Business and Human Rights
Employees’ Occupational Health and
SafetyDiverse Human Resources /Development and Participation of
Human Resources
Co-Existence and Mutual Prosperity
with Local Communities

SocialRights of Indigenous Peoples
Human Rights in the Supply Chain
Engagement with Stakeholders
Research & Development
Intellectual Property
Social Data

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Social Social

Business and Human Rights

Approach and Policy

GRI 2-25/3-3

The business activities of the SMM Group affect the human rights of its stakeholders, particularly local residents and indigenous peoples, employees in the supply chain, and employees of the SMM Group. Further,stakeholders associated with our Group may be involved in adverse impacts to human rights.
Our Group supports the UN Guiding Principles on Business and Human Rights and, in accordance with
our Group’s human rights policy, promotes initiatives to uphold human rights, including the implementation of due diligence and the operation of grievance (remedy) mechanisms.

Promotion Structure

GRI 2-24/3-3

The Diversity Subcommittee and the Human Rights Subcommittee, which are subordinate organizations of the Sustainability
Committee overseen by the Board of Directors and chaired by the president, report regularly to the Committee on their activities
and reflect them in the Group policies and procedures to promote initiatives. We particularly focus our efforts in the three areas of
employees of the SMM Group, local residents and indigenous peoples, and employees in the supply chain, who are the stakeholders affected by the Group’s business activities.
 Promotion Structure

Sustainability Committee
President

Diversity Subcommittee
Chair:
General Manager of the Human Resources Department
Members:
Personnel in charge of each department

Collaborate
and cooperate
Check progress
on KPIs

Employees of the SMM Group.

Human Rights Due Diligence Initiatives

Our Group supports the UN Guiding Principles and conducts human rights due diligence (DD) in accordance with the OECD Due
Diligence Guidance for Responsible Business Conduct, and others.
We seek to cease, prevent, and mitigate adverse impacts on human rights as expressed in the ILO Core Labor Standards (10 conventions in five areas: effective approval of freedom of association and workers’ right to collective bargaining; prohibition of all
forms of forced labor; effective elimination of child labor; elimination of discrimination in employment and occupation; safe andhealthy working environment). As human rights risks in the business value chain, we promote initiatives with particular emphasison three areas: Employees of the SMM Group1, local residents and indigenous peoples,2 and supply chain (including employees
therein),3 which are impacted by our business activities.
1. Employees of the SMM Group

Chair:
General Manager of the Sustainability Department
Members:
Personnel in charge of each department

Local residents andindigenous peoples

Supply chain(including employees therein)

Commitment through policy

Identify and assess human rights impacts

Guiding Principle 22

Provide for or cooperate in the remediation ofadverse impacts through legitimate processes
Examples: Changes of systems, elimination of root-causes,
apologies and compensation

Guiding Principle 29

Establish grievance mechanisms

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P.178

 GRI 2-23/2-24

P.78-79)• Our Group’s Approach to Respect for Human Rights
Our Group takes utmost care not to infringe on the human rights of all people, avoids causing or contributing to adverse humanrights impacts through our business activities, and works toward correcting and remedying any such situation that may arise.
Further, if a stakeholder is involved in adverse impacts on human rights, we will encourage that stakeholder not to violate humanrights and cooperate through corrective or remedial actions.

Guiding Principle 19• Human Rights Issues within the SMM GroupSMM Group’s human rights policy sets forth its commitments on fundamental human rights issues, including respect for children’s
rights and prohibition of child labor, and prohibition of discrimination, harassment, and bullying on the basis of race, religion, gender, age, sexual orientation, disability, nationality, and other factors. We are also committed to respecting human rights based oninternational norms such as the International Bill of Human Rights, the ILO Declaration on Fundamental Principles and Rights at
Work, and the Mining Principles of the International Council on Mining and Metals (ICMM),* an industry organization for which weare a member. In the unlikely event of a conflict between applicable laws and regulations and international norms on human rights
in the regions in which we operate, we seek ways to respect international norms while complying with the laws and regulations.

Prevent and mitigate adverse impacts* ICMM Business and Human Rights Initiatives Process Diagram
Guiding Principle 18

GRI 2-25/2-26

Outline of SMM Group’s human rights policy (The Sumitomo Metal Mining Group Policy on Human Rights

Check progress
on KPIs

Guiding Principle 16

P.120

https://jacer-bhr.org/en/index.html

Business sites(plants, mines, Group companies, etc.)
Collaborate
and cooperate

P.110, P.116   3. Supply chain (including employees therein)

SMM has joined the Japan Center for Engagement and Remedy on Business and Human Rights (JaCER)1 established in 2022 as afounding member (regular member). JaCER is an organization that aims to support and promote the redress of grievances of member companies from a professional standpoint by providing a non-judicial Engagement and Remedy Platform for grievance redress
based on the United Nations Guiding Principles on Business and Human Rights. They also established an Advisory Board consistingof external experts and an Advisory and Mediation Panel and Investigation Panel consisting of independent expert individuals andorganizations.
In addition to existing mechanisms such as the Whistle-blowing System (Speak Up System),2 the Group will also utilize the platform provided by JaCER to operate a more transparent and effective grievance (remedy) mechanism.
• Grievances received by JaCER about the Group: 0 (FY2022)
1.                         2.
Whistle-blowing System
JaCER

Regarding the human rights of employees of the SMM Group, the Diversity Subcommittee, with the Human Resources Department
serving as its secretariat, works with business divisions and operational divisions in the Head Office to address human rights issues
through our organizational structure. P.86-87
Regarding the human rights of local residents and indigenous peoples, and supply chain (including employees therein), the
Human Rights Subcommittee, with the Sustainability Department serving as its secretariat, works with business divisions and operational divisions in the Head Office to address each group of stakeholders. P.110, P.116, P.120
Our efforts include the formulation of policies, due diligence, and operation of a grievance (remedy) mechanism in accordancewith the UN Guiding Principles on Business and Human Rights (see figure below).

76

P.86-87   2. Local residents and indigenous peoples

Grievance Mechanism: Membership in JaCER

Department in charge(business division, etc.)

Human Rights Subcommittee

GRI 2-25/3-3

Examples: Development of internal systems, educationand publicizing, collaboration with business partners

Guiding Principle 20

Monitor
Examples: Internal and third-party audits, surveying ofbusiness partners, monitoring work conditions

Guiding Principle 21

P.130• Internal and External Communications of the Human Rights Policy
We have produced educational materials in video format available to all SMM Group employees, which includes an overview of thepolicy, messages from top management, and commentary from experts, and share them in internal human rights training andother programs. In addition, to ensure that our stakeholders, especially our business partners, understand our approach and efforts
to respect human rights, we communicate Sumitomo Metal Mining Group’s Sustainability Procurement Policy, established in linewith our human rights policy. P.123

Communicate information externally
Examples: Disclosure of reports, websites

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Business and Human Rights

The Sumitomo Metal Mining Group Policy on Human Rights

We, the SMM Group (hereinafter referred to as the Group),
support the UN Guiding Principles on Business and Human
Rights and promote initiatives to respect human rights basedon these principles.
Our SMM Group upholds “Coexistence with the Earth andsociety” and “Respect for all individuals as the basis” in our
corporate philosophy. Our Group aims to focus on its social
mission and responsibility as a manufacturing company, andaims to contribute to the formulation of a sustainable society
by securing resources and providing society with non-ferrous
metals and high-performance materials.
The Group’s long-term vision is to become a “World Leader
in the Non-Ferrous Metals Industry”, and our sustainability
policy upholds that we will “contribute to the developmentof a sustainable society, and we are working to improve both
our sustainable growth as a business and our corporate
value”.
From among the key social issues that are closely related
to our Group, 11 material issues have been identified, including “Diverse Human Resources”, “Development andParticipation of Human Resources”, “Co-Existence and Mutual
Prosperity with Local Communities”, “Rights of Indigenous
Peoples” and “Human Rights in the Supply Chain”. Our SMM
Group has also formulated the “SMM Group Vision for 2030”
and KPIs as milestones in its long-term vision to addressthese issues, and is promoting initiatives.
We will continue to follow the Sumitomo Business Spirit,
which is the basis of our Group, and aim to become a company recognized by society as the “World Leader in the NonFerrous Metals Industry”.

1. Our Group’s approach to respect for human rights
Our Group understands that all our business activities may
directly or indirectly affect human rights.
Our Group takes utmost care not to infringe on the humanrights of all people, avoids causing or contributing to adverse
human rights impacts through our business activities, andworks towards correcting and remedying any such situationthat may arise.
Where stakeholders, in particular business partners such as
suppliers, are involved in adverse human rights impacts, theGroup encourages them not to infringe on the human rights
and cooperates with efforts for correction and remedy.
In actual efforts, we will particularly focus on the threeareas of ‘’Employees’’, ‘’Local Residents and Indigenous
Peoples’’ and ‘’Supply Chain (including employees therein)’’.

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GRI 2-23/2-24

2. Commitments on fundamental human rights issues
1) Respect for children’s rights and prohibition of child labor We respect the fundamental human rights of children
under 18 years of age and engage in relevant businessactivities and social contribution activities. We do not permit child labor, especially the worst forms of child labor,such as slave labor through forced recruitment in times ofconflict, and labor that is harmful to the health and safetyof children.
2) Prohibition of forced labor We do not recognize modern slavery in the form of forcedlabor, debt labor (work in situations where a person isforced to work for an employer to repay a debt) andhuman trafficking.
3) Prohibition of discrimination Discrimination, harassment and bullying on the basis ofrace, religion, gender, age, sexual orientation, disability,
nationality and other factors are not permitted in employment and work situations.
4) Respect for basic labor rights We respect basic labor rights (such as freedom of association and workers’ right to collective bargaining) andengage in constructive dialogue between labor andmanagement.
5) Working hours and wages We endeavor to properly manage working hours, holidays
and leave in accordance with laws and regulations, including reducing excessive working hours, and we pay wages
at or above the minimum wage stipulated by laws andregulations.
6) Occupational health and safety We actively address to ensure a safe and healthy working
environment and give top priority to safety and health forlife and limb.

3. Scope of application
This policy applies to all executives and employees of the
SMM Group (Sumitomo Metal Mining Co., Ltd. and its
subsidiaries).
Our SMM Group also expects and encourages stakeholders directly linked to our operations, products or services, inparticular business partners, to understand and support thispolicy.

4. Respect for International Norms on Human Rights
Our Group, in cooperation with its stakeholders, will address
to respect human rights in accordance with the followinginternational norms and standards. In addition, our Groupwill comply with all applicable laws and regulations in theregions where we operate.
In the unlikely event of a conflict between these laws andregulations and international norms on human rights, we willseek ways to respect international norms while complying
with the laws and regulations.
• UN Guiding Principles on Business and Human Rights• International Bill of Human Rights (‘’Universal Declarationof Human Rights’’, ‘’International Covenant on Civil andPolitical Rights’’, and ‘’International Covenant on
Economic, Social and Cultural Rights’’)• International Labor Organization (ILO) Declaration on
Fundamental Principles and Rights at Work• ILO Tripartite Declaration of Principles on Multinational
Enterprises and Social Policy• United Nations Declaration on the Rights of Indigenous
Peoples (UNDRIP)• The 2030 Agenda for Sustainable Development (SDGs)• Convention on the Rights of the Child• OECD Due Diligence Guidance for Responsible BusinessConduct• OECD Due Diligence Guidance for Responsible Supply
Chains of Minerals from Conflict-Affected and High-Risk
Areas• International Council on Mining and Metals (ICMM)
Mining Principles• Voluntary Principles on Security and Human Rights

5. Governance and Promotion Structure
The Diversity Subcommittee and the Human Rights
Subcommittee, which are subordinate organizations of the
Sustainability Committee chaired by the President, shallreport regularly on the status of compliance with this policy
and the Group’s efforts to respect human rights to the
Sustainability Committee, which is overseen by the Board of
Directors, and reflect this information in the Group’s business
policies and procedures.

6. Human Rights Due Diligence
In accordance with the OECD Due Diligence Guidance for
Responsible Business Conduct and other guidelines, ourGroup will conduct the human rights due diligence in thefollowing steps.
In doing so, our Group will strive to utilize the humanrights expertise and engage in meaningful consultation withstakeholders.
1) Identify and assess adverse impacts associated with ourGroup’s operations, either directly or indirectly.

2) Integrate the results of the assessment into the company’s processes, including allocating budgets to address
any adverse impacts identified as a result of theassessment.
3) Seek to cease, prevent and mitigate adverse impacts.
4) Monitor and track the status of implementation andcarry out assessments of the effectiveness of our Group’s
initiatives.
5) Disclose information on the status of the implementation and the effectiveness.

7. Grievance Mechanism
Our Group will establish a grievance mechanism that isaccessible to all stakeholders, including not only employees
of our Group but also employees in the supply chain, local
residents and indigenous peoples, and that aims to resolve
grievances by consensus through dialogue.

8. Dialogue and Consultation with Stakeholders
Our Group will engage in dialogue and consultation withstakeholders, including human rights experts, labor unions,customers and business partners, to promote comprehensive
measures based on expertise and a broad range of perspectives for the adaption and the revision of this policy and for
our Group’s efforts to respect human rights.
In addition, we will raise awareness and provide training to
all executives and employees of our Group to promote theirunderstanding of this policy and their engagement in initiatives to respect human rights.

9. Reporting and Information Disclosure
Our Group will regularly disclose the progress of its initiatives
based on this policy.

This policy was formulated with the assistance of humanrights experts, discussed within the Sustainability Committeeof Sumitomo Metal Mining Co., Ltd. and approved by the
Board of Directors.
Akira Nozaki
President and Representative Director
Amended on June 1, 2022

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Employees’ Occupational Health and Safety

Vision for 2030

Occupational Health and Safety Policies, Targets and Plans

GRI 3-3

The Safety & Environment Control Department sets the Group’s policies, targets, and action plans (Group health and safety targets)based on the 3-Year Business Plan, which was formulated in light of the Group’s progress toward its vision for occupational healthand safety, and the president approves them. In each business, based on the Group’s health and safety targets, annual activity targets and plans are established and line health and safety management is promoted, taking into consideration the risks specific toeach business site.

A company where all employees work together with safety
first the priority in a comfortable working environment aswell as safe facilities and operations

Promotion Structure
Approach and PolicyOccupational health and safety is managed by the chain of command in which the president is the person ultimately responsible,
general managers of the relevant divisions provide guidance and supervision, and the person in charge of each business site isappointed as the health and safety manager of that site. Constructive discussions on ways to improve health and safety in theworkplace also take place during meetings of the Occupational Health and Safety Committee comprising representatives fromboth labor and management. Furthermore, the executive officer responsible for the Safety & Environment Control Department,
who is also the General Manager thereof, provides guidance and advice on safety and health initiatives to each division and each
workplace of the Group, while the health and safety manager assigned to each division and business site coordinate efficiently topromote improvements in safety and health. The SMM Group strives to improve health and safety under the concepts of the
OSHMS,* and has business sites that have already obtained ISO 45001 certification or are certified according to the Japan Industrial
Safety and Health Association (JISHA) OSHMS standards. We conduct risk assessments when introducing new equipment or making changes to operational procedures, and make improvements to reduce risk. At overseas business sites, we have also built an
occupational health and safety management framework based on local laws and regulations, and conduct the same level of risk
assessment, improvement of equipment, and hazard prediction activities as in Japan.

Because the Group’s business activities involve working at heights and handling large equipment, heavymachinery, and chemical substances, employees risk occupational accidents, including fatalities, andhealth hazards.
On the other hand, an environment in which employees can work in safety and with security is an
important management element that leads to greater employee motivation and stronger relationships oftrust between employees and the Company. Therefore, the SMM Group aims to create comfortable andsafe workplaces, including at our contractors, and is further advancing its ongoing equipment safety measures and has begun introducing advanced technologies such as the IoT* and AI (Artificial Intelligence).
* IoT: The Internet of things, under which services are deployed through all manner of things being connected through the Internet.

Policy and Targets



Occupational Health and Safety Policy and Goals for FY2023
Occupational Safety Policy

Occupational Health Policy(1) P revention of serious accidents(2) P revention of recurring accidents(3) A chieve work with safe procedures and equipment
through priority-oriented safety activities based on
the Three Reality Principle and line safety
management.

Ensure a comfortable work environment through measures to improve the work environment and prevent
illness

Occupational Safety Goals
1. Occupational accidents (ultimate goal of zeroaccidents)
1) Japan Group employees   • Serious accidents1: 0   • All accidents2: 7 or less
2) Japan contractor employees   • Serious accidents1: 0   • All accidents2: 2 or less3) Overseas business site employees   • Serious accidents1: 0   • All accidents2: 1 or less    1. Accidents resulting in an absence from work of three months
or more as a management indicator    2. Accidents that resulted in absence from work combined withaccidents not resulting in absence from work.

2. Traffic accidents   • Traffic accidents caused by employees resulting ininjury or death: 6 or less

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Occupational Health Goals
1. Dust, lead, and specified substances
1) Control Class 3 workplaces   Number of workplaces: 0 (excluding noise)2) Control Class 2 workplaces   Reduction in the number of workplaces
2. Noisy workplaces Control Class 3 workplaces with a workload value of 1
or more: 1 or less

GRI 3-3/403-1/403-2

GRI 3-3

GRI 3-3* OSHMS is an abbreviation of Occupational Safety and Health Management System and it is a management system that aims to improve occupational health and safety levels at
business sites through the implementation of a set of processes known as the PDCA cycle (Plan, Do, Check, Act), based on cooperation between businesses and their workers

 Promotion Structure
Sustainability Committee
President
Occupational Health & Safety
Subcommittee
Chair: Executive officer responsible for the Safety &Environment Control Department
Deputy Chair: General Manager of Human Resources Department
Members: Health and safety managers of each division

Functional instructions
Collaborate
and cooperate
Check progress
on KPIs

Department in charge(business division, etc.)
Collaborate
and cooperate

Business sites (plants, mines, Group companies, etc.)
Business site health and safety manager(s)Safety & Environment
Control Department
Health and Safety
Manager Meeting

Collaborate
and cooperate

Business site division(s)(department(s), section(s), etc.)

3. Number of employees with work-related ill healthIll employees (requiring treatment): 0
4. Mental health enhancement

Occupational Health & Safety Subcommittee and Safety & Environment Control Department
With regard to employees’ occupational health and safety, which is a material issue, the Safety & Environment Control Department
promotes activities to achieve our vision in cooperation and collaboration with the members of the Occupational Health & Safety
Subcommittee, who are in charge of health and safety in their respective division. In addition, the Safety & Environment Control
Department provides functional instructions to the business division supervisors based on various reports and inspections, provides advice and reports to the competent authorities on the consolidation and response to important matters such as accidents
and disasters, and disseminates disaster case studies within the Group to raise awareness and provide instructions for inspections.

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81Social Social

Employees’ Occupational Health and Safety

The SMM Group Health and Safety Manager Meeting

FY2022 Results

As a rule, once a year, the Safety & Environment Control Department holds a meeting for business division health and safety managers and business site safety and health managers. At these meetings, health and safety managers of departments and divisions
work to improve the level of health and safety management by providing information on the progress of health and safety targets,
information on legal revisions, and explanations and discussions on performance and material issues related to health and safety.
GRI 403-4/403-7

Medium-Term Targets and Progress

KPI

Japan employees all accidents: 24 (20)Japan contractors all accidents: 5 (8)Overseas employees all accidents: 1 (2)SUMITOMO METAL MINING CO., LTD.

Action Plan

Serious accidents occurred. Many recurring accidents occurred, missing the target for all accidents. Multiple accidents
occurred from May to July, but things
calmed down after a state of emergency was declared in July, and there
were no accidents from November toDecember. We promoted essential
safety measures for equipment, separation of pedestrians and vehicles, andinstallation of AI cameras on forklifts,
work observation by supervisors to
avoid leaving unsafe behavior unnoticed, and a full-scale start of VR
training.

• Conduct a comprehensive review ofsafety measures for automated equipment and promote countermeasures
for any risks found• Continue heavy equipment safetymeasures such as the use of AI cameras and separation of pedestrians andvehicles• Monitor the implementation status ofon-site work observation throughinspections and patrols, provide guidance, identify risks, and make
improvements• Develop VR hands-on education using
new original content

Achievement Criteria

Numbers in parentheses are FY2022 results

82

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Final Year of 2027 3-Year Business
Plan (FY2030)

1. Prevent occupational accidents
Serious accidents: zero (in Japan and overseas, including contractors)
All accidents: reduce year on year, with aim of eventually reaching zero• Serious accidents: 3• All accidents

Sustainability Report 2023

Reinforced daily inspections, as work
environments deteriorate due to equipment damage, etc.
Promoted visualization of work environments using time-lapse cameras, dust
meters, etc.
After taking measures based on thethermal environment management
standards, the number of heat strokecases in underground operations was
reduced to zeroContinue to improve equipment toensure good work environments andstrengthen management to prevent
deterioration of work environments• Promote introduction of new technologies, such as automatic underground
HLD to reduce individual exposure andvarious tools for visualization of work
environments• Strengthen equipment maintenance(inspection and repair)• Share good practices for equipment
and management improvement• Achieve year-on-year reduction in
number of workplaces that present
higher health risks• Occurrence of occupational diseases:
zero

Targets through all 3-Year Business Plan
periods• Number of workplaces that present
higher health risks: reduce year on year
• Address new risks (2024 3-YearBusiness Plan)• Realize comfortable workplace environment (2027 3-Year Business Plan)• Occurrence of occupational diseases:zero• Make improvements to equipment led
by top management• Upgrade management techniquesthrough line management and manage and maintain effects ofimprovement• Reduce individual exposure time
Analyze and utilize individual sampling
and continuous monitoring data.
Utilize biosensors for heatstroke prevention, etc.
• Ensure implementation of the threeareas of management in occupational
health and safety(working environment management,
work management, and healthmanagement)• Continue and review the actions on
the left• Respond to new regulations and risksof handled substances (2024 3-YearBusiness Plan)• Include improvement of workloads
and strengthening of health management through DX (2027 3-YearBusiness Plan)GRI 3-3

To achieve our Vision for 2030, we are managing progress for each KPI and have made achievement criteria and action plans for up to 2030.
FY2022 Results• Achieved year-on-year reduction in
number of workplaces that present
higher health risks
2022: 2 workplaces (2021: 5 workplaces)• Occurrence of occupational diseases:
zero

Action Plan

In accordance with the Industrial Safety and Health Act, the Occupational Health and Safety Committee meets once a month ateach of the Group’s business sites in Japan. At the Occupational Health and Safety Committee meetings, a wide range of health andsafety issues are discussed, including the progress of health and safety activity plans, analysis of the causes of occupational accidents and measures to prevent recurrence, results of working environment measurements, results of medical examinations, reports
on improvements to equipment and work methods, reports on the correction of areas identified during patrols, safety and management methods for new chemical substances handled, results of pre-operational safety examinations of new equipment, andinformation on legal revisions. A summary of the Occupational Health and Safety Committee meetings is reported monthly bybusiness sites to the Safety & Environment Control Department, which confirms that safety and health activities are being properly
implemented at each business site.
At SMM Group’s overseas business sites, occupational health and safety committee meetings are held in accordance with thelaws and regulations of each country to ensure workplace safety through the creation of accident prevention measures among
businesses and their workers.
Regarding regular contractors, Occupational Health and Safety Committee meetings and informal gatherings are held every
month by contracting organizations in which contractors and others participate and information is shared. This information is takenback to the company where it is shared and used to make notifications.

Final Year of 2027 3-Year Business
Plan (FY2030)

2. Prevent occurrence of occupational diseases
Number of workplaces that present higher health risks: reduce year on year
Occurrence of occupational diseases: zero

Achievement Criteria

Occupational Health and Safety Committees

KPI

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Serious accidents: zero (in Japan andoverseas, including contractors)
2024 targets
Japan employees all accidents: 7/year or
lessJapan contractors all accidents: 2/year
or less
Overseas employees all accidents: 1/year
or less
1. Enhance equipment safety
1) Initiate DX in mines and battery
plants2) Education on risk assessment
manuals
2. Develop the management system1) Identify the actual circumstances ofline management• Utilize work observation• Check and review measuresagainst reoccurring accidents
3. Develop human resources
1) F ormulate education programs for
managers and supervisors, etc.
2) Improve education for all employees
Hazard simulation training using VR

Targets through all 3-Year Business Plan
periods
Serious accidents: zero (in Japan andoverseas, including contractors)
All accidents: reduce year on year, withaim of eventually reaching zero

1. Enhance equipment safety
1) Promote (2024 3-Year Business Plan)and realize DX2) Make facilities safer through risk
assessment manuals (2024 3-YearBusiness Plan) and expand
2. Develop the management system
1) Strengthen (2024 3-Year BusinessPlan) and operate line management
3. Develop human resources
1) Revise (2024 3-Year Business Plan)and establish manager and supervisor education2) Review (2024 3-Year Business Plan)and implement new education for
all employees

Individual Initiatives for Occupational Health and Safety
Health and Safety Management in the Besshi District
In the Besshi District of Niihama City, Ehime Prefecture, where many of the Group’s business sites are located, the Besshi-Niihama
District Division Safety & Environment Control Center plays a central role in improving the level of health and safety management
by providing guidance on health and safety management initiatives to business sites including Group companies in the district,holding regular information exchange meetings and study sessions, and conducting cross-patrols.

Occupational Health and Safety Risk Assessments

GRI 403-2

The SMM Group proactively uses risk assessments (investigation of hazard or harmfulness) to evaluate hazards and take appropriate
countermeasures against sources of risk that may cause accidents or health hazards due to equipment, operations, or a combination of both. For example, when we introduce new equipment, we conduct a risk assessment at the time of design, taking into consideration the intrinsic safety of the equipment, and the risk assessment is reflected in the design of the equipment. Before
equipment is installed and put into operation, a risk assessment (audit) is conducted again with supervisors, operators, etc., andimprovements are made. After the facility goes into operation, we continuously report on the status of maintenance and improvement of residual risks at the Occupational Health and Safety Committee meetings, and work to improve the level of health andsafety by ensuring that our efforts are promoted.

Inspections, Patrols
The head of the business division with jurisdiction conducts annual patrols of the business site, including affiliated companies
under his/her jurisdiction, to confirm that health and safety management is being properly implemented (in 2022, 50 inspections
were conducted at 39 business sites in Japan and overseas). In principle, once a year, the General Manager of the Safety &Environment Control Department or his/her designate conducts a security, safety, and occupational health management inspection of each business site, and reports the results to the president, the head of the business division with jurisdiction over the business site, and the head of the business site (in 2022, due in part to the impact of the COVID-19 pandemic, 28 of the 47 businesssites in Japan covered by the safety statistics were inspected). Furthermore, in the event of a serious accident or disaster, an on-site
investigation is conducted immediately.
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Employees’ Occupational Health and Safety

Each business site conducts safety patrols by business site supervisors, work observation patrols at each workplace, and safety
activities in small groups. Some workplaces receive guidance from outside instructors to check and improve dangerous locations at
the site.

Education
Education in Hands-on Training Facilities

GRI 403-5

Since 2010, the SMM Group has been operating a hands-on training facility (Oji-kan Facility) in Niihama City, Ehime Prefecture,
which consists of a Hazard Simulation Zone and an Equipment Skills Training Zone. The purpose of the Hazard Simulation Zone is toincrease sensitivity to occupational safety and occupational health through simulated experiences of dangers that may be present
in daily work, while the purpose of the Equipment Skills Training Zone is to develop operators with strong skills in equipment anddevices through hands-on experience with actual on-site equipment, cut models, etc. In both zones, in addition to the curator andfull-time instructors, site managers and supervisors, and veteran employees provide training as appointed instructors. Oji-kan
Facility staff have been traveling to workplaces since 2013 to conduct on-site hazard simulation training, and we are working to
expand the number of participants. In addition, each business site uses Oji-kan Facility based on a risk assessment of its own workplace to conduct safety education through its own unique program.

Results and Reflections on FY2022 Initiatives
In FY2022, we missed our safety targets (seven or less accidents and zero serious accidents for all Group companies in Japan), having 24 total accidents and three serious accidents. Although the risk of heavy machinery accidents has been reduced as a result ofefforts in FY2022, this failure is believed to be due to the accidents caused by human error such as simple mishaps or carelessness,
mainly during the summer, in addition to incomplete safety improvements in automated equipment, etc. Therefore, measuresagainst human error are necessary in addition to further promote intrinsic equipment safety improvements.
As for the health-related targets, we have achieved zero cases of work-related ill health, with Control Class 3 workplaces reduced
from the previous year (from five to two), and we will steadily formulate and implement improvement measures toward achieving
zero Control Class 3 workplaces.
In addition, chemical management is undergoing a major transformation starting in May 2022. First, the entire company will
share the overall schedule and outline of the changeover, and then we will ascertain information on the legal revisions that will besequentially enforced as early as possible and respond appropriately.

Action Plan for FY2023

 Number of Employees Using the Oji-kan Facility and Attending On-site Training (as of the end of 2022)
Oji-kan Facility Users

20,599(Breakdown) Group companies in Japan

16,136

Contractors

4,360

Overseas business sites

In FY2023, we will promote comprehensive inspections and measures for automated equipment to further promote intrinsic
equipment safety.
In addition, to prevent human error and recurring accidents, we will improve the skills of workers by strengthening education forline managers, promoting 5S (a workplace organization method) and improvement of the work environment through the initiativeof top management, and enhancing education at Oji-kan Facility, including incorporating VR. Through these efforts, we will achieve
a comfortable and safe work environment.

103

Attendees of on-site training

9,140

Total

29,739Action Plan for FY2023

External Communication
We participate in the health and safety committees of the Japan Mining Industry Association and Kyohokai* to obtain informationon legal revisions and response methods, and to introduce the latest health and safety technologies and improve the level ofhealth and safety by visiting each other’s factories and developing good practices.
We also use outside consultants to conduct safety culture assessments at SMM Group’s major business sites, and the Safety &Environment Control Department presents the results to the business sites, and discusses them to improve safety initiatives.
* Kyohokai: Consists of more than 200 contractors for Toyota Motor Corporation

Priority Initiatives for FY2022

GRI 403-5

In addition to continuing to improve the intrinsic safety of its equipment, the SMM Group is strengthening measures to separate
pedestrians from vehicles and promoting the installation of AI cameras on heavy machinery to prevent the fatal accident that
occurred in 2021 due to contact with heavy machinery (a forklift). In addition, we are focusing on the prevention of serious accidents caused by moving equipment, heights, heavy objects, etc. We have also launched initiatives for smart mining. To enhanceline management, including improving the skills of management and supervisory staff, we are promoting the implementation of
the work observation manual and point card, which were formulated in 2021. We are also enhancing hazard simulation training by
incorporating VR equipment.
In terms of health, we are promoting equipment improvements with the goal of eliminating workplaces in the Control Class 3.
We are also promoting systematic improvement of work environments to eliminate workplaces in Control Class 2. The Safety &Environment Control Department planned health patrols, and together with the Safety & Environment Control Center in the Besshi
District, where there is a high concentration of such workplaces, and the health and safety officers of business divisions provided
guidance and followed up on progress in improving and maintaining work environments at business sites through patrols andother means.

84

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Sustainability Report 2023

1. Improve and make equipment intrinsically safe, withemphasis on preventing serious accidents(1) P romote overall inspection and implementation ofsafety measures for automated equipment(2) Identify risks through on-site work observation guidance, requests for implementation, etc.
2. Prevent recurring accidents(1) D ig deeper into causes, focus on countermeasures, andpromote horizontal development(2) H ands-on training using VR

3. Infrastructure development(1) R einforce line safety management(2) I mprove work environments to encourage safe behavior
from employees

Data on Employee’s Occupational Health and Safety• Work-Related Incidents P.142• Work-Related Ill Health P.143• Occupational Health and Safety Management System P.144• Identification of Hazard Sources, Risk Assessment, and Accident Investigation P.145• Services, Education, and Training regarding Occupational Health and Safety P.146

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

85

Social Social

Diverse Human Resources /Development and Participation of Human Resources
Vision for 2030

Company-wide Group on Human Resources

A company where all employees can take a vibrant and active part
1 A company that respects the humanity of each and every employee, and where employees feel pride, motivation, and joy in work
2 A company that provides each and every employee with opportunities to improve his/her capabilities, and grows together with employees

Approach and Policy

GRI 3-3

Based on the approach of “respect for all individuals” set forth in our Corporate Philosophy and in accordance with the Sumitomo Metal Mining Group Policy on Human Rights, we work to secure, foster, and utilize human capital by respecting the diverse values of all employees and fostering workplaceenvironments in which all employees can fully demonstrate their abilities.
The business environment surrounding companies is a difficult one in which the future is difficult toforesee, and societal changes that overturn conventional wisdom have begun to occur one after another.
We believe that our Company, too, will face difficulty in aptly adapting to such changes through the continuation of conventional approaches. Building an organization and developing employees who are notafraid to make changes, even changing themselves, is an urgent challenge for us.
In response, in July 2023 we revised our human resource system to one centered on a job grade system
for managerial track employees, in order to take in diverse human resources, make use of diverse values,and enhance our corporate value while maintaining a membership-style employment mechanism thatallows organizations and employees to grow from a long-term perspective. We will make our Company
into one that continues to provide the sense of security and stability of the past while also enabling newchallenges, transformation, and growth as all employees learn and grow autonomously.

