Relevant SDGs
In recent years, along with the globalization of economic activities, corporate responsibility to respect human rights has continued to grow. Companies are now expected to address all sorts of human rights violations, not only those for which they are directly responsible, such as overly long working hours and harassment in their offices, but also child labor and forced labor in their overseas supply chains, and other issues that may indirectly contribute to human rights abuses.
Human Rights Policy
In line with our Group Purpose to create a “future filled with smiles” and our corporate philosophy of always being “a company trusted by society,” Seiko established the Seiko Group Human Rights Policy back in May 2022. This policy is based on the United Nations Guiding Principles on Business and Human Rights and applies to all personnel within the Seiko Group. It outlines our commitment to respect the basic human rights of all individuals, and emphasizes our responsibility to protect these rights in the course of our business activities. Additionally, it specifies the need to promptly identify and rectify any negative impacts the company's operations might have on human rights.
Seiko Group Human Rights Policy
The Seiko Group will fulfill its responsibility to respect fundamental human rights in order to create “a future full of smiles,” as stated in our Group Purpose, and to realize our Corporate Philosophy of being “a company that is trusted by society.”
1．Positioning
This policy is intended to demonstrate the Group's commitment to human rights based on our Group Purpose and Corporate Philosophy.
2．Responsibility to respect human rights
The Seiko Group is committed to respecting human rights. We will make every effort to ensure that our business activities do not infringe on the rights of others, and if we discover any negative impact from our business, we will immediately take steps to correct that situation. If we find that our suppliers or business partners have caused any infringement of human rights, we will will use the full influence of our Group in order to rectify the situation.
3．Scope of application
This policy shall apply to all officers and employees of the Seiko Group (all directors, regular employees, and contract employees). Furthermore, the Group will promote respect for human rights throughout its business ecosystem by encouraging all business partners and suppliers to adopt similar policies.
4．Respect for and compliance with norms and laws
The Seiko Group supports international norms on human rights, including the International Bill of Human Rights (Universal Declaration of Human Rights and International Covenants on Human Rights), the ILO Declaration on Fundamental Principles and Rights at Work, and the Ten Principles of the UN Global Compact. We have established our in-house policy based on the United Nations Guiding Principles on Business and Human Rights. The Seiko Group will comply with the relevant laws and regulations in each country and region where we conduct business activities. Wherever there is a conflict between internationally recognized human rights and the laws and regulations of a particular country or region, we will pursue ways to ensure that international human rights principles are respected.
5． Human Rights Due Diligence
The Seiko Group will establish and continuously implement a human rights due diligence system. This includes identifying, preventing, and mitigating any negative impacts on human rights that are related to our business activities, as well as taking corrective measures and disclosing our human rights initiatives to third parties.
6．Correction and remedy
If it becomes clear that the Seiko Group has caused or contributed to negative impacts on human rights, we will work to correct or remedy such impacts. In addition, if negative impacts are caused by our suppliers or business partners, we will actively work with them to improve the situation and to ensure that they respect human rights going forward.
7．Information disclosure
The Seiko Group will report on the progress of our efforts to promote respect for human rights on our Website and in other public media.
8．Education
The Seiko Group will ensure that this commitment is reflected in all relevant policies, guidelines, and other necessary procedures throughout the Group, and will strive to see it firmly established throughout all Group business activities. We will also continue to provide appropriate education and training to all officers and employees.
9．Dialogue and discussion with stakeholders
Under this policy, the Seiko Group will collaborate with third-party organizations having expertise in human rights to enact a series of initiatives, and will engage in sincere dialogue and consultations with relevant stakeholders.
Established on May 10, 2022
Seiko Group Corporation
Chairman & Group CEO , CCO
Shinji Hattori
Human Rights Promotion Structure and System
We have established a Sustainability Committee, chaired by the President and consisting of executive directors, the presidents of each business unit, and statutory auditors. The officer in charge of ESG and SDGs serves as the person responsible for promoting measures related to human rights, including conducting due diligence activities. Going forward, we will continue working to promote a broad spectrum of activities in accordance with the Group’s Human Rights Policy.
Human Rights Due Diligence
Starting from fiscal year 2022, Seiko Group established a human rights due diligence framework based on the Seiko Group Human Rights Policy. Human rights due diligence involves identifying, preventing, and mitigating negative impacts on human rights related to our business activities. When we identify relevant issues, we immediately take corrective measures, and publicly disclose the nature of these issues and our responses to them.
In fiscal year 2022, we conducted a Human Rights Risk Assessment to identify particularly significant human rights risks, and established a policy for preventing and correcting these risks. This Assessment is designed to make an initial evaluation of the key human rights risks that might exist in the Seiko Group's supply chain. This was done through risk awareness surveys, interviews, and questionnaires at each business unit. The Risk Assessment is based on the thinking of international organizations and NGOs, as well as examples of actual risks that have appeared within our industry. Thanks to the Assessment, we identified 14 particularly significant human rights risks based on probability (how likely is it that the risk will appear in the Seiko Group?) and impact (how much harm will be caused if this risk appears?). For each of these key risks, we established policies for prevention and correction. Of these 14 risks, we are focusing on seven that require urgent attention, while at the same time monitoring the situation and disclosing our progress on our Website.
