UK Modern Slavery Act Statement

Our UK Modern Slavery Act Statement provides information on the steps McKesson has taken to eradicate slavery and human trafficking from our supply chain as well as within our own organization.

McKesson Corporation (“McKesson”) publishes this Modern Slavery and Human Trafficking Statement (this “Statement”), pursuant to section 54 of the Modern Slavery Act 2015, on behalf of McKesson Global Procurement & Sourcing Limited (“MGPSL”) for the fiscal year ended 31 March 2021 (“FY21”).

MGPSL is committed to good corporate citizenship and the highest ethical standards. To facilitate the fulfilment of these commitments, MGPSL has established and maintains appropriate measures to safeguard against the occurrence of human rights abuses, modern slavery and related human trafficking within its supply chain, as further detailed in this Statement.

BUSINESS AND ORGANISATION

MGPSL is a private limited company incorporated in England and Wales and wholly owned by McKesson, a company incorporated in the State of Delaware, United States of America. The shares of McKesson are traded on the New York Stock Exchange. The McKesson group is a global leader in healthcare supply chain management solutions, retail pharmacy, community oncology and specialty care, and healthcare information technology.

MGPSL is the global sourcing and procurement organization for McKesson, delivering value by establishing global partnerships and developing new service solutions with manufacturers and suppliers focused on both generic and brand pharmaceutical products. In addition, MGPSL manages McKesson’s global private label strategy with a focus on generic, over-the-counter and medical-surgical products. MGPSL itself does not physically manufacture products or purchase products from suppliers as part of its core operations.

VALUES, POLICIES AND TRAINING

MGPSL is committed to acting ethically and with integrity in all its business relationships, aiming to ensure that modern slavery and human trafficking is not taking place anywhere in its business. MGPSL expects all organisations within its supply chain to adopt an equivalent approach in their operations and to share its ethical values which reflect the McKesson I2CARE principles, namely: Integrity, Inclusion, Customer-first, Accountability, Respect and Excellence. The I2CARE principles are central to McKesson’s Code of Conduct, which sets out important guidelines for MGPSL’s interactions with customers, suppliers and other business partners, and between its employees.

MGPSL has developed a new ‘Modern Slavery Prevention Policy’, to be formally adopted during the fiscal year ending 31 March 2022, which will further enhance MGPSL’s commitment to tackling modern slavery and human trafficking within its supply chain.

All MGPSL employees are encouraged to raise concerns, including potential violations of McKesson’s Code of Conduct, company policies and applicable laws. MGPSL provides different mechanisms by which concerns can be raised, including the McKesson Integrity Line, operated by an independent third party and available either by phone or online 24 hours a day, 7 days a week, in multiple languages, through which concerns can be raised anonymously. MGPSL does not tolerate any form of retaliation for raising concerns in good faith, asking questions or participating in an investigation.

MGPSL conducts periodic web-based and/or face-to-face training for employees to emphasize the importance of acting with integrity and in line with the I2CARE principles and Code of Conduct.

In FY21, MGPSL provided further information to its employees on the UK Modern Slavery Act and its implications, to help ensure a high level of awareness and understanding of the risks of modern slavery and human trafficking within its supply chains.

SUPPLY CHAIN and DUE DILIGENCE

Where appropriate, MGPSL's principal agreements require MGPSL's business partners to comply with all applicable laws that relate to their interactions with MGPSL, including, but not limited to, modern slavery laws.

COVID-19 PANDEMIC

MGPSL recognises the unprecedented challenges that were brought about by the Covid-19 pandemic in FY21 and that have persisted into the current fiscal year as they continue to lead to an increased chance of modern slavery in industry supply chains as businesses continue to adapt to the situation. MGPSL has continued to take steps to manage risks as they have emerged in order to guard against the occurrence of modern slavery within its organisation and its supply chains.

To help prevent the spread of the virus and ensure continuation of its operations, MGPSL has continued to monitor the public health emergency and review its own existing measures in accordance with UK Government guidance. Pursuant to such guidance, MGPSL has continued to facilitate homeworking for its non-essential personnel during the fiscal year, and all non-essential travel and face to face meetings were suspended. MGPSL has continued to pay sick pay in accordance with its internal policy throughout the pandemic and has implemented social distancing and other safety measures as it plans towards re-introducing employees back into its business premises on a voluntary basis in line with Government guidance.

MGPS employees have received regular communications throughout the period and had the chance to join regular group calls to keep them informed about the impact of the Covid situation on MGPSL and the measures taken to protect the health and safety of the employees. All usual MGPSL recruitment checks have been carried out remotely and all employees have had continued access to their usual support or grievance procedures as they remained available online and escalation routes remained fully available.

MGPSL has supported business partners during the pandemic by continuing to pay for orders or services promptly.

MGPSL’s Board of Directors has been kept up to date throughout the pandemic of risks posed by the virus and has been actively involved in determining any necessary adjustments to existing measures to help to protect MGPSL employees.

EFFECTIVENESS

MGPSL believes its efforts to date as outlined in this statement have been appropriate in helping prevent modern slavery and human trafficking from entering its supply chains.

GOING FORWARD

Following a review of the effectiveness of the steps we have taken in FY21 to help ensure its supply chain is free of modern slavery or human trafficking, MGPSL intends to take the following further steps to combat the occurrence slavery and human trafficking:

  • Continue to monitor the risk landscape within the context of MGPSL’s core operations and adapt mitigation actions accordingly.
  • Continue to monitor the legal landscape within the UK and implement any additional measures, as appropriate.
  • In order to assess the risk of modern slavery in its supply chains, conduct a risk assessment considering the organisational structure of MGPSL, operational model and recruitment and employment practices.
  • Implement and raise awareness of a standalone modern slavery policy for the business, intended to enhance MGPSL’s capacity and underline its commitment to tackling modern slavery within its supply chain.
  • Continue to work alongside its employees in developing approaches to working environments in relation to Covid-19, and to help ensure their families’, and their community’s, safety.

This Statement has been approved by the Board of Directors of MGPSL, and the Board has authorized G.B. Thomas, Director, to sign the Statement on behalf of MGPSL.

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