Safety Issues

Basic Concept

As part of the current Medium-term Management Plan, SEKISUI CHEMICAL Group promoted safety management activities along the four key axes of rebuilding audit systems, clarifying global equipment design standards, improving site qualities, and actively utilizing digital technology.
As a result of this approach, we have firmly instilled activities that help improve efforts to address issues regarding intrinsic equipment safety identified in domestic production site safety audits within the following fiscal year. Moreover, activities implemented by key safety personnel at domestic construction sites reduced the number of workplace accidents (particularly incidents that involve personnel falling off equipment and falling over), and have experienced no major equipment-related accidents (fires/explosions) in Japan or overseas.
On the other hand, several of the issues raised included discovering the risk of injuries attributable to machines and equipment at actual production sites, as well as reviewing the method and scope of discovery; developing automated detection technologies based on monitoring cameras for the purpose of reducing actions that deviate from rules at construction sites; taking measures against heatstroke amid the increasingly hot summer environment; and ensuring intrinsic equipment safety at overseas business sites while training the personnel to ensure safety promotion.

Each and Every Employee Has the Ability to Identify Dangerous Situations

The Group feels that the establishment of a workplace environment in which employees can carry out their duties with safety and security is a key corporate responsibility and one of management’s most important priorities. Under this concept, we are implementing total safety activities (i.e. zero occupational injuries, zero equipment-related accidents, zero commuting-related accidents, and zero extended sick leave) based on five themes ((1) through (5) listed below). Despite a company’s efforts to provide a safe and secure environment, however, employees must also take it upon themselves to prevent accidents from happening. Ultimately, safety is a byproduct of the actions undertaken and behavior of each individual. For this reason, we are making concerted efforts at safety education and raising sensitivity to risks, while following rules and creating a protective corporate culture.

  • (1)
    Safety management using OHSMS
  • (2)
    Intrinsic equipment safety*
  • (3)
    Safety education of employees
  • (4)
    Risk management and control, etc.
  • (5)
    Safety audits and accident-prevention audits that assess the status of the above activities
  • The term for machine safety activities implemented by SEKISUI CHEMICAL Group. These activities promote improvements to unsafe areas of production equipment through intrinsic safety design policies and safeguards.
  • 06-10
Targets

During the current Medium-term Management Plan, we promoted safety activities with a review to achieving the KPI of zero occurrences of workplace accidents that result in a fatality in order to prevent any damage to our corporate value due to major incidents. Based on these endeavors, there was one workplace accident that resulted in a fatality in fiscal 2020. The results of major implementation measures are as follows.

Major Implementation Measures Management Indicators Current Medium-term Management Plan Final Fiscal Year (FY2022) Targets Fiscal 2022 Results
Safety audits, mutual on-site inspections, comments and sound improvements through on-site risk assessment Incidences of injuries attributable to machines and equipment 0 4
System

We formulated and shared the SEKISUI CHEMICAL Group Safety Policy among all Group employees as our basic philosophy on occupational safety.
In terms of our efforts related to occupational health and safety, policies and activity guidelines are formulated by the Safety Subcommittee established under the Sustainability Committee. Each site puts into practice and promotes these policies and activities under the guidance of the Safety & Environment Group of the Manufacturing Infrastructure Enhancement Center.
In addition to data generated from ongoing work at SEKISUI CHEMICAL Group production and implementation sites and from research activities, a wide range of Group occupational health and safety data including data from partner companies (contractors) outside the Group is also collated.
In fiscal 2022, two meetings of the Safety Subcommittee were held online in October and March.
In the event of an actual occupational injury, information including the form of employment of the injured party is collected. Improvements as required are also sought when there is a problem with the management of a business site.
SEKISUI CHEMICAL Group determines the necessity of ISO 45001 certification for each business site, and promotes acquisition of and acquisition activities for this certification. Business sites that have not acquired this certification also build and apply safety and health management systems that reflect ISO and Occupational Health and Safety Assessment Series (OHSAS) requirements. The status of activities is monitored through safety audits and disaster-preparedness audits in an effort to encourage the continuation and vitalization of safety management activities.

[ External certification (ISO 45001) Acquired ]

  • SEKISUI CHEMICAL CO., LTD. Shiga-Ritto Plant
  • SEKISUI CHEMICAL CO., LTD. Shiga-Minakuchi Plant,
  • SEKISUI CHEMICAL CO., LTD. Taga Plant
  • CHIBA SEKISUI INDUSTRY CO., LTD.
  • SHIKOKU SEKISUI CO., LTD.
  • TOKUYAMA SEKISUI CO., LTD.

