Respecting Human Rights
Epson is serious about keeping all forms of discrimination and unfair practices out of its operations around the world. This stance is reflected in our participation in the United Nations Global Compact since 2004. In 2005 we documented policies that outline Epson's strong convictions in areas including respect for human rights, elimination of harassment, eradication of all forms of discrimination, respect for local culture and customs, prohibition of child and forced labor, and maintenance of positive labor relations.
We have established services that employees can use to report or consult on abuses of any kind. These services include such things as a harassment hotline, employee counseling service, and Epson helpline. Epson also strives to prevent fraud and other forms of misconduct in a number of ways, including by periodically sharing information with all employees and by raising awareness with bulletins on the intranet.
Power Harassment Prevention Training
Epson maintains a harassment hotline to respond to employees' harassment concerns. Epson has been actively fostering the development of an organizational culture with zero tolerance for harassment. To achieve a fair and pleasant working environment, we provide anti-power harassment training seminars to Epson Group companies as a way to prevent and stamp out harassment.
In fiscal 2015, we carried out training for management (directors and administrative officers) and all managerial staff at Group companies in Japan, with 100% attendance. In fiscal 2016, we expanded the training to middle management and personnel who are to be transferred overseas. More than 90% of those eligible attended the training in fiscal 2017.
The training has also been provided to personnel who are newly promoted to management and other leadership positions since fiscal 2016. In addition, in fiscal 2018, on-line harassment preventive training was provided to all employees.
Anger Management Training
Anger management training is said to be an effective way to prevent so-called power harassment (abuse of authority at work).
Seiko Epson has provided anger management training since 2016 to teach employees skills needed to control feelings of anger at work. Echelon- and department-based anger management training is offered about 70 times a year. An introductory course teaches people the skills they need to defuse their anger and improve their control long-term, while a course in constructive criticism teaches managers and others effective communication skills. More than 4,500 Epson Group employees in Japan have taken a course. By providing its people with the proper training and skills, Epson hopes to eliminate power harassment from the workplace.
Human Rights Due Diligence
Epson is vertically integrated and develops and manufactures the majority of the products we sell through our global network of sales subsidiaries. We strive to identify human rights risks throughout our operations but particularly at our production sites in Southeast Asia, where the risk of human rights violations is generally said to be highs. So, to assess human rights risks at our overseas subsidiaries, we had all our overseas production and sales companies complete an Epson CSR self-assessment. The results allowed us to identify risks, which we instructed our overseas subsidiaries to take steps to mitigate. The CSR self-assessment will be performed yearly, and we will encourage companies to understand where the issues are and to address them.
CSR Self-assessments by Oversears Epson Group Companies
Since FY2017, Epson had its overseas group companies complete a self-assessment questionnaire (SAQ) to evaluate their performance with respect to CSR requirements. The purpose of the SAQ was to identify and address risks and potential threats in areas such as human rights. Epson created the SAQ based on the basic requirements of the Responsible Business Alliance (RBA). The SAQ consisted of 100 questions concerning things such as human rights, labor, safety and health, the environment, the management system, and ethics. Suppliers were asked to complete the same questionnaire as part of our socially responsible procurement program.
||Minor category examples||Number of questions|
|A: Labor||Freely chosen employment, young workers, working hours, wage and benefits, humane treatment, non-discrimination, freedom of association||28|
|B: Health and safety||Occupational safety, occupational injury and illness, dormitory & canteen, etc.||22|
|C: Environmental||Environmental permits & reporting, pollution prevention & resource reduction, hazardous materials, wastewater & solid waste, air pollution, energy consumption & greenhouse gas emissions, etc.||14|
|D: Management system||Company commitment, management accountability & responsibility, risk assessment & risk management, training, supplier responsibility, etc.||16|
|E: Ethics||Business integrity, intellectual property, fair business, advertising & competition, responsible sourcing of minerals, privacy, etc.||12|
|F: Additional items||Export control, information security, product safety, business continuity plan, etc.||7|
|Survey period||Dec. 12, 2018 - Feb. 15, 2019|
|Surver coverage||53 overseas Epson Group companies (20 manufacturing companies and 33 sales companies)|
|Questionnaire||Epson Group Supplier Self-Assessment Questionnaire (SAQ)|
|Corrective action||Apr. -||Companies began taking corrective action|
|Status check||Mar. 2020||The status of corrective action will be checked by having companies complete another SAQ.|
Rankings based on SAQ scores
|Risk rank||Assessed points||Explanation|
|Low risk||86-100 pts.||It basically meets the requirements of the Epson Supplier Code of Conduct.
Is able to independently correct weaknesses.
|Medium risk||66-85 pts.||It does not meet all the requirements of the Epson Supplier Code of Conduct but is able to independently correct weaknesses.|
|High risk||65 pts.
|It needs to be monitored based on an improvement plan to meet the requirements of the Epson Supplier Code of Conduct.|
|Risk rank||Total score||Manufacturing companies||Sales companies and other affiliates||Total|
|Low risk||86-100 pts.||16||80%||16||48%||32||60%|
|Medium risk||66-85 pts.||4||20%||16||48%||20||38%|
|High risk||65 pts. pr less||0||0%||1||4%||1||2%|
- No serious compliance or ethics problems were found at any overseas Group companies as a result of the SAQ.
- There still remain some companies not understood the intent of the questions, so the Head Office will provide further explanation and education for them.
- The Head Office provided a guidance about the Epson Group's basic policies, rules, and guidelines to affiliates, so most of the affiliates improved their understanding.
- However, some of affiliates had not communicated the Epson Group's basic policies, rules, and guidelines to their employees or had not established their own objectives or action plans (in the areas of labor, safety and health, the environment, and suppliers). The Head Office will provide instruction and support to these affiliates and promote action across the Epson Group.
High risk company
|One company that recently established in 2018 was not adequately apprised of Epson's policies and management requirements.||The Head Office will explain requirements, and provide support.|
The Head Office and the company deemed high-risk will draft and execute plans to address issues to bring it up to the middle-risk or low-risk levels by March 31, 2020.
Security Personnel Trained in Human Rights
Seiko Epson outsources security operations to security companies and asks them to train those employees in human rights policies or procedures. In FY2017 we conducted a CSR self-assessment questionnaire to confirm that thoses suppliers, as well as other suppliers of indirect materials, provided human rights training to those people.