Human Rights Human Rights Policy The Fujikura Group Policy on Human Rights expresses the responsibility to respect basic human rights stipulated in the Universal Declaration of Human Rights during the course of our business activities globally. In addition, we strive to promote understanding and the actualization of human rights and reference international norms such as the International Labor Standards, the International Labour Organization's Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises and the Guiding Principles on Business and Human Rights established by the UN as we establish policies and measures on human rights. Fujikura Group Policy on Human Rights Established on January, 1, 2017 The Fujikura Group contributes to the development of the international community through excellent 'Tsunagu' (the Japanese word meaning "connecting") technology in response to the trust of our customers around the world. We fully understand that the human rights of all people affected by our globally developing business activities must be protected, and will respect human dignity and all internationally recognized human rights. The Fujikura Group Policy on Human Rights (hereafter "this Policy") expresses the responsibility to respect human rights based on the management philosophy and code of conduct of the Fujikura Group. 1. Respect for International Standards The Fujikura Group shall support and respect international standards for human rights that constitute internationally adopted and agreed upon universal values, including the International Bill of Human Rights, which sets forth the basic human rights to be enjoyed by all people in the world, and the International Labour Organization's Declaration on Fundamental Principles and Rights at Work, which sets forth fundamental rights at work. In addition, we shall frame this Policy based on the Guiding Principles on Business and Human Rights, established by the UN, to develop further initiatives toward respecting human rights. 2. Responsibility for Respecting Human Rights The Fujikura Group shall meet our responsibility to respect human rights by taking appropriate measures (remedies, prevention, mitigation) for rectification if it is evident that our business activities cause or promote adverse impacts concerning the human rights of people. The Fujikura Group shall appoint a person in charge of implementing this Policy, and that person shall assume responsibility for supervising compliance with this Policy. 3. Scope of Application This Policy applies to all officers and employees (i.e., all staff members including regular employees, contract workers, and temporary employees). In addition, if adverse impacts on human rights caused a business partner or other such related party are shown to be connected directly with our business activities, we shall request said party to take measures to respect rather than infringe upon human rights. 4. Compliance with Applicable Laws and Regulations The Fujikura Group shall comply with laws, regulations, and restrictions applicable in respective countries and regions where the Group conducts its business activities. If there is a contradiction between internationally accepted principles on human rights and the laws and regulations of any country or region, we shall respect the internationally accepted principles on human rights, while being as considerate of the laws and regulations of each country and region as possible. 5. Human Rights Due Diligence Based on the UN Guiding Principles on Business and Human Rights, The Fujikura Group shall continuously carry out human rights due diligence in order to identify, prevent, and reduce potential and actual adverse impacts on human rights that our business activities might have. The process of human rights due diligence shall include assessing actual and potential human rights impacts, integrating and acting upon the findings, tracking responses, and communicating how such impacts are being addressed. The Fujikura Group shall carry out its human rights due diligence constantly, recognizing that human rights risks may change over time as business operations change. 6. Promotion The Fujikura Group shall provide appropriate education for all officers and employees and raise their awareness on a continuous basis, so that this Policy and our human rights due diligence will be fully understood and effectively implemented in overall business activities. 7. Dialogue and Consultation In the implementation of this Policy, the Fujikura Group shall utilize external expertise in human rights. At the same time, the Fujikura Group shall hold dialogues and consultations with stakeholders who may be directly affected by actual and potential adverse impacts on human rights caused by our business activities, and seek efforts toward improvement. 