Social Responsibility within Our Supply Chain

The Home Société Group (G2MC inc.) is aware of its social responsibility within its community; we take our role in the supply chain seriously. Rigorous purchasing processes are in place to identify imminent threats in our supply chain, currently covering direct suppliers (level 1 final product assembly) for brands distributed by the Group. We recognize the challenge with social compliance, especially when we don’t have full visibility of all the players in our production chain. To meet this challenge in the coming years, we plan to continue and expand the mapping of our supply chain in the coming years.

Procurement and Supply Chain

Procurement is a strategic priority for the Home Société Group. In 2023, we continued strengthening our due diligence in human rights, including the development and adoption of a supplier code of conduct. We've reviewed and established a stronger governance structure for our procurement teams through the implementation of structured and precise policies regarding social responsibility.

Procurement Policy

Our procurement policy covers Home Société Group products as well as products of other brands we distribute. With this policy, our values are respected while ensuring compliance with the law and the establishment of good relations with others, as well as businesses and our suppliers. The products distributed by the Group are selected by its purchasing team, which ensures that its suppliers are committed to adhering to The Home Société Group's Supplier Code of Conduct.

Risk Analysis

In 2023, we conducted an internal risk assessment of forced labor and/or child labor in its supply chains, focusing on suppliers operating in countries identified as high-risk by the US Department of Labor. Technical analysis of our imports and suppliers was initiated. Pakistan, Turkey, and Vietnam were identified as high-risk within the furniture manufacturing industry. Imports from these countries currently represent less than 5% of our overseas imports.

Percentage of imports by Country by the Home Société Group

Monitoring

In 2023, following the Covid-19 pandemic, our procurement teams resumed factory visits, targeting countries at risk like Turkey, ensuring product quality and workers' right to fair treatment, in a healthy and safe workplace environment.

Grievance Mechanism

A grievance mechanism was established by creating a confidential grievance channel for workers in Level 1 factories (workers.right@g2mc.ca), with a resolution protocol adopted by management, to protect workers from retaliation.

Resolution Protocol

Home Société Group strictly condemns all forms of child labor, forced labor, or any other human rights violations, investigating any suspected cases and adopting an exit or resolution plan based on investigation findings.

Investigation

The investigation process, overseen by the Director of Planning and the Vice President of Procurement, begins upon receiving information or allegations of forced or child labor, analyzing facts and local laws, and, if necessary, communicating with factory management and local authorities to inform them of allegations.

Resolution Plan

Following an investigation, our resolution team contacts the factory management with a resolution notice, requiring participation in a victim reparations plan, acceptance of monitoring by an external NGO, and covering the costs of implementing the resolution plan.

Escalation Policy

If a factory is uncooperative or fails to make sufficient improvements, within the agreed timeframe, Home Société Group will proceed as follows: 

• The Planning Director and the Vice President of Purchasing will organize a meeting with the plant’s management team to discuss the situation and agree on a resolution implementation plan within a realistic timeframe. 
• If the plant fails to improve the situation within the agreed upon timeframe, we will advise the plant of its decision to terminate the relationship. 
• Home Société Group will implement an exit strategy and inform the Retail Council of Canada to warn other players in the industry.