We regard safety as the foundation of business continuity. As such, we are working on safety as a key management issue necessary for corporate growth.
Under our safety philosophy and policy as well as the Course of Action for achieving them, we strive to be a company where all employees work safely and experience happiness, and as a responsible member of the community, we will carry out environment- and safety-conscious business activities.

We also provide support for the safety activities of our Group companies in Japan and overseas based on our safety philosophy and policy. The entire Group works together to ensure safety.

Under the JSR Group’s RC Advancement Structure, the President is established as the Chief Safety Officer, and the JSR Headquarters Environment, Safety and Quality Committee, which is chaired by the Officer in charge of Environment, Safety, and Quality, establishes and advances safety policies and plans. The committee deliberates on policy and planning progress reports, activities related to priority safety issues, and other matters. Based on the results of committee reviews, Headquarters environmental and safety audits, and management reviews, decisions are made on activity policies and plans for the following fiscal year, considering internal and external issues.

Based on the belief that “safety is the foundation of business continuity and a key management issue necessary for corporate growth,” JSR Group has established targets and action plans for each fiscal year in light of the results of internal safety audits and management reviews conducted in the previous year. As a result, we are using a selection-and-concentration approach to implement more efficient occupational safety, security, and accident prevention efforts.

To clearly visualize progress toward achieving our targets, we have set the number of occupational and facility accidents as a result of our safety activities as a key performance indicator (KPI) of the material issue of “safety and health” within the Group. We have also globally standardized the evaluation criteria and have begun monitoring.

*1. Occupational accident resulting in four or more days of lost time

*2. Explosions, fires, leaks, or any of the following that are recognized as accidents by the government:
・ Accidents or disasters that cause health hazards to employees or local residents
・ Accidents or disasters with estimated damages exceeding 100 million yen
・Accidents or disasters that shut down a part of the plant for more than a month or the entire plant for more than a week

*3. Domestic or foreign companies in which JSR's shareholding exceeds 50%

In Japan, JSR Group defines occupational accidents resulting in four or more days of lost time, which must be reported promptly to the government, as significant occupational accidents. In addition, reporting and evaluation criteria are standardized globally, and these accidents are monitored as a KPI.
As a member of the Japan Petrochemical Industry Association and the Japan Chemical Industry Association, JSR reports the number of occupational accidents to each organization.

In 2022, there was one occupational accident at JSR, and there were three at Group companies for a total of four, in contrast to the Group’s target of zero. There has been an increase in accidents resulting in lower back pain caused by “handling of heavy objects (improper posture or repetitive tasks),” which had not occurred in recent years. However, the weight of the objects was 10 kg or less, so the cause was not the heavy weight of the objects, which had previously been the case, but rather improper posture or repetitive tasks. There were also accidents with four or more days of lost time caused by “getting caught or trapped in equipment” and “slipping or tripping.”

Based on an analysis of the cause of these accidents, we have determined that there are issues with “education” and “identification of risks.” We are working on the items below as measures to prevent the recurrence of these occupational accidents.

• Enhancement of risk assessments (work risk management with additional focus on lower back pain from improper posture or repetitive tasks)
• Implementation of proper education (enhancement of clerical work risk awareness and education)

*The aggregation scope until 2021 included JSR and domestic group companies, including the Elastomer Business. In 2022, we globally standardized occupational accident reporting and evaluation, so overseas group companies were added to the scope, which now includes JSR Group companies in Japan and overseas.

*Until 2021, the scope was the Yokkaichi, Kashima, and Chiba plants with JSR manufacturing facilities. In 2022, the scope was narrowed to the Yokkaichi Plant with JSR manufacturing facilities.

JSR Group defines significant facility accidents as accidents involving explosions, fires, leaks, and other incidents recognized as accidents by the government corresponding to high-urgency events outlined in the crisis management manual. The criteria for judgment and evaluation have been standardized globally, and we are monitoring them as KPIs.
There were no facility accidents (serious facility accidents) within JSR Group in 2022.

We believe that one of the reasons we were able to achieve our target this year was that we were successful in our efforts to control corrosion at our facilities and engage in risk-based facility and crisis management. These measures have already been incorporated into the facility management system and will continue to be implemented in the future.

