Yokogawa Group Human Rights Policy
Yokogawa Group's corporate philosophy is "As a company, our goal is to contribute to the realization of a sustainable society through broad-ranging activities in the areas of measurement, control, and information. Individually, we aim to combine good citizenship with the courage to innovate." Based on this philosophy, the Group has supported industry and society by providing a variety of solutions that help our customers improve productivity and transform their businesses. Together with our customers and partners, we continue to create new value for the future under our corporate brand slogan, "Co-innovating tomorrow".
All of our business activities for value co-creation are based on respect for human rights. By deepening our understanding of the various human rights issues in the countries and regions where we conduct our business, and by being actively involved in resolving them, we must strive to ensure that people's dignity is protected and respected. We hereby establish the Yokogawa Group Human Rights Policy as a commitment to fulfill this responsibility.
1. Compliance with Human Rights-related Laws and Regulations and Respect for the International Code of Conduct
(Scope and Corporate Structure)
This policy applies to Yokogawa Electric Corporation and its group companies (hereinafter referred to as "Yokogawa Group"). We also expect and encourage our suppliers, business partners and other stakeholders to respect human rights in accordance with this policy. To achieve this goal, we have established a corporate structure in which the President and Chief Executive Officer serves as the Group's chief executive officer for human rights, and we continue to implement initiatives to this end.
(Related Laws and International Codes of Conduct)
Based on the UN Guiding Principles on Business and Human Rights, the Yokogawa Group respects human rights as defined in international norms such as the Universal Declaration of Human Rights, the International Covenants on Human Rights (International Covenant on Civil and Political Rights and the International Covenant on Economic, Social and Cultural Rights), and the International Labour Organization's Declaration on Fundamental Principles and Rights at Work.
We comply with laws and regulations in the countries or regions in which we conduct our business, and where there is a gap between laws and international norms, we respect international norms to the extent possible.
2. Implementation of Human Rights Due Diligence
(Addressing Human Rights Risks)
The Yokogawa Group identifies human rights risks associated with our business activities, collaborates with relevant stakeholders, and establishes and continuously operates mechanisms to prevent or mitigate risks.
(Correction)
If the Yokogawa Group is found to have caused or been involved in any negative impact on human rights, we will work with relevant stakeholders to remedy the situation. We also establish and maintain a grievance procedure for this purpose.
(Education)
To ensure that this policy is understood and practiced by all people working for the Yokogawa Group, we regularly provide education and awareness-raising programs on respect for human rights. We also take the necessary steps to promote understanding and implementation of the Group's human rights policy to suppliers and business partners associated with our business.
3. Yokogawa's Priority Human Rights Issues
The Yokogawa Group's business is supported by a variety of stakeholders, including customers, business partners, suppliers, employees, and civil society. In order to respect the human rights of all people who are involved with the Yokogawa Group, we actively engage in the following priority issues.
(Prohibition of Discrimination and Harassment)
We prohibit discrimination of any kind based on race, skin color, age, sex, gender identity and expression, sexual orientation, religion, belief, political opinion, nationality, ethnicity, place of origin, disability, family relations or any other circumstances against any person associated with the Group. Furthermore, we do not tolerate harassment of any kind that harms their dignity.
(Respect for Workers' Rights and Approach to the Supply Chain)
In order to protect the human rights of all workers in the Yokogawa Group, we take the following actions and strive to build a more sustainable and resilient supply chain that ensures the same actions are taken in the supply chain in order to protect the human rights of other workers involved in the Yokogawa Group's business activities.
- Ensuring occupational health and safety
We are committed to ensuring the safety and health of our workers and to providing them with a fulfilling and comfortable work environment. - No child labor/forced labor
Child labor, forced labor, slave labor, and trafficking are prohibited. In addition, we prohibit young workers from engaging in hazardous work. - Respect for the rights of foreign/migrant workers
We give due consideration to the human rights of foreign workers and migrant workers. - Freedom of association and respect for collective bargaining rights
We respect the freedom of association and the right to collective bargaining, which are the fundamental rights of workers. We engage in ongoing dialogue with employees in order to ensure a better work environment for our employees. - Prevention of low wages and long working hours
In order to promote the lives and health of workers, we pay wages that exceed the minimum wages and living wages and manage working hours appropriately.