8. Disclosure of Information In order to meet accountability for this Policy, the Fujikura Group shall report the status of all work on relevant measures in reports on Corporate Social Responsibility (CSR) and on our corporate websites. Basic Philosophy on Personnel Policies The Fujikura Group has established a basic policy to identify the needs of stakeholders and reflect this in its personnel policies and systems in order to build win-win relationships with customers, employees and society. Group HRM Vision The Fujikura Group established the Group HRM Vision in September 2017 as a compass guiding our human resources management to ensure we can beat out competition globally and grow as a group of companies. Through the establishment of the Group HRM Vision, we hope to speed up the hiring of human resources globally, create an environment where all group employees can achieve growth and self-actualization through their work, provide career opportunities to all regardless of nationality, race, gender, religion or age, promote diversity that embraces a workforce with various backgrounds and approaches, and foster global leaders. This is achieved by putting these actions into writing and broadly sharing them with stakeholders inside and outside the company. Through the Group Human Resource Committee and others, we seek to share information with other group companies and ensure the Group HRM Vision is implemented by all. Group HRM Vision Talent Management Policy We strive to recruit, develop, reward and retain talents who take a "Leading Role" with strong sense of ownership Required Actions We respect all employees as individuals and encourage leading change with collaboration in every moment Diversity We build an organization where diverse individuals can perform regardless of nationality, race, gender, religion, age or any other factor Development Opportunity From all over the world, we identify, develop and appoint leaders who take critical roles for our business growth Standards for Ethical Consideration and the Health and Safety Management of Employees Under the Fujikura Group Corporate Philosophy (MVCV), the Fujikura Group has established standards for ethical consideration and the health and safety management of employees to establish a workplace environment that respects human rights and is comfortable for employees by establishing workplaces where a diverse workforce can thrive professionally. Criteria for the Management of Employees' Health and Safety and for Ethical Considerations (Established in April 2007) 1.Prohibition of child labor and restriction of juvenile labor 2.Prohibition of forced labor 3.Prohibition of discrimination 4.Prohibition of bodily punishment, abuse and harassment 5.Appropriate labor time management 6.Promotion of a safe, hygienic work environment and health management 7.Provision of fair, impartial compensation 8.Respect for the rights of workers Response to the UK’s Modern Slavery Act 2015 In 2017, we established the Fujikura Group Slavery and Human Trafficking Statement in response to the UK’s Modern Slavery Act 2015. Since establishing the statement, we are making efforts to make it known to all of our employees globally through our company intranet. Fujikura Group Slavery and Human Trafficking Statement Human Rights Protection through Our Business Activities Practicing Human Rights Due Diligence Based on the Fujikura Group Policy on Human Rights, the Fujikura Group takes steps internally to address human rights issues when they emerge through the company’s internal reporting system and Partners Meetings with suppliers. The practice of human rights due diligence is now required to protect human rights and ensure transparency in procurement, manufacturing, and other business activities. In FY2020, we continued to build a human rights due diligence framework based on the procedures outlined in the Guiding Principles on Business and Human Rights. Specifying and Regular Examination of Potential Human Rights Risks The Fujikura Group uses international guidance on human rights, surveys from customers, and questionnaires from ESG rating institutions to establish human rights risks that could materialize through business activities and carefully examine them on a regular basis. Potential Human Rights Risks Associated with Fujikura Group Business Activities Activities Procurement Manufacturing Sales Human Rights Risks Child labor, forced labor, abuse of superior position, discrimination, non-payment of wages, wrongful dismissal, safety and health, etc. Occupational health and safety, labor-management relations, foreign workers, freedom of association, harassment, etc.Occupational health and safety, labor-management relations, foreign workers, freedom of association, harassment, etc. Human rights violations due to product safety and quality, unintended use, etc.Human rights violations due to product safety and quality, unintended use, etc. Stakeholders Suppliers Local communities Group employees Customers Local communities Impact Impact on stable procurement and risk of customer losses Reduction in engagement Damage to brand value Risk Assessment Communication with suppliers through Partners Meetings and conducting surveys Use of the Whistleblower system, internal audits by a specialized department, responses to RBA audits from customersv Understanding trends in legislation concerning human rights Responding to Questionnaires from Customers and RBA Audits The Fujikura Group aims to build long-term, sustainable relationships with customers and responds to sustainability surveys, RBA questionnaires, on-site audits, and other requests by customers. We focus our efforts on RBA audits in particular, take any findings received seriously, and respond quickly. This enables us to earn the trust of our customers and leads to the identification and correction of human rights risks in business activities. Using Surveys from ESG Rating Organizations to Determine Social Demands The Fujikura Group actively responds to surveys received from ESG rating organizations to determine actual conditions and respond to social demands. We extract the issues in actions, information disclosure, and other things demanded of the company by analyzing the different ratings by each ESG rating