Summary of Inter-industry B2B Discussions(12 participating teams)
Nippon CSR Consortium
Tokyo SHE Meeting No. 6
conducted on June 23, 2022
CRT Japan Summary (tentative : to be released
as an appendix)

1. The Russian invasion of Ukraine, the military coup in Myanmar, the Xinjiang Uyghur Autonomous Region in China, the Tibetan
Autonomous Region and other situations of alleged human rights violations involving states in the world (where the state/sovereign
actors responsible for protecting human rights is causing negative impacts from a 'business and human rights' perspective) There is a
noticeable situation of fragmentation in the globalised supply chain. Please share examples of actual cases where concrete
impacts on your real business have been identified. (Please describe the affected business and the situation you are facing.)※ The numbers in the parentheses indicate the number of groups mentioned for the category (12 groups in total)

Russianinvasion ofUkraine

Overallbusiness
impact(12)Myanmarreputationrisk

Raw material
shortages ＆issues
related to rawmaterials(11)flightreroutingIndirect
involvement ingovernment
Closures anddelays indeliveries
related tocoups d'état

Uygur

Suspension ofshipments toRussia

business
continuity

Economic
sanctionsagainst Russia

Correcting the sustainability
questionnaire
Asked to avoid specifying
UyghurDiverting flightroutesDemand for investigation into
Myanmar's involvement
Demand to cease tradewith Russia

energytransport

Concerns about port
calls to Japan(shipowners and crew)Price hikePrice shifting & burden
on the poor

Russianinvasion of
UkraineFluctuations in
the raw
material
markets

Tight supply ofcertified timber
Impact onquality
Price and cost
increase

Uygur

Increase inenquiries

financial turmoil

3.11(Nuclearpower plant)

Change in sourceof supply

Procurement(10)energy supply
cutoffSwitching ofmaterial acquisition

Ensuring
transparency

Concerns about
products used

Price hikes,
cost increase

Confirmation on
Uyghur involvement

Delayed/restricted
US: Uyghur
Forced Labour
Prevention Act

delay indelivery
Proof required

Rising logistics
costs
Supply outage
Increase inimport duties

Cut off of accessto health careImpact on
domestic
employees(8)

Factory
shutdown due
to Shanghai
lockdown

Excessworking hours

Productionchanges,modifiedproductionBurden of living due toprice increase

Supplier
surveys

Caused bydelayeddelivery,etc.

Shifting of othercompanies, factories,
etc’s burdens onto
the supply chain

Can only"request” asurveyReliability ofanswers

Non-transparency

Confirmation of
Xinjiang cotton use

Traceability not yet
ensuredTraceability cannot beassured 100%

Difficulties in establishing andoperating a contact point

Myanmar: monitoring the flowof funds to the military
The risk of not being able tooutsource to China

Ukrainian employees:
evacuated to rural areas

Difficulties inremittance (Ukraine)

Depreciation of the yen.
Decrease in remittances.

Longworking
hours

Crisis of survivalof local branches

Impact on Japanese
expatriates in Russia

Care of employees from China
and Myanmar

Challenges inthe supply
chain andproduction
process (7)Impact on
local andoverseas
employees(7)

Difficulties in communicating
about human rights (China)
driver shortage(Ukraine)
Bullying of
local migrant
workers
China: increasing
local responsibility

Maritimetransport
industry

Waterfront measureshinder seafarer
replacement
Delay in payment toRussian seafarers
Human rights considerationsduring shipbuilding anddemolition
Interrogation by Russianauthorities at Russian ports

2. Regarding the issues related to "business activities (economic activities)" introduced by civil society, please describe any examples that you can thinkof in which your company's activities have or may have a negative impact on human rights.
(Please describe your findings, even if they are examples from outside yourWarnings inLanguage barrier /Foreign
Inadequatecompany‘s industry.) ①"Cause" Examples of companies causing impact
hazardous
Isolationintheworkers (10)supportareas arethrough their own activities.
workplace

Health andworking
environment(12)

