Public Information Act in Hermes
Statement on the Public Information Act
For
Hermes Marine Services AS
Hermes Marine Services AS is subject to the Public Information Act and has initiated work in line with the legal requirements for due diligence assessments. The board has made decisions that the company shall fulfill its obligations as defined in the Public Information Act, and guidelines for human rights and labor relations responsibilities have been established.
Below is Hermes Marine Services AS’s statement on due diligence assessments:
Hermes Marine Services AS Organizational Structure and Operational Scope
Hermes Marine Services AS is a wholly-owned subsidiary of Hermes Holding 2 AS.
This statement encompasses due diligence assessments conducted for Hermes Marine Services AS.
The company’s primary operational focus is fabrication, repair, installations, and mobilization work for vessels in the offshore market, steel supply to other local businesses and the public. The company primarily operates in the Rogaland region, with approximately 50 employees and an annual turnover of approximately 250 million.
Due Diligence Assessments in Accordance with the UN Guiding Principles on Business and Human Rights and Guidelines and Procedures for Addressing Actual and Potential Adverse Consequences
Hermes Marine Services AS aims to promote responsible and sustainable business practices. Being diligent in assessments does not mean that a business has no negative impact on people, society, and the environment. Instead, it means that the company is open and honest about challenges and is working to address them in the best possible way, in consultation with its stakeholders.
Hermes Marine Services AS primarily employs permanent staff and has established internal systems through trust personnel and a safety organization to protect employees’ rights and ensure safe working conditions.
The company has approximately 150 suppliers that are regularly used, with the largest purchases related to steel and components used in the development of tools/equipment for the company’s customers.
Suppliers will be requested to provide an overview of both their subcontractors and the types of goods, solutions, and services they deliver to the company. This will be done to comply with the legal requirements for upholding human rights and labor relations both in the company’s own operations and within the subcontractors, down to the last link in the supply chain.
An evaluation of the company’s suppliers, subcontractors, and business partners has been conducted. To analyze and classify the suppliers, they are categorized according to a traffic light model.
Red light:
Suppliers used for direct delivery to end customers. Consists of wholesalers for raw material purchases, hiring agencies for personnel rental on larger individual projects. Foreign suppliers providing steel also fall into this group.
Yellow light:
Suppliers that, at the present time, cannot be seen to have a negative risk according to the due diligence assessment.
Green light:
Suppliers where the risk of human rights violations and indecent working conditions is considered low. For our part, these are mainly purchases from local suppliers in the Rogaland region related to insurance, rent, auditing, electricity, and more.
At present, a general review of the company’s suppliers has been conducted, and we will continue to work on systematization, mapping, and classification into supplier groups as described above. No negative consequences in the company’s supply chain have been identified through the preliminary due diligence assessment conducted.
The company has not identified or been involved in human rights violations at this time.
Suppliers will be monitored based on their risk classification, and measures such as direct contact, meetings, and questionnaires will be carried out.
Actual Adverse Consequences and Significant Risks of Adverse Consequences Identified by the Business Through Its Due Diligence Assessments
All significant negative issues uncovered during the supplier review will be linked to the specific assessments made by the company in accordance with the traffic light model.
Risks and negative consequences will be evaluated based on the severity of the consequences and the likelihood of negative impact.
Measures that the company has implemented or plans to implement to stop or limit significant risks of adverse consequences, and the results of these measures
Based on the results of the due diligence assessments, measures will be implemented to reduce the risk of breaches and negative consequences resulting from the company’s use of suppliers and business partners.
Training will be provided to all relevant employees about the company’s obligations according to the Public Information Act and how the company will conduct and follow up on due diligence assessments related to its supply chain.
A plan will be developed to stop/reduce the negative impact in cooperation with suppliers/business partners.
It may be necessary to collaborate with other companies at the industry level to address challenges. For example, to create a common knowledge base.
The Public Information Act and due diligence assessments are incorporated into the company’s quality management system – EQS Extend, through the procurement process and are governed by procedure P-840 Procurement Procedure.
The company has initiated a process for regular and systematic review of its suppliers, along with documenting the measures implemented and issues uncovered.
