Ponsse's ethical whistleblowing system. Click here: Ponsse’s ethical whistleblowing system
 

Ponsse wants to be the preferred partner in sustainable forestry. We seek to produce sustainable solutions for the benefit of our customers and the environment. 

We are committed to carrying out our business operations sustainably and responsibly while addressing social, environmental and financial responsibility, as well as good corporate governance. Our Code of Conduct is based on our goals, good corporate governance and our values: we truly care; we work for our customers; we are true to our word; and we are eager to develop ourselves. The Ponsse spirit – working together to put it briefly – is materialised when we work every day according to our values. The Code of Conduct is a shared set of rules that guides our daily activities and selections, and strengthens our corporate culture and mutual cooperation. 

Our operations are always based on compliance with law and international sustainability guidelines, including respecting international human rights. Our operations are open, honest and worthy of trust. We also engage our key stakeholders in the continuous improvement and development of business operations.

The Code of Conduct applies to everyone who works in Ponsse Group, in all of the company’s operating countries, as well as, where applicable, to individuals, companies, and organizations outside Ponsse that are closely associated with Ponsse when they work with or on behalf of Ponsse. Each Ponsse employee is obliged to act as an example in compliance with the Code of Conduct and represent the company in an exemplary fashion. The local operating environment or legal provisions may require compliance with guidelines that are stricter or more detailed than this Code of Conduct, in which case they must always be followed. However, no practices falling below the standards defined in this Code of Conduct are permitted. 

Our ways of working are next specified from the perspectives of three areas.

Social responsibility: We treat people well 

To us, social responsibility means taking responsibility for people and treating every individual appropriately. We treat people with respect in all situations and stakeholder relations.

Our social responsibility is based on human rights responsibilities that are specified in international human rights standards that protect all people. The ground rule in Ponsse’s human rights responsibility is to prevent any negative human rights impact arising from the company’s operations and fix any harm caused.

We have specified the human rights issues that are the most significant for Ponsse by assessing the human rights impact and risks of the company’s operations. Focus is on four key stakeholders from the perspective of human rights responsibility: our working community; customers and end users of products; employees in procurement chains; and people in our neighbourhood. 

Most important operating methods related to our key stakeholders are:

Our working community: We build a caring atmosphere 

●    Everyone at Ponsse is responsible for helping build a positive atmosphere in the workplace. We build and maintain a positive atmosphere by addressing one another and engaging everyone.
●    We appreciate every member of our working community and everyone’s input. We bear responsibility for our work.
●    We also discuss difficult matters openly, while always seeking a mutual understanding and respecting one another.  
●    We appreciate diversity in our working community, as well as diverse characteristics, backgrounds, views and skills.
●    We treat everyone equally without any discrimination.
      ○    We do not discriminate against anyone, that is place anyone in an inferior position, for any personal reasons (gender, age, ethnic origin, nationality, language, religion, beliefs, opinions, political or union activities, family relations, health, disabilities, sexual orientation or other personal reasons).
      ○    We give everyone equal opportunities in recruitment, competence development and career advancement. 
●    We behave in a manner that does not place anyone’s psychological or physical safety at risk. We do not behave inappropriately, threaten anyone, or harass or disturb anyone sexually or in any other inappropriate manner.
●    We ensure that every member of our working community can feel appreciated, has the courage to express themselves and show their true identity.
●    We do not accept child labour or the use of young workers (under 18 years of age) if such work can place their development and health at risk. We provide young employees with sufficient induction protecting their health before starting any work. 
●    We pay special attention to ensuring occupational safety and wellbeing at work.
      ○    We comply with Ponsse’s occupational safety and personnel guidelines.
      ○    We use appropriate protective equipment in accordance with guidelines.
      ○    We always operate in line with Ponsse’s values. We report any situations or actions that place occupational safety and wellbeing at risk to the nearest supervisor or the HR unit. 
      ○    We do not use any intoxicating substances (alcohol or narcotics) at work or come to work intoxicated. 
      ○    The use of alcohol must be voluntary at the company’s official events and at leisure events held by the employer. In addition, the  serving and/or use of alcohol must be responsible, and we never place our psychological or physical safety or that of others at risk.
      ○    We follow the HR unit’s guidelines for sick leave. 
●    We appreciate differences of opinion and also follow Ponsse’s values when we disagree with others.  
●    We use communication channels (including social media) responsibly in accordance with the employer’s instructions, and we do not share any confidential information. 
●    We recognise everyone’s right to join or not join a trade union, and we treat each other fairly without any discrimination, regardless of whether we are union members. We respect the right to engage in legal and peaceful collective agreement negotiations.
●    We recognise the importance of work-life balance. As employees, we take care of our wellbeing by taking the holidays we have earned as instructed, and as supervisors, we enable holidays and other statutory leave for our teams. We take good care of our wellbeing and coping at work, as employees, supervisors and managers, and ensure that our working hours remain reasonable.

