Fines and Sanctions
Sika strives for full legal and regulatory compliance, which are the foundation of its business. Consequently, all ISO-certified subsidiaries have a process in place to help them understand regulatory requirements and changes. They maintain certified management systems to ISO 9001 (Quality), ISO 14001 (Environment), and in some cases OHSAS 18001 (Health & Safety) and ISO 50001 (Energy Efficiency). Most of Sika’s subsidiaries work with external advisors to keep abreast of regulatory changes.
The management system to ISO 14001 requires companies to follow up on new legislation and implement legal requirements accordingly. Subsidiaries are audited by Legal and Internal Audit for compliance. General Managers are obliged to strictly adhere to the applicable legislation and to supervise the subsidiary accordingly. Each year, they must verify the level of compliance in their company together with their management teams and confirm this through a global reporting system (the Compliance Confirmation).
Sika implements an Internal Control System in accordance with Swiss public company law in all of its subsidiaries to ensure adherence to GRI standards. In 2020, the GRI Compliance Confirmations sought from each General Manager brought to light only 1 (one) deviation from GRI standards resulting in a fine exceeding CHF 2,000: Sika South Korea was fined CHF 3,250 for wrong labeling of imported products. In the meantime, the matter has been resolved and measures have been taken successfully to prevent reoccurrence.