Chapter 3. The Concept of Ethical Behavior

LV as part of LVMH Group have adopted and promulgated the Supplier Code of Conduct which sets forth the Group’s requirements in terms of social responsibility (forced labor, discrimination, harassment, child labor, compensation, hours of work, freedom of association and collective bargaining, health and safety, etc.), the environment (impact reduction, use of green technologies, waste reduction, compliance with regulations and standards), and the fight against corruption. Relations with any partner necessitate the latter’s commitment to comply with all ethical principles enunciated in this Code. This Code of Conduct also sets forth the principle and procedures for the control and audit of compliance with these guidelines. Audits are also carried out on suppliers. In its supplier specifications documents, including clauses dealing with the individual rights of employees, child labor prevention, equality of opportunity and treatment, working time policy, and the protection of the environment. Louis Vuitton has put in place an ethical system of preliminary audits founded on compliance with local regulations as well as the SA 8000 social accountability standard, which is based on international workplace norms included in the ILO conventions: no child labor, no forced labor, providing a safe and healthy work environment, freedom of association and the right to collective bargaining, no discrimination, disciplinary practices, compliance with working hour and wage regulations. To ensure that they will be able to perform preliminary audits independently, Louis Vuitton’s buyers receive theoretical training covering the approach and criteria as well as practical training in the field in the company of an SA 8000 auditor. Specifically, Louis Vuittons suppliers must:

Share the fundamental values of the House 

Respect standing norms and regulations

Adhere to the ethical and social values of the House

Help protect the brands intellectual property and creativity

Protect nature and reduce the impact of its activities on the environment.

Louis Vuitton takes also preventive measures to ensure the application of the Code of Conduct some of them are the following:

Trace and protect all of the labor in its supply chain

Honor the role and voice of the worker as the best check on abuse

Provide for independent, unannounced, and thorough audits

Provide effective whistleblower and complaint procedures

Provide clear guidelines for security procedures throughout their supply chains to ensure that security

forces are not used to intimidate, hold, or abuse workers throughout their supply chains

Inform its shareholders and stakeholders on creation, maintenance and implementation of their related policies

Guarantee all workers mobility by strictly forbidding any holding of official documents

Ensure all workers are paid fairly

Comply with local laws related to slavery and trafficking in persons as well as ILO Conventions

Ensure that labor recruiters are fully licensed by their home government and do not engage in using fraud or debt to create a trafficking exploitation.

Louis Vuitton has always been conscious of the importance of respecting the environment and minimising its impact on the surroundings.
" Our culture is steeped in know-how, tradition and innovation. Such values naturally lead us to the respect of human heritage, and, first and foremost nature. The vast majority of the materials that we use in our products come from natural resources. We have a deep interest in committing ourselves to ensure that these materials remain available in the future." - Yves Carcelle CEO of Louis Vuitton.

Since 2004, Louis Vuitton has undertaken a Carbon Inventory every three years to continuously apply and improve innovative solutions across its operations and products around the world. Louis Vuitton voluntary actions not only encourage a collective commitment with suppliers and partners; they also raise environmental awareness and a sense of responsibility within the company. Louis Vuitton has fixed a “5R” rule : Renew, Recycle, Reduce, Review and Repair. Louis Vuitton craftsmen use renewable resources such as wood, cotton and leather wherever possible. Every member of the company is trained and made aware on how to recycle paper, plastic, leather off-cuts, etc. Louis Vuitton seeks to use the latest methods to reduce waste from packaging and to review the use of energy, products and employee transport etc. All stores further offer a repair service for leather goods and hard-sided luggage to ensure that the high-quality products, which are passed on from generation to generation, will last even longer.