(Respect for Rights of Vulnerable People)
We respect the human rights of local and indigenous peoples, children, people with disabilities, minorities, women who are subject to gender discrimination or constraints, and people with disabilities who are socially vulnerable, including the elderly. We also engage in responsible procurement to avoid complicity in conflicts and human rights abuses related to mineral sourcing.
(Protection of Privacy and Personal Information)
We conduct our business activities with due consideration to the privacy of people involved with the Yokogawa Group and the protection of their personal information.
4. Communication and Engagement
This policy was formulated in consideration of expert advice from outside the Group to demonstrate the Group's attitude and commitment to human rights. In order to resolve human rights issues identified through human rights due diligence, the Group will actively and continuously engage in dialogue and collaboration with stakeholders and evolve its efforts to respect human rights. The progress of these activities and initiatives to resolve human rights issues will be regularly disclosed to the public.
The Group has set sustainability goals for 2050 to realize the well-being of future generations, and we are working to achieve net-zero emissions (stopping climate change), ensure well-being (quality life for all), and make the transition to a circular economy (circulation of resources and efficiency). We firmly believe that respect for human rights is the basis for achieving these goals, particularly well-being. The Yokogawa Group will respond swiftly to dynamic social conditions, such as climate change and infectious diseases, confront ever-changing human rights issues, and sincerely implement this initiative together with our employees, business partners and suppliers around the world.
Resolved at the Board of Directors' meeting on September 2, 2020
Kunimasa Shigeno
Director, President & CEO, Representative Executive Officer
Yokogawa Electric Corporation
April 1, 2025
Human Rights Management
Yokogawa Group Human Rights Policy was established with the approval of the Board of Directors. We have established an internal system in which the President & CEO, Representative Executive Officer holds the greatest responsibility for human rights in the Group, and we are implementing ongoing efforts. We set up the Human Rights Working Group, whose members are selected from the departments related to human rights, under the umbrella of the Sustainability Committee to work on specific human rights initiatives.
Human Rights Due Diligence
Yokogawa is committed to implementing human rights due diligence by identifying, preventing, and mitigating potential adverse impacts on human rights across our business activities, supply chain, and other operations. We continuously evaluate and monitor these activities, and when issues arise, we take prompt corrective and remedial actions, while ensuring appropriate disclosure.
To support this, Yokogawa has established and operates a set of Group Management Standards (GMS), which serve as fundamental rules for management across all business processes. These standards form the basis of an internal control system that applies to the entire Yokogawa Group. Each GMS is aligned with the Yokogawa Human Rights Policy and incorporates the principles of human rights due diligence into the internal control framework.
Human Rights Helpline and Remedy Procedures
To swiftly detect and rectify any human rights violations that we may have directly caused or be indirectly involved in, Yokogawa has established an in-house reporting and consultation desk for all persons working at Yokogawa, as well as a helpline for our suppliers. Furthermore, we accept reports from and listen to the problems of all stakeholders, including the general public and supply chains, about human rights violations through the “Contact Us” section of our website.
Anonymous reporting and consultation are also accepted, and the helpline is available in Japanese and other languages. We operate the helpline in accordance with our rules set to protect the privacy of whistleblowers, secure confidentiality, and prohibit retaliation or any disadvantageous treatment. For human rights violations notified by all stakeholders, our Corporate Ethics Department will work with the Human Resources, Procurement, and Legal departments, as well as an outside lawyer, to investigate and take corrective action such as advising and educating those responsible to prevent the reoccurrence of similar cases.
In fiscal year 2024, human rights-related issues occurred, including power harassment involving the abuse of authority in the workplace and discriminatory or insulting remarks regarding appearance. In response, we took disciplinary action against the individuals involved, provided guidance, and implemented measures such as reassignment. To prevent recurrence, details of the disciplinary actions were shared with all group employees.
Human Rights Risk Assessment
In fiscal 2019, Yokogawa assessed the potential human rights risks in Yokogawa’s business activities and value chain together with NGO's BSR (Business for Social Responsibility), a global NGO active in the field of business and sustainability. Then, in fiscal 2022, we reassessed human rights risks based on changes in the external environment and the progress of internal initiatives.
This human rights risk assessment identifies human rights issues of high priority by confirming company policies, business activities and the operating status of the internal control systems, as well as by interviewing relevant parties in the Group. The priority is determined by two perspectives: salience of the risk of causing an adverse impact through our business activities and business relationships, and Yokogawa’s ability to manage the risks.