Healthhazards due
to longworking hours

Shanghailockdown
Long working hours
for drivers

Discrimination based on
employment status andgeneration

Harassment
Maritimetransportation

surveillance camera
infringement of privacy

Genderdiscrimination

Women inmaritime
professions
Long hours andclosed life on board

Mineral Procurement
Explosion ofchemicals

Long
working
hours onboard

Pirate missile
hazards at sea

large machinery

Lack of transparency inthe outsourced production

infiltration tactics
working while
standingIrregular seasonal employment

Ship dismantling

External andconsumer
impacts(11)

Invasion ofprivacy throughinformation

Lack ofexplanation of
how personal
data is useddiscrimination
Complicity in smuggling
and trafficking
Stable supply in theevent of a disaster
Side effects of medicines

Health hazards due to containers
Negative impact of factories andwarehouses on local residents

identity theftmedical data

Fostering gender bias
Misunderstandings anddiscrimination arisingfrom the use of AI

Displays and advertisements
leading to discrimination
Clothing designs that clearlyidentify men and womentype ofindustry

displayed inJapanese
onlyLong working hours andharsh environment

Technical intern trainees’ debt problem

cleaning

Power harassment by sending agencies

cargoloading

Lack of understanding for the terms
and conditions of technical interns

Trade with highly corrupt countries

Environment(10)Environmental
burden causedby plastics

Microplastics
generated during
laundry

Ships: environmental impact
including heavy oil and accidents

Increase in individual
packaging due toCovid-19

Leftovermedication

Impacts on marine
ecosystems

Overproduction(food loss)

Chemical leakage

Adverse environmental
effects during transport

Use of large quantities
of water → drought

Impact on areas
surrounding factories

Employment(6)

Identifying environmentallyfriendly products

Female employees and their workstyles
AI

Covid-19

packaging
container

Discrimination in recruitment andpersonnel considerations
Wage cuts and workforce reductions

Discrimination on the basis ofemployment status

Lack of dialogue with unions

② “Contribute” Examples of companies fostering impact through their own activities.

Health andworkingenvironment(11)

Impact on
subcontractors

Imposition of
unreasonable
demands

Seasonal
burdenoverwork

Contract agreement where compensation ismade for the result of the work completed

Negotiating excessive reductions

healthhazardEnvironment(6)Technical interns: leakage of
personal data

Age/ageing

Excessive consumption of
alcohol, sugar and drugs

onlineshopping

plasticship

Deprivation of local
people's rights

Extensive use of waterin the dyeing process

Personal data
management
Disruptive
behaviour on
trainsrailway

Raw material
procurement

GenderUsed for humantrafficking

Example: dyeing process

discardPromoting discrimination
through products,
advertising, etc.

Insufficient description of the product"Unravelling" of ships
Insufficient attention
to technical interns

External andconsumer
impacts (7)Employment(4)

Wages below
minimumwage

Not barrier-freefacilities

Recruitment
fee

Non-transparency of
employment contracts for
subcontractors
Impact on employment that arises fromavoiding the use of Xinjiang cotton and therecruitment of technical trainees

③ “Linkage” Cases directly linked to the company's business, products, or services through business relationships.
Health andworking
environment (11)rawmaterials

Labour
exploitation incontract
manufacturingconflict
mineralsPossible
leakage of
personal datatechnicalinterns

Migrants
andrefugees
Foreign andlocal workers

Ordering fromXinjiang withoutawareness

Quickdeliveries
Supply chain forfood ingredients,
palm oil and PC

unfair dismissal
unpaid wages

Environment(8)

Failure tocommunicate
information

Impact on
productlabelsRight toprivacy

Facilitation of financial fraud
and suchdisposal

Identifying environmentally friendly
products
Ship
dismantling

Coastal life
destruction of diversity

Microfibre
discharge

Ship dismantling

Personalinformation

container
packagingUse of large quantities
of water in theproduction process

Ensuring safety of the collectorsof the used products

External andconsumer
impacts (8)plastic

Possible leakage of
personal data

No final confirmation at disposal
Violation of the rights ofindigenous and local people
Negative impact on trial
participants

