Compliance

In 2010, California passed ground-breaking legislation requiring retail sellers and manufactures doing business in the state to disclose their efforts to eradicate slavery and human trafficking from their direct supply chains. The California Transparency in Supply Chains Act (SB657) was designed to provide consumers with the information to make informed purchasing decisions regarding the products they buy and the companies and brands they support. Read Senate Bill No. 657 Picnic Time, Inc. is not an owner or operator of any factory outside of the United States. We have in place Global Sourcing Standards that our suppliers must adhere to. These standards include setting high standards for quality and value and also set forth mandates for labor practices and the supplier workplace code of conduct. All suppliers must agree to comply with the standards and code of conduct in writing before we will approve them to be added to our supply chain. In our efforts to ensure commitment to these standards throughout our supply chain, we are a Category C affiliate of the Fair Labor Association (FLA). FLA is a collaborative effort of universities, civil society organizations and socially responsible companies dedicated to protecting workers’ rights around the world. The FLA is an international organization with a dedicated staff. Transparency is essential to upholding fair labor standards and protecting workers throughout product supply chains. If we don’t know what is happening behind the scenes in factories and on farms around the world, we cannot address the issues and make positive changes. As affiliates of FLA we agree to subject our supply chains to independent assessments and monitoring. www.fairlabor.org Picnic Time is committed to producing goods of the highest quality under fair labor standards and conditions that respect the rights and promote the welfare of its workers. This is the same code of conduct that is enforced at our own facility in Moorpark, CA. Code of Conduct Forced Labor There shall not be any use of forced labor, whether in the form of prison labor, indentured labor, bonded labor or otherwise. Child Labor No person shall be employed at an age younger than 15 (or 14 where the law of the country of manufacture allows*) or younger than the age for completing compulsory education in the country of manufacture where such age is higher than 15. Harassment or Abuse Every employee shall be treated with respect and dignity. No employee shall be subject to any physical, sexual, psychological or verbal harassment or abuse. Nondiscrimination No person shall be subject to any discrimination in employment, including hiring, salary, benefits, advancement, discipline, termination or retirement, on the basis of gender, race, religion, age, disability, sexual orientation, nationality, political opinion, or social or ethnic origin. Health and Safety Employers shall provide a safe and healthy working environment to prevent accidents and injury to health arising out of, linked with, or occurring in the course of work or as a result of the operation of employer facilities. Freedom of Association and Collective Bargaining Employers shall recognize and respect the right of employees to freedom of association and collective bargaining. Wages and Benefits Employers recognize that wages are essential to meeting employees’ basic needs. Employers shall pay employees, as a floor, at least the minimum wage required by local law or the prevailing industry wage, whichever is higher, and shall provide legally mandated benefits. Hours of Work Except in extraordinary business circumstances, employees shall (i) not be required to work more than the lesser of (a) 48 hours per week and 12 hours overtime or (b) the limits on regular and overtime hours allowed by the law of the country of manufacture or, where the laws of such country do not limit the hours of work, the regular work week in such country plus 12 hours overtime and (ii) be entitled to at least one day off in every seven day period. Overtime Compensation In addition to their compensation for regular hours of work, employees shall be compensated for overtime hours at such premium rate as is legally required in the country of manufacture or in those countries where such laws do not exist, at a rate at least equal to their regular hourly compensation rate. Any Company that determines to adopt the Workplace Code of Conduct shall, in addition to complying with all applicable laws of the country of manufacture, comply with and support the Workplace Code of Conduct and shall apply the higher standard in cases of differences or conflicts. Any Company that determines to adopt the Workplace Code of Conduct also shall require its licensees and contractors and, in the case of a retailer, its suppliers to comply with applicable local laws and with this Code and to apply the higher standard in cases of differences or conflicts. *All references to local law throughout this Code shall include regulations implemented in accordance with applicable local law.