Kia is committed to establishing transparent and reliable governance by enacting an Ethics Charter and Code of Conduct to internalize a culture of compliance. In addition, the company, led by its dedicated compliance organization, implements company-wide education, selfchecks, and effectiveness evaluations, along with various improvement initiatives, to enhance compliance awareness.
Governance
Our Board of Independent Directors, Independent Director Recommendation Committee, Audit Committee, Sustainability Management Committee, and Compensation Committee under the Board of Directors boost on continuous improvement of ethical management.
Code of Ethics and Compliance
In Kia’s employment rules, there are disciplinary regulations for actions such as ethical violations. In particular, Kia enforces disciplinary action without exception in cases of non-compliance with legal obligations. In case of non-compliance with legal obligations, any fraudulent elements are considered during appointments. Additionally, in case of significant violations of compliance obligations, such as assault, misappropriation of public funds, embezzlement, bribery, and sexual harassment, the violator is excluded from appointment in principle. In 2012, Kia formed an organization dedicated to supporting compliance by appointing a Compliance officer and established compliance control standards and implementation guidelines, the basis for compliance support activities. The Compliance officer operates compliance support activities to prevent corporate legal risks and regularly report the details to the Board of directors. The Compliance officer evaluates the effectiveness of the compliance control system through an external expert and reports the results to the Board of Directors once a year. Kia has ensured that the company's compliance management message is spread smoothly to all executives and employees and that employees have a sense of responsibility for compliance management by implementing the Chief Compliance Manager System that conducts compliance control activities of the affiliated department through the appointment of the company-wide team leader designated as the Compliance support officer since 2017.
Ethics Violation Management
Kia enforces disciplinary measures without exception in cases of compliance violations. Violations affect eligibility for job appointments, and in cases of serious misconduct—including assault, embezzlement, bribery, and sexual harassment—offenders are barred from leadership appointments.
Kia protects and promotes human rights of all stakeholders, including employees, partners, and customers. Kia established the Human Rights Charter, which adheres with several international norms on human rights and labor. Kia produced ten primary bullet points in the charter to convey the company's commitment to human rights in all workplaces.
We’re also addressing human resource risks by urging employees to follow human rights principles and guidelines by educating them on the recently approved human rights charter.
Kia operates mandatory legal education for all executives and employees, including sexual harassment prevention education and education to improHuman Rights related Trainingve awareness of the disabled, so that executives and employees can always be alert to the importance of human rights.
Kia conducts annual human rights impact assessments across its domestic and overseas operations to identify and address potential impacts from its business activities on various stakeholders, including employees, suppliers, local communities, and customers. Now, the assessment has been further advanced into a human rights and environmental due diligence framework. To strengthen the framework, Kia developed risk assessment indicators reflecting global ESG due diligence standards and regulations, including the OECD Guidelines, ILO standards, the RBA Code of Conduct, and external regulatory requirements such as the EU CSDDD. In addition, the human rights and environmental due diligence framework was built in collaboration with human rights experts, labor attorneys, and external specialized institutions.
| Key areas of assessment | Number of detailed items |
|---|---|
Human Rights | Human Rights and Labor Risks Human Rights Management System Human Rights Risk Management Improvement in Working Conditions Supply Chain Human Rights/Labor Management Living Conditions Human Rights Management |
Environment | Environmental Risks Environmental Management System Greenhouse Gases and Energy Water Resource Management Waste Management Air Pollutant Management Hazardous Substance Management Biodiversity and Nature Protection |
Ethics | Ethical Risks Ethical Management System Information Security Responsible Raw Material Procurement |
Safety | Safety Risks Safety Management Occupational Hazards Chemical Substance Safety |
Kia has established "Ethical Advertising and Marketing Principles" to ensure the provision of knowledge and accurate information necessary for customer purchasing decisions, thereby upholding customers’ right to know and rational choice. These principles aim to foster a healthy advertising and marketing environment. Kia is committed to delivering precise and balanced information about its products and services, without exaggerating or falsifying social or environmental impacts. Furthermore, Kia forbids practices that unfairly compare or disparage competitor products and prohibits advertising and marketing activities that fail to protect vulnerable groups, such as individuals with disabilities and the elderly.