The ratio of ISO 45001-certified business sites to the total number of SEKISUI CHEMICAL Group’s domestic production sites is 13%.

  • 09-02

Safety-promotion System

Occupational Safety Committee Meeting Held

Each business site within the Group convenes legally mandated Occupational Safety Committee meetings on an individual basis, during which labor and management work together to conduct disaster-related investigations and make strategic proposals related to occupational health and safety.
Meetings of the Central Occupational Safety Committee were held as a Group-wide forum for discussion between labor and management up to fiscal 2019. Despite a hiatus owing to the COVID-19 pandemic, Central Occupational Safety Committee meetings, at which labor and management discuss issues and measures regarding safety activities, resumed from fiscal 2022.

Declaration of Commitments to Safe Business Practices Announced by the Leadership of Each Division

Based on the recognition that it is of the utmost importance for the top managers at business sites to exercise leadership and take the initiative in safety activities, leaders from each division, including the president, declare their commitment to safe business practices each fiscal year, and their personally written declarations are posted on the intranet.

  • 09-03

A safety declaration posted on the intranet

Implementation of Safety Audits

SEKISUI CHEMICAL Group has identified occupational health and safety management system evaluation categories, which are employed in the self-evaluations conducted at each business site as well as safety audit evaluations by Corporate Headquarters. We review evaluation categories each year, taking into account issues related to Group-wide safety management activities.
With a view to preventing the spread of COVID-19, certain business sites were audited remotely online in fiscal 2022 in similar fashion to efforts in fiscal 2021. SEKISUI CHEMICAL Group succeeded in completing safety audits as initially planned at 17 business sites in Japan.
In the remote audits, document audits were executed with comparable efficacy to in-person audits. Site inspection tours, on the other hand, were more time-consuming than usual, as they required communication between auditors at remote sites and on-site staff touring the facilities with wearable cameras. In the future, the Group plans to make continuous improvements to its safety auditing procedures, to ensure that they are carried out appropriately in line with audit objectives and the circumstances in each case.

Implementation of Occupational Safety Assessments

Article 14 of the Group’s Safety Management Rules stipulates that a comprehensive preliminary occupational safety assessment must be undertaken by the business general manager concerned when launching a new business. Based on this stipulation, the relevant divisional company that is looking to launch a new business implements an assessment.
Statutory and regulatory requirements differ by region, country, and state. With this in mind, overseas business sites are audited by external consultants (experts in local laws and ordinances) to confirm compliance.

Implementation of Medical Examinations

As far as medical examinations for employees are concerned, measures are applied based on the medical examination results of high-risk individuals under the work aptitude assessment guidelines for high-risk individuals (for health management officers). In addition, SEKISUI CHEMICAL Group confirms that the following legally mandated medical examinations are conducted at each business site through various means including safety audits.

  • Special medical examinations
  • Special medical examinations
Major Initiatives
Major Safety Management Initiatives

Development of Human Resources to Take the Initiative in Safety Activities

SEKISUI CHEMICAL Group established a Safety Leader (SL) certification system as a qualification for personnel who assist safety managers and promote safety management activities at each site. The Group has continued to promote this system since fiscal 2017 for the purpose of enhancing safety activities.
In fiscal 2022, 35 employees (157 in total since fiscal 2017) were certified under the SL qualification system. Safety leaders are tasked with identifying and mitigating risks at their respective workplaces, holding workshops with other safety leaders Group-wide, upgrading and expanding the content of safety training, and promoting the rollout of best practice examples.
In addition, since fiscal 2017 we have continued to provide support for employees to obtain safety sub-assessor* (SSA) qualifications, holders of which promote machine safety activities. As of March 2023, a total of 197 employees have been certified as SSAs. In addition, 23 employees have acquired safety assessor* (SA) qualification, which ranks above SSA, while one employee also acquired safety senior assessor* (SEA) qualification.

  • A Japan Certification Corporation safety qualification acquired to certify the knowledge and skills for machine safety. This certification is based on international safety standards.
Major Intrinsic Safety of Equipment Initiatives

New Equipment Design Safety Standards

The New Equipment Design Safety Standards, which summarize the safety specifications necessary for production equipment used by the Group, kicked-off our Intrinsic Equipment Safety*1 activities. At the same time, the content was updated to reflect ISO/JIS machine safety standards, so it now serves as an important document for production equipment improvements. As a document, the Standards have been systematized in line with ISO/IEC Guide 51, and are comprised of Standard A: Basic Safety Standards, Standard B: Common Safety Standards, and Standard C: Individual Equipment Safety Standards. In 2020, we launched a revision committee comprised of 12 individuals with SSA*2 qualifications. This committee updates these Standards with the goal of revising the content once per year.

