Occupational Health and Safety
GRI 3-3
Because our Group’s business activities involve working at heights and handling large equipment, heavy machinery, and chemical substances, employees are exposed to the risks of occupational accidents, including fatalities, and health hazards.
On the other hand, an environment in which employees can work in safety and with security is one of the most important management elements that leads to greater employee motivation and stronger relationships of trust between employees and the Company. Therefore, the SMM Group aims to create comfortable and safe workplaces, including at our contractors, and is further advancing its equipment intrinsic safety measures and has begun introducing advanced technologies including the IoT1 and AI (Artificial Intelligence).
- 1Internet of things: Connecting many different types of things via the Internet to provide various services.
Occupational Health and Safety Policy, Targets and Results, and Action Plan
GRI 3-3
Occupational Safety Policy
Toward the Elimination of Serious Accidents
- Upgrading Equipment to Make it Inherently Safe
- Enhancement of Safety Management Capabilities
- Developing Employees Who Can Take Safety Actions
■ Occupational Safety Goals and Results
| 2024 Results | 2025 Targets | |||
|---|---|---|---|---|
| 1. Occupational accidents | Serious accidents (resulting in 3 months or more of absence from work) |
All accidents | Serious accidents (resulting in 50 days or more of absence from work) |
Accidents (excluding lower back pain and heatstroke) resulting in 4 days or more of absence from work |
| 1) Japan Group employees | 2 cases Target: 0 cases |
22 cases Target: 7 cases or less |
0 cases | 2 cases or less |
| 2) Japan contractor employees | 0 cases Target: 0 cases |
7 cases Target: 2 cases or less |
0 cases | 1 case or less |
| 3) Overseas business site employees | 0 cases Target: 0 cases |
0 cases Targe: 1 case or less |
0 cases | 0 cases |
| 2. Traffic accidents | ||||
| Traffic accidents caused by employees resulting in injury or death | 8 cases Target: 6 cases or less |
6 cases or less | ||
Outcomes of 2024 Initiatives
In 2024, the number of occupational accidents among SMM Group in Japan employees exceeded our target, with a total of 22 accidents, including 2 serious accidents (resulting in 3 months or more of absence from work). Of all accidents, 9 resulted in absence from work, and among these, 7 involved employees with relatively little work experience. The number of occupational accidents at domestic partner companies also exceeded the target, with 7 cases reported. On the other hand, our overseas business sites achieved zero occupational accidents, meeting the target for total occupational accidents.
Background factors for occupational accidents include, “Delays in safety enhancements for high-risk equipment, such as upgrading to inherently safe designs”, “Failure to address hazardous tasks due to insufficient supervisor awareness”, and “Human errors due to lapses in adherence to basic safety rules and procedures”.
In 2024, we reinforced emergency safety measures and promoted permanent improvements, including investment to upgrade automated equipment with the potential to cause serious accidents to an inherently safe design. We also carried out a follow-up session for the safety-manager appointment training those supervisors received in 2023, aimed at strengthening their on-site management ability. Additionally, we held immersive VR training to further raise employees’ hazard awareness. Further, through safety patrols and other measures, we reinforced procedures, provided education, and instructed staff to carry out actions that ensure rule compliance and overall safety at each workplace.
2025 Occupational Safety Plan
To curb frequent accidents—including the serious accidents that occurred in 2024—we will further strengthen our ongoing equipment-improvement initiatives and reinforce our safety management capabilities. Also, to strongly emphasize the prevention of serious accidents, we have revised our targets as shown below and will implement safety activities to achieve them.
Serious Accidents:
The criterion for serious accidents has been changed from the previous milestone of 3 months (set in 2021) of absence to 50 days or more of absence from work.
Accidents resulting in 4 days or more of absence from work:
The target has been changed from the total number of all accidents to the number of accidents resulting in 4 days or more of absence from work, which require reporting to the Labor Standards Inspection Office (excluding lower back pain and heatstroke).
