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Respect for Human Rights Respect for Human Rights

Sustainability Material Issue 8 Respecting Human Rights

Objectives
Ensure respect for the human rights of all stakeholders affected by Group business activities, in line with the LION Human Rights Policy

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Basic Approach

The Lion Group implements various measures in accordance with its purpose of making a difference in everyday lives by redesigning habits: ReDesign. One such measure is the Charter for Corporate Behavior, which states that “We shall respect human rights ... observing both the spirit as well as the letter of all applicable laws and international rules.” Another is the Behavioral Guidelines, which state that the Group will not permit child labor or forced or coerced labor, will provide equal employment opportunities and treat employees fairly, and will take an active interest in the human rights practices of its suppliers.

Lion has also declared its support for and adherence to the International Bill of Human Rights (the Universal Declaration of Human Rights, the International Covenant on Economic, Social and Cultural Rights and the International Covenant on Civil and Political Rights), which stipulates the fundamental human rights of all people in the world, as well as the Ten Principles of the United Nations Global Compact, the ILO Declaration on Fundamental Principles and Rights at Work and the Children’s Rights and Business Principles.

Respect for human rights is indispensable to the pursuit of happiness and a higher quality of life. Lion recognizes that it has a responsibility as a company to affirm diversity, including that of race, religion, gender, sexual orientation, age, nationality and disability, and to fully respect all human rights. Furthermore, it recognizes that doing so strengthens its business foundation.

Human Rights Policy

In 2019, based on the framework of the United Nations Guiding Principles on Business and Human Rights, the Lion Group established the LION Human Rights Policy to further clarify its stance on human rights abuses as well as its global efforts in this area. Since then, Lion has periodically reviewed its human rights policy to ensure the strength of its efforts.

In 2023, with the approval of the Board of Directors, we amended the LION Human Rights Policy in light of social conditions surrounding business and human rights as well as the status of the Group's human rights due diligence* efforts, taking into careful consideration the elements necessary to the policy going forward.

The amended policy clearly stipulates, in great detail, a management system that emphasizes respecting human rights (human rights due diligence) and remedies to violations (internal and external whistle-blowing system) in addition to other related matters. The revised policy has been translated into the languages of the countries and area in which Lion does business and disclosed to stakeholders involved in the Group's business activities via the websites of Group affiliated companies and other means.

The Human Rights Policy applies to all executives and employees of the Lion Group. Moreover, the Group’s business partners and suppliers are required to support and respect the policy. The Human Rights Policy also stipulates that in the event of a conflict between internationally recognized human rights and national or local laws and regulations, the Group will seek to ensure that internationally recognized human rights principles are respected.

* Measures that companies must take to avoid violating human rights and to provide relief to victims of violations.

Implementation Framework

Initiatives regarding human rights are seen by the S Subcommittee (Social Environment). When called for, these meetings report matters to the Senior Executive Committee or refers or presents them to the Executive Committee and the Board of Directors. Participants in these investigative meetings mainly comprise representatives of relevant divisions, such as the Corporate Planning Department, Legal Department, Human Resources Development Center, Purchasing Headquarters, Overseas Strategic Planning Department and Sustainability Promotion Department. The officer responsible for the meetings is also responsible for the S Subcommittee, which operates under the Sustainability Promotion Council, which is, in turn, overseen by the Sustainability Promotion Department.

Initiatives

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