Led by the Human Resources Department, this Meeting of General and Section Managers in Charge of Human Resources at all
Group business sites in Japan meets one or two times per year to update and share information on matters including legal revisions, human resources, and organizational management trends, as well as to align awareness of human resources issues and determine policies concerning new initiatives. Its main agenda items include legal and systemic revisions, issues related to the securing,
fostering, and utilization of human capital and future measures to address these, and measures undertaken by business sites.
Following conference meetings, we connect discussions to the study and execution of effective personnel measures at sites.

Central Labor-Management Meeting
The Central Labor-Management meeting is held at least once a year to contribute to trouble-free discussions and negotiations
between labor and management and to the stability of labor-management relations. Participating parties include all officers,
including the president, on the company side, and the Federation of Sumitomo Metal Mining Workers Unions and all company
union committee chairs on the union side. We explain the Company’s business situation and outlook to the union and engage inactive exchanges of opinions with union executives.

GRI 3-3Company

Labor union

President

Chair:
General Manager ofthe Human Resources
Department
Members:
Personnel in charge ofeach department

Collaborate
and cooperate

Diversity Promotion Section
Human Resources
Development Section

Department in charge(business division, etc.)

Business sites(plants, mines, Group companies, etc.)

Chapter

Sustainability Report 2023

Share information,
collaborate

The labor-management committees are charged with implementation when details of matters discussed between labor and management are investigated and studied, or when the effectiveness of the matters that have already been decided and put into operation are subjected to verification. The committees are formed for a given length of time as necessary, with their conclusions
reported to labor-management representatives.

Company
union

Share information, collaborate

Meeting of General andSection Managers incharge of Human Resources
Meeting of Managers incharge of Wages

Federation of
Sumitomo Metal Mining
Workers Unions

Check progress
on KPIs

Diversity
Subcommittee

Human Resources
Department

Occupational Health and Safety Committee
Labor-management council meetings,
labor-management discussions
Working Hours Committee, etc.

SUMITOMO METAL MINING CO., LTD.

Functional
instructions

Central Labor-Management meeting
Spring negotiations
Labor-management council,
labor-management advisory committee

Corporate Value
Enhancement
Strategic Committee

Local Labor-Management meetings are arranged one or more times per month as venues to regularly explain our business situation to labor unions (company unions and chapters) and employee representatives, and to collect opinions and requests from
employees. In response to requests regarding occupational health and safety and improvements to work, we perform checks of situations and then enact necessary improvement measures.

Labor-Management Committees

Sustainability Committee

86With the Human Resources Department as its secretariat, the Diversity Subcommittee engages in discussions and confirmation ofprogress on KPIs, placing a particular focus on diversity within the area of human resources utilization. It is composed of members
from other departments and meets two or more times per year.

Meeting of General and Section Managers in Charge of Human Resources Promotion Structure

Chair: Executive officer in charge of the
Human Resources Department
Deputy Chair: General Manager of the Human
Resources Department
Members: General managers of divisions, General
Manager of the Technology Division,
General Manager of the Engineering
Division, executive officers in charge ofcorporate divisions, executive officers incharge of operational divisions in the
Head Office

Diversity Subcommittee

Local Labor-Management Discussions

Promotion Structure

Company-wide Groupon Human Resources

With the executive officer in charge of the Human Resources Department as the Chair and the General Manager of the Human
Resources Department as the Deputy Chair, the Company-wide Group on Human Resources is placed within the Corporate Value
Enhancement Strategic Committee to link management strategy with human resources strategy. In addition to promoting therational assignment of human resources, the group engages in discussions of cross-company human resources strategies related tothe securing, fostering, and utilization of human capital, including the systematic development of the next generation of management and future managers. It meets one or more times per quarter.

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Sustainability Report 2023

87Social Social

Diverse Human Resources / Development and Participation of Human Resources

Medium-Term Targets and Progress

GRI 3-3

To achieve our Vision for 2030, we are managing progress for each KPI and have made achievement criteria and action plans for up to 2030.

1. Promote working style reform and create workplaces that make use of digital technology, enabling diverse human resources to play
vibrant and active roles
1) Improve scores for “Management by managers and superiors,” “Appeal of job,” and “Work environment” in employee awareness survey

Action Plan

• Confirm scores and verify review of
KPIs in the employee awareness survey
to be conducted annually from FY2023• Review personnel-related systems• Confirm scores and verify review of
KPIs in the employee awarenesssurvey• Review personnel-related systems(1) Number of female SMM managers:
50 (35 during 2024 3-Year BusinessPlan) (7% of managers (5% during2024 3-Year Business Plan))(2) Percentage of female SMM employees: 20% (16% during 2024 3-YearBusiness Plan) (550 employees (500
employees during 2024 3-YearBusiness Plan))(1) Continue training to foster rolemodels(2) Target number of females to be
hired: 10–15/year (new graduates +mid-career)(1) Develop career paths for training
female managers (2 production sites,
4 positions in administrative offices(3 positions during 2024 3-YearBusiness Plan))(2) Target number of females to be
hired: 10–15/year (new graduates +mid-career)• Increase from the number achieved
during each 3-Year Business Plan

Action Plan

• Develop an environment that allows
employees of foreign nationality to
become established at the company• Develop an environment that allows
employees of foreign nationality to
become established at the company

Action Plan

Sustainability Report 2023

Achievement
Criteria

SUMITOMO METAL MINING CO., LTD.

• Consider new recruitment channels
aimed at increasing the percentage of
employees with disabilities• Continue to accept university student
internships and practical training forspecial needs schools• Implemented initiatives to foster aworkplace climate aimed at retaining
employees with disabilities (convened
meetings of personnel in charge ofrecruitment of people with disabilities,etc.)• 2.7%• 3%• Host practical workplace training for
employees with intellectual disabilities(all sites)• Head Office recruitment: recruit college
graduates and those with higher qualifications from internship programs• Recruit people with mental illness(Head Office)• Recruit people with intellectual
disabilities• Expand recruitment channels (graduate internship, high school graduate
workplace training, mid-career
employment support)• Use of parental leave: 100% forwomen, 95% for men (excluding leave
with pay for child-rearing: 60%)
• Employees who left work due to nursing care: 0• Implement measures for medical
treatment• Seminars on support systems for balancing work with child-rearing andnursing care
• Seminars on the parental leave system• Implement interviews before taking
parental leave and before and after
returning to work
• Nursing care consultations (Work-life(WL) Support Desk)• Consultations for balancing medical
treatment and work (WL Support Desk)• Seminars on support systems for balancing work with child-rearing andnursing care
• Seminars on the parental leave system• Implement interviews before taking
parental leave and before and after
returning to work
• Nursing care consultations (WL
Support Desk)• Consultations for balancing medical
treatment and work (WL Support Desk)• Reduce the number of employees taking long-term leave• Reduce the number of employees taking long-term leave• Assess current situation of employees
on long-term leave and confirm
actions for individual situations• Continue actions for individual
situations

2. Support employees’ mental and physical health
1) Reduce the number of employees taking long-term leave• The percentage of employees taking
long-term leave due to mental healthdisorders and the percentage of total
number of days of leave taken
increased
Percentage of employees taking leave
FY2021: 0.97%  FY2022: 1.12%
Percentage of total number of days ofleave taken
FY2021: 0.37%  FY2022: 0.43%• Implemented site-specific measures(Ome District Division, Harima
Refinery), based on organizational
analysis of stress checks• Assessed mental health training attendance rate
Details P.103-104

KPI• Use of parental leave: 100% forwomen, 95% for men (excluding leave
with pay for child-rearing: 50%)
• Employees who left work due to nursing care: 0• Implement measures for medical
treatment

Initiatives using results of stress checks• Based on results from analyses ofgroups, analyze personnel and labor
issues by department, set themes for
improvement, and draft and executeaction plans• Promote “Mental Health Management
Supervisor Training” for managers andsupervisors at workplaces with issues(100% attendance rate)

2. Support employees’ mental and physical health2) Percentage of employees with abnormal findings indicated in health checkups: 50% or lower• Percentage of employees with abnormal findings indicated in health checkups: 58.0%• Created a foundation for health andproductivity management promotion
by establishing related policies andregulations and delivering a message
from the president on the health andproductivity management kick-off• Set medium- to long-term milestonesin the “Employee Health Promotion
Roadmap” and formulated and executed a FY2022 promotion plan incorporating the roadmap• Obtained first certification as a Health& Productivity Outstanding
Organization
Details P.102-106• Strengthen letter-based follow-up
with employees at high risk for lifestyle-related diseases• Implement program for quitting
smoking• Address employees at high risk of serious illness• Make use of health portal site• Hold walking events• Hold regular health seminars• Continue certification as a Health &Productivity Outstanding Organization• Prepare for creation of a company-wide health and productivity management system

Health and productivity management
initiatives• Develop Health and Productivity
Management Declaration and organization and systems for its promotion• Obtain Certified Health & Productivity
Outstanding Organization Recognition• Percentage of employees with abnormal findings indicated in health checkups: 55% or lower

Health and productivity management
initiatives• Continue to obtain Health &Productivity Stock Selection• Percentage of employees with abnormal findings indicated in health checkups: 50% or lower (52% or lower
during period of 2024 3-Year Business
Plan)

Action Plan

• Increase from the end of FY2021

KPI• Use of parental leave: 100% forwomen, 95% for men (excluding leave
with pay for child-rearing: 45%)
• Employees who left work due to nursing care: 0• Continue to hold seminars on theparental leave system, and on support
systems for balancing work withchild-rearing and nursing care, etc.
• Continue to provide consultation
through the Work-life Support Desk
• Implemented career life plan andcareer design training

Achievement Criteria

Achievement
Criteria• Continue study of measures related toissues identified in FY2022 and continue hearings on issues throughexchange meetings, etc.
• Consider workplaces for trial acceptance of foreign employees and start
approach to local recruitment• Use of parental leave: 106% forwomen, 95.6% for men (excluding
leave with pay for child-rearing: 42.4%)• Employees who left work due to nursing care: 2• Conducted seminars, briefings on programs, etc. (seminars on the parental
leave system, support for balancing ofwork with child-rearing and nursing
care, etc.)• Implemented career life plan andcareer design training
Details P.93, P.96-97

Action Plan

Action Plan

(1) Number of female SMM managers:
25 (3% of managers)(2) Percentage of female SMM employees: 14% (460 employees)

1. Promote working style reform and create workplaces that make use of digital technology, enabling diverse human resources to play
vibrant and active roles
5) Assign jobs and provide support matched to employees’ life stages

Achievement Criteria

Achievement Criteria• Continue to dispatch future leader
candidates to training in interactions
with other industries, in order todevelop human resources who canserve as role models• Begin study aimed at the formulationof duty-specific recruitment and development plans

1. Promote working style reform and create workplaces that make use of digital technology, enabling diverse human resources to play
vibrant and active roles
4) Percentage of employees with disabilities: 3% or higher (SMM)• 2.57% as of June 1, 2022
• Accepted university student internships and workplace practical training
for special needs schools• Implemented initiatives to foster aworkplace climate aimed at retaining
employees with disabilities (convened
meetings of personnel in charge ofrecruitment of people with disabilities,
etc.)
Details P.101

88• Improve scores from the previous fiscal
year for “Management by managers
and superiors,”“Appeal of job,” and“Work environment” in employee
awareness survey

1. Promote working style reform and create workplaces that make use of digital technology, enabling diverse human resources to play
vibrant and active roles
3) Expand number of managerial track employees of foreign nationality• 14 as of the end of FY2022• Conducted questionnaires for foreign
employees aimed at understanding
current problems, and conductedinterviews with those who wantedthem• Provided feedback to superiors andconducted hearings on issues
Details P.101

KPI• Improve scores from the previous fiscal
year for “Management by managers
and superiors,”“Appeal of job,” and“Work environment” in employee
awareness survey

1. Promote working style reform and create workplaces that make use of digital technology, enabling diverse human resources to play
vibrant and active roles2) (1) Number of female managers: 50 (SMM)(2) Percentage of female employees: 20% or higher (SMM)(1) Number of female SMM managers:
20 (2.9% of managers)(2) Percentage of female SMM employees: 12.9% (445 employees)• Dispatched five future leader candidates to training in interactions withother industries, in order to develop
human resources who can serve asrole models• In our recruitment plan, set the recruitment percentage for women in managerial track positions to 20% andformulated target numbers to bereached by 2030
Details P.99-100

KPI• Enhance all scores in the FY2023
employee awareness survey throughthe introduction of one-on-one meetings and activities aimed at creating an
open and vibrant workplace climate

Achievement
Criteria• Both scores have improved since theprevious survey (2019)
Appeal of management measures3.473.55
Management by superiors  3.563.69
Appeal of job 
3.383.45
Overall appeal of workplace3.233.36
Details P.98

KPI

Final Year of 2027 3-Year Business
Plan (FY2030)

Final Year of 2027 3-Year Business
Plan (FY2030)

Action Plan

KPI

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

KPI

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Achievement Criteria

FY2022 Results

FY2022 Results• Initiatives for obtaining Health &Productivity Stock Selection• Steadily implement measures for bothmental and physical health (encourage
voluntary health checkups, establish
exercise habits, support improved
dietary habits, continue employment
environment surveys)• Send follow up letters to employeeswith a high risk of developing lifestyle-related diseases• Verify and review effectiveness ofmeasures• Initiatives for obtaining Health &Productivity Stock Selection• Steadily implement measures for bothmental and physical health (encourage
voluntary health checkups, establish
exercise habits, support improved
dietary habits, continue employment
environment surveys)• Send follow up letters to employeeswith a high risk of developing lifestyle-related diseases• Verify and review effectiveness ofmeasures

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Social Social

Diverse Human Resources / Development and Participation of Human Resources

FY2022 Results

KPI

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Final Year of 2027 3-Year Business
Plan (FY2030)

3. Diversify opportunities to enhance the abilities of employees according to employee needs and work needs
1) Utilize one-on-one meetings that bring out the motivation and potential of every employee and boost the growth of subordinates
through regular dialogues between superiors and subordinates• Firmly establish one-on-one meetings
in the Head Office District• Expand one-on-one meetings outside of
the Head Office District (primarily management and administrative positions)• Firmly establish one-on-one meetings
Group-wide

Action Plan

• Continuously implement initiatives toimprove the implementation rate andrelationships between superiors andsubordinates in the Head OfficeDistrict• Extend to managerial track and staff
positions at all business sites in FY2023.
Make use of knowledge in the Head
Office District to improve the implementation rate and relationships
between superiors and subordinates

Achievement
Criteria• Introduced one-on-one meetings inthe Head Office District from August2022• Implementation rate: Over 70% (questionnaire results following
introduction)
Details P.93

• Verify implementation status andaddress issues regularly using questionnaires, etc.
• Use an employee satisfaction survey tonumerically monitor human relationships in the workplace and communication, etc.

• Verify implementation status andaddress issues regularly using questionnaires, etc.
• Use an employee satisfaction survey tonumerically monitor human relationships in the workplace and communication, etc.

the quality of communication between superiors and subordinates and draw out the capabilities of every individual, we are introducing and gradually expanding one-on-one meetings.
In addition to the Human Resources Division, we conduct division-specific and function-specific human resources development.
For specific function, we clarify the person in charge of development and engage in Company-wide development and utilization(assignment) of human resources.
* To accommodate differences in goals and basic approaches in development and utilization (assignment), we have established human resource management classifications of “managerial track” and “operating track” in line with the roles of employees, and are developing different human resource development systems, conducting development and assignment in line with each human resource system

Training Systems
We are building training systems aimed at improving the capabilities required for each human resource management classification,
hierarchical level, job function, and individual.
 SMM Human Resources Development Program• Opportunities to consider future career(roles) and OJT and OFF-JT to realize
such careers are provided• JCO Study Center training participation
rate (SMM employees: 90%; Group
companies’ employees: 80%)

• Opportunities to consider future career(roles) and OJT and OFF-JT to realize
such careers are provided• JCO Study Center training participation
rate (SMM employees: 90%; Group
companies’ employees: 80%)

• Implement career training and introduce a talent management system• Check participation rates and takeaction for sites with low participation
rates• Examine measures in light of 2021 and2024 3-Year Business Plans• Check participation rates and takeaction for sites with low participation
rates

Support for
self-development

Development of global
human resources
Compliance, governance,risk management

Managers (managerial track employees)

General employees (managerial track and operating track employees)
OJT programs for new employees
Function-specific OJT programs for new employees
Mining School
Brush-up training

e-learning
Foreign language programs
Fee assistance for language proficiency tests
Correspondence education
General culture education (Head Office)Overseas training
Language training prior to overseas assignment
Global staff training
Compliance seminar
Human rights seminar, seminar on promotion of diversity
JCO Study Center training

External training

KPI 	3. Diversify opportunities to enhance the abilities of employees according to employee needs and work needs
3) Provide opportunities for self-development matched to each employee’s life plans and needs (correspondence courses, online training, etc.)

Employee data (including new hires and departures)• Create an environment in which
employees of all generations with willingness to learn on their own canacquire the required knowledge andskills in a timely manner• Create an environment in which
employees of all generations with willingness to learn on their own canacquire the required knowledge andskills in a timely manner

ActionPlan• Together with the revision of the managerial track personnel system in July
2023, introduce self-development
tools for all managerial track employees and conduct evaluation in bothquantitative and qualitative terms,
with the aim of creating a corporate
culture in which all employees continue to learn and growAchievement
Criteria• Introduced self-development support
tools (online learning tools) for managerial track employees and managers
in the Head Office District
Details P.93

OJT

Action Plan

• Implement career training (training insecond year since joining company,
training at 35, 43, 50, and 58 years ofage)• Introduce talent management systemfor duties other than human resources
in FY2023• JCO Study Center training
Conduct focused teaching at affiliatedcompanies with aim of achieving target attendance rate of 80% for
employees of Group companies

Achievement
Criteria• Implemented career training (training
in second year since joining company,
training for E-class and newly-promoted section managers, training at
50 and 58 years of age)• Implemented trial introduction of atalent management system that contributes to strategic human resources
development and personnel assignment in human resources duties• J CO Study Center training participation
rate: SMM employees: 92%; Group companies’ employees: 78% (as of March 2023)
Details P.90-94

OJT

Self-development

3. Diversify opportunities to enhance the abilities of employees according to employee needs and work needs2) Reconstruct the human resources development program (in-house education, external education, etc.) to provide opportunities to
employees to enhance their abilities in line with their roles

OFF-JT

Officers

KPI• Collect information on self-development support tools and introduce newmeasures as needed• Collect information on self-development support tools and introduce newmeasures as needed

P.146-152

Pursue higher education in Japan
Dispatch to MINETEC
Training in Japan

Safety, skills

Hazard simulation training
Equipment skills training

Women’s career support

Training with women from other industries
Individual career support

3-year program for
managerial tracknew employees• Training program for new employees• Short-term overseas training• Second-year training• Third-year graduation paper presentation

Mid-career hires
Hierarchical level-specifictraining

Training program for mid-career hires
Secondary training for mid-career hires
Seminar for newly promoted employees(E-class, S-class, F-class)

Class-specific training

Preparatory curriculum (e-learning)

Human Resources DevelopmentGRI 3-3/404-2

Development of next
generation of management

Approach to Human Resources Development
We believe that autonomous growth by every employee will lead to sustainable growth for our Group. In order to build a new business model and adapt to a changing business environment, we provide all employees with opportunities to improve their capabilities and are developing human resources who can steadily execute on growth strategies.
We believe that self-development by individual employees and practical on-the-job training (OJT) that is planned and continuously
carried out through everyday work, along with appropriate assignment of personnel resources with an intention of development, form
the foundation for employees’ growth. In OJT, we encourage not only acquisition of knowledge and skills for jobs but also growth as aperson through work. In off-the-job training (OFF-JT), we are constructing a system for diverse training, workshops, e-learning, andother training for each human resource management classification* and are promoting autonomous learning by employees.
Under the thinking that appropriate involvement of superiors is important in the growth of subordinates, superiors make efforts
to actively support the motivation and enthusiasm of subordinates. In our target management system, we evaluate employees’
medium- to long-term efforts and attitudes toward challenges. We also provide active support for career development, including
our transfer request system, so that all employees can independently consider their careers and work with motivation. To improve

90

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Career training

Project leaders
Specialized education

Work-life support

Middle Management Program
Officers’ Coaching School
Training to develop thenext generation of executive managers
Training and seminars withother companies’ managerial track employees
Career design training for persons in their 30s (Head Office)Career design training (at age 35 and 43)
Career design & life plan training (at age 50 and 58)
Project management training
Outside seminars and workshops
Business basics enhancement training (Head Office)New employee’s supervisor training
Supervisor/line leader training
Problem-solving training for office workers
Smelting & Refining University
Seminar for balancing work with child-rearing and nursing care

 Education for managerial track employees    Education for operating track employees    Education for all employees

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Diverse Human Resources / Development and Participation of Human Resources

Training to develop thenext generation of
executive managers

We have held training to develop the next generation of executive managers since FY2011. This training is for the
purpose of selecting leader human resources in their late 40s who will lead our Company in the near future, instilling
managerial sensibilities in the participants. We implement a practical program of about nine months aimed at fostering preparedness and motivation, while training participants in the knowledge and thinking skills needed to stand at
the starting line of change and growth and engage in corporate management amid global and rapid environmental
changes.

Middle Management
Program(MMP)

Since FY2008, we have carried out MMP as a program to select human resources in their 30s to early 40s who can be
expected to lead organizations in the future, and to equip these persons with more high-level perspectives. Throughdiscussions of material issues for the achievement of Vision for 2030 over the course of about five months, with members of our management team serving as lecturers, MMP works to raise the level of the mid-level managers who willlead the next generation.

Hierarchical Position-Specific Education for Managerial Track Employees
This education falls under two types: grade-specific training conducted when employees are assigned to a job grade corresponding to staff in charge of a business or bearing duties and responsibilities for managing a workplace, and preparatory curriculum thatmust be taken in advance. The education enables employees to take on the duties and responsibilities demanded of each job
grade category and to deliver results.
Grade-specific training

In this training, employees visit Sumitomo‘s and Company-related facilities to encounter the Sumitomo Business Spirit
and the Company’s history, to reaffirm their self-awareness and their responsibilities as employees of the Company.

Preparatory
curriculum

We are developing e-learning aimed at advance acquisition of the knowledge and skills (in-house knowledge, problem solving, management skills, etc.) that employees need in order to take on the duties and responsibilities of higher
job grade categories. Under this training, employees autonomously consider their careers and study and acquire
required knowledge, capabilities, and skills in advance, to enhance their capabilities for executing work and to meet
expectations for fulfilling their required duties and responsibilities.

Self-Development Support and Recommendations
3-Year Program for Managerial-Track New Employees
We consider the first three years since joining the Company to be a development period for new employees, during which thefoundation for the employees as businesspersons is formed. By urging employees to envision their futures beyond those first three
years, encouraging self-improvement under clearly defined three-year goals, and conducting training programs at set times, we
promote employees’ growth as individuals.

Training program for
new employees

We conduct new employee training for about one month under a curriculum focused on classroom learning, group
work, and visits to business sites and facilities related to the Company, while also teaching fundamental matters forworking persons. This training is aimed at equipping employees with an awareness as employees of the Company
and a recognition of their responsibilities, and having them envision their own roles and futures. Together with thistraining, we implement overseas programs such as language training to develop global human resources.

Second-year training

We work to enhance motivation toward work and engagement with the organization by providing employees with
opportunities to reaffirm their positions and expected roles, as well as to envision their future careers, by looking backon their first two years since joining the Company.

Third-year graduation
paper presentation

To actively support employees’ own motivation and ambition, we offer numerous programs including online video-based learning,e-learning, correspondence education, and foreign language courses (English, Spanish, and Chinese), and are preparing systems
that let employees learn autonomously. In our online video-based learning program for all managerial track employees, we promote autonomous learning by employees through the acquisition of knowledge and skills required for higher grade categories(problem solving capabilities, management skills, basic management knowledge) and knowledge concerning the Company’s business strategy, occupational health and safety, diversity, and labor management. From FY2023, all employees are eligible for qualification congratulatory gifts aimed at developing employees who possess high-level expertise and at securing holders ofqualifications necessary for business or closely related to work, along with appointment and notification allowances designed tomotivate employees who take on new external responsibilities due to appointment or notification.

Promotion of Growth, Communication, and Human Resource Network Creation

One-on-one meetings

In FY2021, we introduced one-on-one meetings aimed at raising the quality of communication between superiors
and subordinates, tapping the capabilities of every individual, and building organizations that achieve results. Led by
and for the benefit of subordinates, one-on-one meetings provide regular opportunities to draw out the capabilities
of subordinates and promote their autonomous growth through dialogues with superiors. In carrying out the meetings internally, we work to widely communicate psychological safety, the purpose and significance of the meetings,
and the required skills and mindset to superiors and subordinates.

DX Salon

Every two months, we hold DX Salon as an opportunity for reviewing conventional ways of working as well as to spur
employees’ interest in digital technologies. Here, employees who have tackled business efficiency through digitalmeans can share the background, details, and outcomes of their efforts. Through these casual face-to-face exchanges
of information, participants have increasingly expressed the desire to make their work easier through digitaltechnologies.

To wrap up the three-year development system, we hold a paper presentation event aimed at letting employees reaffirm their roles and organize their medium- to long-term career prospects. We work to promote autonomous careerformation by having employees summarize the issues and work that they tackled during their first three years, alongwith their prospects from their fourth to tenth years.

Development of Next Generation of Management
We believe in the importance of expanding our human resource pool through planned development as well as experiencethrough work. Toward that end, we implement multiple selection-based programs (Middle Management Programs, Training todevelop the next generation of executive managers, Officers’ Coaching School, etc.) for specific target groups as a way to develop
the next generation of management. We also actively dispatch personnel to multiple external programs and, through training andseminars with next-generation management resources outside the company, work to equip employees with perspectives not
obtainable within our Company alone.

Officers’
Coaching School92

We launched the Officers’ Coaching School in 2014 as a venue for executive officers and the school’s students toinspire each other and consider their self-development. Each class consists of 8 to 10 junior and middle-management
employees. Executives serve as the head and deputy head of each class, which operates independently and issues areport once a year. Classes established based on functions such as mineral resource business, smelting and refining
business, materials business, research and development, equipment and technology, human resources, accounting,and sales select key themes for the Company every year and engage in activities with the goals of strengthening theability to think issues through, to learn together, and to put learning to practical use in the workplace.

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Sustainability Report 2023

Head Office ACROSS

We hold ACROSS* once a month as an event to advance “communication activation,” one of the goals of our renewalof the Head Office. In ACROSS, employees provide overviews of their business, examples of DX initiatives, and othertopics to promote understanding of each other’s work and targets.
* Accelerate Co-creation Roundly Over the Sections in Sumitomo Metal Mining

Career Design Training, Career Design & Life Plan Training
To remain a company where employees can work with pride, motivation, and joy, we believe it is important that employees areable to autonomously envision their careers and continue working with spirit. Toward that end, beginning from employees’ second
year after joining the Company, we conduct career design training at the ages of 35, 43, 50, and 58. We have also set opportunities
for employees to clarify their future career goals and action plans through reviews of their careers while touching on age-specificcareer issues.

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Diverse Human Resources / Development and Participation of Human Resources

JCO Study Center Training

Diverse Working Styles and Labor Productivity

We believe that we bear an obligation and responsibility to pass on lessons of the JCO criticality accident that must never be forgotten by Group employees. For this reason, we established the JCO Study Center in October 2010 as an experience-oriented facility where people can come into direct contact with the facts of the incident. Through materials, audio, video, and other media,
visitors can learn about topics including the accident’s direct causes and risk management at the time, to ensure that such an accident never occurs again. We are making efforts to have all Group employees undergo JCO Study Center training at least once, byincorporating it into all manner of training. As of the end of March 2023, 92% of our employees and 78% of employees of Group
companies have experienced the training.

Utilization of Human Resources (working style reform and the creation of workplaces where diverse human resources can play active roles)

We make efforts to reduce employee average annual working
hours to our target of 1,900 hours or lower, and report on
progress toward this target every month at executive officers’
Meetings. The recognition of diverse working styles (workfrom-home and flextime systems) matched to the job leads amore active involvement in work from employees and promotes reduced working hours and enhanced productivity. In
the Head Office District, we have introduced a flextime system with no core hours, achieving flexible working styles
grounded in the autonomy of employees. To promote thetaking of annual paid leave, we also engage in labor-management dialogue at all business sites, and study and carry out
related measures based on the situation at each site. Basedon the reduction of annual working hours achieved throughthese initiatives, since April 2021 we have unified the annual
scheduled working hours for all working styles to 1,920 hours.
In FY2022, annual total working hours were 1,933.3 hours(average for all employees) and the percentage of paid leave
taken was 87.6% (annual average for all employees). P.154

Working Style Reform

Prevention of Long Working Hours and Overwork

Approach

Our Company complies with the laws and regulations of countries and regions regarding long working hours and overwork. As an
initiative in Japan to prevent health disorders due to overwork, since 2003, before our working style reform initiatives, we havemade superiors aware of employees who have worked overtime for over 45 hours per month and conducted health guidance by
occupational physicians for employees who have worked overtime for over 80 hours per month. In working hours management,
since 2016 we have linked login and logoff time of PCs to our attendance management system to check the state of working hours.
When the discrepancy between working hours and PC login/log-off times exceeds a certain criterion, we check whether a labor situation exists. From the standpoint of compliance with overtime and holiday work in accordance with Article 36 of the Labor
Standards Act, we are building a mechanism that delivers email alerts about subordinates’ overtime hours to superiors, and are providing support for appropriate management in the workplace.

Human Rights Seminar
As stated in our Corporate Philosophy, we aim to be a forward-minded and vibrant company that recognizes the dignity and valueof people based on respect for all individuals. Setting December of every year as Human Rights Month, we undertake human rights
training throughout our Group. In the advancement of diversity, people’s unconscious assumptions, preconceptions, and stereotypes can create hindrances and lead to harassment. In FY2022, we conducted education on unconscious bias at workplaces, withthe aim of recognizing differences in people’s attributes, backgrounds, and experiences and creating workplace in which people
can inspire each other and grow—in other words, achieving diversity.
Time spent on employee education

P.153-154   Amount of investment in education

P.154

The purpose of the working style reform that our Group pursues goes beyond shortening working hours to enhance the growthand productivity of every employee, thereby efficiently advancing high-quality work in a limited time frame and creating newvalue. Restated, the purpose is “rebuilding the ability to work,” which we believe will lead to growth of the Group as a whole. We
announced the start of working style reform efforts in April 2017, and since then have continuously advanced a variety of initiatives.
In addition to strengthening management of appropriate working hours and reducing long working hours, we have created anenvironment that lets all employees demonstrate their abilities in work. We anticipate that employees will invest the time createdthrough working style reform in themselves, using it as an opportunity for personal growth.

 Average Annual Working Hours1 and Percentage of Paid
Leave Taken2(hours)
2,200
2,100
2,000

78.7
1,987.4

78.4

1,967.3

83.7

86.0

83.2

83.2

87.6

(%)
100
80

1,950.1

1,976.1

1,984.5

1,959.060

1,933.3

1,900

40

1,800

20

0
(FY)

2016

2017

2018

2019

2020

2021

2022

0

 Managers (left axis)    General employees (left axis)    Total (left axis)
Percentage of paid leave taken (right axis)
1. Average annual working hours = scheduled working hours (excluding leave, paid
leave, etc.) + overtime hours
2. Scope: Employees of Sumitomo Metal Mining Co., Ltd. during the year (excluding
limited-term employees who are specially hired employees)

Working Style Reform Initiatives
In our Group, particulars of work often differ by division and workplace, with the result that working style reform activities are generally undertaken on a per-workplace basis. Every year at every workplace, we create and carry out an action plan aimed at assessing and improving current conditions related to working styles.
Average annual working hours are steadily decreasing, and we have begun initiatives aimed at reducing the number of persons
who work long hours.

94

Commitment by top
management

Communication of messages within the Company

Assessment of current
conditions

Assessment of current conditions, formulation of workplace-specific action plans, etc.

New employment rules

Improvement of employment management systems, pursuit of flexible and efficient working styles, etc.

Advancement of new jobs

Review of ideals for meetings and ways of creating
meeting materials

Utilization of IT tools (in cooperation with the Information
Systems Department), reduction of labor, switch to RPA

Review of shift to paperless work and rules for using
emailWork inventorying, work improvements, ideals for humanresource development, etc.

