Well-being

Our group has set forth the Vision for 2030 in human capital management as “a company that attracts a diverse workforce and allows them to grow and thrive,” and we believe that the well-being¹ of our employees forms the foundation of this vision.

• 1Well-being, in literal terms, means “living well” or “being happy,” and refers to a state in which individuals or groups are physically and mentally healthy, and live with a sense of satisfaction and fulfillment.

Our company is engaged in an integrated business from securing non-ferrous metal resources to smelting and providing high-performance materials, and we have a diverse workforce in various workplaces. For each employee to work with a high level of well-being in their respective workplaces is essential for individuals and organizations to fully demonstrate their potential.
Our group has prioritized ensuring the safety and health of our employees. We believe it is important for each employee to strive to maintain and improve their own health, and for the Company to provide a rewarding and comfortable work environment, so that all employees can work energetically with both physical and mental well-being. Through the promotion of well-being, we aim to enhance employee motivation and productivity, thereby contributing to the Company’s sustainable growth.

Maintaining and Improving Employees’ Health

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From an early stage, our Group has made securing the safety and health of officers and employees a priority from the standpoint of occupational health and safety. To ensure that all employees in our Group can work with greater health and motivation, we established the Sumitomo Metal Mining Group Health and Productivity Management Policy in FY2022, and of that year, we formulated the Employee Health Promotion Roadmap, which specifies medium- to long-term initiatives and targets, and a one-year Health and Productivity Management Plan.
In 2025, we established the Health & Productivity Management Promotion Section within the Human Resources Department as a central unit to promote health and productivity management company wide. We integrated the “Employee Health Promotion Roadmap” and the “Health and Productivity Management Promotion Plan” to create the “Health and Productivity Management Roadmap and FY2025 Promotion Plan.” Based on this plan, and in cooperation with the Sumitomo Metal Mining Health Insurance Society, we are implementing effective measures to maintain and improve both mental and physical health.

■ Sumitomo Metal Mining Group Health and Productivity Management Framework

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Employee Health and Productivity Management Roadmap and FY2025 Promotion Plan

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Addressing Mental Health Care

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In 2007, we issued our “In-House Guidelines on the Prevention of Health Disorders Due to Overwork and on Mental Health Care.” We take action to prevent overwork from an early stage onward, and promote four types of mental health care: self-care, care by line management, care by staff, and care by external organizations. To support early return to the workplace, we are also developing systems for leave from work and trial return to work.

Illness Prevention and Health Promotion Initiatives

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In cooperation with the Sumitomo Metal Mining Health Insurance Society, we are making initiatives for illness prevention and health promotion for our employees and their family members (dependents). To prevent lifestyle-related diseases, we promote the implementation of specific health checkups and specified health guidance, and encourage those at particularly high risk of serious illnesses to undergo checkups. We also subsidize all or part of the costs of various medical examinations, comprehensive health checkup system (Ningen Doc), and complete brain checkups. When undergoing complete medical checkups, employees can take health management leave (up to two days per year).
Furthermore, to promote smoking cessation, we have reduced the number of smoking areas and offer an online smoking cessation program for those who wish to quit. About 70% of participants in the smoking cessation program have successfully quit smoking.

Main Projects for Illness Prevention and Health Promotion

• Specified health checkups and specific health guidance for the prevention and remediation of metabolic syndrome
• Comprehensive health checkup system (Ningen Doc), brain checkups, colon cancer screening, abdominal ultrasound screening, gastric X-ray screening, dental checkups, HPV self-checks
• Encouraging employees at high risk of worsening of lifestyle-related diseases to undergo checkups and providing health guidance to employees at high risk of diabetic nephropathy
• Online smoking cessation program
• Intermediary sales of household medicines
• Determination of disease risk through genomic analysis

■ Smoking Rate and Target¹

• 1Reporting boundary: Employees of Sumitomo Metal Mining Co., Ltd. age 40 or older (results of specific health checkup interview)

■ Percentage of Employees with Abnormal Findings¹, Obesity Rate², and Targets

• 1Reporting boundary: Insured persons of the Sumitomo Metal Mining Health Insurance Society
• 2Reporting boundary: Employees of Sumitomo Metal Mining Co., Ltd. age 40 or older

■ Percentage and Number of Employees Receiving Health Checkups (Ningen Doc) ¹

• 1Reporting boundary: Insured persons of the Sumitomo Metal Mining Health Insurance Society who are 18 years old or older

Diverse Work Styles and Labor Productivity/Prevention of Long Working Hours and Overwork

Our Company complies with the laws and regulations of countries and regions regarding long working hours and overwork. As an initiative in Japan to prevent health disorders due to overwork, since 2003, before our working style reform initiatives, we have made the Company aware of employees who have worked overtime for over 45 hours per month and conducted health guidance by occupational health physicians for employees who have worked overtime for over 80 hours per month.
We make efforts to reduce employee average annual working hours to our target of 1,900 hours or lower, and report on progress toward this target every month at executive officers’ meetings. The recognition of diverse working styles (work-from-home and flextime systems) matched to the job leads a more active involvement in work from employees and promotes reduced working hours and enhanced productivity. In the Head Office District, we have introduced a flextime system with no core hours, achieving flexible working styles grounded in the independence of employees. To promote the taking of annual paid leave, we also engage in labor-management dialogue at all business sites, and study and carry out related measures based on the situation at each site. Based on the reduction of annual working hours achieved through these initiatives, since April 2021 we have unified the annual scheduled working hours for all working styles to 1,920 hours. In FY2024, annual total working hours were 1,946.7 hours (average for all employees) and the percentage of paid leave taken was 87.2% (annual average for all employees).

