The targets have been set directly relating to value chain workers, such as aiming to reduce negative or advancing positive impacts, or to manage our material risks and opportunities. We have defined a process for setting targets relating to human rights due diligence, but we have not engaged directly with value chain workers, their legitimate representatives, or credible proxies, in setting them, nor in tracking the performance, or in identifying lessons or improvement as a result of our performance. Moving into 2025, we also plan to undertake a comprehensive review of these policy areas to understand any applicable targets that can be set in relation to workers in the value chain. GN’s overall ambition in this sphere reflects our drive to strengthen our due diligence processes and efforts in tracking effectiveness to monitor our progress connected to impacts on value chain workers.

As part of GN’s ongoing due diligence processes, we engage with value chain workers via credible proxies regarding our material impacts that are likely to affect them. All tier 1 contract manufacturers are audited every year, whereas tier 2 suppliers are audited every second year. These audits are based on the UN Global Compact principles of responsible business and the SA8000 standard, which address our material human rights impacts and risks.

During audits, we engage with management functions, such as human resources or operations, by random selection for interviews to gain insights into any work-related issues, hiring practices, and other relevant topics, particularly considering vulnerable or marginalized workers, such as minorities, persons with disabilities, and migrant workers. Following the interview, an assessment is performed to ensure working hours, treatment by superiors, safety, and salary are compliant with our standards and local legislations. Where major audit findings are evident, GN requires these to be addressed through corrective actions. Engagement during supplier audits in our upstream value chain informs our business decisions and ongoing collaboration with suppliers. We also ensure that any major findings from our engagement with value chain workers are incorporated into relevant improvement requirements for our suppliers, as well as to ensure that they comply with our Supplier Code of Conduct.