Reform of awarenessTraining for supervisors and staff

Proper human resource
assignment

Review of approach to staff organization

Development of mechanisms for employment

Staggered working hours, flextime system, work-from-home system, half-day annual leave, hourly annual leave, half-day
compensatory leave, etc.

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Diverse Human Resources / Development and Participation of Human Resources

Creation of Workplaces Where Diverse Human Resources Can Play Active Roles (initiatives and development of systems)

GRI 401-2

Support Matched to Employees’ Life Stages
Our Company offers support measures and systems matched to changes in life stages, such as joining the Company, marriage,
childbirth, childcare, nursing care, and reaching retirement age. We also provide consultation and opportunities for information
provision through training.

Initiatives

We conduct these seminars for employees in the Head Office District who have returned to work from parental leave, and for their superiors and other applicants, to build understanding of the aims and details of our
in-house parental leave-related systems. From FY2022, we have offered seminars prior to employees’ return towork to explain details of preparations for the return and for balancing work and child-rearing

Seminars on the parental leave system(from FY2019)

We conduct these seminars for employees who are expecting the birth of a child, as well as for their superiors
and, from FY2022, all managers. The seminars’ aim is to extend understanding of systems associated with revisions to the Act on Childcare and Caregiver Leave and to foster a supportive workplace culture. (All managers
are scheduled to attend the session by the end of FY2023.)

Individual informational sessions on theparental leave system and interviews to
confirm intent to take leave(from FY2022)

For employees who have provided notification of their own or a spouse’s pregnancy, childbirth, etc., we holdthese sessions in face-to-face or online format, attended by two or more people from the business site’shuman resources staff or from the Diversity Promotion Section of the Human Resources Department at the
Head OfficeInterviews before return to work

Before employees return to work, we conduct exchanges of information between the employees and theirsuperiors to ensure trouble-free preparations for returning to work, balancing work and child-rearing, andreadying systems in the workplace

Distribution of tablets

Development of an environment enabling access to Company information during parental leave Support matched to employees’ life stages

Support for balancing work and child-rearing
Systems available to women
Pregnancy

Systems available to men•A ccumulated annual leave (use of
hospital visits for prenatal exams)• S pecial absence; exemption fromovertime, holiday, and late-nightwork

Support for balancing work and nursing care
Work and leave systems• Flextime system• Short working hours• Work from home
• Accumulated annual leave• Half-day annual leave

Seminars on the parental leave system; portal site for balancing work andchild-rearing

ChildbirthChildbirth congratulatory gifts, family allowances

Leave
Return towork* Availability of systems may vary by business site

• Childbirth and child-rearing support leave with pay (up to 9 days)•P renatal and postpartum leave• Parental leave for childbirth• Parental leave•P arental leave•C hild-rearing hours (30 minutes,
2 times/day)• S hort working hours• S taggered working hours• F lextime system• Work from home
• E xemption from overtime andholiday work
• L eave of absence due to family
illness• Half-day annual leave, hourly
annual leave, accumulated
annual leave• Seminars on support systems forbalancing work and childcare• “Shining” bulletin board for
employees• Handbook of benefits• Hourly annual leave• Nursing care short-term leave withpay
• Leave of absence due to family
illness• Exemption from overtime and latenight work
• Nursing care leave

Economic support• Consolation payments for families requiring nursing care (up to ¥120,000/year)• Nursing care loan (up to ¥5 million) (relocation to nursing home, home expansion/renovation for nursing care, purchase of nursing care equipment, etc.)

Provision of information• Nursing care lecture meeting (1 time/year)• Seminars on nursing care system (2-day sessions held 2 times/year)• Seminars on nursing care system for all employees of age 40 and older• Handbook of benefits• “Shining” bulletin board for employees* Availability of systems may vary by business site

Consultation desks: Work-life Support Desk; personnel in charge of human resources at business sites; superiors; etc.
Voluntary administrative leave; Reemployment following resigning for personal reasons

Support related to illness and health management•M edical treatment consolation payments and administrative leave system for long-term leave of absence•H ealth management leave for complete medical checkups (up to 2 days/year); medical checkup expense coverage (age 50 and older)Support at the time of joining the Company

Support at the time of marriage•D ormitory, company housing, housing expense subsidies, housing asset formation• E mployee Stock Ownership Association, defined contribution pension plan, etc.

• Wedding congratulatory gift payment and marriage leave• Company housing rental; use of maiden name

Development of Support Systems for Balancing Work and Child-Rearing and Nursing CareGRI 401-3

By enhancing our support measures beyond statutory requirements to let employees balance work and child-rearing and nursing
care without worry, we are making efforts to create comfortable working environments. Our handbook on benefits summarizes
internal systems, including those for child-rearing and nursing care. We revise the handbook to accommodate changes in systems,
and make this information familiar to employees.
We further hold seminars on support systems for balancing work and child-rearing, aimed at employees and their supervisors
before and after return from parental leave; seminars on the parental leave system to aid managers’ understanding of systems associated with revision of the Act on Childcare and Caregiver Leave; and individual informational sessions on the parental leave system
and interviews to confirm intent to take leave to aid understanding of the leave system by employees preparing for childbirth in
the family.

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Main content

Seminars on support systems for balancing work and child-rearing(from FY2019)

Of 107 employees (91 men and 16 women) who were eli Status of Taking Parental Leave
gible to take parental leave in FY2022, 104 (87 men and 17(%)
women) did so. The percentage of eligible employees taking
120
parental leave was 97.2% (95.6% for men and 106.3% for100
97%
women). P.155
80
In support for balancing work and nursing care, we regularly conduct questionnaire surveys on nursing care-related
60
awareness, conditions, and needs within the Company, and40
30
27
use the findings to continuously strengthen support for mea17
16
20
sures. Our questionnaire survey in FY2015 uncovered problems in the workplace climate for employees who provide
0
2018
2019
2020
2021
2022
(FY)
nursing care, along with considerable anxiety among1
Use of parental leave  
Use of parental leave (male)
employees over nursing care in the future. In response, in
Use of parental leave (female)2  
Use of leave with pay for child-rearing (male)
FY2018 we launched a seminar on balancing work and nursFrom FY2022, the percentage of parental leave includes the percentage of leave withing care, and have continued this seminar from FY2019
pay for child-rearing (male)(including e-learning format) for all employees of age 40 and
The percentage of parental leave (female) in FY2022 includes those who gave birth in
FY2021 and took parental leave in FY2022, and thus exceeds 100%
older. As understanding and cooperation by superiors and1. Number of employees who took parental leave in FY2022 ÷ number of employees
others in the workplace are indispensable in balancing work
who submitted a notification of birth to the Company for birth by their spouse in
FY2022 x 100
and nursing care, through the seminars we will establish an
2. Number of employees who took parental leave in FY2022 ÷ number of employees
atmosphere that facilitates consultation with people in the
who gave birth in FY2022 x 100
workplace, and will explain necessary preparations and theCompany’s support systems for achieving that balance. Basedon needs uncovered in the FY2019 questionnaire, we have continuously offered lectures by experts on nursing care and seminars
on the Company’s nursing care system, in order to reform awareness concerning balancing work and nursing care and to make theCompany’s nursing care-related systems known to employees. From FY2023, too, we plan to advance new initiatives such as creating opportunities for employees to exchange information and ideas on balancing work and nursing care. In FY2022, 2 employees
took nursing care leave and 67 employees took nursing care short-term leave with pay. P.155

Work-life Support DeskIn April 2021, we established the Work-life Support Desk to respond to a wide range of requests for consultation from all Group
employees and to provide support for resolving issues. These issues span not only harassment and human rights matters but also
careers, human relations in the workplace, and balancing work with childcare and nursing care. In FY2022, the desk responded to
18 inquiries.

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Diverse Human Resources / Development and Participation of Human Resources

Diversity & Inclusion

Employee Awareness Surveys and Internal System Development
To achieve the goal of creating workplaces where diverse
human resources can play active roles, as set out in Vision for2030, we are undertaking reviews of our personnel-related
systems. We have selected items related to “Management bymanagers and superiors,” “Appeal of job,” and “Work environment” as KPIs, and have set the goal of improving thesescores. In results for FY2021, scores for all items improved
from the previous survey and the percentage of positive
responses increased as well. P.156
We had conducted our employee awareness survey* once
every three years, but from FY2023 will conduct the survey
every year and use it to monitor performance. We will use thesurvey scores to continue planning and advancing better
personnel-related measures for employees.
* Employee awareness survey

P.128

P
 ercentage of Positive Responses1 and Scores2 for Items
related to the Employee Awareness Survey(%)
80

3.47 3.55

60

55.8

3.56 3.56

3.38 3.45

3.23 3.36

64.5
51.6

57.6
50.2

53.2

49.6
42.6

40

20

0

Appeal ofmanagement measures

Appeal ofsuperiors

Appeal of job

Overall appeal of
workplace FY2019 (left axis)    FY2021 (left axis)    Average score
1. Percentage of positive responses: Calculated from total responses of “Very much so”
and “Somewhat so” among all response options (“Very much so,” “Somewhat so,”“Cannot say,” “Not so much,” and “Not at all”)
2. Average score: Calculated as the average value of responses, with “Very much so” as
5, “Somewhat so” as 4, “Cannot say” as 3, “Not so much” as 2, and “Not at all” as 1

 Status of Development of Main Internal Systems over the Past Three Years (development of environments that facilitate andencourage work)
FY2020
FY2021

Improvement of wages

Average for union members: ¥1,500

Nursing care short-term leave with pay

Relaxation of requirements for usage and units for taking leave

Extension of retirement age
Annual scheduled working hours
Flextime system
Internal reporting hotline

Extension of retirement age for general employees (age 65)
Consolidation (reduction) to 1,920 hours
Introduction of “no core time” (Head Office District)
Establishment of a new Work-life Support Desk

Special hourly leave with pay forchild-rearing
Health management leave

Relaxation of requirements for usage and units for taking leave

System for remote assignment awayfrom family
Miscellaneous expenses for transfers

Expansion of certification requirements, increase in allowances

Housing allowance

Expansion of targets for payment, increase in payment amount to employees who aresingleIncrease in hardship allowance
Review of accident consolation payments, establishment of evacuation and damaged
vehicle payments

Overseas worker allowance
Consolation payments
FY2022

ApproachOpen and Vibrant Organizational Climate* To activate the goodness of the organizational climate that was rooted in our Company, we have again put
this into words and communicated it to employees• Employees are able to convey their thoughts and insights without concern over differences among individuals, such as superior/subordinate relationships, senior/junior employee relationships, or gender• Employees welcome new ideas and challenges• Employees make what is right, not who is involved, their criteria for judgments
Assumption: Organizational policies, targets, regulations, and rules are shared.

Initiatives toward Gender Balance (women’s active engagement)

Elimination of age restrictions (when undergoing complete medical checkups)

Establishment of vehicle expense subsidy (up to ¥500,000)

GRI 202-1/404-2/405-1/405-2

To realize our Vision for 2030 to create workplaces where diverse human resources can play vibrant and active roles, we have set“number and percentage of female SMM managers” and “number and percentage of female SMM employees” as KPIs. In FY2022, thepercentage of female SMM managers was 2.9% (20 employees) and the percentage of female SMM employees was 12.9% (445employees), both figures having increased from the previous year. We have formulated an action plan based on the Act on the
Promotion of Women’s Active Engagement in Professional Life* and are working to achieve our goals. Furthermore, through various
measures such as proactive recruitment, appointment to a wide range of positions, and training of female leaders, we are making
efforts toward furthering the active engagement of women. P.156* Enacted in 2016 with the aim of realizing a society in which women can fully demonstrate their individuality and abilities, this law stipulates the responsibilities of the national government, local governments, and general business owners with regard to the promotion of women’s active engagement

Personnel evaluation
Telework system

Review of handling of mid-career hires and employees returning from parental leave
Restructuring of work styles at the Head Office District

Improvement of wages

Average for union members: about ¥4,800

Annual paid leave
Accumulated annual leave

Increase in number of days granted, elimination of expiration of leave
Increase in upper limit for accumulation, addition of usage requirements

Initiatives

Family allowance
Work-from-home allowance

Changes to eligible employees and allowance amounts
Payment according to number of days worked from home

Percentage of paid leave taken 80% or more

Diverse Working Styles for Older Employees

GRI 3-3/405-1

Our Corporate Philosophy calls for recognizing the dignity and value of people based on respect for all individuals. The SMM Group
Code of Conduct, which summarizes specific standards of conduct for officers and employees in achieving that respect for individuals, stipulates that we “accept diversity and respect the individuality and rights of people.” The Sumitomo Metal Mining Group
Policy on Human Rights declares that we will not allow discrimination, harassment, or bullying on the basis of race, religion, gender,
age, sexual orientation, disabilities, nationality, or other characteristics in employment and work scenarios. Viewing diverse humanresources and the development and participation of human resources as material issues, we aim to be “a company where all
employees can take a vibrant and active part” as our Vision for 2030.
Perspectives and ways of thinking differ by individual, and values and criteria for judgment change with the environment andthe times. For these reasons, it is important that we accept the differences among diverse members, accept one another, and work
together while respecting and making use of individuals’ characteristics. To do so, we must make continuous efforts as individuals
and organizations on a basis of mutual trust, thereby realizing diversity and inclusion, creating new wisdom, and becoming anorganization capable of advancing growth strategies.
In order for diverse members to work together with motivation, in addition to the development of working environments andsystems, since FY2017 we have worked to create an open and vibrant organizational climate* while fairly providing opportunities.
We believe that under an open and vibrant organizational climate, every individual will respect the backgrounds of others regardless of differences and will engage in competitive hard work together with open discussion and generation of ideas.

 Our Company’s Action Plan Based on the Act on the Promotion of Women’s Active Engagement in Professional Life
(period of plan: April 1, 2021 to March 31, 2024)
Number of female managers 20 or more
Enact measures to support balance according to life stage

GRI 404-2

Through FY2020, we offered continued employment for employees reaching the age of 60 in the form of re-employment. From
FY2021, however, we have changed the retirement age for general employees to 65, so that employees can remain in active roles
for a longer time. In FY2023, we revised our managerial track personnel system so that senior employees can continue working past
the retirement age of 65, up to age 70. By offering a variety of options, we are achieving diverse working styles. We have also developed career and life plan training targeting employees age 50 or older at age 50 and 58, as well as a support system for change ofcareer (with transfer support subsidies, re-employment support, etc.) to back up employees’ post-retirement lives.

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Social Social

Diverse Human Resources / Development and Participation of Human Resources Number and Percentage of Female Managers(People)
80

7.0

60

20

0
(FY)

2.9
2.0

1.2

1.5

1.5

9

11

11

14

2018

2019

2020

2021

20

2022

3.0

50

(People)
600

460
400

4

35

11.4

11.7

12.5

12.6

12.9

14.0

500

550
20.0

16.0

200

25

2024

(%)
8

6

5.0

40

Promotion of Employment for People with Disabilities Number and Percentage of Female Employees
(%)
30

20

10

2

2027

2030

(fiscal year-end (fiscal year-end (fiscal year-end
goal)
goal)
goal)

 Number of female managers (left axis)  
Percentage of female managers (right axis)
Scope: Sumitomo Metal Mining Co., Ltd. (including seconded employees)

0

0
(FY)

2018

2019

2020

2021

2022

2024

2027

2030

0

(fiscal year-end (fiscal year-end (fiscal year-end
goal)
goal)
goal)

 Number of female managers (left axis)  
 Number of female general employees in managerial track positions (left axis)
 Number of female general employees in core track positions (left axis)  
 Number of female limited-term employees (left axis)
 Number of female employees (left axis)  
Percentage of female employees (right axis)
Scope: Sumitomo Metal Mining Co., Ltd. (including seconded employees)

Fair Systems of Evaluation and Treatment
Based on the Sumitomo Metal Mining Group Policy on Ratios of Female-to-Male Base Salary and Total Compensation(FY2022)
Human Rights, we comply with laws and regulations concerning compensation, including the minimum wages estabBase salary
Total compensation2
lished by countries and regions. In Japan, we have entered
Female Male
Female Male
Employees1
into an agreement with the Federation of Sumitomo Metal
100 : 165
100 : 149
Mining Workers Unions on internal minimum wages thatexceed region- and industry-specific minimum wages set
Female Male
Female MaleManagerial
100 : 112
100 : 111
under the Minimum Wage Act, as we work to improve thepositions
treatment of employees. P.157
Female Male
Female MaleWe have also introduced an evaluation and compensation
General
100 : 132
100 : 115
employees
system free of distinctions or difference based on gender andage, with compensation determined by individuals’ roles and1. Scope: Non-limited-term employees of Sumitomo Metal Mining Co., Ltd. (including
achievements. The ratios of female-to-male compensation for
short-time workers)
non-limited-term employees in FY2022 were 100:165 for base
2. Total compensation includes base salary, overtime pay, allowances for housing,family, commuting, etc., and excludes payments to employees who resigned
salary and 100:149 for total compensation. We believe that
this difference between male and female stems from thefacts that the number of years of service is longer for male employees and the percentage of females in managerial positions islower. To eliminate the difference, we will improve our retention rate for female employees and raise the percentage of female managers to an appropriate level. P.156

Training for the Development of Female Leaders
As the number of female managerial track employees in our Company is relatively small, in addition to training in line with ourCompany-wide human resource development program, we identify female employees who are expected to play future roles as
leaders and send them to exchange meetings of nine companies in different industries. Our aim is for the employees to encounter
different corporate cultures, expand their horizons, and acquire the practical skills required of leaders by tackling issues together
with female employees of the same generation from other companies.

GRI 405-1

In addition to career recruitment, every year since FY2019 we Number and Percentage of Employees with Disabilities* overthe Past Five Years
have accepted students from special support schools near
our workplaces to take part in workplace experiences. By(People)(%)
deepening understanding of our workplaces and work
110
2.7
2.59
2.57
through the experience, we are increasing the number of stu2.56
105
2.6
2.50
dents who feel confident in joining our Company. To support
2.5
100
2.39
Statutory employment rate95
2.4
retention, we arrange meetings with human resource staff

2.3
90
one and three months after joining the company and every
84
85
2.2
six months thereafter to eliminate job-related anxieties and
79
2.1
80
77
problems and to offer lifestyle-related support as needed,
2.0
75
73
strengthening linkage with our employment support. Every
70
1.9
68
year since FY2020, we have offered internships for university
0
0
2019
2020
2021
2022
2023
(FY)
students with disabilities and actively recruited these stu Number of employees with disabilities (left axis)
dents at workplaces that can make use of their expertise andPercentage of employees with disabilities (right axis)
characteristics.
Data is as of June 1 for each fiscal year, covering employees of Sumitomo Metal
From the standpoint of undertaking reasonable considerMining Co., Ltd.
* The number of employees with disabilities is calculated according to methods preations, we install PATLITE lighting systems on all floors to
scribed in the relevant laws
enhance visual communication for deaf employees, make useof speech recognition software, hold in-house sign language
classes and workshops allowing non-disabled employees toexperience simulated disabilities, eliminate level differences inside facilities, and make improvements to restrooms. By acting under
the idea of normalization to create environments in which people with and without disabilities can work together, we are steadily
increasing our percentage of employees with disabilities. As of June 2023, our percentage of employees with disabilities was 2.59%,
which exceeds the statutory rate of 2.3%. P.157

Increase in Foreign Employees

GRI 405-1

Foreign employees in managerial track positions in our Company numbered 14 at the end of FY2022, an increase of 2 from the previous year. By content of work, these employees are divided roughly equally between technical occupations (research and development, engineering, manufacturing divisions, etc.) and clerical occupations (business divisions, corporate divisions, etc.), and are
active in a range of workplaces and job categories.
In FY2022, we conducted a questionnaire to assess issues faced by foreign employees, along with interviews with those whowanted them, feedback to superiors, and hearings on issues. By holding round-table discussions with foreign employees in our
Company and communicating the content through our Group in-house bulletins, we make all employees aware of the activities ofour global human resources and internally raise awareness of the importance of creating workplace environments in which everyone can play active roles. In FY2023, we will study measures to address the issues identified in FY2022 and will undertake initiatives
to expand the number of foreign employees in managerial track positions.

LGBT-related Initiatives

GRI 405-1

Our Sumitomo Metal Mining Group Policy on Human Rights prohibits harassment and discriminatory treatment on the basis of sexual orientation. From FY2018 to 2020, we held workshops aimed at deepening understanding of LGBT issues. In FY2020, we begantraining for executive officers and managers aimed at promoting understanding of changes in the external environment and ofLGBT issues, and have since been gradually expanding the target groups for the training.

Training for Female Core Track Employees
From FY2019, we have selected female core track employees to participate in our Career Coaching School, which is aimed at thecreation of an autonomous career mindset and the enhancement of basic business capabilities. From FY2022, we have been
expanding the pool of eligible employees and have held the training under two categories: “Career design training for employees
in their 30s” and “Business basics enhancement training.”

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Diverse Human Resources / Development and Participation of Human Resources

Maintaining and Improving Employees’ Health

GRI 3-3/403-6

From an early stage, our Group has made securing the safety and health of officers and employees a priority from the standpoint ofoccupational health and safety. To ensure that all employees in our Group can work with greater health and motivation, we areundertaking and enhancing more effective maintenance and promotion measures for mental and physical health, in accordancewith our health and productivity management policy. In March 2023, we received certification as a Health & Productivity
Outstanding Organization 2023 (large enterprise category) under the Certified Health & Productivity Management Outstanding
Organizations Recognition Program of the Ministry of Economy, Trade and Industry and the Nippon Kenko Kaigi (Japan HealthCouncil).

Sumitomo Metal Mining Group Health and Productivity Management Policy

Health and Productivity Management Plan Employee Health Promotion Roadmap
Initiative stage

First Stage
Improvement
phase foremployees
facing highhealth risks(Target: Highrisk employees)

The Sumitomo Metal Mining Group recognizes that the ability of officers and employees to exert their capabilities to the fullest in good physical and mental health is an important foundation of our management.
Accordingly, we promote efforts for the maintenance and improvement of health for every individual.
Second Stage

Sumitomo Metal Mining Group Health and Productivity Promotion Structure

GRI 403-6

Health risk
reduction andhealth promotion phase(Target: All
employees)

Highest responsible party(President)

KPIs for health issues
I. Risk of onset oflifestyle-relateddiseases
Reduction of percentage of men at medium
or greater risk (requiring
checkup, physician
consultation)

Percentage
at mediumor greaterrisk

II. Risk from smoking
Halving of smoking rate Smoking
for employees of age 40 rate
and older

Each business site
Collaborate

Human Resources Department
Safety & Environment Control Department

Sumitomo Metal Mining Workers Unions

FY2022 results

FY2023targets

FY2024targets

FY2027 targets(Final year of 2024 3-YearBusiness Plan)

FY2030 targets(Final year of 2027 3-YearBusiness Plan)

29.0%

29.6%

26.0%

25.0%

20.0%

18.0%

25.0%

23.9%

21.0%

20.0%

16.0%

12.5%

III. Re-commitment tomental healthmeasures(1) Reduction of number of workers taking
long-term absence of 1
month or longer(2) Reduction of total
number of days ofabsence for workers
taking long-term
absence

Number of
employees

Number of
days

1,688

IV. Risk of obesity
Reduction of obesity
rate (BMI over 25) for
employees of age 40
and older

Obesity rate
(male)

39.0%

38.0%

38.0%

37.0%

28.0%

26.0%

Obesity rate
(female)

23.0%

23.4%

22.5%

22.0%

19.0%

18.0%

12

—

Promotion of health and productivity management

Head of the site
Department(s) in charge of humanresources, safety and the environment
at the site2021 3-Year Business Plan

FY2021
results

Executive officer in charge of health andproductivity management(Executive officer in charge of the Human
Resources Department)
Sumitomo Metal Mining Health
Insurance Society

GRI 403-6

Percentage of employees receiving regular health checkups(1) R eduction of number of workers taking long-term absence of 1 month or longer(2) R eduction of total number of days of absence for workers taking long-term absence(3) E xpansion of training and management of training attendance records, situational
assessment, and confirmation of individual actions(1) Construction of healthand productivity management policy, regulations,and promotion frame(1) Continuation of Health &work; in-house education
Productivity Outstanding
and awareness-raising
Organization certification(2) Acquisition of Health &(2) Deployment of support
Productivity Outstanding
systemOrganization certification(3) Company-wide introduction of health management support system(1) Acquisition of “White 500”
Health & Productivity
Outstanding
Continuation of Health &Organization certification
Productivity Stock Selection(2) A cquisition of Health &Productivity Stock
Selection

Continuation of 100% checkup percentage

100%

Occupational physicians
Labor union at the site
Occupational Health and Safety
Committee at the site
Occupational physician at the site

Addressing Mental Health CareGRI 403-6

In 2007, we issued our “In-House Guidelines on the Prevention of Health Disorders Due to Overwork and on Mental Health Care.” Wetake action to prevent overwork from an early stage onward, and promote four types of mental health care: self-care, care by line
management, care by staff, and care by external organizations. To support early return to the workplace, we are also developing
systems for leave from work and trial return to work. P.158
 Percentage of Employees Taking Leave due to Mental Health Disorders
FY
Percentage of employees
taking leave*

2018

0.51%

2019

0.45%

2020

2021

0.40%

2022

0.37%

0.43%

* Percentage of employees taking leave: Total number of days of leave taken ÷ number of scheduled working days x number of employees at end of fiscal year x 100
Scope: Employees of Sumitomo Metal Mining Co., Ltd.

Utilization of Stress Checks
To make effective use of statutory stress check systems, we conduct stress checks for all employees every year in accordance with
our “Regulations for Promotion of the Stress Check System.” We also carry out workplace analyses and workplace environment
improvements for which efforts are mandated, and report the results to management.
We developed a stress check system beginning in 2008, before systems were made mandatory in 2015. As the importance of thechecks are well known, the rate of employees undergoing checks has remained very high.

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Diverse Human Resources / Development and Participation of Human Resources

Based on results of the checks, we study and implement
initiatives to improve the motivation of employees (i.e.,
increase the health and well-being of employees). Stresschecks are a tool for evaluating employees’ psychologicalload and stress factors. The data is kept anonymous and confidential by outsourced companies. To an extent that does
not specify individuals, we assess and analyze trends andissues in departments, workplaces, and employee attributes,
and feed the results back to organizations so that effective
initiatives can be carried out at each business site. Employees
identified in the checks as having high stress receive follow-up email communication from physicians regarding early
response, checkups by specialists, and early recovery (shortening of the leave period). Upon request from individuals
concerned, the Company also provides individual engagement and support.

Illness Prevention and Health Promotion InitiativesP ercentage of Employees Receiving Stress Checks andPercentage of Employees with High Stress
(%)
20

97.7

96.1

11.8
10.2

12.0
11.0

94.7

95.4

11.3

11.8
9.8

96.8

15

(%)
100

75

10

8.7

10.1

5

50

25

0
(FY)

2018

2019

2020

2021

2022

GRI 403-6

In cooperation with the Sumitomo Metal Mining Health Insurance Society, we are making initiatives for illness prevention andhealth promotion for our employees and their family members (dependents). To prevent lifestyle-related diseases, we promote theimplementation of specific health checkups and specified health guidance, and encourage those at particularly high risk of serious
illnesses to undergo checkups. We also subsidize all or part of the costs of various medical examinations, comprehensive healthcheckup system (Ningen Dock), and complete brain checkups. When undergoing complete medical checkups, employees can takehealth management leave (up to two days per year).
Furthermore, to promote smoking cessation, we have reduced the number of smoking areas and offer an online smoking cessation program for those who wish to quit. About 70% of participants in the smoking cessation program have successfully quit
smoking. P.158
Main Projects for Illness Prevention and Health Promotion

0• Specified health checkups and specific health guidance for the prevention and remediation of metabolic syndrome• Comprehensive health checkup system (Ningen Dock), colon cancer screening, abdominal ultrasound screening, gastric X-ray
screening, dental checkup• “Body Report Card” to encourage checkups for employees at high risk of worsening of lifestyle-related diseases• Online smoking cessation program• Intermediary sales of household medicines Percentage of employees with high stress (left axis)  
 Percentage of employees with high stress, overall average for all companies (leftaxis)
Percentage of employees receiving stress checks (right axis)
Scope: Employees of Sumitomo Metal Mining Co., Ltd.

 Initiatives for mental health care
• Occupational Health and Safety Committees (formulation, implementation, evaluation, and deliberation concerning plans)• Labor-management committees (surveys and study)(%)
30

Mental health promotion plans
Self-care
Prevention,
indications

Onset,
recurrence,
return to work

 Smoking Rate and Target

Care by line management

Care by in-house staff(occupational physicians)

Care by external organizations(EAP) Follow-up based on resultsof stress checkups
 Counseling (online, face-toface, or telephone counseling for employees and theirfamilies) Consultation and counseling
by EAP staff (physicians, clinical psychologists, etc.)

 Statutory stress checks Self-care training
 EAP consultation desk In-house consultation desk
 Work-life Support Desk Approach toward employeeswith high stress indicated bystress checks Training for care by line
management Assessment and improvement of workplaceenvironment Awareness of and response
to unwell employeesH ealth awareness-raising
activities
H ealth consultations withoccupational physicians
C onsultation and guidanceby occupational physicians
for employees working longhours

 Leave system Assessment and improvement of workplaceenvironment Support for return to work Trial return to work systemR egular consultations withoccupational physicians S upport for return to workC onsultation with occupational physicians whenreturning to work

28.9

26.9

25.3 24.8

60.6
23.9

Personal information is handled with due care in all of the initiatives

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60

40
30

12.5

10

0
(FY)

2,200

2018 2019 2020 2021 2022 2030

TargetScope: Employees of Sumitomo Metal Mining Co., Ltd.,age 40 or older (results of specific health checkup
interview)• Training for personnel in charge of human resource• Support for return to work
• Training and assignment of occupational counselors

0
(FY)

2,167

2,131

80

2,047

39.2 38.0
36.9 37.2 38.7
22.8 22.3 23.6 22.1 23.4

(%)
100

2,256
50.0

2,000

60

1,890
26.0

1,800

20
10

100

56.9 58.9 58.0 58.0

50

20

 Percentage and Number of Employees
Receiving Health Checkups(People)
2,400

(%)
70

Care by staff, line management, and cross-sectional organizations• Promotion of participation in training and education• Reduction of long working hours and notification of consultations
with occupational physicians• Management of leave periodP ercentage of Employees with Abnormal
Findings1, Obesity Rate2, and Targets

18.0

1,600

2018 2019 2020 2021 2022 2030

0
(FY)

TargetObesity rate (male)  
Obesity rate (female)
Percentage of employees with abnormal findings
1. Scope: Insured persons of the Sumitomo Metal
Mining Health Insurance Society
2. Scope: Employees of Sumitomo Metal Mining Co.,
Ltd., age 40 or older

27.4

28

24.4

27.3

27.5

40

20

2018

2019

2020

2021

2022

0

N
 umber of employees receiving comprehensive
health checkup system (Ningen Dock)1 (left axis)
Percentage of employees receiving comprehensive
health checkup system (Ningen Dock) (right axis)
Percentage of employees receiving regular healthcheckups2 (right axis)
1. Scope: Insured persons of the Sumitomo Metal
Mining Health Insurance Society who are 18 years old
or older2. Scope: Employees of Sumitomo Metal Mining Co.,Ltd.

New Initiatives in FY2022• Complete brain checkups
For insured persons who are of age 40 or older and covered under the health insurance society, we have begun checkups forearly detection of brain-related disorders. About 140 employees underwent checkups in FY2022.
• The personal health portal site “My Health Web”
Employees can view incentive points, health information, health checkup results, medical expenses statements, health advice,and other information on this site to enhance their health awareness and better manage their health. In FY2022, we held awalking event in which about 500 participants competed on number of steps walked, based on measurements by smartphone.
• HPV virus checks
In FY2022 screenings for human papillomavirus (HPV), a potential cause of cervical cancer, about 120 insured persons (women)(80% of available screening openings) covered by the health insurance society made use of the screenings.

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Social Social

Diverse Human Resources / Development and Participation of Human Resources

Commendation for Achievements in Security, Occupational Health and Safety, and Environmental Preservation

New Initiatives Planned for FY2023• Health seminars
We plan to hold health seminars four times a year on themes including diet, women’s health, and combating cancer.
• Genome analysis
Investigating one’s own genetic information to learn about innate risks such as disease susceptibilities aids in the prevention ofdisorders.