Our customers and end users of products: We ensure product safety and follow a customer-driven approach

●    We ensure that our products are safe for their users and that users know how to use our products safely.
●    We always respect our customers and their views as the best experts in their business and harvesting.

Employees in our procurement chain: We exert our influence to protect employees

●    We identify key human rights risks associated with employees in our procurement chain.
●    We require that human rights are respected in our procurement chain, and we use all means available to us (including agreements, instructions, procurement policies, cooperation and auditing) to ensure this.

People in our neighbourhood: We prevent any negative impact

●    We ensure that our operations (including production, transport, sales and maintenance) do not cause any negative impact on people staying, moving or living close to our locations. 
●    Through our activities, we ensure that our external services (including transport, sales and maintenance) do not place other people in the same area at risk.
●    We identify the impact of any environmental damage caused by our operations on people and human rights.

Environmental responsibility: We develop and lead our operations while respecting nature 

Environmental responsibility in business operations means compliance with environmental law, as well as the identification and management of the environmental impact caused by operations. Preventing and reducing the adverse impact of operations on the natural environment is an integral part of environmental responsibility.

The environment and the welfare of forests are at the core of sustainable forestry. We identify and understand the impact caused by our operations, as well as their significance for the environment and people. We report them truthfully and openly and are engaged in cooperation with the authorities and other stakeholders.

We have identified that our environmental impact comes from the manufacturing, transport, operation and maintenance of machines. In addition, the use of facilities has an impact on the environment. Everyone at Ponsse can have an impact on the natural environment through their actions.

We comply with the acts and regulations prepared to protect and preserve the environment and address the needs of our customers and other key stakeholders. We operate proactively to save the environment and avoid any adverse impact on it. In decision making, we focus on our operations that have an impact on climate change, biodiversity and natural resources.

●    We identify the environmental impact of our daily activities and select operating methods that minimise environmental harm.
●    We operate in ways that save energy, material and natural resources.
●    We make ecological solutions that protect nature in our R&D activities.
●    We communicate our accomplishments and challenges openly and honestly, and we do not mislead our stakeholders, customers or other Ponsse people when communicating our environmental impact.
●    We select the products and material we purchase while addressing their
environmental impact. We develop our products taking business and environmental goals into account. 
●    We take care of our work environment and that of other Ponsse people by sorting our waste correctly.
●    We consume electricity and water sparingly, and we address any energy and water restrictions in our daily activities. 

Financial responsibility & good corporate governance: We build an ethically sustainable operating environment

We comply with acts and regulations applied to corruption prevention, international trade and exports in all our operating countries. We ensure that, in our operations, we avoid all types of unethical and illegal activities that could distort competition or endanger business. We operate in a way that allows us to earn the trust of our colleagues and customers. 

We always operate ethically and fairly. This stands for openness, honesty and fairness in everything we do.

As a company or as its representatives, we do not voice any political statements.

Corruption and bribery

Corruption means unethical conduct which is damaging and unfair in society. Corruption is materialised through conflicts of interest and favouritism. Bribery is a form of corruption which includes offering, promising and receiving financial or other benefits. Its purpose is to unfairly advance business operations, ensure desirable official decisions or gain other advantages.

We do not operate in a way that could be regarded as corruption. We do not give or receive bribes or other similar payments, directly or through intermediaries, to maintain or secure our business operations. Bribery and corruption may have disciplinary and legal consequences.