organization. This leads to stronger management infrastructure. Wage Management for Local Hiring The Fujikura Group hires locally whenever it establishes or expands its production sites overseas in order to actively contribute to the local society and economy through job creation. We make sure that wages paid to employees hired locally exceed the minimum wage in each particular location. Each of our companies have rules in place for decent pay, various stipends for commuting, bonuses, other discretionary pay, and retirement benefits, based on the labor standards laws and labor agreements in each country. For management staff at Fujikura and its main affiliated companies, we have introduced an arrangement of role ranks based on their current job and roles. We ensure there is no gender gap in the compensation system. Outside of Japan, we have established rules in full compliance with local laws on wages concerning the minimum wage, statutory pay, and overtime work in every country where we operate. Based on these laws, we ensure wages are paid according to a pre-determined schedule. Stakeholder Dialogu on human rights issues Based on the Fujikura Group Human Rights Policy, Fujikura assesses potential human rights impacts, examines and implements countermeasures, and discloses information. In FY2020, we held ESG meetings with institutional investors to exchange opinions on Fujikura's current status and future initiatives regarding business and human rights. Through communication, we are deepening our understanding of human rights risks related to our business activities and using this information for future measures. Raising Awareness Internally Efforts Toward Harassment Prevention At the Fujikura Group, we established the Fujikura Group Harassment Prevention Policy and promote the following initiatives. 1. Establishment of a harassment consultation desk together with a flow process for reports 2. Education using e-Learning (Target is all employees including manager) 3. Awareness-raising activities using in-house newsletters, intranets, etc. We also operate an internal reporting system for early detection and early response to harassment and violations of employment regulations. In Japan, we have established an internal contact point and an external contact point staffed by outside attorneys to receive reports from Fujikura Group employees and others. Overseas, each overseas subsidiary has its own whistleblower contact point, and the Fujikura Group has contracted with an outside specialist company to establish a whistleblower contact point at overseas Fujikura Group sites, which accepts reports at the Fujikura head office. [FY2022 Activities] Training on preventing harassment is conducted for all employees (including those dispatched and accepted on assignment) who work in Fujikura. The course participation rate was 99% (2,443 participants out of 2,460 employees).Provided anti-harassment e-learning content to group companies. Fujikura Group Harassment Prevention Policy (Established in October 2015) 1. We will not tolerate any type of harassment. 2. We shall perform the following in order to provide an amenable work environment that facilitates work by all employees. -Conduct training and educational activities to prevent harassment. -Establish a harassment consultation and complaint hotline and accept a broad range of consultations and complaints. -Promptly investigate the facts regarding consultations and complaints while taking privacy into consideration. Also, no detrimental treatment shall be afforded to any person by reason of cooperating with confirmation of the relevant facts. -In cases where the presence of harassment is identified, respond swiftly and harshly and take measures to resolve the problem and prevent reoccurrence. Raising Awareness Internally Through Human Rights Day Campaign At the Fujikura Group, every year we hold a Human Rights Day Campaign coinciding with Human Rights Day on December 10. This campaign involves displaying posters at our workplaces inside and outside of Japan to raise awareness internally about human rights and the Fujikura Group Policy on Human Rights. In addition, we provide employees across the group with the opportunity to think about human rights by conveying information about the background as to why the UN established the Universal Declaration of Human Rights and Human Rights Day. Labor-Management Relationship Based on Acceptable Consultation We recognize that freedom of association and the right to collective bargaining are fundamental human rights. In labor agreements concluded between Fujikura and the Fujikura Labor Union, we acknowledge that the labor union has the right to organize, the right to collective bargaining, and the right to strike. In order to keep labor union members fully informed, we also hold briefing sessions and consultation meetings on management policies, business plans, management measures, and business measures. In addition, management and union members engage in frank exchanges of opinions, striving to deepen mutual understanding and resolve any issues or disputes when they arise. Opportunities for Communication Briefing sessions (held twice annually) Consultation meetings (held monthly and as needed): quarterly financial results, monthly profitability, production situation, labor situation, and labor conditions, etc. Labor-management workshops (annually): MVCV, labor union policies, etc. Collaboration with affiliated companies (held as needed): sharing of opinions with labor-management of affiliated companies