Long-Term Incentives and Rewards System for Employees

GRI 401-2

Details
Retirement Allowance
Under the Company’s retirement benefits system, our defined benefit pension plan, defined contribution pension plan, and retirement lump sum plan are wholly or partially applied at all Group companies. Through these, we are responding to the diversificationof lifestyles later in life and changes in forms of employment, while providing peace of mind and stability in post-retirement life. Inline with the revision of our managerial track personnel system in FY2023, we have introduced a point-based retirement allowance
plan for managerial track employees, based on duties and years of service. We also abolished the resignation payment rate thatapplied to resignation for personal reasons, in order to appropriately return employees’ degree of contribution to the Company tothose employees. The result is a system that addresses the mobility of human resources while assuring the ability for employees toplay active roles in the Company for a long time.

Commendations in FY2022• Excellent Employees: Harima Refinery (27 people), Sumiko Techno-Research Co., Ltd. (14 people)• Long-term Zero Accidents: Ichikawa Research Center, Materials Laboratories, Ome District Division

Employee Stock Ownership Association
The Employee Stock Ownership Association was launched in 1982 to assist employees with long-term asset formation. With theCompany and Group company employees (including non-regular employees) as members, the association contributes funds fromsalaries and bonuses for the purpose of purchasing shares of the Company. The incentive from the Company is 12% of the contribution, with dividends reinvested as members’ stock purchase funds. As of March 1, 2023, the membership rate is 36.0%.

Invention Rewards
The Company has established “Regulations for the Management of Patents, etc.” conforming to the Patent Act, and pays bonuses at
the time of patent application and for results for inventions made by employees in their work. No upper limit is set on the resultsbased amount of bonus paid for inventions that contribute to business, which enhances employees’ motivation to create valuable
inventions. P.139-140

Commendations for Long Service

Labor-Management Relations (freedom of association and collective bargaining)

Through certificates of merit and supplementary awards, we commend employees who have worked diligently for many years andwho are recognized as models for others to follow.

Basic ApproachYears of service

Supplementary award

10 years

2-day leave and ¥50,000 in travel vouchers

20 years

3-day leave and ¥100,000 in travel vouchers

30 years

5-day leave and ¥400,000 in travel vouchers

40 years

3-day leave and ¥50,000 in travel vouchers or 5-day leave

President’s (General Manager of Division’s) Commendation for Achievement and President’s Letter of Appreciation
To commend efforts and achievements in line with the scale and results of outstanding contributions to the Company througheveryday work, once per year the Company presents certificates of merit and supplementary awards or letters of appreciation fromthe president or from general managers of divisions to individuals, groups, or workplaces.
Commendations in FY2022• President’s Commendation
Finance & Accounting Department: 30 people; Mineral Resources Division: 32 people; Non-Ferrous Metals Division: 31 people;
Battery Materials Division: 606 people• President’s Letter of Appreciation
Shisaka Smelting Co., Ltd.: 67 people; Ohkuchi Materials Co., Ltd. and Niihama Materials Co., Ltd.: 149 people

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Once per year, the Company presents certificates of merit to individuals or workplaces that have demonstrated significant achievements in security, occupational health and safety, and environmental preservation and that are recognized as models for others.

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Sustainability Report 2023

GRI 2-30/402-1/407-1/G4-MM4

In the Sumitomo Metal Mining Group Policy on Human Rights and the SMM Group Code of Conduct, we stipulate respect for thebasic rights of employees as indicated in the International Bill of Human Rights and the International Labour Organization (ILO)
Declaration on Fundamental Principles and Rights at Work.

Dialogue between Labor and Management (Japan)
The Company and Group companies in Japan have built solid labor-management relations over the years and engage in trouble-free discussions. The collective agreements concluded between the Company and the Federation of Sumitomo Metal Mining
Workers Unions guarantee that labor unions have basic labor rights, including freedom of association and workers’ right to collective bargaining. At unionized sites of our branch offices and domestic Group companies, most unions are active under theFederation of Sumitomo Metal Mining Workers Unions. In Japan, based on union shop agreements, all general employees except
managers are eligible to join. As of March 31, 2023, labor union membership was 60.2% in Japan and 58.8% for the entire Group in
Japan and overseas. P.158
In order for the Company and labor unions to respect each other’s positions and build positive labor-management relations
based on trust, the Company holds labor-management council meetings, labor-management discussions, and other meetings withlabor unions and employee representative organizations at all business sites at least once a month, and set regular opportunities to
explain management conditions and take in opinions and requests from employees. In response to requests regarding improvements to occupational health and safety and working environments, we enact necessary improvement measures after confirming
situations. We also hold a Central Labor-Management meeting at least once a year as meetings between the Company’s management team and the executives of labor unions under the Federation of Sumitomo Metal Mining Workers Unions.
From February to March every year, the Company and the Federation of Sumitomo Metal Mining Workers Unions negotiate
working conditions including wages and lump-sum payments for the following fiscal year. In March 2022, labor and management
jointly confirmed that “all employees will work as one toward achievement of the shared annual targets of labor and management,
and, with labor unions also powerfully backing established goals and measures to achieve them, will foster a new culture of sharing
in the joy of that achievement under the 2021 3-Year Business Plan.” Setting the three years from FY2022 as the target period andsetting all Group business sites in Japan (directly controlled business sites, domestic subsidiaries, and domestic Group companies
with labor unions under the Federation of Sumitomo Metal Mining Workers Unions) + domestic contractors as the scope of initiatives, we are undertaking initiatives to reduce repetitive accidents. As a result, we successfully met some of our targets in FY2022.

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Diverse Human Resources / Development and Participation of Human Resources

We have also established individual Labor-Management Advisory Committees for specific themes such as human resource systems, wages, shorter working hours, benefits, and occupational diseases. In Labor-Management Advisory Committees, labor andmanagement together investigate, examine, and solve issues under themes on which both sides have reached consensus. The
results of the committees’ examinations are reported to representatives of labor and management.
Content of Discussions with the Federation of Sumitomo Metal Mining Workers Unions (initiatives in FY2021-2022)• Revision of the managerial track personnel system, review of wage levels, review of the family allowance system, payment of
cost-of-living allowances• System for remote assignment away from family (relaxation of requirements, increase in allowance), housing-related systems(relaxation of requirements, increase in allowance, decision on new dormitory maintenance fees)• Measures to reduce relocation burdens (vehicle expense subsidies)

Dialogue between Labor and Management (overseas)
Among our overseas consolidated subsidiary companies are three that have labor unions. As of March 31, 2023, the labor union
membership at these subsidiaries was 54.3%. Overseas, we assess the state of unionization through questionnaires, and trackon-the-ground labor-management conditions and engage in exchanges of ideas through seconded employees assigned by theCompany to overseas posts. On issues of importance to labor and management, we conduct discussions by both sides and reflect
the opinions of both in reviews of measures and the formulation of new systems, in accordance with the laws and regulations of
relevant countries and regions. As a result of such efforts, in FY2022 there were no reports of cases of child labor or forced labor,
serious infringements on freedom of association, or plant closures due to causes such as strikes in our Group, either domestically oroverseas.

Notification of Reassignment, Secondment, and Transfer in Work
The collective agreement we have concluded with the Federation of Sumitomo Metal Mining Workers Unions stipulates that whenemployees are reassigned, seconded, or transferred in large numbers for reasons of business, the Company will discuss basic matters with the labor union. The agreement also stipulates that when employees are reassigned, seconded, or transferred, theCompany will promptly notify the individuals concerned and the labor union regarding the destination.

Labor-Management Agreements to Improve the Level of Occupational Health and Safety

GRI 403-4

Collective agreements concluded between the Company and the Federation of Sumitomo Metal Mining Workers Unions stipulate
the assurance of occupational health and safety, the establishment of Occupational Health and Safety Committees, education,
training, health checkups, and other matters. Through cooperation between management and labor, we are working to improve
the level of occupational health and safety. Occupational Health and Safety Committees* formulate annual plans for occupational
health and safety activities, check progress under the plans, examine measures to prevent occupational accidents and their recurrence, and share information on the use of health checkups, with the goal of creating an environment for working with safety andgood health.
* Occupational Health and Safety Committees

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Co-Existence and Mutual Prosperity with Local Communities

Vision for 2030

Medium-Term Targets and Progress

GRI 3-3

To achieve our Vision for 2030, we are managing progress for each KPI and have made achievement criteria and action plans for up to 2030.

A company that contributes to regional development andearns trust as a member of the local community

FY2022 Results

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	Participate in local communities through dialogue and collaboration• Accurately identify local issues through dialogues with local communities, and execute measures

Approach and Policy

GRI 3-3



GRI 3-3

 Promotion Structure
Sustainability Committee
President

Chair:
General Manager of General Affairs Dept.
Members:
Personnel in charge of each department

Collaborate
and cooperate
Check progress
on KPIs

Department in charge(business division, etc.)
Local Communities

Business sites (plants, mines, Group companies, etc.)
Personnel in charge of general affairs

110

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

Communicate
and collaborate

Local residents
Governmental
agencies
NGOs and NPOs

Business sites• Implemented the existing planroughly on schedule despite theimpact of the COVID-19 pandemic,
including activities such as cleaning
coastlines and areas around plants,
supporting events, planting trees, collecting used books, used stamps, andPET bottle caps, and conducting blood
donationsCompany-wide• Conducted a survey based on the
Company Employee Social
Participation Questionnaire survey toincrease the number of programs thatcan be provided in the Head Officeregion and other sites (support forpeople tackling dementia, sponsorshipfor holding boccia tournaments, etc.)• Planned collaboration to be implemented together with the Minato City
Council of Social Welfare, organizations
that participate in social contribution
forums, the Japan Philanthropic
Association, and the NEC Pro Bono
Initiative

Business sites• Continue implementing FY2022
initiatives• Identify examples of initiatives at eachbusiness site that could be implemented anywhere and implement
these at new locations as appropriate
Company-wide• Establish the Employee Volunteer Pro
Bono Support System (tentative name)• Have employees participate in regional
promotion initiatives that support volunteer activities and incorporate theiropinions• Carry out promotional activities thatencourage employees to sign up to
the Volunteer Pro Bono Support
System• Showcase at least one new programeach month• Build frameworks for the nationwide
development and continuous
improvement of programs (implementation organizations that include external experts)

Action Plan

Corporate Citizenship
Subcommittee• Establish mechanisms for identifying
issues and expectations through dialogues with local communities• Identify baseline values for local community contribution levels at all sites inJapan (17 regions), specify expected
contributions and contribution levelsby the end of FY2030, and incorporate
them in each measure• Ascertain the achievement status ofcommunity contribution levels at allsites in Japan compared to the baseline values and clarify issues to beaddressed in the future
Items or targets to be implemented
during the 2024 3-Year Business Plan
• Manage progress of all sites in Japan
with regard to issues and expectations
through dialogues with local communities and incorporate into measures,
including any subsequent changes• Run trial operation of mechanisms for
identifying issues and expectations
through dialogues with local communities at model business sites (FY2022)• Operate mechanisms as necessary at
all sites in Japan to identify baseline
values for community contribution
levels, specify expected contributions
and contribution levels by the end of
FY2030, and incorporate them in eachmeasure• Operate mechanisms as necessary at
all sites in Japan, ascertain contribution levels compared to baseline values, identify expected contributions
and any changes in level by the end of
FY2030, and revise and adapt eachmeasure as necessary• Support social contribution activities
of employees and develop employee
participation programs at all sites toimprove employee satisfaction andmotivation to contribute to society• Ascertain effects of employee participation programs (number of participants and employee satisfaction) andmanage progress• Improve employee participation
programs• Trial a program at Head Office thatincorporates the findings of the
FY2021 Company Employee Social
Participation Questionnaire survey
conducted in the Head Office (FY2022)• Conduct a questionnaire survey at themain sites and offer the program trialed at Head Office all sites withmodifications• Ascertain baseline values for the numbers of employees participating andsatisfaction and improve programs• Conduct the Company Employee
Social Participation Questionnaire survey at the main sites at the end of
FY2024 and the end of FY2027, ascertain satisfaction and needs, andimprove programs

KPI 	1. Support the local community via employee participation• Implement employee participation programs (from 2023)
Achievement
Criteria

We maintain dialogue with local communities and collaborate with them in order to understand the issues and expectations ineach region, and then use this understanding to implement social contribution activities in the areas in which we do business.
These initiatives are carried out in coordination with the General Affairs Department, which is the secretariat of the Corporate
Citizenship Subcommittee. The personnel responsible for general affairs at each business site gather for regular exchanges of opinions, held four times a year, during which they share information on the social contribution activities being conducted in eachregion. We also verify the effects of our business and social contribution activities through dialogue with governmental agencies
and local communities. Any complaints or grievances are acknowledged and responded to by business sites and we strive to shareand understand the details so that improvements can be made.

Action Plan

Promotion StructureOme District follow-up• Hold workshops through the OmeDistrict Social Contribution Promotion
Committee and develop new social
contribution activities based on ideas
generated• Break down a vision of the OmeDistrict in 2030
• Hold a sponsored boccia tournament
at the Sumitomo Metal Mining Arena
Ome in collaboration with government agencies and the NEC Pro Bono
Initiative as an opportunity to contribute to exchange in the community• Continue to hold collaborative meetings with local stakeholders
Company-wide• Prepare for the implementation of thesurvey assessing the degree of social
contribution to the regions in which
we do business (regional dialogue
model) at other sites

Achievement Criteria

Development activities, particularly the development of mining or smelting and refining projects, canhave a considerable impact on the lives of local residents, including forcing relocations. We think it isimportant that we engage with communities in the areas in which we do business through dialogue tofind out what issues they are facing and to see how we can contribute to solving these issues. Based on
this, we will vitalize regional economies, including by hiring and procuring locally in accordance withneeds, and continue to support areas that have been affected by major natural disasters such as earthquakes and typhoons.

Ome model project• Collaborated with the Tama University
Research Institute on the Localized
Contribution Survey using the OmeDistrict Division as a model businesssite• Held mixed workshops for employees
and external stakeholders to raiseawareness regarding social contribution among employees• The Ome District Social Contribution
Promotion Committee was establishedby seven employees, most of whom
participated in the above workshops• Held regular meetings for sharing
ways to collaborate with external
stakeholders to solve community
issues (starting with the Ome City andHamura City Councils of Social Welfare)

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

111

Social Social

Co-Existence and Mutual Prosperity with Local Communities

FY2022 Results

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	2. Hire and procure locally• Continually implement and assess of performance

Action Plan

• Assess hiring and procurement status
at the main sites and disclose theinformation on the company website• Assess hiring and procurement status
at the main sites and disclose theinformation on the company website• Assess hiring and procurement status
at the main sites and collect data

• Assess hiring and procurement status
at the main sites and collect data

KPI 	3. Support for nurturing of the next generation
1) Implement programs to nurture the next generation in collaboration with government, local bodies, NPOs, etc. (one or more times/year)• Provide support for nurturing of thenext generation in line with the
expected content and level of contribution as assessed through mechanisms for regular dialogue with local
communities• Solicit assessments of the above activities from local communities• Provide support for nurturing of thenext generation in line with the
expected content and level of contribution as assessed through mechanisms for regular dialogue with local
communities• Solicit assessments of the above activities from local communities• Provide support for nurturing of thenext generation in line with the
expected content and level of contribution as assessed through mechanisms for regular dialogue with local
communities• Solicit assessments of the above activities from local communities• Provide support for nurturing of thenext generation in line with the
expected content and level of contribution as assessed through mechanisms for regular dialogue with local
communities• Solicit assessments of the above activities from local communities

Sustainability Report 2023

• Start provision from FY2023• Continue to work graduates in positions that contribute to the local community and raise and consolidate
awareness of the purpose and resultsof the scholarship program at each of
the qualifying universities
Items or targets to be implemented
during the 2024 3-Year Business Plan
• Work some of the first students toreceive scholarships in positions that
contribute to their local communities
after graduation in March 2027

• Prepare application guidelines andselect qualifying universities for applications (June 2022)• Finalize funding scheme (September2022)• First application for scholarship students (with funding in March 2023)• Establish opportunities to communicate the purpose of the scholarships,
the philosophy of SMM, and the career
paths of graduates to university faculty
members and scholarship recipients(Plan to provide from the 2024 3-YearBusiness Plan for scholarship
recipients)

Business sites• Continue implementing FY2022
initiatives• In the second round of workshops
implemented by the Corporate
Citizenship Subcommittee, consider abreakdown of the ideal vision for eachbusiness site based on four KPI
Company-wide• Support organizations that participate
in social contribution forums• Support organizations collaboratingwith employee participation programs• Provide support for people with disabilities and the elderly that matches
the expected content and contribution
levels as assessed through mechanisms for regular dialogue with local
communities• Receive recognition from local communities for these activities• Provide support for people with disabilities and the elderly that matches
the expected content and contribution
levels as assessed through mechanisms for regular dialogue with local
communities• Receive recognition from local communities for these activities• Provide support for people with disabilities and the elderly that matches
the expected content and level of contribution as assessed through mechanisms for regular dialogue with local
communities• Share information on methods of support and know-how via the person in
charge of general affairs at sites at theregular Corporate Citizenship
Subcommittee meetings• Publish achievements of activities
internally and externally• Provide support for people with disabilities and the elderly that matches
the expected content and level of contribution as assessed through mechanisms for regular dialogue with local
communities• Share information on methods of support and know-how via the person in
charge of general affairs at sites at theregular Corporate Citizenship
Subcommittee meetings• Publish achievements of activities
internally and externally• Provide timely local support in theevent of a large-scale disaster (earthquake, typhoon, etc.)• Continue support for people affectedby disasters as necessary• Provide timely local support in theevent of a large-scale disaster (earthquake, typhoon, etc.)• Continue support for people affectedby disasters as necessary• Conclude collaboration agreementswith local governments and otherorganizations at major business sites• Provide timely support, including
donations, in large-scale disasters• Engage in community disaster prevention activities during normal times(participate in drills, lend facilities, etc.)• Provide timely support for people
affected by large-scale disasters overseas (major disasters, wars, etc.) in collaboration with business divisions• Provide timely support, including
donations, in large-scale disasters• Consider local disaster prevention
agreements (lend facilities, etc.)• Provide timely support for people
affected by large-scale disasters overseas (major disasters, wars, etc.) in collaboration with business divisions

KPI 	5. Support during and after disasters• Support regions affected by large-scale disasters• Held drills in cooperation with regional
authorities in preparation for a heavy
rainfall disaster (Hishikari)• Built a stock of emergency meals andother emergency supplies that can behanded out to the local community(Ichikawa Research Center)• Cooperated with volunteer fire company activities, registered as a corporate member, and dispatchedemployees when needed (Sumiko
Energy Materials Co., Ltd.)• Sold special goods produced in Naraha
Town inhouse (Head Office)• Donated to the Japanese Red Cross
Society (Hyuga Smelting Co., Ltd.)• Continued to donate to scholarshipfunds for children who were orphanedby the Great East Japan Earthquake(Head Office)• Held Tohoku Reconstruction Fair:
Consuming Foods from Disaster-Hit
Areas (Head Office)• Supported areas affected by the earthquake in Turkey and Syria (Head Office)• Sponsored NPOs supporting evacuees
from Ukraine (Head Office)Business sites• Continue implementing FY2022
initiatives• In the second round of workshops
implemented by the Corporate
Citizenship Subcommittee, consider abreakdown of the vision for each business site based on four KPI
Company-wide• Respond appropriately when disasters
occur in Japan or overseas• Support the training of employees asvolunteer responders
Head Office• Prepare to take in people who areunable to return home during a disaster in the area around Shinbashi
StationAction Plan

SUMITOMO METAL MINING CO., LTD.

Action Plan

112

Scholarships for regional contributionsin Japan• Applications for JEES-SMM Local
Contribution Scholarships to be
accepted from May 2023
In the first year, scholarships will beawarded to 20 students who intend tocontribute to four regions in which wehave directly-controlled business sites• Develop programs for raising theeffectiveness of the system’s goals,
support activities that teach students
about regional contribution, andimplement follow-up monitoring
Overseas, Hishikari• Continue implementing FY2022
initiatives

Achievement Criteria• E nvisaged the target scholarship recipients (people from the local community or people who contribute to the
local community) and considered suitable designs (Head Office)• Continued the SMM Arizona (Morenci)and SMM Oceania (Northparkes)
programs• Supported a measure for student loan
repayment exemptions for students
scheduled to be employed in Isa City,
which was added to the agenda for
discussion by the city assembly(Hishikari)• Accepted practical training students
from special needs schools (Hishikari,
Harima, Shinko Co., Ltd.)• Purchased from businesses that
employ people with disabilities (Ome,
Hishikari, Ichikawa Research Center,
GRANOPT Co., Ltd., Sumiko Energy
Materials Co., Ltd., Head Office)• Contracted work to a silver humanresources center, an organization thatprovides work to elderly workers(Hishikari)• Held a social contribution forum (onunderstanding dementia and preventing the need for people to leave work
to provide nursing care) and implemented a matching gift program• Implemented an online market andmatching gift program with NPO
Shinsei (Head Office)• Prepared to host and sponsor a boccia
tournament (Ome)• Implemented an end-of-year mutual
support activity aimed at supporting
the elderly (Ohkuchi Electronics Co.,
Ltd.)

Achievement Criteria

KPI 	3. Support for nurturing of the next generation
2) Establish and award scholarships in Japan and maintain existing overseas scholarships (from 2023)

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	4. Support for people with disabilities and the elderly• I mplement programs to support people with disabilities and the elderly in collaboration with government, local bodies, NPOs, etc. (one ormore times/year)

Action Plan

Action Plan

Business sites• Continue implementing FY2022
initiatives• In the second round of workshops
implemented by the Corporate
Citizenship Subcommittee, consider abreakdown of the ideal vision for eachbusiness site based on four KPI (nurturing of the next generation, support
for people with disabilities, support for
the elderly, and support during andafter disasters)
Company-wide• Support organizations that participate
in social contribution forums• Support organizations collaboratingwith employee participation programs• Develop and implement programs
that support time for all-around exploration in response to new governmental educational guidelines

Achievement Criteria• L eased ground to junior baseball team(Harima)• S ponsored junior baseball tournament(GRANOPT Co., Ltd.)•A
 ccepted interns from technical colleges and high schools (Besshi, Hyuga
Smelting Co., Ltd., Shinko Co., Ltd.)• P articipated in an adult education lecture program (Sumiko Energy Materials
Co., Ltd.)• P rovided visiting classes for elementary schools (Besshi, Hyuga Smelting
Co., Ltd.)• S ubsidized educational fees (CBNC)• P rovided financial support towardschool construction costs (THPAL)•G ifted tickets to the Pompeii Exhibition
to organizations affiliated to Carillon
Children’s Center (Head Office)•D onated to FC Imabari’s Satoyama
Stadium Project and bought the rights
to an engraved plate (Besshi, Head
Office)Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Achievement Criteria

Continue implementing FY2022
initiatives

Achievement
Criteria• Percentage of procurement from local
suppliers and percentage of employees hired locally• Percentage of senior managers hiredfrom the local community
P.159-160

FY2022 Results

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113

Social Social

Co-Existence and Mutual Prosperity with Local Communities

Cost of Social Contribution Activities

GRI 203-1

We are carrying out the following activities aimed at nurturing the next generation, supporting people with disabilities and theelderly, providing support during and after disasters, investing in infrastructure, and providing support services. As a result, in
FY2022 the cost of our social contribution activities amounted to approximately ¥1.9 billion. P.159
 Investment in Infrastructure and Support Services1
RegionJapan

Philippines

Details• Donations to scholarship funds for orphans in Iwate, Miyagi, and Fukushima Prefectures, which were hit by theGreat East Japan Earthquake (making donations every year since 2012)• Donations to medical organizations such as the Cancer Institute and the Japan Heart Foundation• Donations to sports organizations such as the Japanese Para-Sports Association• Support for basic science research, environmental research, and activities for the maintenance and restorationof cultural properties through The Sumitomo Foundation• Donations to Keidanren Nature Conservation Fund• Support for employment of former inmates and others by donating to the National Organization of Labor
Support Providers• Support for victims of crime through donations to the Victim Support Center of Tokyo• Expenditure on social contribution activities, such as contribution to Expo 2025 Osaka, Kansai, Japan• Supporting measures to prevent dengue fever in communities neighboring the plant (awareness activities,
spraying insecticide, cleaning activities, etc.)• Undertaking a water supply equipment installation project for communities neighboring the plant• Popularizing organic rice cultivation among communities neighboring the plant with the help of technicalexperts

Amount (FY2022)¥250 million

Details

AmountTime period

Hishikari Mine

Mine pollution control reserve¥23,090,000

From 1984

CBNC

Closure and cleanup for the refinery and mineral processing plant

Total approx. 330 million
pesos*

From 2012 (accumulating every

Expenses required for the closure plan

Total approx. 286 million
pesos

From 2016 (accumulating every

year)
year)

Model Project for Dialogue and Collaboration¥1,620 million

GRI 2-29

Acknowledging Grievances and Providing Explanations for Relocations

GRI 2-25/2-26/203-2/413-2/G4-MM7/G4-MM9
When grievances are voiced by governmental agencies or local communities at each site, we respond appropriately and share theinformation within the Company. In FY2022, the Group received four grievance reports from local residents, including ones concerning abnormal odors. All of these were handled in an appropriate manner.
Additionally, whenever we have no choice but to ask local residents to relocate their residences due to development of a mine or
related facilities, we provide alternative sites and obtain their understanding in advance. At the Hishikari Mine, we asked three local
households to relocate between 1983 and 1989, and at THPAL, we asked 41 households in the affected area to relocate.*
We are also planning to implement a human rights due diligence program targeting local residents at our overseas sites.
Furthermore, when closing a mine, we work to maintain local employment through initiatives such as building plants for otherbusinesses in the area. For example, when excavation at the Kunitomi Mine was stopped because of resource depletion, it continued to operate as a Smelter & Refinery. Then, when the Smelter & Refinery was closed in 1973, it was converted into a plant for
Sustainability Report 2023

G4-MM10* Expenses according to the closure plan CBNC submitted to the Department of Environmental and Natural Resources

We work to raise the direct contribution we make to the local economy through measures such as recruiting from areas surrounding our business site and procuring from local suppliers, and we also contribute to improving the living standards of these communities, particularly in emerging nations, by providing infrastructure such as roads and ports, building needed facilities, building andoperating public facilities such as schools, hospitals, and marketplaces, providing teaching materials as educational support and thegoods required to operate facilities, supporting free healthcare for local communities, and promoting activities that help households to support themselves. When implementing these measures, we establish opportunities for regular communication withlocal communities and move forward while also checking the requirements of local residents. In addition, twice a year we
exchange opinions with the international environmental NGO FoE Japan regarding issues such as the water quality of rivers around
Coral Bay Nickel Corporation (CBNC) and Taganito HPAL Nickel Corporation (THPAL), both of which are located in the Philippines.
Those opinions and recommendations are referred to when implementing necessary improvements.

SUMITOMO METAL MINING CO., LTD.

Closure Plans for Mines, Smelters and Refineries

THPAL

1. Investment in infrastructure and support services are non-commercial and provided free of charge
2. SDMP: Social Development and Management Program, conducted by a company for the welfare of residents living in the vicinity of its operating area114

* The relocation was planned in accordance with the World Bank Operational Policy on Involuntary Resettlement and was completed by December 2010 with the consent of all residents. After the relocation, we have continued to provide support for the repair and maintenance of the houses, as well as livelihood restoration support programs that encourage
residents to acquire skills and know-how that will enable them to generate income in the future

Business site

In the Philippines we are continuing to provide support through SDMP2

Communication with Local Communities and NGOs

manufacturing materials used in electronic components. Currently it is being operated by Sumiko Kunitomi Electronics Co., Ltd. andproduces high-quality products, such as lithium tantalate and samarium iron nitride.

Local issues vary from region to region, and we believe it is important to understand and resolve the issues facing each region
through dialogue with the local community.
The Ome District Division and the Tama University Research Institute collaborated to conduct a model project for dialogue andcollaboration called the Localized Contribution Survey. The purpose of this survey was to identify local issues through research, andto develop, operate, and evaluate our unique program that contributes to solving these issues.
The initiatives include interviews with local governments and neighboring companies and their employees, holding panel discussions and workshops with local stakeholders under the title of PROJECT OME, followed by the establishment of a Social
Contribution Promotion Committee at the Ome District Division. In addition, regular collaborative meetings with local social welfare councils and government officials have been established to explore issues.
Going forward, the Ome District Division will involve its employees in the formulation of the OME VISION and other activities tofoster a sense of ownership and create concrete results with local stakeholders. In addition, the model projects implemented at theOme District Division will be implemented at other business sites to contribute to the sustainable development of local communities by resolving issues faced by those communities.

Establishment of Scholarships in Japan
As one of the measures to support the nurturing of the next generation, in FY2023 we established the JEES-SMM Regional
Contribution Scholarship within the Japan Educational Exchanges and Services (JEES) based on our donation to support students
who are willing to contribute to the sustainable development of the regions where our plants and mines are located and who needfinancial assistance.
This scholarship provides ¥100,000 per month, non-repayable until graduation, to students who are motivated to contribute to
the sustainable development of the Tama District of Tokyo, Hyogo, Ehime, and Kagoshima Prefectures. We are awarding 20 scholarships to selected applicants in FY2023.
In addition, as a program to help scholars learn about supporting local communities, we are considering the formation of a community among scholarship recipients and the implementation of experiences for scholarship recipients to participate in efforts tosolve real community issues in collaboration with the local community.

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115

Social Social

Rights of Indigenous Peoples

Vision for 2030

Medium-Term Targets and Progress

GRI 3-3

To achieve our Vision for 2030, we are managing progress for each KPI and have made achievement criteria and action plans for up to 2030.

A company that understands and respects the traditions andculture of indigenous peoples

FY2022 Results

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	1. Understand indigenous peoples and their traditions and culture• Percentage of SMM Group sites implementing in-house education: 100% by the end of FY2023
GRI 3-3Mine development, smelting, and refining can have a considerable effect on the environment and local
communities and there is a risk that the rights of the indigenous peoples living on the land, who generally
occupy a vulnerable position in society, will be violated. Therefore, we think it is most important to proceed while gaining the understanding and trust of these indigenous peoples. We comply with international standards such as the United Nations Declaration on the Rights of Indigenous Peoples andcollaborate with local governments and other stakeholders while also maintaining an ongoing dialogue
with local indigenous peoples based on an understanding of their traditions and culture.

• Following on from the first video,
exchange information with experts
regarding the second video.

• Started consideration of the content of
the second educational video(As of the end of FY2021, the first video
was viewed by 5,902 employees andscreened at 100% of SMM Group sites)

Action PlanGRI 2-24/3-3• Continue to implement existing
initiatives• Attended lectures given by the NPOs
that the experts we are continuing
dialogue with belong to and held an
exchange of opinions on the theme of
responsible mineral sourcing.

• Continue dialogue with experts andconsider support initiatives.

Sustainability Committee
Action Plan

President
Human Rights Subcommittee
Dialogue

Collaborate
and cooperate
Check progress
on KPIs• Consider content of second educational video• Exchange information with experts• Exchange information with experts(Consider content of third educational
video during the 2024 3-Year BusinessPlan)• Continue to implement existing
initiatives• Continue to implement existing
initiatives• Regularly confirm implementation status of existing initiatives• Review the need for new scholarships
for indigenous peoples, including
exchange of information with experts
and individual sites• Regularly confirm implementation status of existing initiatives• Review the need for new scholarships
for indigenous peoples, including
exchange of information with experts
and individual sites• Support one or more indigenous people-related initiatives by NGOs, academic societies, etc. each year

• Support one or more indigenous people-related initiatives by NGOs, academic societies, etc. each year

• Continue dialogue with experts• Collect information on indigenous
people-related initiatives by NGOs,
academic societies, etc.

• Continue dialogue with experts• Collect information on indigenous
people-related initiatives by NGOs,
academic societies, etc.

Report grievanceExperts, NGOs

Department in charge(business division, etc.)• Screen third and subsequent in-house
educational videos at 100% of SMM
Group sites

KPI 	2. Support initiatives that lead to respect for the traditions and cultures of indigenous peoples
2) Support indigenous people-related initiatives by NGOs, academic societies, etc.: one initiative or more each year
Achievement
Criteria

 Promotion Structure• Implemented existing initiatives.
Philippines
Continued to provide local scholarships in consultation with stakeholders, including local residents andgovernments
North America and South America JV
mines
Implemented initiatives in collaboration with efforts of joint venture
partners

Action Plan

In accordance with our operational procedures related to business and human rights,1 at each business site we are engaging in dialogue with indigenous peoples who are directly affected by our business activities. Each business division and Head Office division
coordinates with the Human Rights Subcommittee to carry out in-house education that aims to provide Group employees with anunderstanding of indigenous peoples and their traditions and culture. In addition to this, the Sustainability Department, which isthe secretariat of the Human Rights Subcommittee, conducts exchanges of opinions through dialogue with external experts, NGOs,
and others. We also use the platform provided by the Japan Center for Engagement and Remedy on Business and Human Rights(JaCER)2 as a mechanism for redressing grievances.