Unauthorized resale of food waste

Water useduringproduction

Ethicalissues(5)

environmental
pollution

Impact on
the local
population

Corruptionrelated

Military useof sensors
ICTTechnology

Misuse forcrime
Discrimination / violationof privacy rights

Unsecured freedomof association3. In the cases (suspected cases) of human rights violations indicated in 1 and 2, how should they be dealt with?
(You may consider the current situation and any gaps)
Health andworking
environment(12)

supplychain

Postinvestigation
remedySurveys, audits,dialogues,questionnaires,.
interview

Identificationof risks

Establishment
andimplementationof a system

Trends/ways of approach(10)
Addressing
issues as acompany

Reform as
an industry

Gainingcompanywide support

technicalintern

Establishment of acontact point
Technical interns:
ensuring safe
recruitment routes

foreignemployees

Unfairtreatment

Maritimetransportation

Request for third-party certified
ship recycling yards

Abolition of low
wage structures
Addressing themultilingualisation
issuesExample: pricingof plastic bags

Gaining theunderstandingofmanagement

Prioritisationof issues

Disclosure ofinformation

Training
sessions
Education

Building good relationships
with neighbors

Promoting local production
for local consumption

Make efforts to approach the national legislation
Addressing long working hours → Use of IT and DX

External andconsumer
impacts(8)

Dialogue withclients
Investigation ofbusiness partners

Suspending businesswith suppliers who
violate human rights

Planning and publicity rules

Environment(6)Plastic reduction
substitution

Environmental regulations
worldwide and in the country
Uniformity of labelling of the
manufacturing dates

Strengthening
environmental measures

Customer surveys
Handling of collected dataindustrial
waste waterTransparency of privacy policy
Dialogue with consumers andNGOs
Audits and investigations bya third-party

Dialogue with localresidents
Third party cooperation

E.g. supervisory bodies,sending organisations

4. How do you think human rights due diligence could be carried out to identify the parties and communities
suffering human rights violations in the above cases?
Employees in the
supply chain (6)Interviews withfrontline workers

Supply chain
surveys andaudits
Contactpoint

Native language
supportProtection oftechnical interns
External
cooperation(4)

Identifying risks
and issues

Granting of
positive evaluation
incentives
Request for justified
transaction certificates

Provide standards (policies) for
human rights management

Working withthird parties

Third-party
organisations
and experts

Attending onsite hearings

Communication and collaboration
with NGOs and NPOs
Use of ‘Inclusive Labour Monitoring'(Issara Institute)Membership of
SEDEX
Overall approach/In-house initiatives(2)

Verifying while
hypothesising

Identification ofpriority issues
Top-down approach
Dialogue and collaboration with management
departments, relevant business units, departments close
to the relevant stakeholders, etc.

External expert
groupsRisk assessment by
a third party
Operation of thecontact point by athird party

5. What do you consider to be the ‘remedy mechanisms' that should be put in place for the socially vulnerable groups
identified in 3 and 4?
Employees(6)

Reporting ＆ remedy
mechanisms that areconvenient for use

Buildingof trust

Easy toaccess
Use of AI
translation

Respect forthe privacy ofthe contactor

Distinction between
existing systems

Deepening theunderstandingof local culture

Issues beyond
companies(3)

No costsharing

Working withthird parties

Take actual
actions ofremedy

Formulation of legislation
Making it mandatory as acountry or region
Use of the grievance system bynational and private organisations

Public institutions →Authority to force entry into local sites

Ensuretransparency

Adherence to global
principles

Dissemination of the contact point

6. In terms of transparency, please raise any areas for improvement in the disclosure of human rights-related
information by your company or affiliated companies.
External/social
impact (5)Tendency to notdisclose anythinginconvenient

Disclosing of negative
information

Human rights DD
supply chain (4)Disclosure of responses
to human rights issues
Disclosure of identified
risks and actions taken

Disclosure of
main suppliers

Legislation of
disclosure rules
Disclosure of publicaudit details
Disclose informationinternally and externally
via websites, etc.

Formulation anddisclosure of a humanrights policy
Disclosure of the results of theoperation and performance ofthe remedy mechanism

Employment(3)Disclosure ofliving wage
Disclosure ofgender wage gap
Unclear criteria forhiring and promotion
Other internal
initiatives (1)Provide training
tailored to theexpertise of
employees

Dissemination of
information internallyGrasp information on
overseas initiatives
Interaction and informationexchange with different industries