Process of identifying the risk of violating human rights
Main stakeholders targeted for due diligence:
irect employees / Indirect employees, Women and girls, Children and adolescents, Communities, Migrant workers, Indigenous peoples, Workers in supply chain and Others(Rural population, Low income segments of the population, Segments of the population with low education)
Human rights risks identified:
Product quality and security, social and environmental impacts, fair business practices, forced and bonded compulsory labor, child labor, working conditions (including freedom from discrimination, fair remuneration, freedom of association, right to collective bargaining), health and safety, peace and conflict, access to remedy
Human Rights Risk of the Yokogawa Group
Major Human Rights Initiatives in FY 2025
- Cross-Functional Working Group for Promoting Respect for Human Rights
To advance human rights initiatives throughout the Group, Yokogawa has established a Human Rights Working Group consisting of representatives from functions related to human rights management. In fiscal year 2025, members from Compliance, Human Resources, Corporate Administration, Legal, Occupational Health and Safety, Supply Chain Management, and Manufacturing shared the progress of their respective initiatives. The Group also used the European Corporate Sustainability Due Diligence Directive (CSDDD) as a benchmark to discuss its approach to human rights risk assessment, stakeholder engagement, and transparency through information disclosure.
- Conducting human rights due diligence for critical suppliers
We leveraged expert knowledge to identify critical suppliers, focusing on transaction amount and the content of the purchase (including services). For selected suppliers, we conducted human rights due diligence at their business sites using a supplier self-assessment questionnaire (SAQ). Based on the evaluation of SAQ responses, eight sites were identified as high risk in FY2025. Improvement actions were requested, and follow-up on the implementation status will be conducted in the following fiscal year. For key suppliers, an on-site assessment by an independent third-party organization was conducted for one supplier. In addition, face-to-face engagements were undertaken with 6 suppliers at their operational sites to assess human rights-related conditions and facilitate dialogue on improvement opportunities and corrective actions.
- Promoting Human Rights Education
To enhance human rights awareness in Yokogawa, we promote participation in human rights training programs. As of the end of fiscal 2025, the completion rate reached 73.7%. We continue to encourage participation to further embed respect for human rights throughout the Group. In addition, classroom-based human rights training was conducted at North America and Asia Group companies, with 511 employees participating. These sessions helped deepen understanding of human rights issues and foster dialogue among participants.
Besides, in conjunction with the World Human Rights Day, we issued a compliance Newsletter to all employees on the topics of 'Human rights risks in business' and 'Human rights in the workplace'.
- Human Rights Due Diligence in M&A
We have integrated human rights considerations, based on the Yokogawa Group Human Rights Policy, into our due diligence process for mergers and acquisitions. For all M&A transactions conducted in fiscal 2025 that were subject to human rights due diligence, assessments were carried out using a Human Rights Questionnaire. Based on the evaluation of the responses, no significant human rights risks were identified, and no cases requiring corrective actions were found.
- Creating a Safe and Comfortable Workplace at Production Sites
We are committed to ensuring the safety and health of employees at our production sites. Safety and Health Committee meetings have been held at our Headquarters, Kofu, Komine, Komagane, and Kanazawa sites, and monthly safety inspections are conducted at each location. In addition, under the principle of “Respect for Human RIghts,” which is a core philosophy of the New Yokogawa Production System (NYPS), our production sites prioritize safety above all else and continuously pursue improvement activities while eliminating all forms of waste. In FY2025, we also focused on developing the next generation of talent who will support future manufacturing operations.
- Human rights helpline
To enable the early detection and remediation of human rights violations, we have established multiple reporting and consultation channels.
For employees, we provide an internal reporting and consultation channel through which concerns can be reported either anonymously or with identification, as well as a direct reporting channel to the Audit Committee at headquarters that is independent of management. The direct Audit Committee reporting channel began operation in Japan in fiscal year 2024, and in fiscal year 2025, the Audit Committee Hotline was also launched in regions outside Japan. This initiative helps deter misconduct and compliance violations among the management of Group companies.
In addition, reports and consultations regarding human rights violations from the general public and all stakeholders, including those in the supply chain, are accepted through the “Contact Us” section of our website. These reporting and consultation channels are operated in accordance with our internal rules, which stipulate the protection of the whistleblower’s privacy, the maintenance of confidentiality, and the prohibition of retaliation or any disadvantageous treatment against whistleblowers.