Chair:
General Manager of Sustainability Department
Members:
Personnel in charge of each department• Screen second and subsequentin-house educational videos at 100%of SMM Group sites

KPI 	2. Support initiatives that lead to respect for the traditions and cultures of indigenous peoples
1) Provide scholarships for indigenous peoples (continue existing initiatives)
Achievement
Criteria

Promotion Structure• Created an in-house educational videoon the Sumitomo Metal Mining Group
Policy on Human Rights, which wasrevised on June 1, 2022, and used it to
implement in-house training

Achievement
Criteria

Approach and Policy

JaCER(grievance remedy platform)

Dialogue

Indigenous
peoples

Reportgrievance

Business sites(plants, mines, Group companies, etc.)

Contact regarding details of grievance, support redress

1. Business and human rights initiatives process
2. JaCER
P.77

116

SUMITOMO METAL MINING CO., LTD.

P.76

Sustainability Report 2023

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Social Social

Rights of Indigenous Peoples

Initiatives through Dialogue at Workplaces

GRI 2-24/2-25/411-1/MM5/MM6/MM7

The SMM Group collaborates with local governments, NGOs, and other stakeholders to engage in dialogue with indigenous peoples directly affected by its business activities.
In the Philippines, after acquiring Environmental Compliance Certificates through many consultations with stakeholders, including governments and indigenous peoples, we started operating Coral Bay Nickel Corporation (CBNC) in 2005 and Taganito HPAL
Nickel Corporation (THPAL) in 2013. Even after operations started, we established organizations to carry out community development (Social Development) in accordance with local laws and regulations, and are engaged in a Social Development andManagement Program (SDMP). Specifically, CBNC holds regular information exchanges with 22 barangays,* including 11 “impact
barangays” near Rio Tuba, while THPAL holds them with 14 barangays, including four neighboring “impact barangays.” Based onthese exchanges, budgets are prepared for the categories of health, education, welfare, livelihood, etc., and free health checkups,
medical treatment, agricultural assistance, etc. are provided after obtaining approval from the local government. In addition, we
also separately budget for activities not included in the SDMP, such as the construction of schools and assembly halls for indigenous peoples to educate them about their culture and unique languages.
In Canada, together with, IAMGOLD Corporation, our partner in the Cote Gold Project for which the decision to begin construction was made in 2020, we have held ongoing dialogue with First Nation peoples affected by it, as well as providing explanations
before gaining approvals, with the aim of helping them understand the project. We have fostered relationships of mutual trust andunderstanding with the organization through participation in initiatives such as cultural workshops hosted by the organization, andas a result, we were able to conclude an Impact Benefit Agreement. Currently, we are working with indigenous groups and partners
to construct a new lake with the same water surface area as the lake on the proposed development site, and to conserve biodiversity by releasing aquatic organisms from the existing lake into the newly constructed lake and surrounding water system.
Moreover, there have been no incidents of serious conflicts concerning land use or the customary rights of indigenous peoples
reported in the vicinity of any of the mines or smelters and refineries in which we have more than 50% interest. There have also
been no such incidents reported through channels including JaCER (grievance remedy platform).

Implementation of In-house Education

GRI 2-24/2-25

The SMM Group conducts in-house education to ensure that employees understand who indigenous people are and how theGroup should handle indigenous rights. This education will enable employees to understand that it is an issue that concerns us all
through messages from top management and case studies from within the Group. We are also continuing dialogues with experts*
on indigenous people regarding content and receiving guidance to ensure fairness in the materials.
Acting under the guidance of experts, we will continue our efforts to further deepen Group employees’ understanding of indigenous peoples and their traditions and cultures.
* Keiichi Omoto (emeritus professor of anthropology at the University of Tokyo), Tomoaki Nishihara (professor at Seisa University), Eiichiro Noguchi (coordinator of the NGO Taiga Forum)

Support initiatives that lead to respect for the traditions and cultures
In 2007, we established Sumitomo Metal Mining Peru S.A. (SMM Peru) as our subsidiary in Peru, and since then, we have worked
continuously to foster strong relationships with the country, including acquiring a stake in the Cerro Verde copper mine and carrying out exploration activities. One example of this relationship building is the donations we have made to the AMANO PreColumbian Textile Museum.* The museum was established in 1964 in Lima, Peru, by the late businessman Yoshitaro Amano withthe goal of conserving important Andean cultural artifacts and sharing the results of research into these cultures. We support themuseum’s efforts to communicate the richness of the Andean civilizations to not only Japan, but also the entire world, and from2007 to 2014 we made donations totaling approximately US$590,000.
We will continue to support initiatives that lead to respect for the traditions and cultures of indigenous peoples.
*

AMANO Pre-Columbian Textile Museum
http://eng.museoamano.org/* The smallest administrative division that makes up cities and towns in the Philippines, and denotes a village, district, or ward.

Dialogue with Experts, NGOs, and NPOs

GRI 2-25

We regularly create opportunities for dialogue with experts, mainly through the secretariat of the Human Rights Subcommittee,
and hold exchanges of opinions on topics including international trends concerning the human rights of indigenous peoples.
In FY2022 in particular, we participated in meetings of NPOs engaged in activities related to the human rights of indigenous peoples and gave lectures on the theme of responsible mineral sourcing concerning the overall mining, smelting, and refining industries and Group initiatives. We gave explanations of corporate initiatives, such as international third-party verification frameworks
that are engaging the entire industry, and exchanged opinions on problems and challenges concerning initiatives.

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119

Social Social

Human Rights in the Supply Chain

Vision for 2030

Medium-Term Targets and Progress

GRI 3-3

To achieve our Vision for 2030, we are managing progress for each KPI and have made achievement criteria and action plans for up to 2030.

A company that undertakes sustainable procurement acrossthe supply chain
Approach and Policy

FY2022 Results

GRI 3-3



GRI 2-24/3-3/406-1/407-1/408-1/409-1

 Promotion Structure
Sustainability Committee
President
JaCER(grievance remedy platform)“Responsible Mineral Sourcing”
Working Group

Chair: General Manager of the Sustainability
Department
Members: Personnel in charge of each department

Chair: General Manager of the Non-Ferrous Metals Division
Deputy Chair: General Manager of the Sustainability Department
Members
Collaborate
and cooperate

Check progress
on KPIs
Collaborate and cooperate
Check progress on KPIs

Department in charge(business division, etc.)

Report grievanceDuediligence

Supply chain(including employees therein)

Business sites(plants, mines, Group companies, etc.)1) 2)• Select international standards in
response to demands of stakeholders,
particularly customers• Complete establishment of mineralsourcing management system

1) 2)• Maintain mineral sourcing management system

1) 2)• Exchange information with customers
and industry groups• Continue to receive third-party auditsof smelters and refineries• Continue to respond to supply chain
questionnaires from customers

1) 2)• Exchange information with customers
and industry groups• Continue to receive third-party auditsof smelters and refineries• Continue to respond to supply chain
questionnaires from customers• Update management system asappropriate

2. Sustainable Procurement
1) Business partners that have received and agreed with the Sumitomo Metal Mining Group Sustainable Procurement Policy1: 100% by theend of FY2030
2) Establish a sustainable procurement management system in line with international standards by the end of FY2024
3) Continue implementing due diligence (DD)1) 2) 3)
• Distributed a 15-minute video explaining the SMM Group’s sustainable procurement to major business partners.
The video includes an explanation of
the Group’s Sustainable Procurement
Policy, sustainability-related topics (climate change, responsible mineralsourcing), and a message from top
management• Five companies were selected fromamong our major business partners,
one from each business division andPurchasing Department, and eachcompany was visited for discussions
on sustainability (especially businessand human rights)• Organized trends on international sustainable procurement management
systems. Considered the use of existing platforms such as the Responsible
Business Alliance (RBA),2 in light of thestatus of their use by customer
companies• Participated in JaCER, which provides aplatform as a grievance (remedy)
mechanism. (Number of grievances
about the Company: 0)1) 2) 3)
• Consider measures to help business
partners gain further understanding of
the Group’s sustainable procurement(e.g., update content of explanatory
videos, expand target business
partners)• Continue to have discussions withbusiness partners and other dialogues
and consider the use of existing platforms, such as RBA, for due diligence inthe supply chain• Promote external awareness of ourparticipation in JaCER

Action Plan

Human Rights
Subcommittee

KPI

1) 2)
• Consider acquiring Copper Mark certification for responsible production
activities at our copper smelters andrefineries• In cooperation with target divisions(Battery Materials Division andAdvanced Materials Division), plan toestablish a due diligence system forprocurement of external raw materials
in line with international standards

Achievement Criteria

In accordance with the Business and Human Rights Initiatives Process1, we conduct due diligence on our business partners (suppliers) through the raw material procurement staff of each business division, the Purchasing Department, and each business site withthe aim of building a sustainable supply chain. The Sustainability Department, the secretariat of the Human Rights Subcommittee,
collaborates and cooperates with these efforts.
In particular, the “Responsible Mineral Sourcing” Working Group, which makes decisions on important matters related to mineralsourcing, has been established under the Sustainability Committee to address responsible mineral sourcing throughout the entire
supply chain.
In addition, we use the platform of the Japan Center for Engagement and Remedy on Business and Human Rights (JaCER)2 as agrievance mechanism.
Through our due diligence and grievance mechanisms, we have not identified any business partners (suppliers) at risk withrespect to discrimination, freedom of association, the right to collective bargaining, or child or forced labor.

1) Received third-party audits at nickel
smelters and refineries (Niihama
Nickel Refinery and Harima Refinery).
Responded to requests from battery
materials customers in cooperation
with the Battery Materials Divisionand the Non-Ferrous Metals Division
Continued to receive third-party
audits at the gold and silver smelter
and refinery (Toyo Smelter &Refinery) and the cobalt smelters andrefineries (Niihama Nickel Refineryand Harima Refinery)
Made plans to undergo third-party
audits at the copper smelter andrefinery (Toyo Smelter & Refinery)2) Zero business partners to our smelters and refineries complicit in humanrights infringements
As for external raw materials used in
the battery materials and advanced
materials businesses, the survey conducted using a standardized supply
chain questionnaire revealed that nobusiness partners were involved inhuman rights infringements

Action Plan

Promotion Structure

1)• Receive agreement from 100% ofmajor business partners
2)• Establish sustainable procurement
management system

1)• Finalize scope of business partners
subject to self-assessment during the2024 3-Year Business Plan and receive
agreement from 100% of those business partners
2)• Maintain sustainable procurement
management system1)• In cooperation with the in-house
related departments, promote understanding of our policy among main
business partners by holding briefing
sessions, etc. (consider video streaming format)• Review scope of business partners2) 3)• Consider participation in multi-stakeholder initiatives on due diligence anda grievance mechanism• Implement second-party audits ofbusiness partners (target: 5 business
partners/year)1)• In cooperation with the in-house
related departments, promote understanding of policy extension andreceiving agreement among the main
business partners (review scopeduring the 2024 3-Year Business Plan)
2) 3)• Exchange information with experts
and business partners• Implement second-party audits (target
from the 2024 3-Year Business Plan: 8business partners/year)• Implement due diligence including
third-party audits in line with the management system• Operate the grievance mechanism inline with the management system

Contact regarding details of grievance, support redress

1. Business and human rights initiatives process
2. JaCER
P.77

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SUMITOMO METAL MINING CO., LTD.

P.76

Sustainability Report 2023

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	Promote sustainable procurement, particularly responsible mineral sourcing
1. Responsible mineral sourcing
1) Establish a responsible mineral sourcing management system in line with international standards by the end of FY2021
2) Maintain a record of zero mines, smelters, and refineries complicit in child labor or other infringements of human rights in the supply chain
Achievement
Criteria

The SMM Group aims to build a sustainable supply chain in cooperation with its stakeholders. In our supply chains, we monitor risk related to human rights and labor, compliance, quality assurance, and environment and local communities based on international standards and in accordance with the SMM Group
Sustainable Procurement Policy. Should any issues occur, they are corrected. In regard to the sourcing ofminerals in particular, in order to avoid procuring minerals that may have negative impacts such as childlabor and other human rights abuses or environmental pollution, we carry out activities with respect to
the Organisation for Economic Co-operation and Development (OECD) guidance and in accordance with
the SMM Group Responsible Mineral Sourcing Policy.

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

1.                                             2.
Sumitomo Metal Mining Group Sustainable Procurement Policy

https://www.smm.co.jp/en/sustainability/management/csr_procurement/

RBA
https://www.responsiblebusiness.org/

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Sustainability Report 2023

121Social Social

Human Rights in the Supply Chain

SMM Group Responsible Mineral Sourcing Policy

Sumitomo Metal Mining Group Sustainable Procurement Policy

Pursuant to the SMM Group Policy on Human Rights, we do not buy minerals that may be associated withhuman rights violations such as child labor or forced labor, environmental destruction, illegal mining, or corruption, or minerals that may be used as a source of funding for armed groups or other such organizations.
We respect the guidance established by the OECD regarding mineral sourcing, and we exercise appropriate influence over suppliers as we work for responsible mineral sourcing throughout the entire supply chain.

The SMM Group carries out procurement activities in cooperation with its stakeholders that take into
account human rights and labor, compliance, quality assurance, and environment and local communities
based on the SMM Group Corporate Philosophy, the SMM Group Sustainability Policy and the SMM Group
Code of Conduct.

Responsible Mineral SourcingGRI 2-24/2-25/308-1/414-1/MM8

Upstream

Downstream

Mines

Smelters and refineries

Audit at the smelter and refinery

Materials manufacturers

Parts manufacturers

Finished goods manufacturers

Smelter and refinery identifiable through standardized documentation-based survey

We undertake responsible mineral sourcing initiatives in line with mechanisms advanced by the international Responsible Minerals
Initiative (RMI)* to ensure supply chain transparency (see diagram above). These mechanisms aim to ensure transparency in the
supply chain from upstream to downstream in a more efficient manner by starting with smelters and refineries, which are relatively
few in number.
At the finished goods manufacturers downstream from the smelters and refineries, a standardized survey is extended for the purpose of identifying the smelters and refineries that produced the minerals used in their products. We have established an approval
process for responses to these surveys, which are sent up the supply chain from customer companies, and are working to ensure
unified responses across the SMM Group. In FY2022, we responded to 330 surveys. P.161
Upstream of smelters and refineries, we regularly undergo third-party, international standards- based audits of responsible mineral sourcing mechanisms at our smelters and refineries, covering matters including risk assessments of suppliers. Since audit standards vary from mineral to mineral, we work to ensure that each standard is met by conducting due diligence, developing internal
systems and regulations, and providing internal training. The table below shows the status of third-party audits at our smelters andrefineries.
Subject Minerals
Gold

SilverCobaltNickelCopperRGG (LBMA)RSG (LBMA)RMAP Cobalt (RMI)

JDDS (The Copper Mark)JDDS (The Copper Mark)

Certification Body

LBMA

LBMA

RMI

RMI

RMI

Audit start date

FY2012FY2018FY2020

FY2022

FY2023

Audit standards(issuing organization)

Additionally, when the Smelting and Refining Business selects a new company as a supplier, we assess how that company carries
out environmental management, including management of water resources and tailings dams. In FY2022, there were no new suppliers selected. There were also no instances of artisanal and small-scale mining (ASM) in or adjacent to the project area.
* Responsible Minerals Initiative (RMI): An international initiative on the responsible sourcing of minerals by the Responsible Business Alliance (RBA), an organization founded in 2004
for the purpose of promoting a common code of conduct in the world’s electronic equipment industry.

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Sustainability Report 2023

Initiatives Related to Sustainable Procurement

GRI 2-24/2-25/308-2/414-2

The SMM Group aims to build a sustainable supply chain by asking major business partners (including local suppliers*) to consent
to our Sustainable Procurement Policy, requesting responses to a questionnaire, distributing videos explaining the Group’s sustainable procurement initiatives, and visiting business partners.
* Percentage of on-site procurement from local suppliers

P.159

Requesting for Consent to the Procurement Policy
In April 2020, we established and announced the SMM Group Responsible Sourcing Policy (currently the Sumitomo Metal Mining
Group Sustainable Procurement Policy; hereinafter “the Procurement Policy”), to clarify the Group’s stance of working to build a sustainable supply chain with consideration of human rights, the environment, and other social issues in all of our procurement
activities.
While ensuring thorough compliance with the Procurement Policy by the Group’s officers and employees, we also request theunderstanding of our business partners. In FY2020, we asked major business partners to consent to the Procurement Policy, in
response to which approximately 99% of those business partners have stated their consent.

Request for Responses to Survey on Sustainable Procurement
We prepared a survey on sustainable procurement in FY2021 and sent this survey to our major business partners who consented to
our Procurement Policy, requesting their responses. The survey consisted of 38 questions based on each item of the Procurement
Policy (human rights and labor, compliance, quality assurance, and environment and local communities) and the results of the survey were tabulated, having received responses from 98% of our business partners. The responses reveal that S, A, and B evaluations(the highest of the five levels of evaluation) accounted for about 85% of overall evaluations, confirming that many business partners
are advancing initiatives related to sustainability. For those business partners that received a C or D rating, we plan to provide themwith a better understanding of their own situation, and we will cooperate with them by offering advice and other measures to help
them improve their efforts.

Distribution of Videos Explaining the SMM Group’s Sustainable Procurement
A video explaining the Group’s sustainable procurement initiatives was distributed in FY2022 to major business partners who haveconsented to our Procurement Policy. The video includes explanations of the SMM Group’s Sustainable Procurement Policy, sustainability topics (climate change, responsible mineral sourcing), and a message from top management. In a survey conducted after
viewing the video, 95.5% of the respondents answered that the content was “easy to understand.” They commented that the video
helped them better understand the Group’s initiatives and provided reference for their own initiatives.

Exchange of Opinions with Business Partners on Sustainability
We selected five of our major business partners, one from each business division and Purchasing Department, to exchange opinions on sustainability (especially concerning business and human rights) in FY2022 based on their responses to a survey on sustainable procurement conducted in FY2021. In addition to hearing about their actual situations, we exchanged opinions about
effective activities while introducing the initiatives of the SMM Group.

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123

Social Social

Engagement with Stakeholders

Vision for 2030

Promotion StructureEngagement with stakeholders is one of our material issues, and we have made each of our business divisions and business sites
into a channel for maintaining dialogue with governmental agencies and local communities. Furthermore, the Public Relations &Investor Relations Department, which is the secretariat of the Communications Subcommittee, compiles information from withing
the Company and uses it in communications with the media and investors. In addition to this, the Communications Subcommittee,
which is an organization under the Sustainability Committee, coordinates with members dispatched from each business and corporate division to check progress being made on KPIs.

A company that is appreciated and understood to be theworld leader in non-ferrous metals
Approach and Policy

GRI 3-3



GRI 3-3

 Promotion Structure
Sustainability Committee

Our Vision for 2030 aims to solve social issues and gaining the trust of stakeholders is essential for realizing
this vision. We are working to ensure that our diverse stakeholders correctly understand the true size of
the Group and encouraging them to share in our goal of becoming the world leader in the non-ferrous
metals industry. We have identified the groups of stakeholders who affect or are affected by the SMM
Group as customers, shareholders, employees, local communities, creditors, business partners, NGOs andNPOs, and government agencies. We have set targets for how we should engage with each of thesegroups, and we are advancing various initiatives to achieve these targets.

President
Communications Subcommittee
Chair: General Manager of Public Relations &Investor Relations Department
Members:
Personnel in charge of each department

Collaborate
and cooperate
Check progress
on KPIs

Department in charge(business division, etc.)

Business sites (plants, mines, Group companies, etc.)
Personnel responsible for general affairs
Local
Communities

Employees
Customers

NGOs / NPOs
Workstyle reform and job
satisfaction

Medium-Term Targets and Progress

Impact on region
Consideration of human rights
and the environment

Responsible procurement
CO2 emissions reductions

GRI 3-3

To achieve our Vision for 2030, we are managing progress for each KPI and have made achievement criteria and action plans for up to 2030.

SMM
FY2022 Results
ESG investment

Contribution to the realization of a sustainable society

Shareholders

Business
Partners

SMM’s Vision for Stakeholder Engagement

GRI 2-29

Be a company that accurately understands customer needs and has comprehensive competitiveness with an edge over other firms
with respect to technology, quality, delivery and costs.

Shareholders

Be an excellent entity in which to invest: one that pursues maximum corporate value through growth strategies and sound governance, disburses dividends matching its business performance, and discloses information as appropriate.

Employees

Be a company that provides a favorable work environment, clearly defines the roles of all individuals within the organization, andmakes employees proud to work for it.

Local Communities

Be a company that coexists well with its local communities, makes positive contributions to those regions’ development, and actswith respect for the traditions and culture of indigenous peoples.

Creditors

Be a company that has earning capacity, outstanding financial strength, and trustworthiness.

Business Partners

Be a company that possesses outstanding technological strength, places importance on integrity and trust, and which is capable ofconducting business on an equal footing for co-prosperity.

NGOs / NPOs

Be a company that listens to diverse opinions on social issues and undertakes appropriate communication through dialogue andother means.

Government Agencies

Be a company that implements compliance fully and makes positive contributions for the benefit of the countries and local communities where it is undertaking its projects.
Sustainability Report 2023

• Application of good practices in
in-house communication measures atother sites
Developed good practices forCommunications Subcommittee
members in January 2023
• Raising brand profile within the GroupSet the creation and use of a brandbooklet as a major measure with thegoal of “creating loyalty and affection
for the Company among employees”• Employee awareness survey
Held meetings to report the results of
the March 2022 survey to senior management members, heads of divisions
and business sites, and presidents ofGroup companies(The percentage of employees who
gave a positive response to the question of feeling pride in working at theCompany was 63.7%)• Application of good practices in
in-house communication measures atother sites
Develop good practices forCommunications Subcommittee
members in the second half of the fiscal year
• Raising brand profile within the Group
Advance the creation and use of abrand booklet with the Ome District
Division as a pioneer site
• Employee awareness survey
From FY2023, the frequency of surveys
will be increased from every three
years to every year. These surveys will
be conducted in November

Action Plan

Customers

SUMITOMO METAL MINING CO., LTD.

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	1. Further penetrate our Group brand among employees• Improve results of employee awareness survey (increase percentage of employees who feel pride in working at the Company)

Government
Agencies

Achievement Criteria

Creditors

124

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

SDG engagement• Improve employee awareness survey
KPI values from results of FY2021
survey• Improve employee awareness survey
KPI values from results of each fiscal
year’s survey• Implement in-house communication
measures at each site to gain understanding and empathy of employees
and their families• Apply good practices in in-house communication measures at other sites• Create framework for raising the brandprofile within the Group, implement
and review measures for further penetrating the brand among employees• Refine in-house communication
measures• Verify level of penetration of the brandwithin the Group (continue from 2024
3-Year Business Plan), consider strategies for application to Group companies

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125Social Social

Engagement with Stakeholders

FY2022 Results

Final Year of 2021 3-Year Business
Plan (FY2024)

FY2023 Plan

Final Year of 2027 3-Year Business
Plan (FY2030)

KPI 	2. Ensure quality and quantity in communication of information at the level of “world leader in the non-ferrous metals industry”
1) Expand opportunities for dialogues with media and investors
2) Achieve positive evaluations of our Integrated Report from outside the Company
1)• Enhance public relations events andstrengthen relationships with themedia• Enhance opportunities for ongoing
dialogue with important institutional
investors with a focus on executive
officers and senior management
members2)
Issue the Japanese version of Integrated
Report 2023, our eight such report, in
September and the English version in
November. During editing, improve
content based on the feedback received
from various stakeholders to date

Achievement Criteria
Action Plan

1)
• Conducted intensive media engagement, including interviews with top
management, alongside the release of
the 2021 3-Year Business Plan
• Responded actively to media coverage
focused on the Materials Business,
which is attracting attention due tothe introduction of EVs• Expanded interviews aimed at institutional investors. Also, restarted efforts
such as small meetings on specificbusinesses that are in high demand
from investors, as well as plant observations and overseas IR activities,
which had been suspended due to thepandemic (site visits)• Implemented new initiatives such as
the participation of outside directors inshareholder relations interviews andholding Sustainability Briefing (IR-Day)
2)
Issued Integrated Report 2022
(Japanese and English)
Received a Silver Award at the WICIJapan Integrated Reporting Awards
2022 and the Grand Prix S Award at the
NIKKEI Integrated Report Awards 2022

• Quantitatively increase information
dissemination (compared to the 2018
3-Year Business Plan)• Increase opportunities for top management to engage with shareholders
and investors (compared to the 2018
3-Year Business Plan)• Earn a high reputation for the integrated report from outside theCompany• Increase the number of interviews,
news releases, and public relations
events conducted• Take initiatives to increase spokesperson engagement levels• Improve the quality of disclosure in
investor relations and shareholder relations engagement• Improve and enhance tools forengagement with shareholders andinvestors (integrated reports, shareholder communications, etc.)

During all 3-Year Business Plans, compared to the previous plan
• Quantitatively increase information
dissemination• Expand the methods for disseminating
information• Increase opportunities for top management to engage with shareholders
and investors• Earn a high reputation for the integrated report from outside theCompany
Target for final year of the 2027 3-YearBusiness Plan
• Establish a system capable of building
relationships with international media• Increase the number of interviews,
news releases, and public relations
events conducted• Establish public relations organizations
at overseas business sites• Acquire (2024 3-Year Business Plan)and increase highly specialized humanresources in the field of public
relations• Improve the quality of disclosure in
investor relations and shareholder relations engagement• Improve and enhance tools forengagement with shareholders andinvestors (integrated reports, shareholder communications, etc.)• Expand the types of information dissemination media and public relations
events (2024 3-Year Business Plan)

Stakeholder Engagement
Stakeholders

Customers

GRI 2-29

PurposeCorrectly understand customer needs

Action Plan

SUMITOMO METAL MINING CO., LTD.

Achievement
Criteria126• Continue corporate advertising
activities• Implement our own original survey
gauging degree of recognition, in
addition to the survey implemented
by an external body, to gain a better
understanding of the Company’s position through cross-referencing• Consider and implement sponsorshipof sports events, etc.

Sustainability Report 2023

• Raise the result of the survey gauging
degree of recognition implemented by
an external body by 35% compared to
FY2021• Meet target value in the 2021 3-YearBusiness Plan regarding the result of
the survey gauging degree of recognition implemented by an external body• Promote branding activities that leadto recognition, understanding, andempathy for SMM. Run a large-scale
advertising campaign to secure
human resources• Implement external communication
measures at Head Office and individualsites to build positive relationships
with communities and government• Run ongoing advertising campaigns toconsolidate recognition, understanding, and empathy• Continue external communication
measures at individual sites over the
medium to long term
Targets to be implemented during the2024 3-Year Business Plan
• Consider additional measures forbranding activities depending on KPI
achievement status• Promote and accelerate external communication measures

Communication methods

Dissemination of information on the
Company and its business activities

Various media, website

Guidance for products, service, andbusiness activities, and in-housesharing of feedback, including opinions and requests

Business activities

Matters related to ESG, mineralsourcing, etc.

Survey responses
General meetings of shareholders
Briefings on financial results and progressof business strategy

Shareholders(Including Investors)

Enhance corporate value throughgrowth strategies and firm governanceand carry out appropriate information
disclosure

Telephone conferences aligned withfinancial results disclosures
Financial results, business reports,
ESG information, etc.

Sustainability Briefing held as part of
Sumitomo Metal Mining IR-Day 2022
Meetings with institutional investors fromJapan and overseas
Issuance of shareholder communications
Briefings for individual investors

Employees

Make workplaces where employees
are proud to work by building goodwork environments and ensuring eachindividual has a clear role within theorganization

KPI 	3. Increase in recognition and understanding of our goal of “world leader in the non-ferrous metals industry”• Improvement in findings of surveys by external bodies (degree of recognition and understanding, etc.)•A ccording to a survey gauging degreeof recognition implemented by an
external body in the first half of
FY2022, recognition of the Company
remained roughly level (effects of corporate advertising activities carried out
from October 2022 onward notreflected)• Launched a corporate advertising
campaign from October 2022 thatused a celebrity to raise recognition
with the aim of securing humanresources. This included a TV commercial and online advertisements• Sponsored the Minato City Half
Marathon, Ehime Marathon, and theOhme 30&10Km Road Race, and strove
to enhance the Company’s presencearound business sites through exhibition booths, etc.

Content

Dissemination of management information including business activities,
event information, etc.

In-house bulletins and intranet

Provision of various educational andtraining opportunities

Various training activities

Information concerning work environments, communication, harassment, usage of reporting channels,
etc.

Various surveys (employment environment surveys, employee awareness surveys, stress check surveys)

Discussion and mutual understanding concerning issues between laborand management

Labor-management council meetings,
labor-management discussions, andLabor-Management Advisory Committee
meetings
Central Labor Management Conference

Local Communities(Including Indigenous
Peoples)

Coexist with the local community,
contribute to regional development,
and behave with respect for the traditions and culture of indigenous
peoples

Business Partners(Including Suppliers)

Reduce risk related to human rights
and labor, compliance, quality assurance, and environment and local communities, etc., and practice sustainableprocurement

Exchange with and contribution to
the development of local
communities

Social contribution activities in eachregionExchanges of opinions on humanrights, including the rights of indigenous peoples

Exchanges of opinions on human rights
issues with external experts, indigenous
peoples, etc.

Explanations of the Sustainable
Procurement Policy, sustainability
matters, etc.

Videos explaining sustainability

Discussion regarding sustainability(particularly business and humanrights)Visits to business partners

NGOs / NPOs

Listen to diverse opinions regarding
social issues and maintain appropriate
communication, including dialogue

Information gathering andexchanges of opinions

Regular exchanges of opinions

Government Agencies

Practice thorough compliance andcontribute to the development of thecountries and communities in which
we do businessInformation gathering andexchanges of opinions

Regular exchanges of opinions

SUMITOMO METAL MINING CO., LTD.

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127Social Social

Engagement with Stakeholders

Implementation and Results of the Employee Awareness Survey

Main Organizations in Which SMM Has MembershipThe SMM Group has commissioned a specialized external organization to conduct employee awareness surveys in order to measure the satisfaction and engagement of its employees, who are important stakeholders, and to create a better company and workplace. These surveys have been conducted every three years since FY2010, with the fifth survey conducted in FY2021. The survey
covered 5,153 people from 10 companies,* with a total of 141 questions, and a response rate of 94.4%. Their purpose is to gain aquantitative understanding of how employee awareness has changed over the three years since the previous survey and what kindof awareness employees currently have about working at the Company, and to use this information to develop management measures to create an even better company and workplace.
The results of this survey are fed back to top management, general managers of departments and divisions at the head office,heads of business divisions and business sites, presidents of Group companies, labor unions, etc. For directly controlled businesssites, Group companies, and other sites, we disclose data by site to help improve management at each site. In FY2022, we held
approximately 30 feedback briefings on the results of the FY2021 survey. The survey results and explanatory articles are publishedin in-house magazine for employees to read.
In order to make more effective use of the employee awareness survey, the frequency of the survey will be increased from every
three years to annually starting in FY2023, and the survey content and feedback methods will be revised.

Organization

Responsibilities of SMM officers and employees

Initiatives relating to public policy

Japan Business Federation(Keidanren)

Executive member; participation in the following committees:
Overseas Development Cooperation, Canada, Environment,
Oceanic Resources, International Cooperation, China, South Asia,
Japan-Myanmar Economic, Japan-Brazil Economic, Diversity &Inclusion, Crisis Management & National Resilience, Innovation,
Mobility, Energy and Resources (Planning subcommittee), Labor
Legislation (Occupational Health and Safety subcommittee)

As a unified business organization with the goal of making
improvements to the autonomous growth of the domestic economy and to public life, we act reliably and swiftly after gathering
opinions from the business world with regards to various internaland external economic challenges.

APEC Business Advisory Council
Japan

MemberJapan Mining Industry
Association (JMIA)

Chair (2023); participation in the following committees andothers:Reserves (chair and deputy chair), Planning and Coordination(chair and deputy chair), Energy, Overseas Development,
Environmental Management (chair and deputy chair), Customs
Duties, Funds, Supply and Demand, Taxation, Exploration andDevelopment, Sulfide Ore and Sulfuric Acid, the Special
Committee for Depletion Allowance Measures (chair and deputy
chair), and Safety Promotion

International Council on Mining
and Metals (ICMM)

Participation in the Council, Principal Liaisons Committee, andother related bodies

Implement ICMM’s Mining Principles
Initiatives addressing priority issues in the fields of environment,
society, governance and transparency, and innovation

International Copper
Association, Ltd. (ICA)

Participation in the Board of Directors, Strategy Committee,
Material Stewardship Council, Asia Regional Council, and otherrelated bodies

Brings together the global copper industry to develop and defend
markets for copper and to make a positive contribution to society’s sustainable development goals.
• Develop new uses for copper• Promote demand for copper• Contribute to achieving the SDGs

Japan Copper Development
Association (JDCA)

Chairperson
One director• Develop uses for copper/copper products; develop technology• Provide correct information about copper (verdigris, bluish waterfrom copper pipes, etc.)

