Operation of Ethics Task Force
POSCO E&C operates a corporate ethics task force dedicated to ensuring that ethical management does not become a mere slogan, but rather that it is actually followed in practice. The corporate ethics task force carries out a variety of activities, ranging from the establishment of the ethics-related system to employee training and public relations to ensure that each employee makes a habit of practicing ethics.
Operation of Website
The regulations of the code of conduct specify what should be observed in business relations with stakeholders as part of the rules of conduct.
Operation of the Corporate Ethics Voluntary Practice Program
We shall seek justifiable profits through transparent decision-making and efficient management.
We shall enhance our corporate value through continuous management innovation and our growth strategy.
We shall respect shareholders’ rights and investment returns and provide necessary information in a timely manner.
Diagnosis and Improvement
We shall strive to make our company a place for our employees’ self- realization by respecting the creativity of individuals and providing them with the basis for fair competition.
We shall not discriminate against our employees regardless of their religion, age, sexual preference, academic or regional background. We shall establish a development-oriented corporate culture based on mutual trust and understanding.
Operation of Ethics Counseling Line
We shall respect national policy and law and fulfill our social responsibility as a corporate citizen.
We shall respect local communities’ traditions and culture and do our best to achieve co-prosperity and progress with local communities.
We shall abide by international treaties related to human rights, the environment, culture and economy and local laws and accounting standards.
Since 2004, POSCO E&C has conducted corporate ethics cyber education for all executives and
employees once a year.
From 2004 to 2006, we focused on the enhancement of staff members' ethical judgment abilities along with other efforts to strengthen ethical management and our shared understanding of ethical norms.
Since 2007, as our employees came to have a better understanding of ethical management and work towards implementing its principles, we have focused on increasing the discussion within the company on how best to respond to various dilemmas faced in the line of duty while emphasizing the practice of ethics.
Education using Ethics Pop-up Window
POSCO E&C has a weekly produced flash animation related to corporate ethics with a duration of less than a minute every other Monday since 2005 to establish an ethical corporate culture. The animation is viewable the first time staff members log into the company's EP after arriving at work.
The main contents of the ethics pop-up include unethical cases, considerations of stakeholders, impartial and honest work performance and outstanding cases of ethical practice.
The pop-up induces employee interest and draws upon changes in awareness and behaviors.
POSCO E&C has, since the second half of 2006, conducted tailored education in line with the features of each department and job, rather than sticking with a blanket education for everyone.
A tailored education is designed to deliver ethical dilemma situations or cases of ethical violations that staff members may encounter in reality through the corporate ethical group's visit to the concerned department. Staff members can use corporate ethics as an actual tool in their work, rather than merely an idea, via active participation, including discussions and presentations.
Tailored education has made a huge contribution to solidifying the ethical corporate culture practiced at POSCO E&C as our employees have responded positively to the program, which has shown great educational outcomes.
Promotion and Events
Clean Holiday Campaign
POSCO E&C launched the "clean holiday campaign" in 2004 as a signal of our intent and commitment to ethical and transparent business practice. The activities include 'No gifts exchange' with any parties involved in business interest, the prohibition of visits to or from partners, the return or donation (through an in-house auction) of the gifts sent by companies in which business interests are at stake.
Ethics Letter to Subcontractors
POSCO E&C has sent a CEO Letter to our subcontractors at least twice a year since 2004 in an effort to inform our stakeholders that the company's ethical management is not simply a slogan, but activities that we practice and that they can take participate in as well.
In addition to the CEO Letter, POSCO E&C began in 2010 to send a special Ethics Letter with articles on the various ways the company adheres to ethical practice. This letter further increased the interest in ethical practices.
Contest and Other Activities
To increase participation rates and attract interest in ethics, the company stages a variety of events every year, such as an ethics catchphrase contest, a dilemma case contest, a contest of systems and practices detrimental to ethical management and a best practice ethical contest. Between 2005 and 2006, four ethics quiz contests were held so that employees could check and confirm their understanding of specific principles and apply the rules properly when they are required to make an ethical decision within a challenging business situation.
