INTERNATIONAL FLAVORS & FRAGRANCES INC. | Respect for Freedom of Association and Collective Bargaining at INTERNATIONAL FLAVORS & FRAGRANCES INC.

Status
16.94% votes in favour
AGM date
Previous AGM date
Proposal number
5
Resolution details
Company ticker
IFF
Resolution ask
Report on or disclose
ESG theme
  • Social
ESG sub-theme
  • Decent work
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Materials
Company HQ country
United States
Resolved clause
RESOLVED: Shareholders urge the Board of Directors of International Flavors & Fragrances Inc. (‘‘IFF’’) to
commission and oversee an independent, third-party assessment of IFF’s respect for the internationally
recognized human rights of freedom of association and collective bargaining. The assessment should
evaluate management interference when employees seek to form or join trade unions as well as
recommend steps to remedy any practices that are inconsistent with IFF’s international human rights
obligations. The assessment, prepared at reasonable cost and omitting legally privileged, confidential, or
proprietary information, should be publicly disclosed on IFF’s website.
Supporting statement
SUPPORTING STATEMENT
Freedom of association and collective bargaining are internationally recognized human rights according to
the International Labour Organization’s Declaration on Fundamental Principles and Rights at Work1
and
the United Nations’ Universal Declaration of Human Rights.2 The United Nations’ Guiding Principles on
Business and Human Rights urge companies to ‘‘know and show’’ that they respect human rights by
adopting ‘‘a human rights due diligence process to identify, prevent, mitigate and account for how they
address their impacts on human rights.’’3
IFF’s own Global Human Rights Policy states that ‘‘IFF recognizes and respects employees’ rights to form
and join trade unions and to bargain collectively.’’4 While we commend IFF for recognizing these rights in
its policies, we believe that conducting an independent third-party assessment of IFF’s respect for labor
rights is warranted in light of IFF’s global operations.
In the United States, approximately 200 IFF workers who are members of the Bakery and Confectionery
Workers International Union of America Local 390G went on strike in Memphis, Tennessee in
June 2023.5 The union has alleged that IFF committed unfair labor practices by refusing to bargain in
good faith. IFF has denied these unfair labor practices charges, and the unfair labor practice charges were
pending before the National Labor Relations Board as of November 2023 when this shareholder proposal
was submitted. We also believe this proposal will help address human rights risks at IFF’s operations in other countries
where freedom of association and collective bargaining may not be adequately protected. Approximately
3 out of 4 of IFF’s employees are located outside the United States.7
IFF has manufacturing and
distribution operations in approximately 45 different countries, including major manufacturing facilities
in Indonesia, Turkey, Brazil, China, and India.8
According to the International Trade Union Confederation’s 2023 Global Rights Index, these
five countries are rated to have ‘‘no guarantee of rights.’’ According to this report, Indonesia, Turkey,
Brazil, China, and India are among ‘‘the worst countries in the world to work in. While the legislation may
spell out certain rights, workers have effectively no access to these rights and are therefore exposed to
autocratic regimes and unfair labour practices.’’9
For these reasons, we urge shareholders to vote FOR this resolution.

1 https://www.ilo.org/declaration/lang--en/index.htm
2 https://www.un.org/en/about-us/universal-declaration-of-human-rights
3 https://www.ohchr.org/sites/default/files/Documents/Publications/GuidingPrinciplesBusinessHR_EN.pdf
4 https://www.iff.com/sites/iff-corp/files/2022-01/Iff-global-human-rights-policy-update-16-december-2021-final.pdf
5 https://www.localmemphis.com/article/money/business/soy-protein-workers-memphis-strike-bettercontract-iff/522-71a34170-ac9d-42a1-a2db-214ea897c7d5
6 https://www.nlrb.gov/case/15-CA-326495; https://www.nlrb.gov/case/15-CA-315724
7 https://www.sec.gov/ix?doc=/Archives/edgar/data/51253/000005125323000009/iff-20221231.htm, at 9
8 https://www.sec.gov/ix?doc=/Archives/edgar/data/51253/000005125323000009/iff-20221231.htm, at 6
9 https://www.ituc-csi.org/ituc-global-rights-index-2023

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