Nickel Institute (NI)Participate in meetings of the Board, Executive Committee,
Strategic and Planning Advisory Committee, and other relatedbodiesParticipate on committees for PP&S (public policy and sustainability), Science (scientific research), and MD (market
development)* Companies surveyed: Sumitomo Metal Mining Co., Ltd., Sumiko Logistics Co., Ltd., Hyuga Smelting Co., Ltd., Sumiko Energy Materials Co., Ltd., Ohkuchi Electronics Co., Ltd., Sumiko
Kunitomi Electronics Co., Ltd., Ohkuchi Materials Co., Ltd., Shinko Co., Ltd., Sumiko Techno-Research Co., Ltd, Sumitomo Metal Mining Siporex Co., Ltd.

 Results of employee awareness survey
Q. Are you proud of being an employee for Sumitomo Metal Mining?

Q. Do you think your company is an attractive workplace for you?

 Very much  Pretty much
 Ambivalent  Not so much  Not at all Very much so  Pretty much so Ambivalent  Not so much  Not really

Percentage of
positive responses

FY201914.03%

48.41%

26.93%

Percentage of
positive responses

FY2021

Percentage of
positive responses

48.24%

43.45%
8.47% 2.16%

4.79%
FY202163.69%

47.29%

16.40%FY201962.44%

26.55%

39.23%

Percentage of
positive responses

10.25% 2.28%

54.63%

48.01%
6.99% 2.77%

6.62%

35.16%
8.11% 2.11%

List of Main External Awards (FY2022)
Year/
month

RecipientAward received for

The Japan Society for Analytical
Chemistry Award of Merit

2022/9Sumitomo Metal Mining Co., Ltd.,
Non-Ferrous Metals Division
Sumiko Techno-Research Co., Ltd.

The award is given to individuals who have amassed long-term research results in chemical analysis
or for their meritorious service in the maintenance and manufacture of equipment, instruments, andreagents which are indispensable for analytical work. The work of two Group employees was recognized with the Award of Merit.

General Meeting of the Korean
Institute of Resources Recycling
Excellent Paper Presentation Award

2022/10

Sumitomo Metal Mining Co., Ltd.,Technology DivisionThis award for excellent paper presentations was awarded to two employees in the Technology
Division by the Korean Institute of Resources Recycling (KIRR), a South Korean academic researchorganization equivalent to the Mining and Materials Processing Institute of Japan.

2022/11

Sumitomo Metal Mining Co., Ltd.,Technology DivisionThis award was presented to an employee of the Technology Division in recognition of his contribution to the application of solvent extraction technologies in the non-ferrous metals field by the Japan
Association of Solvent Extraction (JASE), an organization comprising academic research institutes,
technology development institutes, universities, and other organizations from a wide range of fields,
including chemical engineering, analytical chemistry, nuclear power engineering, and metallurgy.

AwardsJapan Association of Solvent
Extraction Award

2022 Presidential Mineral Industry
Environmental Award (PMIEA)

Modal Shift Excellent Company
Award

128

SUMITOMO METAL MINING CO., LTD.

2022/112022/12

Coral Bay Nickel Corporation andTaganito HPAL Nickel Corporation

Sumiko Logistics Co., Ltd.

Sustainability Report 2023

In the Philippines, CBNC was awarded the 2022 Presidential Mineral Industry Environmental Award(PMIEA). This is the third consecutive year it has won this award and the eight time overall.
Furthermore, it also won awards for Safest Mineral Processing - Extraction Category Award for a second consecutive year, as well as an award for Best Mining Forest Contest alongside THPAL. The PMIEA
is the highest honor that can be awarded in the Philippine mining industry. SMM received the award
after scoring highly on a comprehensive assessment of factors including environmental and safety
management at plants, conservation of local environments, and contribution to local communities.
Modal shift refers to a shift in the modes of transportation used in logistics systems from long-distance trucks to sea or rail transportation. At the Awards Ceremony for Excellent Company Working on
Modal Shift hosted by Japan Association for Logistics and Transport, Sumiko Logistics was awarded
the Excellent Company Working on Modal Shift Award (Improvement Category) due to its excellencein proactively working to advance a modal shift. This is the second time the company has won theaward.

GRI 2-28

As a member of the Japanese Chapter of the APEC Business
Advisory Council (ABAC), an official private sector advisory entity
for the Asia-Pacific Economic Cooperation (APEC), we support theorganization’s activities.
Submission of mining industry policy requests to relevant government agencies regarding climate change countermeasures, electricity issues, taxation, resource development, smelting andrecycling, mine safety, and personnel recruitment and training
development. Sending observers to government-sponsoredinvestigative committees to present industry viewpoints.

Supporting the sustainable growth and development in the current stainless steel market and new markets for nickel, promoting
sound science, risk management, and socio-economic benefit as
the basis for public policy and regulation.

One director
Participate in Board, and Executive Committee (EXCO) meetings.

As a representative of the cobalt industry, we provide advice
addressing all issues related to cobalt, including health, safety, andenvironmental issues, in a way that encourages sustainable andresponsible production and use. We also work to obtain and shareoriginal information regarding sourcing, production, and use.

The Sulphuric Acid Associationof JapanOne director; participation in the General Affairs Committee,
Business Affairs Committee, Technical Committee and Editorial
Committee

Communicating policy and information from the Manufacturing
Industries Bureau of the Ministry of Economy, Trade and Industry
to member companies and compiling and presenting requests
from member companies. Striving to publicize and promote useof sulfuric acid as an industry organization through means such as
issuing booklets on sulfuric acid, and establishing the Standard of
the Sulphuric Acid Association of Japan (a quality standard for sulfuric acid).

Japan Electronics andInformation Technology
Industries Association (JEITA)

Participate in Electronic Components Board and Dielectric
Ceramics Committee

Battery Association of Japan(BAJ)

Associate member

Promotion of measures related to recycling, quality performance,and product safety that will be required in the future as demand
for secondary batteries increases.

Battery Association for Supply
Chain (BASC)

Regular member
One director (deputy chairperson)

Provide advice on government policy to strengthen the global
competitiveness of Japan and promote deliberation in Japan
regarding conforming to international standards for each type of
raw material in order to facilitate the development of healthy supply chains for batteries, battery parts, and materials.

Cobalt Institute (CI)

Collection of various statistics, and participation in reviews of regulations, standards, environmental measures and other issues.

As of July 2023

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Engagement with Stakeholders

Participation in and Declarations of Support for International OrganizationsGRI 2-28

Validation of Implementation and Progress of Performance Expectations (PEs)
Within our target sites* for PEs, we have prioritized the sites to undergo third-party validation as follows.

SMM participates in international organizations, issues declarations of support, complies with the organizations’ rules, and supports
their activities. As a company in the mining and metal smelting and refining industries, we undertake initiatives for the sustainable
development demanded of us.

International Council on Mining and Metals (ICMM)
ICMM is an international organization established to ensure that the mining and metals industries are made safe, fair, and sustainable. It is comprised of the world’s biggest mining and metals companies, as well as regional and commodity-focused organizations. SMM is a member company.
ICMM has Mining Principles as guidance for environmental, social, and governance initiatives in the mining and metals industries.
The Mining Principles comprise 10 Principles, a set of performance expectations that stipulate specific targets for action on theseprinciples, position statements concerning certain specific issues, and an assurance and validation procedure.
The SMM Group reflects the ICMM 10 Principles and position statements in the visions and materiality issues of our Vision for
2030.
ICMM
https://www.icmm.com/
Performance Expectations
https://www.icmm.com/en-gb/our-principles

P.131

The 10 Principles of the ICMM
Principle 1:

Apply ethical business practices and sound systems of corporate governance and transparency to support sustainable development.

Principle 6:

Pursue continual improvement in environmental performance issues, such as water stewardship, energy use andclimate change.

Principle 2:

Integrate sustainable development in corporate strategy
and decision-making processes.

Principle 7:

Contribute to the conservation of biodiversity and integrated approaches to land-use planning.

Principle 3:

Respect human rights and the interests, cultures, customs
and values of workers and communities affected by ouractivities.

Principle 8:

Facilitate and support the knowledge-base and systems
for responsible design, use, re-use, recycling and disposalof products containing metals and minerals.

Principle 4:

Implement effective risk-management strategies and systems based on sound science and which account for
stakeholder perceptions of risks.

Principle 9:

Pursue continual improvement in social performance andcontribute to the social, economic and institutional development of host countries and communities.

Principle 5:

Pursue continual improvement in physical and psychological health and safety performance with the ultimate goalof zero harm.

Principle 10:

Proactively engage key stakeholders on sustainable development challenges and opportunities in an open andtransparent manner. Effectively report and independently
verify progress and performance.

Position statements
ICMM has set forth the following position statements regarding important individual issues. The SMM Group is committed to complying
with these initiatives.
Diversity, equality and inclusion; transparency of mineral revenues; climate change; water stewardship; tailings governance framework; indigenous peoples and mining; mining partnerships for development; mercury risk management; mining and protected areas

Sites that produce or smelt and refine gold, silver, copper, and nickel, which are included in the minerals subject to international
responsible mineral sourcing, sites that are large in scale (production volume, number of employees, etc.), and sites that produce metals as finished products (excluding facilities producing intermediate products)• In FY2022, the Toyo Smelter & Refinery underwent third-party validation. P.132-137• Hishikari Mine is scheduled to undergo verification in FY2023, and Niihama Nickel Refinery in FY2024.
* Defined by ICMM as operations involved in the production or refining of minerals and metals for sale or further processing.

 Self-Assessment Results for the Entire Company (conducted in 2022)
Outcome1
Meets

Partially Meets

Does not meet

N/A

14

14

2

0

We agree with and have declared our support for the aims of the Extractive Industries Transparency Initiative (EITI).** EITI is a framework for multinational cooperation that enhances transparency in the flow of funds from the so-called extractive industries, those that are involved in oil, gas, and mineral resources, to the governments of resource-producing countries, to prevent corruption and conflict and thereby promote responsible resource development that leads togrowth and the reduction of poverty.

EITI
https://eiti.org/

EITI Principles
1 We share a belief that the prudent use of natural resource wealth should

7 We recognise the enhanced environment for domestic and foreign

be an important engine for sustainable economic growth that contributes to sustainable development and poverty reduction, but if not managed properly, can create negative economic and social impacts.

8 We believe in the principle and practice of accountability by govern-

2 We affirm that management of natural resource wealth for the benefit

direct investment that financial transparency may bring.
ment to all citizens for the stewardship of revenue streams and public
expenditure.

of a country’s citizens is in the domain of sovereign governments to be
exercised in the interest of their national development.

9 We are committed to encouraging high standards of transparency and3 We recognise that the benefits of resource extraction occur as revenue

10 We believe that a broadly consistent and workable approach to the dis-streams over many years and can be highly price dependent.
4 We recognise that a public understanding of government revenues andcompanies in the extractive industries and the need to enhance publicfinancial management and accountability.
6 We recognise that achievement of greater transparency must be set in

the context of respect for contracts and laws.

Sustainability Report 2023

30

Extractive Industries Transparency Initiative (EITI)

5 We underline the importance of transparency by governments and

SUMITOMO METAL MINING CO., LTD.

Total

1. Each of the PEs was evaluated in light of the judgment criteria indicated for each PE in ICMM’s Validation Guidance, as follows
Meets: Systems and/or practices related to the PE have been implemented (all the judgment criteria in the Validation Guidance are met) and there is sufficient evidence thereof
Partially meets: Systems and/or practices related to the PE have been partially implemented (some judgment criteria of Validation Guidance are met). Or, verifiable evidence
provided is insufficient
Does not meet: Systems and/or practices related to the PE are not in place (all Validation Guidance judgment criteria are not met) or there is no evidence thereof
N/A: Not applicable
2. Items that fell under “does not meet,” the reasons for the differences compared to “meets,” and future initiatives• PE1.5: Political contributions
Data on political contributions are not disclosed. We will consider the possibility of disclosing this information in the future• PE 7.1: Operations in World Heritage sites
There is no clear policy for the Group regarding the exploration and development of mines in World Heritage sites, so. we will consider such a policy. Currently, the Group does notconduct any mining exploration or development in the World Heritage sites

expenditure over time could help public debate and inform choice ofappropriate and realistic options for sustainable development.

1302

accountability in public life, government operations and in business.
closure of payments and revenues is required, which is simple to undertake and to use.
11 We believe that payments’ disclosure in a given country should involve

all extractive industry companies operating in that country.
12 In seeking solutions, we believe that all stakeholders have importantand relevant contributions to make—including governments and theiragencies, extractive industry companies, service companies, multilateralorganisations, financial organisations, investors, and non-governmentalorganisations.

SUMITOMO METAL MINING CO., LTD.

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131Social Social

Engagement with Stakeholders

International Council on Mining and Metals’ (ICMM) Performance Expectations (PEs)
Self-Assessment

Items

3.1

3.2

Avoid the involuntary physical or economic displacement of families and communities. Where this is not possible apply
the mitigation hierarchy and implement
actions or remedies that address residual
adverse effects to restore or improve livelihoods and standards of living of displaced people.

 FY2022 Self-Assessment Result (Toyo Smelter & Refinery)

1.1

Assessment Summary

Implementation Evidence and Gaps

Partially Meets

Our group has the “Sumitomo Metal Mining Group Policy on
Human Rights” as a policy commitment to avoid causing orcontributing to adverse human rights impacts from operational activities or from activities directly linked to the operations, products or services by business relationships. While weare delivering human rights training to all employees, including those in the group, we were not able to provide evidence
for mechanisms to communicate negative human rights
impacts in an appropriate manner to potentially impacted
neighboring inhabitants, nor for company-wide due diligencefor human rights.

Partially Meets

As the development plan for the Toyo Smelter & Refinery
started before 2001 (before the start of the ICMM), assessment
related to the involuntary resettlement plan for the Toyo
Smelter & Refinery is not applicable. A development planrequiring involuntary resettlement has not been implemented
for the Toyo Smelter & Refinery from 2001 and after.
At present, we have not drafted a policy statement covering
the avoidance of involuntary resettlement to the extent
possible.

Partially Meets

We are delivering human rights training to security personnel.
Incidents between security personnel and neighboring inhabitants are recorded in a security record.
We were not able to present evidence that we were implementing an approach to security and human rights (including
a human rights risk assessment) that was in line with theVoluntary Principles on Security and Human Rights, nor were
we able to present evidence of consultations related to security and human rights that had taken place with stakeholders(neighboring inhabitants) who were potentially affected.

Meets

Our recruitment process employs those who have graduatedhigh school, so we do not employ child labour or assign hazardous/dangerous work to those under 18.
Our group has labour contracts that are based on the consent
of the labourers as evidence that forced labour and humantrafficking are not occuring.
Our group has the internal “Human Rights Regulations” as amechanisms to identify, assess, and eliminate potential
employment and human rights risks related to harassment
and discrimination.
Our group has a collective labour agreement as a mechanism
to respect the right to freedom of association and collective
bargaining.
Our group has a “Grievance Redressal Council” as a mechanism
to enable workers’ grievances to be brought forward andaddressed.

Apply ethical business practices and sound systems of corporate governance and transparency to support sustainable development.

Establish systems to maintain compliancewith applicable law

Meets

A mechanism we have to identify relevant legal requirements
is a monthly newsletter sent to all employees that contains
information on laws and regulations that were revised in theprevious month. This newsletter is a product of Sumitomo
Metal Mining Co., Ltd.’s legal department. Our group has “The
Basic Compliance Regulations” as a mechanism to track, assess,
implement and communicate changes to relevant legal
requirements. When a compliance violation has been
detected at the Toyo Smelter & Refinery, countermeasures toprevent reoccurrence shall be evaluated by the legal division
with jurisdiction and the details shall be reported to
Sumitomo Metal Mining Co., Ltd.’s board of directors.
Our group has “The Basic Policies for Anti-Bribery” as a policy
related to the prevention of bribery and corruption. Whilefacilitation payments are stipulated as being handled in thesame manner as the provisioning of standard benefits, wehave not disclosed specific details.
Additionally, while training is delivered to employees on policies and prohibited practices, we were not able to provide evidence that training was being implemented for contractors.

1.2

Implement policies and practices to prevent bribery and corruption, and to publicly disclose facilitation payments.

1.3

Implement policies and standards consistent with the ICMM policy framework.*

—

—

1.4

Assign accountability for sustainability
performance at the Board and/or
Executive Committee level.*

—

—

1.5

Disclose the value and beneficiaries offinancial and in-kind political contributions whether directly or through anintermediary.*

—

—

2

Integrate sustainable development in company strategy and decision-making processes.

2.1

Integrate sustainable development principles into corporate strategy and decision-making processes relating toinvestments in the design, operation andclosure of facilities.*

2.2

132

Performance Expectation

Support the adoption of responsible
health and safety, environmental, humanrights and labour policies and practices
by joint venture partners, suppliers andcontractors, based on risk.

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

Partially Meets—

Partially Meets

3.3

Implement, based on risk, a human rights
and security approach consistent with
the Voluntary Principles on Security and
Human Rights.

3.4

Respect the rights of workers by: notemploying child or forced labour; avoiding human trafficking; not assigning hazardous/dangerous work to those under18; eliminating harassment and discrimination; respecting freedom of associationand collective bargaining; and providing
a mechanism to address workers
grievances.

3.5

Remunerate employees with wages that
equal or exceed legal requirements or
represent a competitive wage within thatjob market (whichever is higher) andassign regular and overtime working
hours within legally required limits.

Meets

Our group has labour contracts as contracts related to
employee compensation.
We monitor working hours and check against statutory working hours.
Our group has internal regulations for personnel evaluations
and achievement level evaluations as evidence related tomechanisms to demonstrate implementation of fair
remuneration.

3.6

Respect the rights, interests, aspirations,culture and natural resource-based livelihoods of Indigenous Peoples in project
design, development and operation;
apply the mitigation hierarchy to address
adverse impacts; and deliver sustainable
benefits for Indigenous Peoples.

Not Applicable

We determined that this was “Not applicable,” as the area used
for the construction of the Toyo Smelter & Refinery had noindigenous people.

—

Our group has the “SMM Group’s Sustainable Procurement
Policy” as a policy in place to define company expectations in
the value chain with respect to health and safety, environmental, human rights and labour practices.
We ask that all of our primary suppliers and contractors consent to the “SMM Group’s Sustainable Procurement Policy” as ameans to promote health and safety, environmental, humanrights and labour performance.
We were not able to submit evidence that we had mechanisms in place, based on risk, to support the health and safety,
environmental, human rights and labour performance ofpartners.

Implementation Evidence and Gaps

Support the UN Guiding Principles on
Business and Human Rights by developing a policy commitment to respecthuman rights, undertaking human rights
due diligence and providing for or cooperating in processes to enable the remediation of adverse human rights impacts
that members have caused or contributed to.

We implemented a PEs self-assessment for the Toyo Smelter & Refinery in FY2022 as shown below and underwent third-party validation in FY2022.

1

Assessment Summary

Respect human rights and the interests, cultures, customs and values of employees and communities affected by our activities.

FY2022 Asset Level Report (Toyo Smelter & Refinery)

Items

Performance Expectation

3

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Engagement with Stakeholders

Items

Performance Expectation

3.7

Work to obtain the free, prior andinformed consent of Indigenous Peoples
where significant adverse impacts arelikely to occur, as a result of relocation,
disturbance of lands and territories or of
critical cultural heritage, and capture theoutcomes of engagement and consent
processes in agreements.

3.8

4

4.1

4.2

4.3

134

Assessment Summary

Implement policies and practices torespect the rights and interests of womenand support diversity in the workplace.

Implementation Evidence and Gaps

Not Applicable

We determined that this was “Not applicable,” as the area used
for the construction of the Toyo Smelter & Refinery had noindigenous people.

Meets

Our group has salary regulations as evidence that our standards governing employment and compensation are basedon objective criteria and are not discriminatory based on gender or other social or economic criteria.
For employment and compensation for the company, including the Toyo Smelter & Refinery, data on the ratio of female
managers, the ratio of female employees, the ratio of maleand female employees taking childcare leave, and the employment and turnover rate for male and female employees is disclosed in our Integrated Report.

Items

Assess environmental and social risks andopportunities of new projects and of significant changes to existing operations in
consultation with interested and affectedstakeholders, and publicly disclose
assessment results.

Undertake risk-based due diligence on
conflict and human rights that aligns
with the OECD Due Diligence Guidanceon Conflict Affected and High Risk Areas,
when operating in, or sourcing from, aconflict-affected or high-risk area.

Implement risk-based controls to avoid/
prevent, minimise, mitigate and/or remedy health, safety and environmental
impacts to workers, local communities,
cultural heritage and the natural environment, based upon a recognised international standard or management system.

Meets

Meets

The Toyo Smelter & Refinery is enacting due diligence toensure that the sourcing of copper is in line with the responsible sourcing requirements of the London Metal Exchange andthat the sourcing of gold and silver is in line with the guidances of the London Bullion Market Association.

Meets

The Toyo Smelter & Refinery conducts management of occupational health and safety based on ISO45001 and implements an environmental management system based on
ISO14001.
Our group has “Risk Management System Regulations” and“Environmental Management Regulations” as evidence that
we implement risk-based controls to avoid/prevent, minimise,
mitigate and/or remedy health, safety and environmental
impacts to workers, local communities, cultural heritage andthe natural environment, and minimise or compensate foradverse impacts .

4.4

Develop, maintain and test emergency
response plans. Where risks to external
stakeholders are significant, this should
be in collaboration with potentiallyaffected stakeholders and consistent withestablished industry good practice.

5

Pursue continual improvement in health and safety performance with the ultimate goal of zero harm.

5.1

Implement practices aimed at continually
improving workplace health and safety,
and monitor performance for the elimination of workplace fatalities, serious
injuries and prevention of occupational
diseases, based upon a recognised international standard or management
system.

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

Meets

Meets

Our group has internal regulations such as the “RiskManagement Regulations,” “Business Continuity Plan” and“Emergency Response Procedure” as evidence of emergency
response plans that include the identification of foreseeable
hazards and risks that could lead to emergency situations.

The Toyo Smelter & Refinery conducts management of occupational health and safety based on ISO45001.
Our group has internal regulations such as the “Regulations for
Security, Safety and Occupational Health Management” as amechanism to identify, assess, eliminate (if possible), or control
the health and safety hazards and occupational diseases at theasset.

Assessment Summary

Implementation Evidence and GapsMeets

Our group has internal regulations such as the “Regulations for
Security, Safety and Occupational Health Management” as amechanism in place for identifying and implementing healthand safety training for employees that is aligned with their job
responsibilities.
Our group’s internal regulations such as the “Regulations for
Safety and Sanitation” identify the activities, materials and processes to which employees are exposed, and the procedures
to follow when exposure levels are exceeded.

5.2

Provide workers with training in accordance with their responsibilities forhealth and safety, and implement healthsurveillance and risk-based monitoring
programmes based on occupational
exposures.

6

Pursue continual improvement in environmental performance issues, such as water stewardship, energy use and climate change.

6.1

Plan and design for closure in consultation with relevant authorities and stakeholders, implement measures to address
closure-related environmental and social
aspects, and make financial provision to
enable agreed closure and post-closurecommitments to be realized.

Not Applicable

We determined that this was “Not applicable,” as the asset does
not have mines or tailing dams.

6.2

Implement water stewardship practices
that provide for strong and transparent
water governance, effective and efficientmanagement of water at operations, andcollaboration with stakeholders at acatchment level to achieve responsible
and sustainable water use.

Meets

We are monitoring water intake amounts, effluent amounts
and contaminants at the Toyo Smelter & Refinery.
We report to the authorities on the compliance with applicable requirements based on the Water Pollution Control Law,
which serves as evidence of stakeholder engagement onwater management at the catchment level.

6.3

Design, construct, operate, monitor anddecommission tailings disposal/storage
facilities using comprehensive, risk-based
management and governance practices
in line with internationally recognised
good practice, to minimise the risk of catastrophic failure.

Not Applicable

We determined that this was “Not applicable,” as the asset does
not have tailing facilities.

Meets

We implement an environmental management system at the
Toyo Smelter & Refinery based on ISO14001.
Our group has internal regulations such as the “Environmental
Management Regulations” and “Waste Management
Regulations” as mechanisms to identify, assess, and control
sources of potential pollution and their impacts on humanhealth and the environment.
As substantive mechanisms in line with mitigation hierarchy,
we control waste by recycling water used in processes and byinvesting resources that are not useable in one process inanother.

Meets

The Toyo Smelter & Refinery reports energy usage to
Sumitomo Metal Mining Co., Ltd. based on internal “Energy
Management Regulations.” Sumitomo Metal Mining Co., Ltd.
calculates the group’s CO2 emissions using emission factorsthat are based on the “Act on Promotion of Global WarmingCountermeasures” and discloses them in its Integrated Report.

Implement effective risk-management strategies and systems based on sound science and which account for stakeholder perceptions of risks.
As the development plan for the Toyo Smelter & Refinery
started before 2001 (before the start of the ICMM), assessment
related to the Environmental Impact Assessment (EIA) for the
Toyo Smelter & Refinery is not applicable.
From 2001 onwards, the “Toyo Smelter & Refinery Sulfuric Acid
Equipment Reinforcement Plan” was a development planrequiring an EIA by Japanese law. Evidence that the EIA was
submitted to Ehime Prefecture and that procedures were finished is available on the Ehime Prefecture website. (https://www.pref.ehime.jp/kankyou/k-hp/theme/assessment/jokyo/
sumikin.html)

Performance Expectation

6.4

Apply the mitigation hierarchy to prevent
pollution, manage releases andwaste,and address potential impacts onhuman health and the environment.

6.5

Implement measures to improve energy
efficiency and contribute to a low-carbon
future, and report the outcomes basedon internationally recognised protocols
for measuring CO2 equivalent (GHG)
emissions.

7

Contribute to the conservation of biodiversity and integrated approaches to land-use planning.

7.1

Neither explore nor develop new minesin World Heritage sites, respect legallydesignated protected areas, and designand operate any new operations orchanges to existing operations to becompatible with the value for which suchareas were designated.

7.2

Assess and address risks and impacts tobiodiversity and ecosystem services byimplementing the mitigation hierarchy,
with the ambition of achieving no-netloss to biodiversity.

Not Applicable

We determined that this was “Not applicable,” as there are nolisted World Heritage sites in the area surrounding the asset.

Meets

We implement an environmental management system at the
Toyo Smelter & Refinery based on ISO14001.
Our group has an “Environmental Management Program” thataims to minimize the effect on water and the atmospherebased on the Act on Special Measures Concerning
Conservation of the Environment of the Seto Inland Sea as aprogramme in place to identify and assess potential adverse
impacts to biodiversity and ecosystem services.

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Social Social

Engagement with Stakeholders

Items

136

Performance Expectation

Assessment Summary

Implementation Evidence and Gaps

8

Facilitate and support the knowledge-base and systems for responsible design, use, re-use, recycling and disposal of products containing metals
and minerals.

8.1

In project design, operation and de-commissioning, implement cost-effective
measures for the recovery, re-use or recycling of energy, natural resources, andmaterials.

Partially Meets

Our group has evidence that sustainable development principles have been integrated into the project design. On theother hand, we were not able to present evidence related tomechanisms to identify and analyse practices to recover, recycle and re-use materials such as natural resources throughout
the life of the asset.

Meets

Internal regulations such as the “SMM Group Chemical
Management Guidelines” exist as evidence that practices arein place to identify, assess and classify the hazards of products
according to the UN Globally Harmonised System of Hazard
Classification and Labelling or equivalent relevant regulatory
mechanism.
We are communicating the hazards of products to stakeholders through safety data sheets for hazardous substances andclearly label containers and packaging with information
regarding hazardous substances.

8.2

Assess the hazards of the products ofmining according to UN Globally
Harmonised System of Hazard
Classification and Labelling or equivalent
relevant regulatory systems and communicate through safety data sheets andlabelling as appropriate.

9

Pursue continual improvement in social performance and contribute to the social, economic and institutional development of host countries andcommunities.

9.1

Implement inclusive approaches withlocal communities to identify their development priorities and support activities
that contribute to their lasting social andeconomic wellbeing, in partnership withgovernment, civil society and development agencies, as appropriate.

9.2

Enable access by local enterprises to procurement and contracting opportunities
across the project life cycle, both directly
and by encouraging larger contractors
and suppliers, and also by supporting initiatives to enhance economic opportunities for local communities.

Meets

Our group has CSR societal contribution activities (tree planting business, business for the promotion and development ofsports, culture and the arts, etc.) as evidence of the implementation of participatory engagement practices to identify, assess
and implement community development activities that
address priorities with the intent that communities can thrive,
including post-closure.

Meets

The Toyo Smelter & Refinery maintains communication minutes with subcontractors (local enterprises implementing
on-premises logistics and maintenance) as evidence of consultation with local communities, to define, identify, communicate and promote procurement opportunities for local
enterprises or contractors.

9.3

Conduct stakeholder engagement based
upon an analysis of the local context andprovide local stakeholders with access toeffective mechanisms for seeking resolution of grievances related to the company and its activities.

Partially Meets

While we have mechanisms in place for the redressal of grievances from stakeholders, for the implementation of investigations and for grievance processing based on internalreporting, we were not able to present evidence related to“stakeholder mapping based on, for example, type of stakeholder, level of influence, and capacity to engage,” “stakeholder
engagement informed by social, economic and environmental
assessments/baseline studies” and “grievance mechanism fit
for purpose and aligned with the UN Guiding Principles on
Business and Human Rights.”

9.4

Collaborate with government, whereappropriate, to support improvements inenvironmental and social practices of
local Artisanal and Small-scale Mining(ASM).

Not Applicable

We confirmed that this was “Not applicable,”as artisanal andsmall-scale mining does not exist in the local area.

10

Proactively engage key stakeholders on sustainable development challenges and opportunities in an open and transparent manner. Effectively
report and independently verify progress and performance.

10.1

Identify and engage with key corporate-level external stakeholders on sustainable development issues in an open
and transparent manner.*

—

10.2

Publicly support the implementation of
the Extractive Industries Transparency
Initiative (EITI) and compile informationon all material payments, at the appropriate levels of government, by country andby project.

Not Applicable

10.3

Report annually on economic, social andenvironmental performance at the corporate level using the GRI Sustainability
Reporting Standards.*—

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

Items

Performance Expectation

Assessment Summary

10.4

Each year, conduct independent assurance of sustainability performance following the ICMM guidance on assuring
and verifying membership
requirements.*—

Implementation Evidence and Gaps—

Items for which we were not able to disclose evidence will become issues for discussion moving forward* The asset level report is not applicable, as it is a corporate level item

ICMM Mining Principles: Performance Expectations
https://www.icmm.com/en-gb/our-principles/mining-principles/mining-principles
Independent Assurance Report for the FY2022 Asset Level Report (Toyo Smelter & Refinery)
https://www.smm.co.jp/en/sustainability/icmm/pdf/asset_toyo_report_en.pdf—

We determined that this was “Not applicable,” as the asset is
not developing resources in a country in which EITI is
implemented.

—

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Social Social

Research & Development

Intellectual Property

Approach and Policy

Approach and Policy

The SMM Group has four research and development sites and we are engaged in raising our competitiveness by evolving existing technologies while also advancing research and development into next-generation metal smelting and refining technologies and pioneering new materials for carbon neutrality. To
achieve the Vision for 2030, the 2021 3-Year Business Plan* set out (1) promotion of development of newtechnologies and processes to achieve carbon neutrality; (2) business innovation in manufacturing and
R&D divisions through DX (Digital Transformation); and (3) activation of individuals and utilization ofhuman resources, and we are pursuing research and development in these areas.

The SMM Group Code of Conduct includes a basic policy on intellectual property (IP) and its protectionand effective use. Also, its 2021 3-Year Business Plan states that the Intellectual Property Department willclosely cooperate with the business and R&D divisions and promote the utilization of intellectual property
in line with business development.

*

SMM Group Code of Conduct: Handling of Intellectual Property• We will nurture and maintain conscious recognition of the importance of intellectual property as a vital asset of
the Group, and strive toward the creation of such property.
• We will strive to properly protect and effectively use all corporate intellectual properties; we will also respect
intellectual properties of other parties.

