Otsuka Group Human Rights Policy

1. Introduction
The Otsuka group of companies (Otsuka Group) aims to maximize our unique assets and skills as a global
healthcare company in keeping with our corporate philosophy, “Otsuka-people creating new products forbetter health worldwide”. We recognize that respect for human rights in every aspect of our businessactivities must be the premise upon which we build to meet the expectations of our stakeholders, create
new value, and contribute to the health and wellbeing of people all over the world as we continue to growsustainably. Based on the Otsuka Group Global Code of Business Ethics*, which outlines our commitment
to integrity in all of our business activities, we have established the Otsuka Group Human Rights Policy(this Policy) to guide our efforts to promote human rights initiatives on a group-wide basis.
*Otsuka Group Global Code of Business Ethics:
https://www.otsuka.com/en/company/conduct/

2．Our Commitment to Human Rights
Otsuka Group supports and respects international covenants governing human rights as set forth by theUnited Nations International Bill of Human Rights (the Universal Declaration of Human Rights; theInternational Covenant on Civil and Political Rights; the International Covenant of Economic, Social, andCultural Rights) and the standards established by the International Labor Organization (ILO) in theDeclaration on Fundamental Principles and Rights at Work. We also support and respect the United
Nations Guiding Principles on Business and Human Rights into practice. As a signatory of the United
Nations Global Compact, we support and respect the Ten Principles.
Otsuka Group complies with the laws and regulations of each country where we do business. Where
local laws are inconsistent with international human rights standards, we will make every effort to honor
the international principles of human rights.

3. Scope of Application
This Policy is applied to directors, officers, employees (both permanent and contract) and temporary
employees of Otsuka Holdings Co., Ltd. and subsidiaries of Otsuka Holdings Co., Ltd. We consider all
suppliers as business collaborators and will work continuously with all business collaborators involved
with Otsuka Group products and services, to encourage them to avoid infringement of and ensure
respect for human rights, even in situations where Otsuka Group has not directly caused negativeimpacts.

4. Human Rights Due Diligence
To fulfill our responsibility regarding respect for human rights, we will seek to identify adverse human rights
impacts related to our business operations and continuously perform due diligence to prevent and mitigate
such impacts, as outlined in the United Nations Guiding Principles on Business and Human Rights. Incases where adverse impact has occurred or been fostered, appropriate remediation measures will beimplemented. Relevant information regarding these efforts will be publicly disclosed, such as on thewebsite of the Otsuka group of companies.

5. Dialogue and Consultation
To facilitate implementation of this Policy, Otsuka Group will engage in dialogue and consultation
regarding actual and potential human rights impacts with all stakeholders, including patients, healthcare
professionals, consumers, local communities, residents, and business partners, and actively seek
specialized knowledge from independent human rights experts.

6．Education and Awareness Raising
To ensure this Policy is adopted and effectively implemented across all areas of business activities,
Otsuka Group will provide appropriate education and work to foster awareness of the importance ofrespect for human rights among all executives and employees of Otsuka Group.

7. Salient Human Rights Issues
Otsuka Group has identified key human rights issues to be addressed as outlined in the attached document
below, “Salient Human Rights Issues for Otsuka Group”. These key issues will be reviewed and updated
on a regular basis in order to address the changing environment and business trends affecting ouroperations.
December, 2020

President and Representative Director, CEO
Otsuka Holdings Co., Ltd.

Effective date: March 1, 2021

■Salient Human Rights Issues for Otsuka GroupIn 2019, Otsuka Group conducted a human rights assessment of Otsuka Holdings Co., Ltd. and sevengroup companies*, resulting in the identification of key issues affecting Otsuka Group. As a promise to
our valued stakeholders, we have outlined the salient human rights issues below, and will continuously
work to identify, prevent and mitigate adverse human rights impacts related to our operations.
*Otsuka Pharmaceutical Co., Ltd., Otsuka Pharmaceutical Factory, Inc., Taiho Pharmaceutical Co., Ltd., Otsuka Warehouse Co., Ltd.,
Otsuka Chemical Co., Ltd., Otsuka Foods Co., Ltd., Otsuka Medical Devices Co.,Ltd.

1．Related to Our Patients and Consumers
Otsuka Group contributes to the health and wellbeing of people throughout the world, through thecreation of innovative products and services. As a total healthcare company seeking solutions forhealth-related issues, we recognize our responsibility to patients and consumers, always prioritizing
the quality and safety of our products, and reinforcing our supply chain. When issues regarding ourproducts or services become apparent, we will collaborate with relevant departments to collect andanalyze information and develop appropriate responses, enabling us to continue to provide ourvalued customers with better products and services.
*Declaration of Customer-centric Commitment:
https://www.otsuka.com/en/company/customer/

2. Related to Management and Employees
As a signatory of the United Nations Global Compact, we are committed to the elimination of forcedlabor and the abolition of child labor, as we aim to create comfortable work environments in whichhuman rights are fully respected. To maintain fair and open workplaces, we strictly prohibit
discrimination and harassment. As a total healthcare company, we strive to provide workplaceenvironments in keeping with the principles of health and productivity management, in which
management and employees are encouraged to take the initiative in developing and maintaining
their own health.
*UN Global Compact:
https://www.otsuka.com/en/hd_release/release/pdf.php?news=1444*Women’s Empowerment Principles:
https://www.otsuka.com/en/hd_release/release/pdf.php?news=1721*Otsuka Holdings Health Declaration:
https://www.otsuka.com/jp/company/health/ (in Japanese)3. Related to Our Business Collaborators

In keeping with the principles of the United Nations Global Compact, we share our concerns forhuman rights, labor, environment and anti-corruption with our business collaborators and engage inongoing dialogue and consultation to ensure respect for human rights across our entire supply
chain.
*Otsuka Group Procurement Policy:
https://www.otsuka.com/en/csr/society/quality/procurement.html

4. Related to Society
We believe that efforts to reduce environmental issues are closely related to the issues surrounding
human rights, and we will proactively and continuously engage in initiatives that benefit local
communities and general society.
*Otsuka Group Environmental Policy:
https://www.otsuka.com/en/csr/environment/

5. Related to Our Stakeholders
To fulfill our responsibility to respect human rights, we recognize the importance of ongoing dialogue
and will proactively seek opportunities to engage with diverse stakeholders. We are also working toestablish contacts and grievance mechanisms to address any human rights issues that may come tolight.