Central to Louis Vuitton’s global commitment to local community initiatives is its long term partnership with global charity, SOS Children’s Villages. Louis Vuitton’s five-year partnership programme with the charity targets education, Partnership for Children’s Futures and learning support for disadvantaged children around the world 

Founded in 1949, SOS Children’s Villages supports orphaned and abandoned children and helps families in need to care for their children. Currently, there are more than 78,000 children and adolescents in some 500 SOS Children's Villages across 132 countries. Each SOS Village provides children with a home, a SOS mother, and a sense of belonging. In total, more than 900,000 beneficiaries receive services in more than 1,000 SOS educational, social and medical facilities.

In 2009 and 2010, Louis Vuitton supported the development of a multifunctional activity centre in the SOS Children’s Village in earthquake-devastated Chengdu, China. Louis Vuitton is also creating a university education programme targeting children from nine SOS China Villages who are particularly gifted or have shown high levels of scholastic aptitude and creative ability. SOS Children’s Village’s first-ever scholarship programme will also be launched and in its first year it will benefit 28 students from China, being renewed annually.

In 2009, Louis Vuitton celebrated the Red Cross’s 150 years of international activities in humanitarian aid as well as its own century and a half of savoir-faire in its Asnières workshops. The 150 years were celebrated by launching L’Excellence du Savoir-Faire, a special two-part charity project.

Fifth-generation member of the Vuitton family and head of Louis Vuitton’s Special Orders department, Patrick-Louis Vuitton created a limited edition ―Red Cross Medical Kit. The carefully crafted trunk features a hand-painted Red Cross logo on its monogrammed front, while special editions of the humanitarian association’s iconic red and grey emergency supply boxes are housed in its interior. Patrick-Louis Vuitton also created customised pieces for distinguished ambassadors of creativity: a dog carrier for Marc Jacobs, Creative Director of Louis Vuitton; a camera bag for photographer and friend of the house, Annie Leibovitz; a trolley case with knife tray for chef Ferran Adrià; an instrument case for musician and composer Gustavo Santaolalla; and a butterfly armoire for artist Damien Hirst.The auction raised a total of $755,000. All proceeds from the sale went to the Red Cross’s Fight against Malnutrition programme in Niger. Louis Vuitton further donated a percentage of sales of four iconic pieces — the Keepall, Speedy, Noe and Alma — from their US website to the American Red Cross.

In 2007, Louis Vuitton reaffirmed its commitment to environmental stewardship by becoming an active partner in The Climate Project. Founded by former US Vice President and Nobel Laureate Al Gore, this global non-profit organisation works to educate the public about climate change.On Earth Day, April 22, 2009, Louis Vuitton further demonstrated its commitment to the environment by donating 15% of sales made on its US website that day to The Climate Project. The initiative was followed by a 40th-anniversary celebration of the lunar landing on July 14, when, for that week, 10% of the sales of all travel-related purchases made at its Fifth Avenue flagship maison were donated to The Climate Project.
In 2009, Louis Vuitton collaborated with Spanish actress and OrphanAid Africa ambassador, Rossy De Palma, to create a collection of handcrafted fans. All proceeds from their sale at auction were donated to OrphanAid Africa.
On September 7, 2009, the Louis Vuitton Forest by More Trees was launched in Komoro City, Japan. The 104-hectare forest was created through cooperation with More Trees, an incorporated association led by Ryuichi Sakamoto. The goal of the project is to promote Japanese bio-diversity, by focusing on reforestation and creating forests in which ―beauty and ―relaxation can be experienced with all five senses.
 “As leader of the luxury industry we believe that we naturally have a responsibility to the world around us. Louis Vuitton continues to preserve its involvement within the world of Art & Education and this tradition dates back to the very core start of the House. Over the years, Louis Vuitton maintained its kinship with the field of Art, Education and culture with global projects, such as Young Arts Projects in London, Arte Excellence program in Singapore and the art and educational projects in Dubai in collaboration with Start” - Yves Carcelle, CEO and President of Louis Vuitton.

Sources: Louisvuitton.com/values, Chainstorereaction.com/LuoisVuitton, lvmh.com