  • Machine safety activities promoted by SEKISUI CHEMICAL Group. These activities promote improvements to unsafe areas of production equipment through intrinsic safety design policies and safeguards.
  • A Japan Certification Corporation safety qualification acquired to certify the knowledge and skills for machine safety. This certification is based on international safety standards.
Major Risk Management Initiatives

Increasing Risk Discovery Opportunities and Deploying Best Practices through Mutual On-site Inspections

Starting in fiscal 2021, the Technology & CS Promotion Department at each divisional company took the lead in initiating mutual on-site inspection activities through which employees from different manufacturing sites seek to uncover risks at each other’s sites. Conventional safety, accident-prevention, and environmental audits are only conducted once every three years making frequent audits impossible. This has made it difficult to horizontally deploy the best practices of other business sites.
Mutual on-site inspections help participating employees become more aware of and sensitive to risk, while leaders and others at the sites that host these inspections are able to learn from other business sites, thereby making it easier to horizontally deploy best practices.
In addition, we distribute a Site Risk Identification Handbook, which was prepared by the Safety & Environment Group, to safety officers at each business site as a guideline for uncovering risks on their own.

  • 06-05
Major Risk Management and Safety Audit Initiatives

Enhancement of Emergency Response Skills

SEKISUI CHEMICAL Group has identified getting caught or entangled in machinery at a production facility, falling off equipment or falling over at a business site, and a chemical process-related fire or explosion as high-risk scenarios on which particular emphasis should be placed on prevention.
Moreover, the Company conducts Heads-up Training where chemical processes are integral to production.
At SEKISUI CHEMICAL Group, we conduct Heads-up Training to fortify the decision-making abilities of all our employees in the event that they encounter an emergency situation. More specifically, supervisors with years of experience will ask trainees what they would do if equipment designed to prevent danger fails. Trainees are then tasked with providing responses off the top of their heads. This training improves the skills needed to respond to unexpected situations in the event of a disaster by passing down to younger employees the on-site safety know-how accumulated over many years by senior employees.
Through this training, we are able to improve equipment countermeasures and revise operating procedures. In addition to teaching trainees how to handle potential problems, the training is applied on various occasions, including evacuation drills and disaster prevention drills.

Major Safety Education Initiatives

Deepening Understanding of the Basic Safety Principles

SEKISUI CHEMICAL Group is working to prevent occupational injuries caused by manufacturing machines and equipment through activities that make equipment itself intrinsically safer* while also preventing occupational accidents caused by worker operations. Based on the lessons learned from past occupational accidents that actually occurred on Group business sites, the Six Basic Safety Principles, which summarize compliance matters and matters prohibited during operations for each operational process, were established and are currently in use.
In order to promptly disseminate these principles within the Group, we created and distributed to each workplace a poster that displays details in an easy to understand, illustrated format.。

  • Machine safety activities implemented by SEKISUI CHEMICAL Group. These activities promote improvements to unsafe areas of production equipment through intrinsic safety design policies and safeguards.
  • 09-10

Six Basic Principles for Hot Work Poster (Thai version)

Major Safety Audit/Disaster-preparedness Audit Initiatives

Measures to Prevent Fires and Explosions

To prevent fires and explosions that, once they occur, have a major impact on the surrounding environment and on business continuity, we invite outside disaster experts to perform emergency response audits when conducting safety audits.
We verify items such as the storage and handling status of hazardous materials as well as the recovery systems used following a disaster, including natural disasters, and promote the quick identification of disaster risks and the subsequent implementation of preventative measures. In fiscal 2022, these audits were performed at 14 business sites uncovering 298 items. Each business site has been making improvements in regard to these items.

