Human Rights Promotion Structure

As an organization responsible for implementing activities related to human rights issues, the Sakai Chemical Group has established a Human Rights Subcommittee.
It operates under the Sustainability Committee, which oversees the Group’s ESG management, and collaborates closely with our overall sustainability promotion framework.

Organizational Structure

Human Rights Due Diligence

The Sakai Chemical Group strives to identify negative human rights impacts, prevent their occurrence, and reduce associated risks.
In FY2025, we reassessed the high-priority human rights risks identified in FY2023 through questionnaires administered to Group companies and deliberations by the Human Rights Subcommittee, and identified new high-priority human rights risks.
In FY2026, we formulated and are implementing individual human rights due diligence (DD) action plans at each Group company in Japan and overseas to address the identified high-priority human rights risks.
During their implementation, the Human Rights Subcommittee monitors progress at interim and year-end stages.

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Third-party Review on the Progress of Human Rights Due Diligence

An independent review of the FY2025 human rights due diligence (DD) plans developed by Group companies in Japan and overseas was conducted by attorney Emi Omura.

Emi Omura
Attorney-at-law (Japan and New York State)
Operating Committee Member, Business and Human Rights Lawyers Network Japan

Attorney 　Emi Omura

Based on the Group-wide progress management sheet for human rights due diligence, I conducted an independent review in July 2026 regarding the Group’s initiatives in FY2025.
Progress included improvements to make the system for checking environmental and human rights risks from the research and development stage more effective. There were also improvements to the use of “Yellow Cards”, which are prepared in the transportation of chemical products to ensure the safety of transport operators, rescue personnel, and local residents, and to prevent environmental pollution in the event of an accident.
At a Group company that manufactures active pharmaceutical ingredients and intermediates in accordance with GMP, I exchanged views with the plant manager and heads of administrative divisions regarding potential environmental and human rights risks in the manufacturing process. I visited the manufacturing plant to confirm environmental measures and occupational health and safety initiatives taken.
At a Group company engaged in contract manufacturing of chemical products, we also reviewed ways to conduct CSR surveys of raw material manufacturers (suppliers) effectively. For example, this could involve receiving information from environmental surveys and labor audits conducted by contracting companies (customers) and trading companies that procure raw materials, and working together with those companies to encourage suppliers to strengthen their environmental and human rights initiatives.
Under the United Nations Guiding Principles on Business and Human Rights, occupational health and safety initiatives should be reviewed not only from the perspective of managing business risks by reducing occupational accidents, but also from the perspective of employees’ human rights to health and safety. Accordingly, in a dialogue with President Yagura and other management members, we exchanged views on further strengthening collaboration between the EHS administrative divisions of each Group company and the relevant divisions of the Headquarter Office. We also discussed how to align the occupational health and safety policies formulated by each company with Sakai Chemical’s Health and Safety Action Guidelines while tailoring them to the specific business activities of each company.

Promoting Responsible Procurement

Based on its Basic Procurement Policy, the Sakai Chemical Group promotes sustainable and responsible procurement throughout its entire supply chain. Regarding conflict minerals, the Group verifies that its business partners are not involved in conflicts through written audits and other measures, in accordance with its Responsible Mineral Procurement Policy. In addition, the Group considers risks such as child labor and environmental destruction and requires its business partners to comply with its CSR Procurement Guidelines.

Implementation of Human Rights Education

The Sakai Chemical Group provides necessary training and awareness-raising activities to ensure all officers and employees correctly understand human rights and apply this knowledge effectively in their business activities.
As part of these efforts, we designate a “Human Rights Week” every December and work to raise and instill awareness of human rights at all Group companies.
During Human Rights Week in FY2026, we held a lecture by attorney Emi Omura of CLS Hibiya Tokyo Law Office.

*Excludes employees on childcare leave or other leaves of absence.

Joining the Grievance Handling Organization JaCER

To establish the remedy system outlined in the Sakai Chemical Group’s Human Rights Policy, we have become a full member of the Japan Center for Engagement and Remedy on Business and Human Rights (JaCER).
JaCER is an organization working to establish a non-judicial grievance handling platform based on the United Nations Guiding Principles on Business and Human Rights and to support and promote grievance handling for participating companies from an expert perspective.
The Sakai Chemical Group is working to establish a more effective remedy system, starting with the use of the JaCER remedy reporting desk.