2021 3-Year Business Plan
https://www.smm.co.jp/en/ir/management/plan/pdf/220215_setsumeikai_e.pdf

FY2022 Results

Strategy

The Group’s business consists of processes that produce significant direct and indirect emissions of greenhouse gases (GHGs), suchas CO2. As such, in FY2022, we worked to reduce use of neutralizers in existing smelting and refining processes, fix CO2, and develop
next-generation processes for smelting and refining without using fossil fuels with the aim of reducing direct CO2 emissions, andwe obtained the results for proceeding to scale-up testing.
In the area of creating new businesses to support the value chain of the 3-business collaboration in Mineral Resources, Smelting
and Refining, and Materials, our work on the development and demonstration of the storage battery recycling process and thedevelopment and demonstration of high-performance cathode materials for next-generation storage batteries has been adopted
as a part of the Next-generation Storage Battery and Motor Development project under the Green Innovation Fund* of the New
Energy and Industrial Technology Development Organization (NEDO), and we accelerated development toward commercialization.
*

Green Innovation Fund
https://www.nedo.go.jp/news/press/AA5_101535.html

Strategy
In the materials field, we will continue to develop high func Research and Development Expenses
tionality and new products for battery materials, powder mate(¥ billions)10
rials, and crystal materials. In the field of battery cathodematerials, regarded as a growth market, alongside develop8
ment to improve performance, we will develop next-generation battery materials, including solid-state batteries, and new
6
processes that will help to improve productivity.
Under the Vision Co-Creation Partnership with Tohoku
4
University aimed at creating innovative materials in thelead-up to 2050, we established the Tohoku University GX
2Materials Science Co-Creation Research Center on October 1,
2022 in partnership with the Tohoku University Advanced0Institute for Materials Research to accelerate exploration of(FY) 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
R&D themes. Through the exploration of R&D themes at the
research center, we will develop young engineers. We will also focus on the development of photocatalyst materials for use in artificial
photosynthesis for CO2 recycling and hydrogen production and materials related to energy-saving and energy harvesting with theaim of realizing carbon neutrality.
In formulating the Vision for 2030, we discussed how we will create materials without damaging the global environment in the worldof 2050 or 2100 and what the non-ferrous metals industry should be like in order to achieve this goal. In terms of the medium-term outlook, we will be closely watching how the world changes and transforms by 2030, and we will work to respond rapidly in step with thischange and transformation and make effective use of non-ferrous metal resources. In terms of concrete initiatives in the smelting andrefining field, we are pursuing research and development related to next-generation nickel smelting and refining processes and lithiumrefining processes to significantly reduce GHG emissions. We are also exploring R&D themes that solve the social needs presented in the
Vision for 2030 while continuing to develop improvements in resource exploration, mining, and mineral processing technologies.

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We are working on four major areas: improving intellectual property capabilities, establishing a patent portfolio, promoting the useof patent searches and patent information analysis, and developing an infrastructure for intellectual property activities. In particular,
we ensure that the intellectual property strategies we have formulated are implemented in conjunction with the business strategies of our priority businesses and projects. We are using education and training to promote the development of human resources
and IP awareness to execute the strategies, and we are establishing an IP rights management system that includes protection of
inventors’ rights and handling of other parties’ IP rights. In terms of brand protection, we promote the use of trademarks and takeappropriate measures against counterfeit products (patent infringement).

Promotion Structure
The Company’s intellectual property activities are undertaken by the Intellectual Property Department of the Technology Division,
each business division, and each department, such as research laboratories, and are under the supervision of the General Managerof the Technology Division (executive officer). Each division has one person responsible for patents, for a total of 10 people, andpromotes intellectual property activities. Twice a year, the Intellectual Property Department and the people responsible for patentshold meetings to discuss strategies and management systems related to patents, and other matters, and to monitor these activities.
Under the supervision of the person responsible for patents, each division is in charge of intellectual property-related work, suchas the development of patent strategies for each product or research theme, patent searches, and evaluation responses. The
Intellectual Property Department is in charge of formulating Group-wide strategies, establishing and maintaining a patent management system, human resource development, etc., and promotes intellectual property activities in cooperation with each division by
providing support in establishing patent strategies, conducting patent searches, establishing a patent portfolio, and effectively
using Group patent rights, etc.
 Promotion Structure
President

Technology Division

Engineering Division

Business Divisions
Mineral Resources Division

Niihama Research Laboratories
Intellectual Property Department

Support

Non-Ferrous Metals Division

Battery Research Laboratories

Battery Materials Division

Materials Laboratories

Advanced Materials Division

Ichikawa Research Center
Computer Aided Engineering andDevelopment Department
Analytical Technology Department: indicates 1 person responsible for patents

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Social Social

Intellectual Property

Education about Intellectual Property
With the aim of preventing copyright law violations in daily operations, in FY2022 we provided all employees with education on
intellectual property law and Copyright Act through e-learning. As part of the training program, new technical employees are educated on basic intellectual property matters, the patent system, and our management system. For employees in their second andlater years of employment, we provide more specific knowledge on patents, drafting of specifications, technical contracts, etc. For
employees in management positions, we conduct case studies (group discussions) on technical contracts, lectures by outside
experts, etc., depending on the level of the employee.

Rewards for Invention
We have established Regulations for the Management of Patents, etc. in accordance with the Patent Act, and provide monetary
rewards for employee inventions made in the course of their duties, both when applying for a patent and when contributing to thebusiness. The Company does not set a limit on the amount of rewards to be paid for inventions that contribute to the business,they are based on performance thereby motivating employees to create valuable inventions.

Number of Patents
We are establishing and expanding our patent portfolio by promoting patent applications for inventions created from our businessactivities and research and development. In recent years, we have particularly increased the number of patents related to ourMaterials Business (battery materials business and advanced materials business). In addition, the number of patent applications we
filed in 2021 was 382, the largest number among the member companies of the Japan Mining Industry Association.
 Number of Patents held by the Group Percentage of Patents by Region (FY2022)

6,000

 Japan59.0%
 Asia19.7%
 North America
9.7%
 Europe
8.3%
 Oceania
2.5% Central & South America, Middle
East, Africa
0.8%

5,000
4,000
3,000
2,000
1,000
0
(FY) 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

 Mineral Resources Smelting & Refining Materials

 Corporate

External Recognition
At the National Commendation for Invention 2018 (sponsored by the Japan Institute of Invention and Innovation), which aims toencourage and foster inventions and contribute to the improvement of science and technology in Japan and the promotion ofindustry, we were awarded the Keidanren Chairman’s Award in recognition of our invention of the “Hydrometallurgical process ofnickel oxide ore*”, and our achievement in commercializing this process to recover nickel and cobalt from low grade nickel oxideore by HPAL technology.
* Patent number 4525428

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Social Social

Social Data

Employees’ Occupational Health and Safety

Work-Related Ill Health

GRI 403-10
Scope*

Work-Related Incidents

GRI 403-9
Scope1

Work-related
fatalities

Number of
injuries

Business sites inJapanOverseas business
sites

Frequency
rate2

Business sites inJapanOverseas businesssites

Work-related
injuries resulting
in disability

Number of
injuries

Business sites inJapanOverseas business
sites

Frequency
rate2

Business sites inJapanOverseas businesssites

Number ofrecordable workrelated injuries

Number of
injuries3

Business sites inJapanOverseas business
sites

Frequency
rate2

Business sites inJapanOverseas businesssites

Cumulative hours
workedBusiness sites inJapanOverseas businesssites

Number of potential incidents6

Business sites inJapanOverseas business
sites

Unit

Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers
Employees
Non-employee workers

cases

—

cases

—

cases

—

hours

cases

2018

2019

2020

2021

0
0
0
0
0.00
0.00
0.00
—
0
0
0
0
0.00
0.00
0.00
—
23
9
5
6
1.71
3.29
1.61
—
13,417,350
2,734,000
3,098,667
—
25
8
7
5

1
0
0
0
0.08
0.00
0.00
0.00
0
0
0
0
0.00
0.00
0.00
0.00
14
11
1
6
1.05
4.05
0.35
0.67
13,321,652
2,714,000
2,826,000
8,922,000
26
14
1
2

0
0
0
0
0.00
0.00
0.00
0.00
0
0
0
0
0.00
0.00
0.00
0.00
15
8
0
3
1.13
4.07
0.00
0.28
13,288,058
1,966,000
2,856,000
10,620,000
20
7
0
1

1
1
0
0
0.07
0.50
0.00
0.00
0
0
0
0
0.00
0.00
0.00
0.00
20
8
1
7
1.48
3.99
0.35
0.58
13,528,961
2,004,000
2,870,000
11,980,000
26
7
0
2

2022
0
0
0
0
0.00
0.00
0.00
0.00
0
1
0
0
0.00
0.50
0.00
0.00
24
5
1
3
1.63
2.48
0.31
0.25
14,722,399
2,018,000 4, 5
3,240,000 4
12,158,000 4, 5
40
14
2
6

1. “Employees” includes employees and part-time workers from Group companies
2. Frequency rate calculated per 1,000,000 hours
3. “Recordable work-related injuries” is the total of injuries that required hospital treatment and resulted in absence from work and injuries not resulting in absence from work
4. Estimated based on one person working 2,000 hours per year
5. Total working hours of workers other than employees (those working at regular contractors) based on survey numbers from May of each year. Calculated based on note 4 above
6. The number of minor incidents (visited the hospital but no treatment needed)

Number of cases ofrecordable work-related illhealth

2018

2019

2020

2021

2022

Employees

0

0

0

0

0

Non-employee workers

—

0

0

0

0

Overseas businesssites

Employees

0

0

0

0

0

Non-employee workers

0

0

0

0

0

Business sites inJapan

Employees

0

0

0

0

0

Non-employee workers

—

—

—

0

0

Overseas businesssites

Employees

0

0

0

0

0

Non-employee workers

0

0

0

0

0

Business sites in
Japan

cases

* “Employees” includes employees and part-time workers from Group companies

Work-Related Ill Health (FY2022 results)
Main types of work-related ill health and method ofdetermination

Business sites in Japan

Overseas business sites

As stated in the Japanese occupational health and safety
laws and regulations• Pneumoconiosis• Ionizing radiation injury• Organic solvent poisoning• Damage caused by specified chemical substances (occupational cancer, skin damage, etc.)• Lead poisoning• Vibration-induced damage• Noise-induced hearing loss
• Occupational dental problems (dental erosion, etc.)

As set forth in the Occupational Safety and Health Standards of
the Philippines• Occupational cancer • Hearing loss • Dermatitis• Ionizing radiation injury• Poisoning and sequelae due to chemical substances• Pneumoconiosis • Pneumonia• Vibration-induced damage • Malaria• Asbestos-related diseases, etc.
As set forth in the Law of the People’s Republic of China on thePrevention and Control of Occupational Diseases• Pneumoconiosis and other respiratory diseases • Dermatitis• Hearing loss • Vibration-induced damage • Dental erosion• Chemical poisoning • Radiation injury• Occupational cancer, etc.
As set forth in the Occupational Safety and Health Act (Taiwan)
Labor Insurance Act• Pneumoconiosis • Ionizing radiation injury • Hearing loss
• Vibration-induced damage • Dental erosion • Dermatitis• Poisoning and sequelae due to chemical substances (organic
solvent poisoning, etc.)
As set forth in Vietnamese law• Pneumoconiosis • Lead poisoning• Organic solvent poisoning • Noise-induced hearing loss
• Vibration-induced damage • Skin damage• Occupational cancer

Sources of work-related hazards that lead to work-related
ill health• Dust • Ionizing radiation • Organic solvents• Specified chemical substances • Lead
• Vibrating tools • Noise• Substances that erode the teeth (acids)

Incidents resulting from sources of work-related hazards
leading to work-related ill health and actions taken or
underway to eliminate these hazards using the hierarchy ofcontrols*• No work-related ill health occurred that required treatment• Implementing improvements to working environments atbusiness sites, with Control Class 3 workplaces as a priority,
including Control Class 2 workplaces• Using a risk assessment database of chemical substances toprevent illness—
No work-related ill health occurred that required treatment* Hierarchy of controls: An approach for lowering risk to acceptable levels through prioritization as follows: Elimination of source of risk  Substitution of source of risk  Engineering
controls  Administrative controls  Personal protective equipment
Source: The US National Institute for Occupational Safety and Health (NIOSH)

Work-Related Incidents (2022 results)
Business sites in Japan

Overseas business sites

Main types of work-related incidents

Caught in/between, cut, contact to high or low-temperature, reaction to
motion/improper motion, fall from height, falling to same level, crashed byinjuries

Reaction to motion/improper motion, caught in/between,crashed by, falling to same level

Sources of work-related hazards that could lead todisability, and method of determination

Sources have been classified based on analysis into damage caused by incidents in the past:
1) Heavy loads, 2) chemicals, 3) high-temperatures objects 4) rotating objects,5) electricity, 6) high places, 7) heavy machinery, 8) cylinders, 9) hand tools

Applied based on the results of analysis of incidents in Japan:
1) Heavy loads, 2) chemicals, 3) high-temperatures objects,4) rotating objects, 5) electricity, 6) high places, 7) heavymachinery, 8) cylinders, 9) hand tools

Incidents leading to disabilities and resulting fromsources of work-related hazards, and actions taken
or underway to eliminate these hazards using thehierarchy of controls*

Employees• Heavy loads (resulting in absence from work): Creation of aplatform, installation of a safety fence, and layout change• Heavy loads (not resulting in absence from work): Change
sensors, interlocks, and sequences• High places (resulting in absence from work): measures toprohibit entry to temporary scaffolds, relocation of equipment

N/A

Contractors• High places (resulting in absence from work): Installation of
special stepladder with handrail• Rotating objects (resulting in absence from work): Change
sensors and interlocks

Incidents resulting from other sources of workplace
hazards and actions taken or underway to eliminate
these hazards using the hierarchy of controls*

Number of fatalities as a resultof work-related ill health

Unit

N/A

N/A

* Hierarchy of controls: An approach for lowering risk to acceptable levels through prioritization as follows: Elimination of source of risk  Substitution of source of risk  Engineering
controls  Administrative controls  Personal protective equipment
Source: The US National Institute for Occupational Safety and Health (NIOSH)

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143Social Social

Social Data

Occupational Health and Safety Management SystemGRI 403-1/403-8

SMM Group

Identification of Hazard Sources, Risk Assessment, and Accident Investigation (2022)
SMM Group

Scope1
Workers covered by an Occupational Healthand Safety Management System
Workers covered by an Occupational Healthand Safety Management System subject tointernal audits3
Workers covered by an Occupational Healthand Safety Management System subject tothird party audits and certification
Percentage of business sites with third party
certification5

2018

2019

2020

2021

Business sites in Japan

6,763 (100)6,885 (100)6,849 (100)7,008 (100)6,760 (100) 2, 4

Overseas business sites

1,355 (100)

1,357 (100)

1,431 (100)1,452 (100)

1,644 (100) 2, 4

6,763 (100)6,885 (100)6,849 (100)7,008 (100)6,760 (100)

1,355 (100)

1,357 (100)

1,431 (100)1,452 (100)

1,644 (100)Business sites in Japan

1,620 (24)

1,631 (24)1,837 (27)1,964 (28)2,348 (35)Overseas business sites

45 (3)

89 (6)

90 (6)

99 (7)

98 (6)

16.3

16.3

18.6

20.9

23.1

60.0

60.0

60.0

60.0

50.0

Business sites in Japan
Overseas business sites

Business sites in Japan
Overseas business sites

Unitpeople (%)

%

2022

Business sites in Japan

Overseas business sites

Ongoing improvements to risk
assessment process quality assurance andmanagement systems

Risk assessment has been introduced and we continuously make improvements in regard to risk at businesssites. The effectiveness of whether they contribute to preventing serious accidents is reviewed as appropriate
under the leadership of the Safety & Environment Control
Department.

Risk assessment is being introduced and we continuously
make improvements in regard to risk at business sites. The
effectiveness of these is reviewed as appropriate.

Processes for employees to report hazards
and employee protection methods

We receive reports of hazards from employees throughminor incident reports, morning meetings, informal discussions, etc., and take necessary measures.

We receive reports of hazards from employees throughminor incident report forms, oral reports, etc. and takenecessary measures.

Methods for protecting employees
carrying out work that might lead toillness or injury

In addition to risk assessment, we promote risk avoidance
through methods including various patrols and workobservation. We work to reduce risks through hazard prediction training and mutual attention.

In addition to risk assessment and hazard prediction activities, we reduce risk through methods including
inspections.

Accident investigation andcountermeasures and system
improvement processes

When accidents occur, we consider and deal with eachcase through the accident reporting database which stipulates a process that includes, investigating the characteristics of the hazard source and any background factors,
and formulating countermeasures. Measures tackling thehazard source are handled according to the hierarchy ofcontrols (in the same way as risk assessment, etc.), whichprioritizes measures targeting equipment.

Investigations and countermeasures are implemented inaccordance with systems at each business site includingcase studies and horizontal development. Measures tackling the hazard source are handled according to the hierarchy of controls, which prioritizes measures targeting
equipment.

Regular contractors
Scope1
Workers covered by an Occupational Healthand Safety Management System
Workers covered by an Occupational Healthand Safety Management System subject tointernal audits3

2018

2019

2020

2021

Business sites in Japan

1,367 (100)

1,357 (100)983 (100)

1,002 (100)1,009 (100) 2, 4

Overseas business sites

2,904 (100)4,461 (100)

5,310 (100)5,990 (100)6,079 (100) 2, 4

1,297 (95)

1,333 (98)979 (99)

1,002 (100)

1,000 (99)2,233 (77)3,551 (100)

5,310 (100)5,990 (100)6,079 (100)Business sites in Japan
Overseas business sites

Unitpeople (%)

2022

Workers covered by an Occupational Healthand Safety Management System subject tothird party audits and certification

Business sites in Japan

21 (2)

21 (2)

21 (2)

21 (2)

23 (2)

Overseas business sites

0 (0)

0 (0)

0 (0)

0 (0)

0 (0)

Percentage of business sites with third party
certification6

Business sites in Japan

1

1

1

1

1

—

—

—

—

—

Overseas business sites

companies

1. Includes temporary employees covered by SMM Group occupational health and safety administration
2. Japan: We have built an occupational health and safety management framework as stipulated by the Japanese Industrial Safety and Health Act, formulated policies, targets, andplans, and implemented a one-year PDCA cycle. Activities are carried out for each level of the organization and cover 100% of employees
Overseas:We have built the system in accordance with the occupational health and safety laws and regulations of each country
3. Japan: Internal audits are implemented at each business site in the form of inspections by the business division with jurisdiction, the Safety & Environment Control Department, theBesshi-Niihama District Division Safety & Environment Control Center (Besshi District), or other organizations. The inspections check each business site’s policy, targets, activity plan, and implementation status and check to see if a PDCA cycle is being carried out or not
Overseas: The business division with jurisdiction carries out audits around twice a year in the form of inspections. Dongguan Sumiko Electronic Paste Co., Ltd. carries out an internal
audit each year
4. Workers at business sites covered by safety statistics
5. Results for 2022 are as follows:
Japan: ISO 45001: Nippon Ketjen Co., Ltd.; Hishikari Mine; Hishikari Office, Mining Dept., Sumiko Resources Exploration & Development Co., Ltd.; Niihama Nickel Refinery; Toyo
Smelter & Refinery
Japan Industrial Safety and Health Association (JISHA) OSHMS standards: Numazu Office and Tsukuba Office of N.E. Chemcat Corporation; Shinko Co., Ltd.; Ome District
Division
Overseas: Safety and production standardization (State Administration of Work Safety): Dongguan Sumiko Electronic Paste Co., Ltd.
Safety and production standardization (State Administration of Work Safety): Shanghai Sumiko Electronic Paste Co., Ltd.
Third party audit implemented by the Ministry of Labor: Taiwan Sumiko Materials Co., Ltd.
6. Results for 2022 are as follows:
Japan: JISHA OSHMS standards: Certification acquired by one contractor of Hyuga Smelting Co., Ltd.
While there are cases where some small contractors do not implement checks on the level of internal audits, contracting organizations offer guidance on occupational
health and safety and carry out patrols, inspections, and other measures, and the majority do implement checks on the level of internal audits
Overseas: At Coral Bay Nickel Corporation, internal audits take the form of patrols and contractor safety meetings led by the contracting organization. At Taganito HPAL, contractors
implement internal audits or participate in patrols led by Taganito HPAL

144

SUMITOMO METAL MINING CO., LTD.

GRI 403-2/403-7

Sustainability Report 2023

Regular contractors
Business sites in Japan

Overseas business sites

Ongoing improvements to risk
assessment process quality assurance andmanagement systems

A similar in-house process as the contracting organization
is used. (In some cases, using the contracting organization’s process.)

At Coral Bay Nickel Corporation, some contractors are
introducing risk assessment initiatives such as 10-second
employee hazard prediction, and at Taganito HPAL, someare introducing risk assessment.

Processes for employees to report hazards
and employee protection methods

A framework is in place to ensure implementation of necessary measures and provide reports, either orally or inprescribed forms, in areas such as minor incident andpoints on which to take note.

A framework is in place so that if either the contracting
organization or contractor discovers information such as
minor incident, they will contact each other.

Methods for protecting employees
carrying out work that might lead toillness or injury

In addition to RA, various inspections and patrols are
implemented by the contracting organization and measures are taken as necessary.

Measures implemented center on hazard prediction
activities. Measures such as patrols by the contracting
organization are also implemented.

Accident investigation andcountermeasures and system
improvement processes

A similar process as the contracting organization is used
for accident investigation and countermeasures and system improvement processes. (Also using the accident
reporting database of the contracting organization.)

Either checks are made by the contracting organization
following consideration of the case by the contractor, or
the contracting organization works with the contractor to
implement an investigation, counter measures, andimprovements. Measures tackling the hazard source arehandled according to the hierarchy of controls, which prioritizes measures targeting equipment.

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

145

Social Social

Social Data

Services, Education and Training Related to Occupational Health and Safety (2022)

GRI 403-3/403-5

To ensure that employees have access to information on health and safety and disaster countermeasure services at all times, we
distribute operational guidelines and procedure manuals, hang up bulletin boards, and post on the Company’s intranet.
Item

Contents

Details

Working environment
and work management

Health checkups andexams

We conduct health checkups (general, special, and specific) as stipulated by the Industrial
Safety and Health Act.

Health management

Exposure
countermeasures

In accordance with the Industrial Safety and Health Act, we implement the measuring ofworking environments, wearing of protective equipment, and management of exposure
times.

Provision of occupational physicians
Countermeasuresagainst Infectious
Diseases

Mental health careCommunication with
employees
Equipment, facilities,
and supplies

Education and training
on occupational healthand safety

Disastercountermeasures

In accordance with the Industrial Safety and Health Act, or under contract to an occupational
physician, we provide health guidance, stress checks, etc. which make use of the results ofhealth checkups.

SMM Group

By country
and region

FY2018FY2019FY2020

FY2021

FY2022

people

7,408

7,570

7,797

7,879

7,950

people

5,844

5,905

6,150

6,224

6,085

Male

4,916

4,950

5,120

5,198

5,098

Female

928

955

1,030

1,026

987

1,327

1,429

1,430

1,433

1,504

Male

1,006

1,075

1,068

1,071

1,124

Female

321

354

362

362

380

101

97

102

108

105

Male

61

62

68

76

75

Female

40

35

34

32

30

28

29

27

27

26

Male

13

13

12

12

11

Female

15

16

15

15

15

4

4

4

4

—

Male

1

1

1

1

—

Female

3

3

3

3

—

4

7

4

4

5

Male

2

2

2

2

2

Female

2

5

2

2

3

—

—

—

—

145

Male

—

—

—

—

112

Female

—

—

—

—

33

8

8

7

8

7

Male

6

6

5

6

5

Female

2

2

2

2

2

13

13

13

13

19

Male

12

12

11

11

16

Female

1

1

2

2

3

1

1

1

1

1

Male

1

1

1

1

1

Female

0

0

0

0

0

9

12

13

14

12

Male

4

6

6

6

5

Female

5

6

7

8

7

16

11

4

1

1

Male

14

9

3

0

0

Female

2

2

1

1

1

28

30

26

26

23

Male

21

20

18

18

14

Female

7

10

8

8

9

25

24

16

16

17

Male

22

21

13

13

14

Female

3

3

3

3

3

Japan

(excluding thePhilippines)

peopleChina

TaiwanP.80-85,
P.102-106

ThailandSouth Korea

We collect employee requests and opinions through working environment questionnaires,
inspection tours, and Labor-Management Advisory Committee meetings, and implement
measures based on these requests and opinions.
Various equipment and facilities have been installed to provide a physically and mentally
healthy working environment where employees can spend their time.
Dining halls, break rooms, laundry rooms, bath/shower facilities (for dealing with specified
chemical substances, etc.), first-aid kits and AED, emergency rooms, alcohol detectors, etc.,
accident prevention facilities, stockpile warehouses, company-owned sports facilities/
grounds, company housing/dormitories, external fitness gyms, and spa facilities related to theCompany, etc.

In addition to legally mandated training, the following training is provided.
• Education to foster qualified personnel (e.g., safety managers, industrial counselors)• Hazard simulations, internal workshops, small group activities (e.g., development of occupational accident case studies)• JCO Study Center training, lectures from external instructors (e.g., life-saving and first-aid,
drunk driving prevention)

Vietnam

Australia

North America& Europe
P.84, P.94

Self-defense firebrigadeWe have established a self-defense fire brigade, etc., and have a first-response system in placein the event of a disaster.

Emergency supplies

Each business site prepares emergency supplies such as emergency food and equipment in
preparation for disasters.

CanadaNetherlands

We conduct fire and earthquake evacuation drills at least once a year.

U.S.A.

P.184

We use an external safety confirmation system to quickly confirm the safety of employees
and their families in the event of a disaster. We also conduct safety confirmation drills on aregular basis.

South America

An emergency contact network has been created for the entire Company and each businesssite, and is reviewed on a regular basis.

Brazil

Chile

Peru

Diverse Human Resources / Development and Participation of Human Resources

Average Years of Service, Age, and Annual Compensation
Scope
Average age

Sumitomo Metal Mining Co., Ltd.

Average annual compensation*

peoplepeoplepeoplepeoplepeoplepeoplepeoplepeoplepeoplepeoplepeoplepeople1. Data are as of the end of the fiscal year in each country (including employees on leave), and dispatched employees are recorded in the number of officers and employees of thecompany to which they are dispatched
2. The scope of officers includes directors, Audit & Supervisory Board members, and executive officers (excluding outside directors and Audit & Supervisory Board members) of SMM,
and directors and Audit & Supervisory Board members of consolidated subsidiaries in Japan and overseas* Some revisions have been made to previous years’ figures based on a close examination of historical data

Employee Data

Average years of service

GRI 2-4/2-7/2-9/405-1
Unit

Total

We conduct stress checks in accordance with laws and regulations, set up internal and external hotlines and counseling services, and provide self- and line-care training, etc.

Education beyond
legal requirements

Emergency contact
network

Number of
officers andemployees1, 2Asia & Oceania• We provide financial assistance for tetanus, hepatitis A, hepatitis B, and other vaccinations for
employees on assignment overseas and their accompanying family members, taking into
consideration the prevalence of these diseases in the destination countries.
• We are continuing work from home and online meetings and events as a measure against
COVID-19. In addition to subsidizing the cost of influenza vaccinations through the healthinsurance association, we have also established rules and guidelines for countermeasuresagainst new strains of influenza and other infectious diseases.

Education is provided at the time of new employee training, special education, and training
when starting hazardous or potentially harmful operations, etc.

Safety confirmation



Scope

Philippines

Legally mandated
education

Evacuation drills

Number of Officers and Employees (by country and region)

Unit

FY2018FY2019FY2020

FY2021

FY2022

year

21.1

19.7

19.5

18.9

18.0

age

43.9

43.0

42.7

42.3

41.5

thousand yen

8,195

8,185

7,952

7,878

8,349

*Average annual compensation includes compensation other than base salary, other allowances, and bonuses

146

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Sustainability Report 2023

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

147

Social Social

Social Data

Number of Officers and Employees (by age group and employee category)
Scope
Number of
officers andemployees1

SMM Group

Number offull-time
officers2

Consolidated subsidiaries in Japan
Consolidated subsidiaries overseas
Number of
employees

30–49 years
old

50 years old
and older

30–49 years
old

50 years old
and older

30–49 years
old

50 years old
and older148

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

FY2018FY2019FY2020

FY2021

FY2022

2,456

2,454

2,671

2,659

2,453

421

417

442

453

423

Male

350

353

377

387

366

Female

71

64

65

66

57

1,503

1,480

1,603

1,583

1,414

Male

1,225

1,189

1,273

1,259

1,115

Female

278

291

330

324

299

532

557

626

623

616

Male

465

484

538

527

527

Female

67

73

88

96

89

369

407

419

398

318

FY2022

people

110

105

110

109

105

Male

21

23

25

23

24

Female

0

0

0

0

0

Male

62

56

58

61

57

Female

0

0

0

0

0

Male

27

25

26

24

23

Female

0

1

1

1

1

people

7,298

7,465

7,687

7,770

7,845

people

2,630

2,679

2,699

2,813

2,993

people

487

491

487

470

479

Male

198

237

262

267

211

0

0

0

0

0

Female

171

170

157

131

107

Male

0

0

0

0

0

people

1,537

1,639

1,620

1,630

1,841

Female

0

0

0

0

0

179

171

170

177

198

people

314

299

317

321

315

Male

175

166

164

168

184

63

43

38

31

29

Female

4

5

6

9

14

Male

49

30

28

19

15

308

320

317

293

281

Female

14

13

10

12

14

Male

304

315

312

289

277

227

228

249

260

253

Female

4

5

5

4

4

Male

176

174

182

192

179

1,907

1,933

1,936

2,072

2,246

Female

51

54

67

68

74

427

429

490

584

688

24

28

30

30

33

Male

349

351

388

468

558

Male

17

23

24

23

26

Female

78

78

102

116

130

Female

7

5

6

7

7

1,216

1,324

1,288

1,302

1,509

Total

people

920

952

908

908

938

Male

754

774

733

737

768

Female

166

178

175

171

170

560

552

538

580

620

Male

508

500

477

510

542

Female

52

52

61

70

78

236

255

276

271

268

Male

201

218

237

235

232

Female

35

37

39

36

36

people

3,131

3,147

3,368

3,327

3,011

people

306

286

278

270

240

0

0

0

0

0

0

0

0

0

0

Total

Management staff
Youngerthan 30
years oldUnitpeopleRegular employees

FY2021

Limited-term employees

Consolidated subsidiaries in Japan

Number of
employees

FY2020Regular employees
Youngerthan 30
years old

SMM Group

FY2019Management staff
Youngerthan 30
years old

Scope
Number of
officers andemployees1

FY2018

Total
Sumitomo Metal
Mining Co., Ltd.

GRI 2-4/2-7/2-8/2-9/405-1

Unit

Total
Sumitomo Metal
Mining Co., Ltd.



Male

peopleYoungerthan 30
years old
30–49 years
old

50 years old
and older

Limited-term employees

Consolidated subsidiaries overseas

Total

Management staff
Youngerthan 30
years old
30–49 years
old

50 years old
and older

Regular employees
Youngerthan 30
years old
30–49 years
old

50 years old
and older

SMM Group

Total

people

459

500

429

390

410

Male

306

324

266

245

265

Female

153

176

163

145

145

702

767

814

851

1,032

Male

538

588

631

655

799

Female

164

179

183

196

233

55

57

45

61

67

Male

46

48

37

52

57

Female

9

9

8

9

10

7

16

15

7

17

Male

4

15

13

6

15

Female

3

1

2

1

2

481

464

495

538

438

Limited-term employees

Temporaryemployees

peoplepeoplepeople

0

0

0

0

0

Sumitomo Metal Mining Co., Ltd.

175

185

163

182

204

97

85

90

92

82

Consolidated subsidiaries in Japan

274

251

331

355

234

Male

95

83

88

89

80

Consolidated subsidiaries overseas

32

28

1

1

0

Female

2

2

2

3

2

Female

209

201

188

178

158

Male

209

201

188

178

157

Female

0

0

0

0

1

1. Data are as of the end of the fiscal year in each country (including employees on leave), and dispatched employees are recorded in the number of officers and employees of thecompany to which they are dispatched
2. The scope of officers includes directors, Audit & Supervisory Board members, and executive officers (excluding outside directors and Audit & Supervisory Board members) of SMM,
and directors and Audit & Supervisory Board members of consolidated subsidiaries in Japan and overseas* Some revisions have been made to previous years’ figures based on a close examination of historical data

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Sustainability Report 2023

149

Social Social

Social Data

New Hires and Departures (by hiring type and reason for departure)1
Scope
New hires anddepartures

Sumitomo Metal
Mining Co., Ltd.