  • 09-07
Type of audit Target / Aim of audit
Safety audit
  • Document review
    Checking of conditions relating to health and safety management activities
  • On-site inspections
    Confirmation of the safety of people’s work, their working environments, the surfaces on which they walk, etc.
  • Intrinsic equipment safety measure status
    Inclusion of accident-prevention measures at the facility design and installation stages
  • Process examinations of facility management departments
    Facility installation management, construction management, maintenance management
  • Note:
    For sites that implement safety audits only, the audit will proceed in much the same manner as before, including the disaster-preparedness audit outlined as follows.
Disaster-preparedness audit Primarily consists of audits for accident-prevention measures relating to business continuity
  • Checking of storage and handling conditions of hazardous as well as designated flammable materials
  • Checking of fire-fighting equipment maintenance status
  • Measures for responding to earthquakes and other natural disasters
Major Safety Audit/Disaster-preparedness Audit Initiatives

Overseas Business Site Safety Audits

At our overseas production sites, which operate within different legal, regulatory, and cultural environments, SEKISUI CHEMICAL Group has established and deployed safety global standards to raise the level of safety activities.
In similar fashion to fiscal 2021, we conducted remote site inspections at 16 business sites while checking images from each premise in real-time in fiscal 2022. Moreover, we undertook occupational health and safety management audits based on the Group’s evaluation standards with a focus on business sites that newly joined the Group.

Other Initiatives

Safety Awards

The SEKISUI CHEMICAL Group Safety Conference is held each year.
Awards were bestowed by the president and case studies were presented by the business sites with the best safety records using an online format on May 27, in fiscal 2022.

Safety Management Along Supply Chains

In order to secure the safety of employees from partner companies (contractors) involved in the on-site construction of housing, the Housing Company organizes the Sekisui Heim Cooperation Association with its partner companies (contractors) and holds periodic meetings. During these meetings, the Housing Company shares SEKISUI CHEMICAL Group’s safety policy, offers safety education sessions, and provides a variety of training opportunities related to occupational safety.

Emergency-preparedness Drills

To prevent and mitigate environmental pollution during an emergency, our employees at each business site are trained at least once a year in emergency procedures and communications for a variety of scenarios unique to each business site.

Notification Regarding the Leakage of Wastewater Containing Radioactive Material from a Laboratory Building at the Drug Development Solutions Center of Sekisui medical Co., Ltd.

On August 4, 2022, a ruptured RI (radioactive material) water drainage pipe was discovered during demolition work at a building on the grounds of the Drug Development Solutions Center, Sekisui Medical Co., Ltd. (Tokai Village, Naka-gun, Ibaraki), at which point a trace amount of radioactivity was detected from the soil in the area surrounding the rupture. In preparation for such incidents, we had previously conducted drills in cooperation with local governments. In accordance with the established procedures, and in response to this incident, we swiftly contacted the Nuclear Regulation Authority, the local government, and others, released a press statement, and addressed inquiries from surrounding communities in the appropriate manner. It has been determined that there is no impact on human health or the environment as a result of this incident.

Environment-related Complaints and Accidents

Category Number Details
Accidents Fires 0 -
Leaks 1 Trace amounts of radioactivity were detected in the soil around a ruptured water drainage pipe during demolition work at a building. (See above)
Complaints 0 -
Performance Data

Safety Performance

Japan

Aggregate scope: 47 production sites and five research institutes in Japan

  • 09-11
  • 09-12
  • Number of Occupational Accidents

    Indicator Calculation Method
    Number of Occupational Accidents The number of occupational accidents (both those resulting in lost time and those not) occurring during a given fiscal year (April through the following March)
  • Number of Facility Accidents

    Indicator Calculation Method
    Number of Facility Accidents The number of incidents where facilities malfunctioned (fires, leaks, etc.) that fulfill at least one of the following criteria (SEKISUI CHEMICAL Group criteria), from (1) to (3), occurring during a given fiscal year (April through the following March)
    • (1)
      Human harm: An accident causing at least 30 days’ lost work
    • (2)
      Material harm: 10,000,000 yen or greater
    • (3)
      Opportunity loss: 20,000,000 yen or greater
  • 09-15
  • 09-16
  • Number of Cases of Long-term Sick Leave

    Indicator Calculation Method
    Number of Cases of Long-term Sick Leave Describes leave of 30 days or more consecutively for sickness or injury occurring in a Japanese production site or research institute during the given fiscal year (April to the following March), and which is newly-occurring. Recurrences within 6 months of the start of work attendance are not counted. However, leave attributable to an occupational injury is counted as an occupational accident and not classified as long-term sick leave
  • Number of Commuting Accidents

    Indicator Calculation Method
    Number of Commuting Accidents The number of accidents occurring during commutes to Japanese production sites and research institutes during a given fiscal year (April to the following March); counting assault, damage, self-inflicted injury, and accidents; includes accidents while walking
  • 09-19
  • 09-20
  • Frequency Rate Over Time

