes fairness and dignity for the people and environments wherever we do business.


Corporate Governance and Ethics Standard

In the corporate governance structure, ZTE selects directors strictly according to the Company Law and Articles of Associations, which ensures the selection of directs to be open, fair, impartial and independent. In order to fully reflect the views of minority shareholders, ZTE has, according to the law, appointed an independent director who can fully express independent ideas.

The Board of Directors has a reasonable professional structure which is driven by the best benefits of the company to act honestly.  ZTE has formulated the rules of procedure for the board of directors, the board meeting shall be convened and held in strict accordance with the Articles of Association and Rules of Procedures for the Board of Directors.

To improve the governance structure, the board of directors has set up the nomination committee, audit committee and remuneration & evaluation committee according to the Corporate Governance Guidelines. The independent directors occupy the majority of each professional committee, and act as the convener, who shall provide scientific and professional suggestions and references for the decisions of the board of directors.

The Board of Directors is composed of 14 directors, including one chairman, two vice chairmen and 11 non-executive directors who are independent in the management.  5 of the 11 independent non-executive directors are influential and proactive, having rich experiences in the fields of telecommunications, finance, law and banking, with an academic and professional qualifications, while the other 6 have rich experiences in services and management.

This helps to strictly review and monitor the management program, ensuring the interests of all shareholders including the small and medium shareholders.

ZTE attaches great importance to the construction of credibility, and the internal oversight of anti-bribery.  On the one hand, based on national laws and regulations, ZTE has established the High Voltage Line for ZTE Employee Behaviour Standards.  The ZTE High Voltage Line includes: intentional false reimbursement, receiving kickbacks, revealing the company trade secrets, engaging in the activities which are commercially competitive with the company, and covering up violations of the law and breaches of discipline.  Meanwhile, we have conducted the anti-bribery education, and invited the officers from the judicial system to conduct legal training for the corporate management.

ZTE Corporation Newspaper has opened a column of Law Story, which reports typical cases, to form a good atmosphere of anti-commercial corruption.  On the other hand, ZTE reinforces the momentum to crack down commercial bribery behaviour.  ZTE auditing department provides reasonable auditing assurance against commercial bribery by the means of auditing retired cadres, regular auditing and auditing on special topics, and seriously deals with any behaviour against the law, disciplines and regulations.


Supplier Code of Conduct

To this end, ZTE has established a Supplier Code of Conduct that outlines certain principles expected from our supplier base and throughout the ZTE supply chain.

ZTE expects all suppliers, especially our "Strategic" suppliers, to adopt and adhere to policies and procedures that uphold the same high standards of integrity and ethical business practice ZTE does. It is important to ZTE that all suppliers represent us in a manner that enhances our reputation and relationships with our stakeholders, including customers, around the world.


Principles of the Supplier Code of Conduct

The Supplier Code of Conduct is based on three overriding principles:

1. Be Honest and Obey All Applicable Laws:
Commit to act in accordance with all relevant laws, regulations and industry standards in the countries in which suppliers operate.

2. Treat People with Dignity and Respect:
Adopt and promote labour practices that foster the dignity of the individual as well as conform to all local laws and regulations.

3. Protect and Enhance the Environment:
 Recognize global and local environmental responsibilities and take all commercially reasonable steps to safeguard the environment.


Be Honest and Obey all Applicable Laws

ZTE expects that its suppliers will abide by all applicable laws and compete fairly in the marketplace. Under no circumstances is it acceptable to offer, give, solicit or receive, directly or indirectly, any form of bribe, kickback or any improper or illegal inducement.


Treat People with Dignity and Respect

ZTE expects its suppliers to treat all persons engaged in the course of doing business with dignity and respect. Suppliers are expected to adopt sound labour practices and treat their workers fairly and, at a minimum, in accordance with local laws and regulations in all of their operations worldwide as outlined below:


  • Working environment

In accordance with applicable laws and industry standards, provide employees with a safe and healthy working environment, with access to adequate safety training appropriate for the particular industry. Provide a working environment where workers are able to work without duress or fear of physical punishment.


  • Child or forced labour

Commit to a zero-tolerance policy toward the use of child labour, and adhere to the United Nations Convention on the Rights of the Child and the International Labour Organization's child labour conventions.

Employ workers who choose to be employed by that company. The supplier  will not use any forced labour or any non-voluntary labour.


  • Working hours

Do not require employees who are in a non-management or non-supervisory role to work excessive hours, in accordance with industry benchmarks. Any overtime should be voluntary on the part of all employees.


  • Wages and benefits

Pay employees, at a minimum, a living wage based on local and industry standards which enables employees to meet the basic needs of themselves and their families and receive payment in due time for services rendered in accordance with the local and industry standards.


  • Workforce diversity

Have the strongest policy permitted under local standards and national laws prohibiting discrimination based on race, national origin, gender, religion, age, disability, or other factors that have no bearing on job performance.


  • Terms of employment

At a minimum, follow all national laws with respect to the length, conditions and termination of employment.


  • Protect and Enhance the Environment

ZTE expects that its suppliers will take the necessary steps to protect the environment in the various regions of the world in which they operate. ZTE expects its supplier base to meet current and emerging compliance expectations on a global basis. Suppliers must be prepared to work towards the following goals:

Develop innovative solutions to environmental issues before they arise and take responsibility for the environmental impacts of their products.

Commit to implementing solutions to any environmental concerns that may arise as a result of their operations.

Follow all local environmental laws and regulations of the jurisdictions in which they conduct business.
Implement environment, health and safety management systems, for example ISO 14001 and OHSAS 18001.