New hires

Total
New
graduates

Total

GRI 401-1
Unit

FY2018FY2019FY2020

FY2021

FY2022

people

158

128

176

223

284

people

61

48

107

132

128

23

35

32

55

46

Managerial track employees
Of which are womenCore track

4

4

7

11

6

38

13

75

77

82

9

7

22

21

10

97

80

69

91

156

Managerial track employees

11

26

19

31

62

Of which are women

2

5

0

3

4

86

54

50

60

94

12

8

11

3

17

52

66

55

50

68

34

54

39

41

56

Of which are women
Mid-career
hires

Total

peopleCore track
Of which are women
Departures Number of
departures

Total

peopleDeparted for personal reasons
Of which are women

8

8

10

8

8

Departed for company-related reasons

1

0

2

0

6

Other2

17

12

14

9

6

Scope
New hires anddepartures

SMM Group

Philippines

Unit

Total

Youngerthan 30
years oldMale

Female30–49
years oldMale

Female50 years
old and
older

Male

GRI 401-1
Scope

New hires anddepartures

Unit

Total

FY2018FY2019FY2020

FY2021

FY2022

348
(5.2)

401
(5.9)

343
(4.9)

394
(5.6)

594
(8.2)

185
(2.8)

179
(2.6)

233
(3.3)

196
(2.8)

326
(4.5)

247
(4.8)

251
(4.9)

299
(5.6)

353
(6.5)

431
(8.0)

112
(2.2)

117
(2.3)

191
(3.6)

161
(2.9)

223
(4.1)

New hires

128(18.3)

117(16.6)

142(18.6)

196(22.9)

239(25.9)

Departures

40
(5.7)

29
(4.1)

24
(3.1)

41
(4.8)

43
(4.7)

New hires

20(13.4)

27(19.0)

46(27.5)

42(23.1)

40(21.4)

Departures

6
(4.0)

13
(9.2)

7
(4.2)

7
(3.8)

11
(5.9)

New hires

79
(3.5)

71
(3.2)

68
(3.0)

87
(3.9)

114
(5.3)

Departures

42
(1.9)

49
(2.2)

40
(1.8)

37
(1.6)

46
(2.1)

New hires

16
(3.6)

30
(6.3)

28
(5.5)

11
(2.2)

12
(2.5)

Departures

7
(1.6)

19
(4.0)

9
(1.8)

10
(2.0)

20
(4.1)

New hires

3
(0.2)

5
(0.3)

11
(0.7)

15
(1.0)

22
(1.5)

Departures

15
(1.0)

6
(0.4)

104
(6.9)

62
(4.1)

97
(6.5)

New hires

1
(0.8)

1
(0.8)

4
(2.6)

2
(1.2)

4
(2.3)

Departures

2
(1.6)

1
(0.8)

7
(4.5)

4
(2.4)

6
(3.5)

New hires
Departures

SMM Group

Japan

Total

New hires
Departures

Youngerthan 30
years oldMale

Female30–49
years oldMale

Female50 years
old and
older

Male

Female150

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

people(%)2people(%)

FY2020

FY2021

FY2022

134
(9.5)

44
(3.1)

28
(2.0)

151
(10.2)

67
(5.1)

57
(4.0)

42
(3.0)

23
(1.6)

86
(5.8)

New hires45(13.6)

76(22.8)

19
(6.9)

10
(4.2)

62
(26.8)

Departures

40(12.0)

30
(9.0)

18
(6.6)

8
(3.3)

16
(6.9)

New hires

20(13.3)

27(15.4)

15
(9.3)

5
(3.4)

38
(24.8)

Departures

9
(6.0)

4
(2.3)

8
(5.0)

4
(2.7)

17
(11.1)New hires

14
(2.2)

22
(3.3)

9
(1.2)

13
(1.7)

44
(5.5)

Departures

15
(2.4)

19
(2.8)

10
(1.4)

9
(1.2)

40
(5.0)

New hires

3
(1.9)

5
(2.9)

0
(0.0)

0
(0.0)

3
(1.4)

Departures

1
(0.6)

3
(1.7)

4
(2.1)

1
(0.5)

9
(4.1)

New hires

0
(0.0)

4
(8.3)

1
(2.4)

0
(0.0)

4
(6.1)

Departures

2
(5.3)

1
(2.1)

2
(4.8)

1
(1.8)

4
(6.1)

New hires

0
(0.0)

0
(0.0)

0
(0.0)

0
(0.0)

0
(0.0)

Departures

0
(0.0)

0
(0.0)

0
(0.0)

0
(0.0)

0
(0.0)

4
(3.0)

3
(2.2)

0
(0.0)

12
(8.6)

12
(4.4)

0
(0.0)

1
(0.7)

0
(0.0)

11
(7.9)

17
(6.2)

New hires

0
(0.0)

0
(0.0)

—

8
(44.4)

9(19.6)

Departures

0
(0.0)

0
(0.0)

—

5
(27.8)

8(17.4)New hires3(21.4)

0
(0.0)

—

0
(0.0)

0
(0.0)

Departures

0
(0.0)

0
(0.0)

—

0
(0.0)

2
(40.0)New hires

1
(2.4)

0
(0.0)

—

3
(5.2)

2
(1.4)

Departures

0
(0.0)

1
(2.2)

—

5
(8.6)

6
(4.3)

New hires

0
(0.0)

3
(6.0)

—

1
(2.1)

1
(1.4)

Departures

0
(0.0)

0
(0.0)

—

1
(2.1)

1
(1.4)

New hires

0
(0.0)

0
(0.0)

—

0
(0.0)

0
(0.0)

Departures

0
(0.0)

0
(0.0)

—

0
(0.0)

0
(0.0)

New hires

0
(0.0)

0
(0.0)

—

0
(0.0)

0
(0.0)

Departures

0
(0.0)

0
(0.0)

—

0
(0.0)

0
(0.0)

New hires

FemaleNew Hires and Departures (by region) 

FY201982(6.2)

Departures

1. Data are as of the end of each fiscal year (excluding directors, limited-term employees, and temporary employees)
2. Other: departures due to having reached mandatory retirement age, death, expiration of leave of absence, etc.

1

FY2018Asia & Oceania3

Total

New hires(excluding thePhilippines)

Departures
Youngerthan 30
years oldMale

Female30–49
years oldMale

Female50 years
old and
older

Male

Femalepeople(%)

people(%)

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

151

Social Social

Social Data

Scope
New hires anddepartures

SMM Group

North America &Europe4

Unit

Total

New hires
Departures

Youngerthan 30
years oldMalepeople(%)

New hires
Departures

FemaleNew hires

Male

New hires
Departures

FemaleMale

New hires
Departures

FemaleNew hires
Departures

South America5

Total

New hires
Departures

Youngerthan 30
years oldMale

Female30–49
years oldMale

Female50 years
old and
older

Male

FemaleFY2020

FY2021

FY2022

0
(0.0)

0
(0.0)

1
(4.2)

0
(0.0)

0
(0.0)

0
(0.0)

0
(0.0)

1
(4.2)

0
(0.0)

—

—

—

0
(0.0)

—

—

—

—

0
(0.0)

—

—

—

—

0
(0.0)

—

0
(0.0)

—

people
(%)

—

—

—

—

—

1
(8.3)

—

—

—

—

0
(0.0)

—

0
(0.0)

—

—

New hires
Departures

50 years
old andolder

FY20190(0.0)—

Departures
30–49
years old

FY2018

—

—

—

—

—

0
(0.0)

—

—

—

—

0
(0.0)

—

—

—

—

1
(50.0)

—

—

—

—

0
(0.0)

—

—

—

—

0
(0.0)

—

15
(23.4)

13(21.7)

0
(0.0)

0
(0.0)

0
(0.0)

6
(9.4)

4
(6.7)

0
(0.0)

0
(0.0)

0
(0.0)

2
(33.3)

3(50.0)—

Departures

1(16.7)

0(0.0)—

New hires

2(100.0)1(20.0)———

Departures

0
(0.0)

1
(20.0)———New hires

8(23.5)

6(19.4)———

Departures

2
(5.9)

1
(3.2)

—

—

—

New hires

0
(0.0)

1
(16.7)———

Departures2(28.6)

1(16.7)———

3(25.0)

2(25.0)———

Time Spent on and Investment in Employee Education
Total time spenton employee
education1

Sumitomo Metal
Mining Co., Ltd.

Total

Departures

1
(8.3)

1
(12.5)———New hires

0
(0.0)

0
(0.0)

—

—

—

Departures

0
(0.0)

0
(0.0)

—

—

—

FY2019FY2020

FY2021

FY2022hours

36,051

99,740119,221

188,913131,106 2

hours

638

281

324

368

79

638

281

324

368

Female

0

0

0

0

0

6,718

16,144

19,653

17,257

16,375

Male

6,566

15,876

19,26817,03815,883

Female

152

268

385

219

491

28,17480,395

93,165

153,038

109,723Male

23,99771,003

81,119135,008

95,756

Female

4,177

9,391

12,04618,03013,967

1,080

2,563

6,122

18,294

4,640

Male

484

2,188

5,013

13,4393,555

Female

596

375

1,109

4,855

1,086

hours

25,643

20,37423,76943,76933,021

hours

hours

Regular employees

hours

Limited-term employees and temporary employees

Total

hours

429

358

342

402

481

Male

429

358

342

402

481

Female

0

0

0

0

0

4,459

1,889

1,838

3,219

2,245

Male

4,447

1,886

1,812

3,153

2,177

Female

12

3

25

66

68

17,352

15,26918,721

34,11526,363Male

15,19013,301

15,76631,08723,011

Female

2,162

1,968

2,955

3,028

3,353

3,404

2,859

2,868

6,034

3,932

Male

2,018

1,747

1,600

4,323

2,434

Female

1,386

1,112

1,268

1,711

1,499

hours

19,31630,17429,54518,323

27,616hours

Officers

Managers

hours

Regular employees

hours

Limited-term employees and temporary employees

Consolidated
subsidiaries
overseas

FY201879

Managers

Consolidated
subsidiaries in
Japan

Unit

Male

Officers——

GRI 2-4/404-1

Scope

—

New hires

New hires—

Human Resources Development

Total

hours

168

144

223

275

312

Male

168

133

215

264

300

Female

0

11

8

11

12

1,421

1,284

1,223

897

1,330

Male

1,044

913

643

562

837

Female

377

371

581

335

493

17,651

28,605

20,79517,08025,684Male

12,58522,573

15,676

12,985

18,252

Female

5,066

6,032

5,120

4,095

7,432

78

141

7,304

70

290

Male

64

80

5,762

47

182

Female

14

61

1,542

23

109

Officers

Managers

hours

Regular employees

hours

Limited-term employees and temporary employees

hours

1. Data are based on the number of employees as of the end of the fiscal year in each country (excluding directors, limited-term employees, and temporary employees)
2. Percentage of new employees: number of new employees ÷ total employees x 100; turnover: number of departures ÷ total employees x 100
3. Asia & Oceania (excluding the Philippines) includes China, Taiwan, South Korea, Thailand, Vietnam, and Australia (FY2022)
4. North America & Europe includes Canada and the U.S. (FY2022)
5. South America includes Peru, Chile, and Brazil (FY2022)

152

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Sustainability Report 2023

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

153

Social Social

Social Data

Scope
Average annual
hours ofeducation per
employee3

SMM Group

Unit

FY2018FY2019FY2020

FY2021

FY2022

Total

hours

10.3

18.7

20.8

29.8

22.9

Officers

hours

6.1

10.9

7.7

9.2

11.1

Male

6.1

10.9

7.7

9.2

11.0

Female

0.0

10.5

8.0

11.0

12.0

11.4

18.0

21.0

20.1

19.3

11.8

18.8

22.0

21.7

20.6

Managers

hours
Male
FemaleRegular employees

hours
Male

Amount ofinvestment ineducation per
employee4

Sumitomo Metal
Mining Co., Ltd.

7.6

10.3

6.0

9.1

21.8

22.5

33.9

26.1

11.4

23.2

23.8

37.0

27.4

11.0

15.8

17.1

21.1

20.4

hours

4.2

4.9

13.5

20.1

8.5

yen

153,000

132,000

90,00098,000107,000

FemaleLimited-term employees and temporary employees

6.6
11.3

Scope
Parental leave

Sumitomo Metal
Mining Co., Ltd.

Use of parental leave1

Utilization of Human Resources
Working Style Reform
Scope
Working hours

Average annual working
hours1, 2

Sumitomo Metal
Mining Co., Ltd.
Annual paid leave

Unit

FY2018FY2019FY2020

FY2021

FY2022hours

1,950.1

1,976.1

1,984.5

1,959.0

1,933.3

Managers

2,016.1

2,015.7

2,024.7

2,021.7

1,994.6

Regular employees

1,930.3

1,964.3

1,972.6

1,941.0

1,913.4

14.7

17.9

17.9

16.1

16.6

1,920

1,920

Total

Average monthly overtime hours worked

SMM Group

1,940 or 1,920

Average annual scheduled working hours
Average annual number of days of paid leave taken

day

18.0

18.3

17.4

17.4

18.2

Percentage of average annual paid leave taken3

%

83.7

86.0

83.2

83.2

87.6

people

2,348

2,453

2,551

2,666

2,801

Average number of days of leave taken

day

2.2

1.9

1.0

—

2.0

Total number of employees who took leavepeople

30

8

1

0

1

Number of enrolled
employees4

1. Average annual working hours = scheduled working hours (excluding leave, paid leave, etc.) + overtime hours
2. The working style reform started in FY2017. In FY2016, there were 1,987.4 hours (managers: 2,076.1 hours, regular employees: 1,960.7 hours)
In FY2017, there were 1,967.3 hours (managers: 2,043.9 hours, regular employees: 1,943.9 hours)
3. Percentage of paid leave taken by employees for the full year (excluding limited-term employees who are specially hired employees)
4. Average of 4 years (excluding limited-term employees who are specially hired employees) FY2016: 2,274 employees; FY2017: 2,317 employees
5. Data cover the period from January to December of each year

Number of employees eligible
for parental leave4

FY2019FY2020

FY2021

FY2022

%

15.6

17.3

26.9

30.0

97.2

Male

1.0

2.9

10.3

20.9

95.6

Female

100.0

100.0

113.3

85.7

106.3

%

75.0

87.0

88.5

81.4

—

people

19

14

25

30

104
87

Total

Total
Male

1

2

8

18

Female

18

12

17

12

17

122

81

93

100

107

Male

104

69

78

86

91

Female

18

12

15

14

16

—

100.0

100.0

100.0

100.0

(1/1)

(5/5)

(15/15)(37/37)

67.0

100.0

94.1

100.0

100.0

(8/8)

(16/17)(16/16)(11/11)

—

100.0

100.0

100.0

(1/1)

(6/6)

(17/17)

Total

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

peopleReturn-to-work rate after leave5 Male

Retention rate after leave6%(people)Male
Female—%(people)

100.0

100.0

100.0

100.0

100.0

(14/14)(12/12)(16/16)(15/15)The percentage of parental leave (female) in FY2022 includes those who gave birth in FY2021 and took parental leave in FY2022, and thus exceeds 100%
1. Until FY2021 the percentage is only for those who took parental leave, but from FY2022 onward, the percentage (male) is for both those who have taken parental leave and those
who have taken leave for child-rearing
2. Childbirth and child-rearing support leave : male employees can take leave to care for and support their spouse after the birth of a child. Seven consecutive days can be taken fromthe day of hospital admission, delivery, or discharge (up to nine days)
3. Male employees: number of employees who took parental leave (starting) in FY2022
Female employees: number of employees who took parental leave (starting) in FY2022
4. Male employees: number of employees who submitted a notification of birth to the Company for birth by their spouse in FY2022
Female employees: number of employees who gave birth in FY2022
5. Return-to-work rate: number of employees who returned to work in FY2022 ÷ number of employees who intended to return to work in FY2022 x 100
6. Retention rate: number of employees who returned to work in FY2021 and were still working at the Company 12 months later ÷ number of employees who returned to work in
FY2021 x 100

Scope
Nursing care leave

Sumitomo Metal
Mining Co., Ltd.

Unit
Number of employees who
took nursing care leave

Total number of days of leave
taken

Average number of days perpersonNursing careshort-term leave

Sumitomo Metal
Mining Co., Ltd.

2018

2019

2020

2021

2022

2

2

2

2

2

Male

0

0

1

2

2

Female

2

2

1

0

0

209

127

259

24

140
140

Total

Total

people

day

Male

0

0

173

24

Female

209

127

86

0

0

104.5

63.5

129.5

12.0

70.0

Total

day

Male

0.0

0.0

173.0

12.0

70.0

Female

104.5

63.5

86.0

0.0

0.0

21

40

58

70

67

Male

14

27

43

57

52

Female

7

13

15

13

15

85.0

173.0

228.0

288.2

303.5

Male

53.0

110.0

169.9

225.9

239.5

Female

32.0

63.0

58.1

62.3

64.0

4.0

4.3

3.9

4.1

4.5

Male

3.8

4.1

4.0

4.0

4.6

Female

4.6

4.8

3.9

4.8

4.3

Number of employees who
took nursing care short-term
leave

Total

Total number of days of leave
taken

Total

Average number of days perperson154

FY2018Use of leave with pay for child-rearing2 Male
Number of employees who
took parental leave3

GRI 401-3

Unit

FemaleFigures are rounded to the nearest whole number, so totals may not match
1. Data are as of the end of the fiscal year in each country. Education hours cover all training except for routine on-the-job training (so-called OJT) conducted in the workplace by
instructors and other personnel, emergency drills, and small-group activities
2. In addition to the total time spent on education, employees spent the following number of hours on e-learning courses: 5,763 hours for SMM, and 2,012 hours for consolidated subsidiaries in Japan and overseas
3. Average annual hours of education per employee: Total hours of education for all employees ÷ number of officers and employees
4. Amount of investment in education does not include labor costs for on-the-job training and education and training hours (rounded up to the nearest ¥1,000)* Some revisions have been made to previous years’ figures based on a close examination of historical data

Volunteer leave5

Creating Workplaces Where Diverse Human Resources Play Vibrant and Active Roles

Total

peopleday

day

SUMITOMO METAL MINING CO., LTD.

Sustainability Report 2023

155

Social Social

Social Data

Scope
Average score forquestions in theemployeeawareness survey1
Percentage of
positive responses2

Sumitomo Metal
Mining Co., Ltd.

Appeal ofmanagement
measuresAverage score

Unit

FY2018FY2019FY2020

FY2021

FY2022

—

—

3.47

—

3.55

—

Percentage of positive responses

%

—

51.6

—

55.8

—

Appeal ofsupervisors

Average score

—

—

3.56

—

3.69

—

Percentage of positive responses

%

—

57.6

—

64.5

—

Appeal of job

Average score

—

—

3.38

—

3.45

—

Overall appealof workplace

Percentage of positive responses

%

—

50.2

—

53.2

—

Average score

—

—

3.23

—

3.36

—

Percentage of positive responses

%

—

42.6

—

49.6

—

Standard Entry-level Salary to Regional Minimum Wage
Scope
Starting salary

Sumitomo Metal
Mining Co., Ltd.

Sumitomo Metal Officers
Mining Co., Ltd.
Managers

Unit(Managerial track employees)

RegularManagerial track & professional
employees
Core track%

Limited-term employees
Sumitomo Metal Officers
Mining Co., Ltd.
Managers

peopleLimited-term employees
Sumitomo Metal Managerial New graduates
Mining Co., Ltd. track
employees Mid-career hires
Core track

FY2018FY2019FY2020

FY2021

FY2022

3.7

3.4

3.4

3.6

3.4

1.2

1.5

1.5

2.0

2.9

10.9

11.7

12.5

12.9

12.3

15.8

16.2

17.2

17.0

16.9

13.0

12.1

12.1

11.1

11.4

1

1

1

1

1
20

9

11

11

14

46

50

52

57

59

259

267

295

309

329

(Managerial track employees)

RegularManagerial track & professional
employees
Core track
Percentage
of femalerecruits

April 2023

100:100

100:100

100:100

100:100

100:100

168,628

171,128

173,628

173,628

176,628

%

137

134

137

132

129

College oftechnology
graduateMonthly salaryyen

192,158

194,658

197,158

197,158

200,158

Comparison with minimum wage

%

156

152

155

150

147
232,950

Monthly salaryyen

221,850

227,350

229,950

229,950Comparison with minimum wage

%

139

139

142

138

136

Monthly salaryyen

236,290

241,790244,390244,390

250,390

Comparison with minimum wage

%

148

148

151

147

146

Monthly salaryyen

268,341

272,341

273,541

273,541

281,541

Comparison with minimum wage

%

169

166

169

164

164

GRI 405-2

Scope

Number of
employees

April 2022

* In the comparison of standard entry-level salary to regional minimum wage, Ehime Prefecture is used for the regional minimum wage for high school and technical college graduates, and Tokyo Metropolitan minimum wage is used for university graduates and above
Monthly wages and minimum wage data are as of April 1 of each fiscal year

Gender Balance (women’s active engagement)
Percentageof employees

April 2021

yen

Doctorate
degreeFemaleofficers andemployees1

April 2020

ratio

Male:female base salary

Master’s
degreeDiversity & Inclusion

April 2019

High school Monthly salary
graduate
Comparison with minimum wage

University
graduate

1. Calculated as the average value of responses, with “Very much so” as 5, “Somewhat so” as 4, “Cannot say” as 3, “Not so much” as 2, and “Not at all” as 1
2. Calculated from total responses of “Very much so” and “Somewhat so” among all response options (“Very much so,” “Somewhat so,” “Cannot say,” “Not so much,” and “Not at all”)

GRI 202-1
Unit

36

37

40

37

37

25.8

16.7

20.0

20.9

16.3

20.0

16.2

5.0

11.4

6.3

New graduates

18.2

29.2

29.3

27.6

14.5

Mid-career hires

17.4

13.7

20.3

5.9

17.4

%

Promoting Employment of People with Disabilities
Scope
Employment ofpeople withdisabilities1

Sumitomo Metal
Mining Co., Ltd.

Number of employees with disabilities2
Employment rate of employees with disabilities
Statutory employment rate

GRI 405-1
Unit

June 2019

June 2020

June 2021

June 2022

June 2023

people

68

73

77

79

84

%

2.39

2.50

2.56

2.57

2.59

%

2.20

2.20

2.30

2.30

2.30

1. Data as of June 1 of each fiscal year
2. The number of employees with disabilities is counted by the method of counting in the statutory employment rate calculation method

1. The number and percentage of female employees are calculated with dispatched employees counted under the company from which they were dispatched

Scope
Ratios of Female-to-Male
Base Salary

Sumitomo Metal Employees2
Mining Co., Ltd.

Unit
Managers
Regular employees

femaleto maleLimited-term employees3
Ratios of Female-to-MaleTotal Compensation(annual compensation)4

Sumitomo Metal Employees
Mining Co., Ltd.

Managers
Regular employees

Limited-term employees

femaleto maleFY2018FY2019FY2020

FY2021

FY2022————

100:165

—

—

—

—

100:112

—

—

—

—

100:132

—

—

—

—

100:333

—

—

—

—

100:149 5

—

—

—

—

100:111

—

—

—

—

100:115

—

—

—

—

100:279 6

2. Non-limited-term employees (including employees with short working hours and dispatched employees in Japan, but not including employees dispatched overseas)
3. Limited-term employees (including employees dispatched in Japan, but not including employees dispatched overseas)
4. Includes base salary, overtime pay, allowances for housing, family, commuting, etc., and excludes payments to employees who resigned
5. The main reasons for the compensation difference are that the average length of continuous service for women is 12.8 years (about 6 years shorter than the 18.7 years for men) andthe percentage of women in management positions is 2.9%
6. The main reason for the compensation difference is that the average years of continuous service for women is 11 years, which is 22.6 years less than that of men (33.6 years)

156

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Sustainability Report 2023

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Sustainability Report 2023

157

Social Social

Social Data

Co-Existence and Mutual Prosperity with Local Communities

Maintaining and Improving Employees’ Health
Addressing Mental Health CareGRI 403-6
Scope

Long-term leave

Unit

FY2018FY2019FY2020

FY2021

FY2022

0.51

0.45

0.40

0.37

0.43

97.7

96.1

94.7

95.4

96.8

10.2

11.0

8.7

9.8

10.1

11.8

12.0

11.3

11.8

—

Percentage of employees taking long-term
leave (due to mental health disorders)*

Stress checks
Sumitomo Metal
Mining Co., Ltd.

Percentage of employees receiving stresschecksPercentage of employees with high stress

Investment in Infrastructure and Support Services (cost of social contribution activities)
Japan
Philippines

Scope

Unit

SMM Group¥ billions

Illness Prevention and Health Promotion Initiatives

Scope

GRI 403-6

Scope

Sumitomo Metal
Mining Co., Ltd.

Unit

Percentage of employees receiving complete
medical checkups2
Obesity rate1

FY2018FY2019FY2020

FY2021

FY2022

60.6

56.9

58.9

58.0

58.0

27.4

28.0

24.4

27.3

27.5

%

Male
FemaleSmoking rate3

36.9

37.2

38.7

39.2

38.0

22.8

22.3

23.6

22.1

23.4

28.9

26.9

25.3

24.8

23.9

%

Unit

—

—

—

—

100.0

1. Employees insured by the Sumitomo Metal Mining Health Insurance Association
2. Employees insured by the Sumitomo Metal Mining Health Insurance Association who are 18 years old or older
3. Employees of Sumitomo Metal Mining Co., Ltd., age 40 or older (results of specified health checkup interview)
4. All employees

Scope

Labor union
membership

SMM Group2

GRI 2-30

Unit

FY2018FY2019FY2020

FY2021

FY2022

people

4,310

4,346

4,469

4,582

4,722

Japan

3,506

3,538

3,634

3,712

3,727

Overseas

804

808

835

870

995

55.7

57.5

57.7

58.2

58.8

Japan

59.4

58.7

59.5

59.4

60.2

Overseas

44.0

52.8

51.0

53.7

54.3

Total

Total

Hishikari Mine¥ millions(%)(Kagoshima)

Sumiko Energy
Materials Co., Ltd.
(Fukushima)

Taganito HPAL Nickel
Corporation(Philippines)

Coral Bay Nickel
Corporation%

Shanghai SumikoElectronic Paste Co., Ltd.
(China)Labor-Management Relations (freedom of association and collective bargaining)
SMM Group2(Ehime)4, 5

FY2022

0.10

0.10

0.43

0.09

0.25

1.02

1.03

1.25

1.62

FY2019FY2020

FY2021

GRI 204-1
FY2022

Percentage ofPercentage ofPercentage ofPercentage of
Local
locally-hired
Local
locally-hired
Local
locally-hired
Local
locally-hired
procurement employees procurement employees procurement employees procurement employees

Local Percentage ofprocure- locally-hired
ment2
employees3

12,800(46)

82%

18,300(52)

82%

12,900(54)

84%

15,000(53)

83%

20,924
(58)

82%

1,138
(57)

88%

1,230
(49)

89%

2,220
(53)

89%

1,173
(47)

88%

3,587
(40)

88%

421
(32)

78%

486
(35)

86%

383
(36)

91%

418
(33)

95%

506
(32)

95%

99,000(44)43%109,000(44)

42%

94,000(45)42%104,000(44)

43%

136,000(40)

42%

61,000(43)

58%

69,000(49)

59%

69,000(54)

59%

78,000(51)

59%

92,000
(38)

59%

132
(28)

93%

106
(28)

93%

197
(30)

91%

202
(21)

95%

92
(22)

91%

SMM Group$ thousands(%)(Philippines)

Percentage of employees receiving regular
health checkups4

Labor union
members1

GRI 203-1

FY2021

0.90

FY2018Niihama District

Percentage of employees with abnormal
findings1

FY2020Percentage of procurement2 from local suppliers1 and percentage of employees hired locally3

* Percentage of employees taking leave: Total number of days of leave taken ÷ number of scheduled working days x number of employees at end of fiscal year x 100

Sumitomo Metal
Mining Health
Insurance
Association

FY2019%Percentage of employees with high stress,
average for all Group companies

Various healthcheckups

FY2018

CNY millions(%)

1. Targets the three core segments (Mineral Resources, Smelting & Refining, and Materials), business sites that are not only necessary for the business, but are also relatively large-scale(one domestic, one overseas site for each segment)
2. Local procurement: Amount paid to each area and percentage of payments (percentage of payments: amount of payments to payment area ÷ amount of total procurement payments x 100)
3. Percentage of locally-hired employees: number of employees from each of the above business sites at the end of each fiscal year ÷ total number of employees × 100
4. Scope of local procurement: Sumitomo Metal Mining Co., Ltd.’s Besshi-Niihama District Division, Toyo Smelter & Refinery, Niihama Nickel Refinery, Isoura Plant and Niihama ResearchLaboratories
5. Scope of percentage of locally-hired employees: Sumitomo Metal Mining Co., Ltd.’s Besshi-Niihama District Division, Toyo Smelter & Refinery, Niihama Nickel Refinery, Isoura Plant,
Niihama Research Laboratories and Battery Research Laboratories

1. Labor union members are employees covered by collective agreements (as of March 31 of each fiscal year)
2. Consolidated subsidiaries of the SMM Group158

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Social Social

Social Data

Percentage of Locally-Hired Senior Managers1, 2
Scope

Unit

GRI 202-2

FY2018FY2019FY2020

FY2021

FY2022

Number ofmanagers Percentage

Number ofmanagers Percentage

Number ofmanagers Percentage

Number ofmanagers Percentage

Number ofmanagers Percentage

Sumitomo Metal Mining
Philippine Holdings Corporation

2 (1)

3.0%

3 (1)

4.1%

2 (1)

2.6%

3 (2)

3.8%

4 (3)

5.0%

(Philippines)

Human Rights in the Supply Chain
Number of responses to responsible
mineral sourcing questionnaire*

Scope

Unit

SMM Groupcases

FY2018FY2019—FY2020—

FY2021199

FY2022330

270* Number of responses out of the Responsible Mineral Sourcing questionnaire forms from customers, mainly smelter and refinery specific survey forms developed by RMI

Taganito HPAL Nickel
Corporation

1 (0)

0.2%

2 (1)

0.3%

2 (1)

0.3%

2 (1)

0.3%

3 (2)

0.4%

2 (0)

0.4%

4 (0)

0.7%

5 (1)

0.8%

6 (1)

1.1%

7 (1)

1.1%

2 (0)

8.7%

2 (0)

8.7%

0 (0)

0.0%

1 (0)

6.7%

1 (0)

6.3%

(Philippines)

Coral Bay Nickel
Corporation(Philippines)

Sumitomo Metal Mining
Peru S.A.
(Peru)SMM Korea Co., Ltd.
(South Korea)

Economic Performance
Scope
Distribution of economic value to stakeholders

SMM Group

people/%Shanghai SumikoElectronic Paste Co., Ltd.

1 (0)

2 (0)

25.0%

5.1%

1 (0)

2 (0)

14.3%

5.4%

1 (0)

2 (0)

25.0%

4.8%

1 (0)

2 (0)

25.0%

4.9%

1 (0)

3 (1)

GRI 201-1/201-3/201-4/207-4

SMM Group

20.0%

7.1%

(China)Taiwan Sumiko Materials
Co., Ltd.

¥ billions

FY2022
1,384.4

Suppliers

Payments to suppliers

1,165.4

Employees

Payments to employees

75.0

Shareholders and Creditors

Payments of dividends and interest

93.1

Government

Taxes paid

49.0

Society*

Donations

1.9

1 (0)

4.0%

4 (2)

15.4%

1 (0)

0.4%

0 (0)

0.0%

0 (0)

0.0%

2 (1)

13.3%

2 (1)

13.3%

2 (1)

11.1%

3 (1)

12.5%

3 (1)

12.0%

No governments have an equity stake in SMM
Other than the above, there is retained value of ¥90.7 billion. Rent for use of land is minimal and therefore included in “Payments to suppliers.”* Society: In the Philippines (CBNC, THPAL), the ¥1.6 billion expended through the Social Development and Management Program (SDMP) and other contributions in the same country is included

—

—

1 (1)

25.0%

2 (1)

50.0%

2 (1)

50.0%

2 (1)

50.0%

Financial assistance from the government(Taiwan)Dongguan SumikoElectronic Paste Co., Ltd.

Unit

Total

(China)Scope

Sumitomo Metal Mining
Oceania Pty. Ltd.

SMM Group

Government

Unit
Subsidies, grants, etc.

FY20220.5¥ billions(Australia)

1. The number of senior managers include general managers or above of overseas subsidiaries (as of the end of each fiscal year). Figures in parentheses indicate the number of female
managers
2. Percentage of senior managers: number of senior managers ÷ locally-hired employees x 100(Number of locally-hired employees is the number of employees directly employed by overseas subsidiaries, excluding dispatched employees and transferees)

Projected benefit obligation
The SMM Group has adopted both funded and unfunded defined benefit plans and defined contribution plans for allocating retirement benefits to its employees
Its defined benefit obligations as of March 31, 2023 were ¥65.1 billion , which include funded defined benefit obligations of ¥62.5 billion , and pension asset available for allocation to those funded defined benefit obligations were ¥85.7 billion
Scope
Income Tax by Country or Region

SMM Group

Unit

Total

¥ millions

FY2022
69,44440,374

Japan

266

Australia
Chile

4,975

China

1,212
453

Netherlands

707

New Caledonia
Peru

12,303

Philippines

3,717

U.S.A.

5,431

Other

6

With regard to equity-method affiliates, the above amounts include the Company’s proportional burden of income tax

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