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 according 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).

In 2019, Compliance Confirmation reporting highlighted 3 (three) deviations from compliance standards resulting in fines exceeding CHF 2,000. The issues were related to operations in Chile (permit to operate violation, fine CHF 3,000 – CHF 10,000), Egypt (wastewater treatment, fine CHF 16,000), and India (hazardous waste disposal, fine CHF 140,000). All cases are managed to close out by the relevant regional operations team. Sika implements an Internal Control System in accordance with Swiss public company law in all its subsidiaries to ensure adherence to these standards.