    * Source of information for the Japanese manufacturing industry: Ministry of Health, Labour and Welfare, Survey on Occupational Accidents

    Indicator Calculation Method
    Frequency Rate The total number of injuries, illness and fatalities in occupational accidents with lost time per 1,000,000 hours of total time worked during a given fiscal year (April through the following March) Formula for calculation: (Number of injuries, illness and fatalities in occupational accidents with lost time / total number of man-hours worked) × 1,000,000
  • Severity Rate Over Time

    * Source of information for the Japanese manufacturing industry: Ministry of Health, Labour and Welfare, Survey on Occupational Accidents

    Indicator Calculation Method
    Severity Rate The total number of days of work lost per 1,000 hours of total time worked during a given fiscal year (April through the following March) Formula for calculation: (Number of days of work lost / total number of man-hours worked) × 1,000
  • 09-23
  • 09-24
  • Lost Time Injury Frequency Rate (LTIFR)

    Indicator Calculation Method
    Lost Time Injury Frequency Rate (Number of accidents causing sick leave / total number of man-hours worked) × 1,000,000
  • Occupational Illness Frequency Rate (OIFR)

    Indicator Calculation Method
    Occupational Illness Frequency Rate (Occupational illnesses / total number of man-hours worked) × 1,000,000 Occupational illnesses as defined by the Ministry of Health, Labour and Welfare, including heat stroke, lower back pain, and intoxication by chemical substances
  • 09-27
  • 09-28
  • Safety Performance in the Housing Company’s Construction Sites

    Indicator Calculation Method
    Safety performance on the Housing Company’s construction sites The number of occupational accidents (both those resulting in lost time and those not) occurring on construction sites under the jurisdiction of the Housing Company during a given fiscal year (April through the following March)
  • Safety Performance with Respect to Construction Sites in the Urban Infrastructure & Environmental Products Company

    Indicator Calculation Method
    Safety Performance with Respect to Construction Sites in the UIEP Company The number of occupational accidents (both those resulting in lost time and those not) occurring on construction sites under the jurisdiction of the UIEP Company during a given fiscal year (April through the following March)

Overseas

Aggregate scope: 47 overseas production sites

  • 09-31
  • Number of Occupational Accidents

    Indicator Calculation Method
    Occurrence of occupational accidents at overseas production sites and research institutes The number of occupational accidents (both those resulting in lost time and those not) occurring at overseas production sites and research institutes during a given fiscal year (April through the following March)

Japan and Overseas

  • Aggregate scope:
    47 production sites, five research institutes, and 31 construction offices in Japan
    47 production sites and two construction offices overseas

Occurrence of fatalities due to occupational accidents

(Number of people)
  FY 2018 FY 2019 FY 2020 FY 2021 FY 2022
Employees 0 0 0 0 0
  Japan 0 0 0 0 0
Overseas 0 0 0 0 0
Partner Companies (contractors) 0 0 1 0 0
  Japan 0 0 1 0 0
Overseas 0 0 0 0 0
Total 0 0 1 0 0

Health and Safety / Accident Prevention Costs

Aggregate Scope: 46 Production Sites, five Research Institutes, Corporate Headquarters Departments, Back Offices of Divisional Companies in Japan

Accident Prevention Costs (Fiscal 2022)

(Millions of yen)
Item SEKISUI CHEMICAL Group
Classifcation Details Expense amount Investment amount
1) Costs within business site areas Health and safety measures, rescue and protective equipment, measurement of work environment, health management, workers’ accident compensation insurance, etc. 1,406 3,384
2) Administrative costs Establishment and implementation of OHSMS, safety education, personnel costs, etc. 2,262
3) Other Safety awards, etc. 9
Total   3,676 3,384
  • 09-35
  • 09-36
  • Costs and Investments Over Time

    Index Calculation Method
    Costs Costs associated with health and safety as well as accident prevention activities during a given fiscal year (April through the following March)
    Investment amounts The amount invested in health and safety as well as accident prevention-related measures authorized during a given fiscal year (April through the following March)
    • Note:
      Collated after adding maintenance costs (production, logistics, and power transformer facility management) to costs within business site areas from fiscal 2021.
  • Loss Costs Over Time

    Index Calculation Method
    Loss costs The costs of responding to, and the labor costs incurred due to, occupational accidents, facility accidents, commuting accidents, and long-term sick leave due to illness occurring within a given fiscal year (April through the following March)