Responsible Sourcing Policy

SMM Group Responsible Sourcing Policy

Based on the SMM Group Corporate Philosophy, Sumitomo Metal Mining Co., Ltd. and its group companies promote sourcing activities that take into account human rights, labor, compliance, quality assurance, the environment and local communities.

1. Human Rights and Labor

Regarding human rights and labor, the SMM Group applies practices and promotes procurement activities based on the items laid out in the international standard (Social Accountability 8000 series), as well as those laid out in our own SMM Group Code of Conduct, SMM Group Policy on Human Rights and SMM Group Responsible Mineral Sourcing Policy.

  1. Child Labor
    (Includes both labor performed by children under the age of 15 and labor performed by children under ages specified in related laws when the minimum required age to work or the age at which compulsory education ends is 15 or higher)
    (1) Our organization will not engage in child labor
    (2) Our organization will make efforts to prevent child labor from occurring among outside parties over which the Group has influence
  2. Forced Labor
    (All labor performed involuntarily, either out of fear of punishment or retribution, or under demand as a form of debt repayment)
    (1) Our organization will not engage in forced labor
    (2) Our organization will make efforts to prevent forced labor from occurring among outside parties over which the Group has influence
  3. Responsible Mineral Sourcing
    We do not source minerals that may be associated with human rights violations such as child labor or forced labor, environmental destruction, illegal mining, or corruption, or minerals that may be used as a source of funding for armed insurgents or other such organizations
  4. Health and Safety
    We will give highest priority to ensuring the physical health and safety of all employees and ensure a safe, hygienic workplace
  5. Freedom to Join Associations and the Right to Collective Bargaining
    In compliance with related laws, we recognize the rights of employees to either join or not join associations, and to engage in collective bargaining
  6. Discrimination
    (1) We will accept diversity and respect the individuality and rights of people
    (2) Our organization will not allow discrimination within the Group
    (3) Our organization will make efforts to prevent discrimination from occurring among outside parties over which the Group has influence
  7. Discipline
    We will not engage in corporal punishment, mental or physical coercion, nor verbal abuse against employees
  8. Working Hours
    We will comply with related laws and labor agreements regarding working hours, breaks and public holidays
  9. Compensation
    We will comply with laws regarding wages
    (1) We will pay employees wages above the statutory minimum wage, overtime work wages based on the legal extra wage pay rate and will not engage in unjust pay cuts
    (2) We will elucidate the details of wages and allowances periodically in writing

2. Compliance

Regarding compliance, the SMM Group has formulated the following items as the SMM Group Code of Conduct and will promote sourcing activities based on this code.

  1. Abidance by Laws and Rules
    (1) We will comply with foreign and domestic laws and rules, and conform to social norms
    (2) We will never under any circumstances commit an infraction of the law or act counter to social norms, even if doing so would seem to be in the company’s interests
  2. Collection and Management of Information
    We will collect information lawfully and manage it appropriately
  3. Handling of Intellectual Property
    We will strive to properly protect intellectual properties and respect intellectual properties of other parties
  4. Stance toward Performance of Sales and Purchasing
    We will comply with competition laws and conduct sales and purchasing activities based on fair competition
  5. Stance toward Entertainment and Gifts
    (1) We will entertain and present gifts to others, and accept entertainment and gifts, within the proper limits of both the law and social acceptability
    (2) We will comply with laws against bribery and will maintain healthy and proper relationships with government and political organizations
  6. Refusal of Relationships with Socially Disruptive Forces
    We will eliminate socially disruptive forces and have no relations whatsoever with them

3. Assurance of Quality

Regarding quality assurance, the SMM Group has formulated the following items as the SMM Group Code of Conduct and will promote sourcing activities based on this code.

  1. We will continuously improve quality control mechanisms and provide products and services that satisfy customers

4. Environment and Local Communities

Regarding the environment and local communities, the SMM Group has formulated the following items as the SMM Group Code of Conduct and the CSR Policy and will promote sourcing activities based on these.

  1. Concern for the Global Environment
    Taking into consideration climate change and biodiversity, we will act in a manner enabling us to contribute to the resolution and/or improvement of resource, energy and environmental problems of global scale
  2. In Harmony with Society and Local Communities
    As members of society, we will strive toward a harmonious and mutually beneficial relationship with local communities
  3. Communication with Stakeholders
    We will strengthen communications with all stakeholders to build healthy, trust-based relationships
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