2025 Action Plan (Priority Policy)
- Progress in Equipment Improvements (Inherently Safe Design and Collaborative Equipment) and Enhancement of Workplace Environments
1) Address outstanding items from the comprehensive inspection of automated machinery and promote inherently safe equipment design
2) Implement safety measures to prevent accidents involving heavy machinery
3) Mitigate and eliminate risks through the introduction of collaborative equipment
4) Transition to age-friendly workplaces (including 3S) - Enhancement of Safety Management Capabilities (Systems, Skills, Equipment)
1) Improve the capabilities of supervisors and health and safety staff
2) Prevention of similar accidents based on the “Three Actuals” principle, such as on-site work observation and practical risk assessment (RA)
3) Utilization of management (supervision) support devices - Developing Employees Who Can Take Safety Actions
1) Effective utilization of hazard simulation training
2) Elimination of unsafe behavior through the rollout of Anzen Dojo training content
3) Maintenance and improvement of safety-related physical fitness
Occupational Health Policy
Ensuring a comfortable workplace environment through improvement of the work environment and measures for disease prevention.
■ Occupational Health Goals and Results
| FY2024 Results | FY2025 Targets | |
|---|---|---|
| 1. Dust, lead, and specified substances | ||
| 1) Number of Control Class 3 workplaces | 0 Target: 0 |
4 or less |
| 2) Number of Control Class 2 workplaces | Reduced (CY 2023: 7→CY 2024: 2) Target: Reduced |
|
| 2. Noisy workplaces | ||
| Control Class 3 workplaces with a workload value of 1 or more | 3 Target: 1 or less |
1 or less |
| 3. Employees with work-related ill health | ||
| Number of ill employees (requiring treatment) | 0 Target: 0 |
0 |
Outcomes of 2024 Initiatives
In 2024, we improved equipment targeting zero Control Class 3 workplaces and made planned improvements to work environments aimed at achieving zero Control Class 2 workplaces. The health and safety managers from business divisions and the members of the Safety & Environment Control Department implemented patrols, with a focus on the Besshi District, where these workplaces are concentrated. They provided guidance and follow-up on improvements and ongoing management of the workplace environment. We will continue to enhance facilities and strengthen management, aiming ultimately to reduce the number of both Control Class 3 and 2 workplaces to zero and to create comfortable workplaces free from occupational disease risks.
In May 2022, a partial amendment to the Industrial Safety and Health Act significantly shifted chemical substance management from case-by-case regulation to autonomous management, and we have taken the necessary response measures accordingly.
2025 Occupational Health Plan
In 2025, we will strengthen collaboration with the Safety & Environmental Control Center in the Besshi District, where worksites needing improvement are concentrated, and with health and safety managers in business divisions. Through site patrols and the shared use of improvement technologies, we will strengthen the improvement, upkeep, and management of work environments, ultimately creating more comfortable workplaces.
Action Plan for 2025
- Implementation and Maintenance of Planned Work Environment Improvements
1) Check progress of improvement investment plans
2) Enhance skill of workplace personnel
3) Strengthen management and guidance through interdivision collaboration
4) Reduce worker noise exposure time - Monitor Response to New Chemical Substance Regulations and Ensure Regulatory Compliance by Applying Risk Assessment Measures
1) Reconfirm self-checklists and have divisions and the Safety & Environment Control Department monitor the content of checks at on-site
2) Improve risk assessment methods
Occupational Health and Safety Risk Assessments and Countermeasures
Risk Assessments
GRI 403-2
The SMM Group proactively uses risk assessments (investigation of hazard or harmfulness) to evaluate hazards and take appropriate countermeasures against sources of risk that may cause accidents or health hazards due to chemical substances, operations, or a combination of both. We strive to improve the level of health and safety by reporting the status of risk assessments and work environment improvements to the Occupational Health and Safety Committees, evaluating them, and ensuring awareness.
