Our Basic Policy and Commitment to Human Rights
At Renesas, we understand that the human rights regulated under the International Bill of Human Rights and the Declaration on Fundamental Principles and Rights at Work by the International Labour Organization (ILO) (Note 1) are the very basic rights, and conduct our business respectfully and according to the United Nations' Guiding Principles on Business and Human Rights. In addition, we support the 10 Principles of the United Nations Global Compact on human rights, labor, environment and anti-corruption.
In compliance with these international initiatives, and our “Code of Conduct” we are committed to respecting human rights, ensuring equal opportunities and treatment free from discrimination (in word or deed) based on race, beliefs, creed, gender, age, social status, family origin, nationality, ethnicity, religion, disability, sexual orientation and gender identity, and prohibiting sexual harassment, forced labor, and child labor in all aspects of our employment activities, including hiring, personnel training, and working conditions. We guarantee that this commitment is upheld by all our group companies conducting business throughout the world, that they strictly adhere to applicable local laws and regulations, and that they carry out human rights education and activities to raise awareness among all of our employees.
Note 1: The international covenant on the Universal Declaration of Human Rights, and Civil and Political Rights, as well as the international covenant on Economic, Social and Cultural Rights
Human Rights Policy
At Renesas, we have reflected our respect for human rights in our Code of Conduct and have continued to promote human rights initiatives.
In recent years, efforts to respect human rights have become more important in corporate activities. In order to further define such initiatives, we established the Renesas Electronics Group Human Rights Policy in November 2021. This policy promotes initiatives to respect human rights across the Group and was approved by the Board of Directors as a guideline to fulfill our responsibilities.
Renesas follows this policy and respects the human rights of all stakeholders, including suppliers and business partners we work with. We will continue to review and improve our human rights policy, and adapt to any changes in the situation and environment.
After establishing Renesas Group Human Rights Policy in November 2021, we established the human rights promotion system headed by Senior Vice President and CHRO (Chief Human Resources Officer) in 2022 to promote global initiatives to respect human rights. The promotion team was established in HR in Japan, and we started to work on identifying human rights risks at Renesas Electronics Group, assessing risks, and identifying priority risks to be addressed with HR members in each country and region together.
In addition, the status of compliance with the human rights policy and the progress of initiatives are regularly reported to and supervised by the Board of Directors. In collaboration with the Sustainability Promotion Office, an organization under the direct control of the CEO that promotes company-wide sustainability activities, we will continuously and transparently disclose the progress of our human rights initiatives to our stakeholders.
Implementation of Human Rights Due Diligence
Since January 2022, we have started human rights due diligence process in accordance with the United Nations Guiding Principles on Business and Human Rights. With a goal to realize the respect for human rights, we continue to implement the due diligence process, including identifying the potential human rights risks in the Renesas Group and our supply chain, examining, and implementing corrective measures, monitoring, and disclosing information.
Human rights due diligence process
Identification of Potential Human Rights Risks
At Renesas, we have identified human rights risks in our business activities and stakeholders who might be vulnerable to potential risks based on international trend surveys, NGO reports, and advice from human rights experts.
Potential human rights risks and potentially affected stakeholders
|Potential human rights risks||Concerned matters (examples)||
Potentially affected stakeholders
|Safe and healthy working environment||Industrial accidents/Poor working environment/Poor employee health||check||check|
|Working hours||Long working hours/Forced overtime/Lack of legal leave||check||check|
|Discrimination (including Diversity, Equity & Inclusion)||Discrimination by attribute/Discrimination against the weak/Harassment||check||check|
|Freedom of association and collective bargaining||Prevention of labor union formation||check||check|
|Right to privacy||Leakage of personal information of customers and employees||check||check||check|
|Conflict minerals||Funding to armed forces/Deterioration of local security||check||check|
|Wage gap||Low wages/Unpaid wages/Unjustified wage deductions||check||check|
|Child labor||Deviates from Renesas Supplier Code of Conduct||check|
|Grievance mechanism malfunction||Malfunction of whistleblower system/Malfunction of whistleblower system and grievance system at suppliers||check||check||check|
|Forced labor||Deviates from Renesas Supplier Code of Conduct||check|
Initiatives to Respect for Human Rights
Following the identification of potential human rights risks, Renesas has identified the following six key human rights issues to be addressed within the Group and our supply chain. In order to meet stakeholder expectations on these critical issues, including those that have been addressed as key themes for some time, we will take additional steps to identify, prevent and mitigate risks in accordance with the United Nations Guiding Principles on Business and Human Rights.
1. Safe and Healthy Working Environment
In accordance with “Basic Policy on Disaster Prevention, Health and Safety,” Renesas is working as one group to ensure the safety and health of our employees and maintain a safe and comfortable work environment and business operations.
Key Initiative: Reduction in the Number of Industrial Accidents
We track all industrial accidents that cause operational shutdowns on a global basis and strive to prevent accidents through proactive information-sharing and other measures. With the global goal of “zero work-related accidents,” we are committed to identifying hidden risks and maintaining the workplace where Renesas employees and contractors work safely and in good health.
2. Prohibition of Child and Forced Labor (Policy on the Rights of the Child)
Renesas Electronics Group Human Rights Policy stipulates that we do not engage in forced labor or human trafficking in any of our business activities. We believe that children are in a vulnerable position where their rights may be violated and special considerations are needed to protect their rights. Therefore, we support the United Nations Convention on the Rights of the Child and the Children's Rights and Business Principles. In addition, we are committed to ensuring that the rights of children are respected in all of our business activities and contributing to the society by preventing the violation of children's rights such as child labor and protecting the rights of all children.