Based on the "Critical Human Rights Risks Requiring Special Attention," Seiko Group has identified the following 7 key areas for addressing significant human rights risks:
Initiatives Addressing Significant Human Rights Risks
ⒶExpanding and strengthening training related to harassment awareness
Achievements in Fiscal Year 2022
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February 9, 2023: We conducted a "Business and Human Rights" Seminar for Seiko Group Executives
(Speaker: Mr. Keisuke Hanyuda, Owls Consulting Group, Inc.) Lecture Content
- Why do we need to talk about "Business and Human Rights" now?
- Trends in International Business and Human Rights Rules
- Comprehensive Overview and Practical Aspects of Human Rights Responses Required of Companies
- Exploring the Potential of Aggressive Human Rights Engagement - Towards Creating a "Human Rights Business”
Mr. Keisuke Hanyuda
Initiatives for Fiscal Year 2023
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Conducting harassment-related training organized by the Corporate Ethics Committee in fiscal year 2023
Theme: “Preventing Power Harassment – Understanding the Difference between Appropriate Guidance and Power Harassment” - Second Half of the Year:
- For all management positions in domestic Group companies
- Specific management positions from domestic Group companies
- For employees across all Group companies
- We are considering offering harassment training from a human rights risk perspective in addition to our usual opt-in workshops. We are also accelerating awareness training for all employees.
ⒷIdentification and mitigation of indirect human rights risk s and economic security risks associated with our BtoB products
Initiatives for Fiscal Year 2023
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Carry Out Economic Security Due Diligence (DD)
- In Addition to Human Rights Issues, Thoroughly Investigate Compliance with Key Economic Security Regulations in B2B Operations in Japan, the US, and China
- Conduct Self-Assessment Questionnaires (SAQs) for three Group companies engaged in B2B business
- Based on the SAQ responses, conduct a comprehensive assessment of "areas of potential risk and potential opportunity," and consider future response strategies.
ⒸPromotion of Diversity, Equity, and Inclusion (DEI) in all customer interactions
Initiatives for Fiscal Year 2023:
DEI Implementation at Ginza Wako:
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Beginning in January 2023, we identified problems in the provision of services at Ginza Wako, and took appropriate steps to address them.
- Creation of a guide to respond to individuals who require special consideration.
- Reexamination of in-store signage.
Expansion of our Targets
- We will extend the same approach used at Ginza Wako to our directly operated watch stores, Japan retail subsidiaries, and other related entities. We will work hard to strengthen our commitment to Diversity, Equity & Inclusion (DEI).
ⒹExpanding and reinforcing programs aimed at increasing the number of women in leadership positions
Medium-Term Management Plan KPI
- We established a new target — achieving a female manager ratio of 20.0% by April 2027. This new Key Performance Indicator (KPI) stood at 13.3% at the end of FY2022
- (aggregated across Seiko Group Corporation and 17 domestic subsidiaries).
Initiatives for Fiscal Year 2023
- Measures to support career development, such as career interviews and training for potential managerial candidates
- Promoting an environment that facilitates flexible work styles based on life stages
- Conducting unconscious bias training for all Group employees (second half of fiscal year 2023)
※ Managers: Lectures and training, General employees: e-Learning
- Introduction of people both inside and outside the company who can serve as role models
ⒺStrengthening and expanding initiatives to recruit and motivate a diverse workfoce
Initiatives for Fiscal Year 2023
- Actively recruit individuals with diverse backgrounds (mid-career hires, individuals with disabilities, foreigners, etc.). As of the end of FY2022, our employment rate of individuals with disabilities was 2.4%.
- Establish an environment that offers flexible work options, including telecommuting.
- Conduct Unconscious Bias training for all Group employees (second half of FY2023).
※ Managers: Lectures and training, General employees: e-Learning
- Taking steps such as regular interviews to support the retention and success of mid-career hires.
- Developing a proactive employment promotion plan in response to the gradual increase in the legally mandated ratio for individuals with disabilities.
ⒻEstablishment of supplier management systems based on procurement guidelines
Initiatives for Fiscal Year 2023
Promotion Timeline
| FY2022 | Clarification of Policy and Standards | Formulation of Procurement Policy and Procurement Guidelines |
|---|---|---|
| FY2022 2nd Half | Review of Operational Rules - Phase 1 | Examination of Internal and External (Supplier) Awareness |
| FY2023 1st Half | Review of Operational Rules - Phase 2 | Examination of SAQ Content, Collection Methods, and Evaluation Methods |
| FY2023 2nd Half | Operations Start | Conduct Internal and Supplier Briefings, Obtain Consent, SAQ Operations (Request for Responses ~ Evaluation and Analysis ~ Feedback) |
| FY2024 onwards | On-site Audits | Examine SAQ Content, Collection Methods, and Evaluation Methods |
| Establish and Operate Complaint Redress Mechanism | Institute Corrective Measures, Follow-up Audits |
Operational Structure
ⒼStrengthening measures to identify and eliminate high-risk raw materials
Mineral resources such as tin, tantalum, tungsten, gold, etc. that are mined in conflict or high-risk areas carry inherent risks of human rights violations, environmental degradation, corruption, involvement with armed groups, and more. Our corporate Group is committed to promoting responsible mineral sourcing to ensure that we do not contribute to conflicts or human rights abuses.Seiko is dedicated to responsible mineral procurement in accordance with the guidelines set forth by the Organization for Economic Co-operation and Development (OECD). The OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas serves as the basis for our efforts to uphold responsible practices and prevent actions that could contribute to or perpetuate conflicts or human rights violations.
Initiatives for Fiscal Year 2023
- In conjunction with the start of procurement guidelines, Seiko Group has formulated and disclosed its Responsible Mineral Procurement Policy.