Inspections, Patrols
The head of the business division with jurisdiction conducts annual patrols of the business site, including affiliated companies under his/her jurisdiction, to confirm that health and safety management is being properly implemented (in 2024, 105 inspections were conducted at 46 business sites in Japan and overseas). In principle, once a year, the General Manager of the Safety & Environment Control Department or his/her designate conducts a security, safety, and occupational health management inspection of each business site, and reports the results to the president, the head of the business division with jurisdiction over the business site, and the head of the business site (in 2024, 25 inspections were conducted at 25 of the 47 business sites in Japan covered by the safety statistics). Furthermore, in the event of a serious accident or disaster, an on-site investigation is conducted immediately (in 2024, 17 inspections were conducted at 13 business sites).
Each business site conducts safety patrols by business site supervisors, work observation patrols at each workplace, and safety activities in small groups. Some workplaces receive guidance from outside instructors to check and improve dangerous locations at the site.
Implementation of Occupational Health and Safety Education
GRI 403-5
■ Education and Training Related to Occupational Health and Safety
| Legally mandated education | We conduct education at the time of hiring as well as special training and training when starting hazardous or potentially harmful work. |
|---|---|
| We conduct education at the time of hiring as well as special training and training when starting hazardous or potentially harmful work. | In addition to legally mandated training, the following training is provided.
|
Education in Hands-on Training Facilities
GRI 403-5
Since 2010, the SMM Group has been operating a hands-on training facility (the Oji-kan Facility) in Niihama City, Ehime Prefecture, which consists of a Hazard Simulation Zone and an Equipment Skills Training Zone. The purpose of the Hazard Simulation Zone is to increase sensitivity to occupational safety and occupational health through simulated experiences of dangers that may be present in daily work, while the purpose of the Equipment Skills Training Zone is to develop operators with strong skills in equipment and devices through hands-on experience with actual on-site equipment, cut models, etc. In both zones, in addition to the curator and full-time instructors, site managers and supervisors, and veteran employees provide training as appointed instructors. The Oji-kan Facility staffs have been traveling to workplaces since 2013 to conduct on-site hazard simulation training, and we are working to expand the number of participants. In addition, each business site uses the Oji-kan Facility based on a risk assessment of its own workplace to conduct safety education through its own unique program.
Also, since September 2023, Coral Bay Nickel Corporation (CBNC) in the Philippines has been offering hazard experience training at the Safety and Skills Training Center (SSTC), modeled after the Oji-kan Facility. By the end of 2024, a total of 590 participants, mainly Filipino employees and partner company staffs, have completed the training.
Number of Employees Using the Oji-kan Facility and Attending On-site Training (as of the end of 2024)
| Oji-kan Facility users | 23,100 | |
| (Breakdown) | Group companies in Japan | 18,479 |
| Contractors | 4,502 | |
| Overseas business sites | 119 | |
| Attendees of on-site training | 11,053 | |
| Total | 34,153 | |
External Communication
We participate in the health and safety committees of the Japan Mining Industry Association and Kyohokai1 to obtain information on legal revisions and response methods, and to introduce the latest health and safety technologies and improve the level of health and safety through reciprocal visits of members’ factories and by developing good practices.
We also use outside consultants to conduct safety culture assessments at SMM Group’s major business sites, and the Safety & Environment Control Department presents the results to the business sites and discusses them to improve safety initiatives.
- 1Kyohokai: Consists of more than 200 contractors for Toyota Motor Corporation
Commendation for Achievements in Security, Occupational Health and Safety, and Environmental Preservation
Once per year, the Company presents certificates of merit to individuals or workplaces that have demonstrated significant achievements in security, occupational health and safety, and environmental preservation and that are recognized as models for others.
Commendations in FY2024
- Excellent Employees
Sumiko Resources Exploration & Development Co., Ltd. (41 people), Harima Refinery (51 people) - Long-term Zero Accidents
Harima Refinery, Sumiko Technical Service Co., Ltd., Sumico Lubricant Co., Ltd. Mie District Division, Niihama Electronics Co., Ltd., GRANOPT Co., Ltd.