Unethical Act Prevention System
POSCO E&C operates many types of systems for fundamental solutions to and prevention of corruption. In addition, regulations and systems are steadily being supplemented so that efforts do not stop at mere ethical standards announcement and effective and realistic implementation is realized instead.
Ethics presentation meeting for new customers -Special provisions on ethics practice
According to the special provisions on ethics practice, unethical acts may be converted into monetary amounts. If the amount is less than KRW 500,000, the trading volume may be restricted, or the related agreement may be canceled. If the amount exceeds KRW 500,000 but is less than KRW 1,000,000, the relevant agreement and/or similar agreement will be terminated; if the amount exceeds KRW 1,000,000, all agreements will be terminated. A customer involved in any of these acts will be subject to restrictions in all transactions or biddings.
If required by new POSCO E&C customers, corporate ethics presentation meetings are given individually on the dates preferred by the new customers in Songdo.
management, constituents of ethical standards, and practice of corporate ethics" and introduction of related systems such as the "special provisions on ethics practice", the "whistleblowing compensation system." Since new customers can share the philosophy of POSCO E&C's ethical management within a short period of time through such presentation meetings, POSCO E&C can ultimately prevent unethical acts; thus providing itself with an opportunity to solidify the win-win partnerships with interested parties.
Gift return center and in-house online auction
POSCO E&C started operating the center after Chuseok (Thanksgiving day) 2003 when the ethical standards were proclaimed. Even when gifts are received from interested parties on normal days, those whose values exceed KRW 50,000 are returned to interested parties at any time by the gift return center or may be donated to social organizations. Among the gifts received by the gift return center, gifts whose senders are uncertain or those that cannot be donated to social organizations are gathered and placed on the in-house online auction. The proceeds obtained from the auction are used as social service funds.
Standard for outside lectures given by directors or employees
The standard stipulates that the money received by a director or an employee giving a lecture outside the company using the knowledge acquired in the line of duty be used as social service funds. This is the practice of the principle of "Distinguishing between public and private," wherein the money received for giving outside lectures using the knowledge acquired in the line of duty is regarded as a company asset. In addition, the company operates external lectures based on a specified procedure to ensure positive impacts on information security. As per the standard for giving outside lectures, remuneration for lectures is not received from public institutions or interested parties considering public value or mutual growth. If the institutions requesting lectures are profit-making institution or other ordinary enterprises without any relation with the company, however, lecture fees are collected. Even in such case, the lecture fees are returned to POSCO E&C. If the lecturer designates the place of donation, the lectures fees shall be donated to the designated institution; otherwise, the money shall be deposited as social service funds through the Corporate Audit Department and periodically donated by the company.
Unethical Act & Corruption Reporting Center
If you are aware of or have experienced any unethical act or corruption of POSCO E&C employee, You can contact us via our whilstle blower system(Cyber Sinmungo). We guarantee that all information about whistle blower will be totally classfied and anyone who try to unveil whistle blower's identity will be purnished.
POSCO E&C has created new value through relentless change and creative innovation. As a result,
POSCO E&C was selected as Korea's Most Admired Company in 2009 by KMAC.
Top Ethical Company in Construction
Since introducing ethical management principles, POSCO E&C has wholeheartedly worked to adhere to ethical guidelines. The Institute for Industrial Policy Studies under the Ministry of Commerce, Industry and Energy (currently Ministry of Knowledge Economy) ranked POSCO E&C as the No. 1 ethical construction company in 2005.
Awarded the Grand Prize at the Korea Ethical Management Grand Prix
From the outset, POSCO E&C has worked to put ethics into practice. The fruit of these efforts is the award won by POSCO E&C for the Grand Prize of the Korea Ethical Management Award 2010 held by Hankook Ilbo and sponsored by the Ministry of Knowledge Economy and the UN Global Compact.