“Renesas Supplier Code of Conduct” also stipulates the prohibition of child labor and forced labor and requires all of our suppliers to comply globally.
Key Initiative: Understanding Risks within the Supply Chain
In 2021, we conducted a self-diagnosis survey among our select suppliers to assess the level of compliance with “Renesas Supplier Code of Conduct.” We chose suppliers based on 1) the transaction amount, 2) replaceability, and 3) characteristics of the produced products and received responses from 878 companies.
“Renesas Supplier Code of Conduct” includes items related to labor to be monitored (Freely chosen employment/Young workers/Working hours/Wages and benefits/Humane treatment/Non-discrimination/non-harassment/Freedom of association). We have confirmed that none of our suppliers are engaged in unfair practices related to child labor or forced labor.
3. Working Hours
Renesas complies with the laws and regulations of each country. We properly manage working hours, holidays, and vacations to create an environment where our employees can work in good physical and mental health.
Key Initiative: Reducing Long Working Hours and Promoting Work-Life Balance
- Reduce long working hours by following up with employees in the middle of the month based on their overtime hours.
- In line with our Action Policy of “maintaining a work environment that respects work-life balance,” we promote “Work-Life Balance Promotion Month” from April through to May each year. This is an ongoing effort to reduce long work hours, encourage employees to utilize their planned annual paid leaves, and promote activities emphasizing “mental and physical health for employees.”
4. Responsible Minerals Procurement
To prevent human rights violation related to mineral procurement, we are working on responsible mineral procurement with a goal to source materials that does not contain conflict minerals.
The latest achievement: Increased Participation in Industry-wide Initiatives
In April 2022, Renesas joined "Responsible Mineral Procurement Study Group" established by the Japan Electronics and Information Technology Industries Association (JEITA) to practice responsible mineral procurement. We are a member of Responsible Minerals Initiative (RMI), which promotes responsible mineral procurement worldwide. By participating in the "Responsible Minerals Procurement Study Group" in collaboration with RMI, we aim to increase cooperation within the semiconductor industry and address conflict minerals issues such as the identification of smelters and refineries.
5. Labor-Management Relations (Japan)
At Renesas, we respect the “freedom of association” and guarantees basic labor rights, including collective bargaining rights. In Japan, where labor union formation is permitted, our employees have organized Renesas Group Labor Union Confederation. Employees below manager levels residing in Japan, with an exception of those who are designated as non-members by the labor union (such as human resources or corporate planning personnel), are all members of the Confederation.
Renesas and the labor union operating under the Renesas Union Labor Union Confederation have entered into labor agreements in the spirit of the Labor Union Law, which requires mutual respect for each other’s basic rights and responsibilities, and to maintain labor-management relations built on the key principles of sincerity and trust with the promise to observe their commitments in mutual good faith.
Due to the increased need for problem-solving and sustained growth, the two parties engage in close dialogues respecting each other’s positions and work together to achieve sustainable growth of the company and the happiness of union members.
6. Human Rights Education
In Japan, human rights initiatives are conducted through training programs for new employees and those provided at each level of the organization. We have developed a curriculum to increase the level of understanding of Renesas’ Code of Conduct and raise awareness regarding human rights.
We have also conducted human rights education for all employees in Japan in the form of workplace-specific discussions in 2019 and web-based training in 2020.
In 2021, while education on respect for human rights and prevention of harassment had been provided in each country and region, the Renesas Group introduced a globally unified education system and implemented compliance-focused e-learning. Approximately 97% of all eligible employees around the world completed the course.
Participation rate in compliance education, including human rights
*Conducted for indirect employees only, excluding direct employees of production sites.
We are continuing our efforts to ensure that our employees are aware and understand our policy of respect for human rights through a variety of initiatives.
Ongoing and Future Initiatives
We promote human rights initiatives in each country or affiliate company and plan to partner more closely with our human resources division that plays a key role in driving global human rights initiatives.
We strive to plan, execute, monitor, and disclosure our initiatives in order to identify, prevent, and alleviate prioritized risks to be addressed by country, region, company, and production process, which were identified through the human rights due diligence conducted in January 2022.
By continuing these processes, we will strengthen the system and framework for reducing human rights risks. In addition, under the supervision of the Board of Directors, we will evaluate and improve these efforts to enhance effectiveness.
Human Rights and Harassment Consultation (Japan)
We have assigned point of contacts to all of our sites in Japan to provide consultation service to all our employees, including temporary employees and suppliers’ employees, to encourage discussions on human rights and harassment issues or concerns. We share the names of consultants and their departments through our company intranet and bulletin boards to make it easy for our employees to contact them by phone or email or schedule face-to-face meetings. When consultants notice any harassment in the workplace or receive inquiries or complaints directly from employees, we undertake investigations swiftly. While ensuring the privacy of the involved parties and maintaining the confidentiality of related information, we make the best effort to resolve the issue prioritizing care and relief for the complainant.
In 2021, there were 7 harassment cases (4 power harassment case and 3 sexual harassment cases) and we swiftly dealt with them by taking disciplinary actions or issuing a warning. All cases have since been resolved.
Contributing to SDGs
Renesas’ efforts in respecting Human Rights contributes to these Sustainable Development Goals targets:
SDG 8.7 Take immediate and effective measures to eradicate forced labour, end modern slavery and human trafficking and secure the prohibition and elimination of the worst forms of child labour, including recruitment and use of child soldiers, and by 2025 end child labour in all its forms
SDG 10.3 Ensure equal opportunity and reduce inequalities of outcome, including by eliminating discriminatory laws, policies and practices and promoting appropriate legislation, policies and action in this regard
SDG 16.b Promote and enforce non-discriminatory laws and policies for sustainable development