■ Average Annual Working Hours¹ and Percentage of Paid Leave Taken²

• 1Average annual working hours = scheduled working hours (excluding leave, paid leave, etc.) + overtime hours
• 2Reporting boundary: Employees of Sumitomo Metal Mining Co., Ltd. during the year (excluding limited-term employees who are specially hired employees)

Initiatives for Financial Well-being

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As part of our efforts to create an environment where each employee can work with peace of mind over the long term, our group is also focusing on improving "financial well-being." With the aim of supporting employees’ financial independence and asset building, as well as enhancing life planning and financial literacy, we are implementing the following initiatives.

Enhancement of investment education to improve financial well-being

Our group launched a “Financial Literacy and Asset Building Education Program” via e-learning in fiscal 2024, and established a new page titled “Investment Education - Let’s Consider Your Future Life Plan” on the Company’s internal portal site in fiscal 2025. The program mainly covers the following topics:

• Clearly explains the importance of investment education and the basics of asset building through videos and other resources, tailored to contemporary issues such as rising prices and the diversification of life events.
• Introduces the features, risks, and returns of major financial products—including savings, investment trusts, bonds, stocks, insurance, and crypto assets—in an easy-to-understand table format. The content also organizes key points by risk level and return, emphasizes the importance of long-term and diversified investment, and provides clear guidance on appropriate pension management.
• Provides detailed information on corporate defined contribution pension plans (DC) and how to utilize them for asset building.

In addition, to allow all employees to learn at their own pace, the program is compatible with a variety of devices, including smartphones, to enhance convenience. Going forward, we will continue to support long-term security and the improvement of financial well-being by further enhancing access to information, educational opportunities, and consultation support systems.

Employee Stock Ownership Association

The Employee Stock Ownership Association was launched in 1982 to assist employees with long-term asset formation. With the Company and the Group company employees (including non-regular employees) as members, the association contributes funds from salaries and bonuses for the purpose of purchasing shares of the Company. The incentive from the Company is 12% of the contribution, with dividends reinvested as members’ stock purchase funds.
Starting from fiscal 2024, we introduced a system to grant shares as a special incentive to members of the Employee Stock Ownership Association and the Group Employee Stock Ownership Association. New members of the association are granted 50 shares, and those who continue contributions for one year are granted 10 shares, respectively. Through this system, we support employees’ asset building and promote greater management awareness. By continuing this program, we aim to foster a workplace culture where employees can work with peace of mind and to achieve the Company’s sustainable growth. As of March 1, 2025, the participation rate (non-consolidated basis) was 68.0%.

Corporate Defined Contribution Pension Plan (DC) “Life Plan Support Allowance” System

Our company has introduced the Corporate Defined Contribution Pension Plan (DC) “Life Plan Support Allowance” system to enable employees to plan for the future with peace of mind and realize a fulfilling second life. Under this system, managerial employees make monthly contributions from their salaries, while general employees contribute from their bonuses. The amount of contributions is clearly indicated on salary or bonus statements according to each employee’s selection, thereby enhancing the transparency of the system. We will continue to provide comprehensive support for all employees to achieve stable asset building.

Long-Term Incentives and Rewards System for Employees

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Retirement Allowance and Corporate Pension System

In order to contribute to employees’ long-term security and job satisfaction, our company and its group companies have introduced a diverse retirement benefits system based on three main pillars: a lump-sum retirement allowance, a defined benefit corporate pension plan (DB), and a defined contribution corporate pension plan (DC). These systems are uniquely designed to exceed legal requirements and are implemented across the Group. By flexibly accommodating diverse lifestyles in later life and changes in employment styles, we help ensure stability and peace of mind after retirement.
With the revision of the managerial track personnel system in fiscal 2023, a point-based retirement allowance system has been introduced for management-track employees, reflecting both job responsibilities and years of service. Additionally, to better recognize employee contributions, the reduction system (payment rate) for voluntary resignation has been abolished, thereby increasing fairness. These measures support both workforce mobility and long-term retention and engagement.

1）Defined Benefit Corporate Pension Plan (DB)
This plan consists of a “First Pension” and a “Second Pension,” both provided as fixed-term pensions for either 10 or 15 years. The benefit levels exceed market averages, with contributions made until age 60 and compound management continuing until the mandatory retirement age of 65.

2）Defined Contribution Corporate Pension Plan (DC)
Introduced as a voluntary option in June 2017, this plan adopts a contribution method using bonuses as the funding source. Employees can manage their investments with a high degree of flexibility according to their life plans and preferences.

3）Lump-Sum Retirement Allowance System
In accordance with company regulations, a lump-sum payment is provided to employees who have worked for a certain number of years, with the amount determined by years of service and job responsibilities. Combined with the DB and DC plans, this system further supports employees in planning a fulfilling post-retirement life.

Commendations for Long Service

At our company, we express our gratitude for the contributions of employees who have served faithfully over many years by holding a Long-Service Award ceremony every year on the anniversary of our founding (March 1). The awards are presented to employees who, during the year leading up to the day before the anniversary, have completed 10, 20, 30, or 40 years of continuous service. Recipients of the award are given a certificate of recognition, a travel voucher, and special leave.

President’s (General Manager of Division’s) Commendation for Achievement and President’s Letter of Appreciation

To commend efforts and achievements in line with the scale and results of outstanding contributions to the Company through everyday work, once per year the Company presents certificates of merit and supplementary awards or letters of appreciation from the president or from general managers of divisions to individuals, groups, or workplaces.