Gifts and hospitality

Hospitality and occasional gifts are part of normal business in some situations. Hospitality includes reasonable, regular and openly given gifts that do not affect the recipient’s judgement or decisions. We always ensure that gifts are ethically appropriate and do not leave their recipient with the feeling of owing gratitude. 

Conflicts of interest

We avoid all situations where personal interests may be in conflict with Ponsse’s interests. A conflict of interest is materialised when personal interests are in conflict with our professional obligations or Ponsse’s interests which may reduce our ability to make impartial decisions. A conflict of interest may result from an employee and supervisor being related or in a relationship, or other similar personal relations. A secondary occupation or a significant position or shareholding in a company of a customer, competitor or supplier may lead to a conflict of interest. A secondary occupation is always subject to a separate permission, for which the HR unit provides more detailed instructions. 

All situations and relations that may result in a conflict of interest must be reported to the nearest supervisor and the HR unit to investigate the situation.  

Money laundering and trade sanctions

We do not finance terrorism, wars or criminal activities in any way. We know our partners and verify the origin and legality of funds if they involve suspicions of money laundering, war financing or other criminal activities. We make business payments based on invoices, and we do not accept any cash payments. 

We comply with regulations on international trade and any international trade sanctions. We refrain from business activities with any countries, people or organisations subject to sanctions. 

Fair competition

We comply with cartel and competition law to ensure that our operations are based on free and fair competition. We do not share any customer information with our competitors or sign any agreements that would increase prices or distort competition.

Confidentiality

As a listed company, Ponsse must consider carefully what information to share and when. We do not share any unpublished information outside our company. 

We do not process confidential information in public areas. During business trips and when working remotely, we pay attention to information security, and when working in public areas, we protect our screens and internet connections. We use strong passwords in our operations. 

We only process personal and business data that are related to Ponsse’s operations, confidentially and on legitimate grounds. We follow good practices and data protection policies in the processing of personal data, and we address data protection requirements regarding our working community, customers and partners in accordance with applicable law.

Tangible and intangible assets

As members of Ponsse, we ensure that Ponsse’s tangible and intangible assets and financial resources are handled appropriately. Here at Ponsse, we are responsible for ensuring that assets are only used for permitted business purposes and are protected against all possible damage and unauthorised use.

We respect our intellectual property rights and those of others, and we only use these rights in accordance with agreements and valid law.

Implementing the Code of Conduct and reporting any concerns

We implement this Code of Conduct as follows:
●    Everyone at Ponsse (including external and temporary employees) must complete Code of Conduct training and any additional training related to it. Code of Conduct training and a commitment to complying with it are part of induction provided for Ponsse’s employees (including external and temporary employees). Ponsse’s supervisors are responsible for presenting the Code of Conduct and making it concrete in the working community by ensuring that employees have completed appropriate internal training.
●    Everyone at Ponsse must intervene in any deficiencies and activities not in compliance with the Code of Conduct. As a rule, reports must be submitted to the nearest supervisor or a representative of the HR unit, or to Ponsse’s managers if required.
●    Representatives of Ponsse’s working community and other stakeholders can also submit reports in their own name or anonymously using Ponsse’s whistleblowing channel. Reports are investigated confidentially and impartially by Ponsse’s whistleblowing team. More information and a link to the whistleblowing channel maintained by an external party are available on Ponsse’s intranet and website. 
●    Any non-compliance with the Code of Conduct will be handled in accordance with the company’s internal processes and practices. Any misuse may lead to a warning and serious violations to the termination of the employment contract. If criminal activities are suspected, we will report them in accordance with local law and practices. 
●    There will be no adverse consequences for any persons who report such violations in good faith.

Updating the Code of Conduct and further information

Ponsse Plc’s Board of Directors approved this Code of Conduct on 21 October 2024. The company’s management will review the content of this Code of Conduct regularly and update it as required to ensure that the Code of Conduct represents best practices and responds to any changes in Ponsse’s business operations and operating environment. 
Further instructions for the application of this Code of Conduct are provided in Ponsse Group’s principles, guidelines and commitments. 
If you have any questions about the interpretation of or compliance with this Code of Conduct, contact the members of Ponsse’s Leadership Team, including Chief People & Safety and Chief Responsibility Officers.    

Vieremä, 21 October, 2024

PONSSE PLC