Fortescue operates under a Code of Conduct and Integrity which reflects our Values and represents our commitment to uphold the highest ethical business practices
Ethical Conduct
Fortescue operates under a Code of Conduct and Integrity Policy which reflects the values that underpin the behaviour of the entire Fortescue family and our relationship with stakeholders.
Code of Conduct
The Code defines our commitment to achieving and maintaining our reputation as an employer of choice, an ethical business partner and a good corporate citizen. It is the responsibility of all employees and contractors to ensure they are familiar with the Code, which is easily accessible both in printed and electronic formats.
Bribery and corruption
Bribery and corruption undermines legitimate business activities, distorts competition and exposes Fortescue and our people to significant risks. Our Anti-Bribery and Corruption Policy outlines our zero-tolerance approach to bribery and corruption, encompassing compliance with the laws of every country in which we operate.
As part of Fortescue’s ongoing commitment, our compliance program includes:
- participation in voluntary anti-corruption initiatives
- regular and specialist fraud and corruption risk assessments
- a commitment to sourcing through suppliers that adhere to our standards
- prohibition of the giving and receiving of gifts which go beyond common courtesies associated with general commercial practice
- rigorous policies around the provision of political donations
- a process for investigating allegations
- channels for employees and others to confidentially report suspected or actual misconduct or violations of company policy
Disclosing conduct confidentially
Fortescue has a secure, confidential and independent Speak Up service in place, where people can raise concerns if they become aware of actual or potential unethical conduct or inappropriate behaviour which may not align with Fortescue’s Code or Values. Employees, contractors, business partners and members of the public can all make use of the Speak Up service. All concerns will be handled professionally and confidentially, in line with our Values, and may be made anonymously subject to local laws. The Speak Up service can be used to raise concerns in relation to:
- Bullying, harassment or unlawful discrimination
- Drug and alcohol use
- Bribery, corruption or conflict of interest
- Fraud or theft
- Other serious misconduct or dishonesty
- Human rights concerns
- Safety concerns
- Fortescue’s business practices
The following reporting options are available
- Argentina: 0800 345 2476
- Australia: 1800 841 317
- Brazil: 0800 000 2809
- Canada: 844 858 4895
- Chile: 800 914 518
- China: 400 120 5081
- Colombia: 01 800 5189520
- Ecuador: 1800 001 242
- Gabon: 0800 90 17 70**
- Indonesia: 021 5091 8341
- Kazakhstan: 871 72973013
- Kenya: 0800 211 187
- Mexico: 800 639 0176
- Norway: 800 62256
- Peru: 0800 74891
- Portugal: 800 815 058
- Singapore: 800 492 2727
- United Kingdom: 0800 066 8879
- United States: 844 858 4248
Phone numbers are toll free unless otherwise stated.
**Gabon line is located in France. Callers will need to add the French International code +33 if calling from Gabon. Call costs incurred for this line.
Tax Approach
Payment of taxes is an important element of our commitment to ensure communities benefit from our operations. The taxes we pay contribute to the economic development of the countries in which we operate.
We strive for full and timely compliance with the letter and intent of the prevailing tax laws of all jurisdictions in which we operate and seek strong, collaborative working relationships with all relevant revenue authorities.
In line with our Board-approved Global Taxation Policy, we work to achieve this by:
- Ensuring implementation of and adherence to our Global Tax Corporate Governance Framework.
- Complying with all applicable tax laws and regulations of each country in which we operate, including reporting and paying all necessary taxes in a timely manner.
- Managing tax risks through constructing appropriate mechanisms that assess both short and long-term tax impacts when making major commercial decisions.
- Developing mutually transparent, cooperative and respectful relationships with tax authorities in the countries in which we operate and communicating with those authorities on tax matters where appropriate.
- Ensuring public disclosures are transparent, timely, accurate and meet stakeholder expectations.
- Operating in good faith through appropriate transfer pricing and not undertaking ‘profit shifting’ activities.
- Entering into transactions on the basis of commercial merit, not for the purpose of avoiding tax.
Governance
Our Board is ultimately responsible for ensuring a robust system of internal controls is in place for tax governance purposes. Our Global Taxation Policy and comprehensive Global Tax Corporate Governance Framework are key to governing the management of tax-related risks in Australia and in all relevant overseas jurisdictions. The Board, through the ARMSC, receives regular updates from senior management on the operation and effectiveness of our Global Tax Corporate Governance Framework.
Our attitude to tax risk
Fortescue accepts a low level of risk in relation to major transactions and tax compliance activities, undertaking to file only verified tax positions. Major transactions are determined based on the value of the transaction and associated tax risk, technical complexity of the transaction and interpretation of the prevailing tax legislation. Where the application of the tax legislation is unclear, we seek external tax advice and consult with the relevant taxation authorities to achieve an appropriate level of certainty. There are also a number of controls, systems and procedures in place to manage our exposure to tax risk.
Tax transparency code
We are committed to transparency across all aspects of our business, including in relation to our tax obligations. By providing our investors and other external stakeholders with relevant tax information, we offer a deeper understanding of our tax profile to the wider community. Our continuous review of internal tax policies, industry best practice, feedback from key stakeholders and legislative developments further underpins our commitment to tax transparency.
Fortescue has been a signatory to the Australian Board of Taxation (BoT) voluntary Tax Transparency Code (TTC) since 2017. The TTC sets out several principles and minimum standards to guide additional disclosures of tax information by multinational businesses. The TTC is divided into two parts, with the BoT recommending that Part A and Part B be adopted by large businesses such as Fortescue.
To comply with Part A of the TTC, we have extended the scope of our income tax disclosures contained within our annual financial reports since FY17. Part B disclosures are included in our sustainability reporting. This details our approach to tax strategy and governance, as well as providing additional information on overseas operations and international related party transactions.
Memberships of Industry Associations
Fortescue maintains memberships with a broad range of industry groups and associations, which allows us to contribute in a coordinated way to the development of effective policy frameworks, share best practice and access information and insights on material topics. Participation also provides an opportunity for us to positively influence the association and individual members.
Many industry associations engage in advocacy and lobbying on behalf of members, and we acknowledge the influence these activities can have on policy frameworks. We work to ensure that these actions reflect our own Values and commitments.
Given the nature of membership-based associations and the differing views of members, the policies and commitments of associations may not fully align with our own. Policy alignment is, however, important on critical issues such as climate change, biodiversity and human rights.
An overview of our approach to industry associations including policy alignment updates and details of our memberships held during FY23 is available in our Industry Association Report.