*Until 2021, the counts were based on the definition of “abnormal phenomena” in the Act on Prevention of Disasters in Petroleum Industrial Complexes and Other Petroleum Facilities. As of 2022, we count accidents that involve explosions, fires, leaks, or those recognized as accidents by the government falling under the high-urgency events outlined in the crisis management manual.

JSR Group believes that safety is linked to the daily lives of all stakeholders and is also the bedrock of corporate management. With this in mind, we have been conducting safety activities. However, a serious occupational accident, which claimed the life of an on-duty employee, occurred at the Yokkaichi Plant on July 23, 2014.
With a pledge to aim for zero accidents and keep the lessons learned from these serious occupational accidents alive, executives, managers, and employees will work together to advance safety activities with a strong determination to protect precious lives and prevent such tragic accidents from ever happening again.

The President of JSR communicates his thoughts on the importance and value of safety to all JSR employees on various occasions, such as those below.

• Instruction to strive for safe and stable operations in remarks at the beginning of the calendar and fiscal years
• Direct address to employees at headquarters during entrance ceremony and delivery of messages
• Delivery of President’s messages related to National Safety Week
• Delivery of President’s messages related to Safety Day
• Participation in Headquarters Environment and Safety Audits as head and conducting of direct interviews on status of activities at business sites

On July 23, 2014, an accident at the JSR Yokkaichi Plant resulted in an employee's death.
We have established a Safety Day with a solid determination to keep the lessons learned from serious occupational accidents alive and never to allow such a tragic accident to happen again. We hold events to commemorate this day every year.

In FY2022, with the transfer of the Elastomer Business, we established a new structure. JSR’s President issued a message on July 23, the anniversary of the accident, sharing the importance of Safety Day and expressing his and all employees’ determination never to allow such a tragic accident to happen again.

JSR Group holds an annual Safety and Health Activity Forum to raise the level of safety activities and safety awareness among all Group employees, including those in Japan and overseas. The forum includes lectures by relevant parties on outstanding activities for occupational safety, security, and disaster prevention. It also draws attention to the value of these activities. In FY2022, priority had to be given to handling the transfer of the Elastomer Business, so the forum was not held. However, it will be brought back next year to raise safety awareness.

JSR has established the Comprehensive Disaster Prevention Committee (CDPC) for communication with its contractors that perform various work and construction at each business site. When our contractors notice something in their operations or identify areas that need improvement, we ask them to share this information at the CDPC and set up opportunities for communication as necessary. We then share opinions to ensure safety and advance operational improvements.

If an accident or disaster occurs in the operations handled by a contractor, we work with that contractor to investigate the root cause, implement countermeasures, and verify their effectiveness to prevent a recurrence. Not only do we share this information within the Group, but we also share it with contractors as necessary to prevent accidents.

We strive to ensure the safety of all employees working at JSR by collaborating with other companies to advance occupational safety activities.

JSR is a member of the Japan Chemical Industry Association, Japan Petrochemical Industry Association, the Japan Society for Safety Engineering, and the Japan Industrial Safety Competency Center. Through the following safety activities and our Responsible Care program, we communicate with communities, society, and peer companies, sharing information both in Japan and abroad.

• Hosting of or participation in accident prevention training drills of firefighting authorities and joint training with other nearby companies
• Participation in joint accident prevention organizations with nearby companies
• Participation in disaster prevention councils in the community
• Participation in local dialogue on Responsible Care
• Response to CSR surveys from other companies/organizations

Our business sites in Japan and overseas also actively communicate with their local communities to increase awareness of safety, improve safety technologies, and reciprocally prevent accidents.

JSR Group emphasizes risk assessment as a means of preventing accidents and disasters and ensuring safety. By steadily implementing risk assessments, we are working to ensure effective risk management.
In FY2022, we confirmed that the business sites and companies with the Group’s manufacturing facilities were each engaging in risk management in accordance with their respective standards. However, we believe that significant risks should be evaluated and managed according to the same criteria throughout the Group. We plan to begin looking into that in the next fiscal year.

JSR manages risks related to chemical substances, facilities, and occupational safety from research and development to each stage of the plant life cycle. We have defined the items and procedures necessary for such management within our standards.
Furthermore, not only do we verify risks when introducing new facilities or making changes but we also identify risks in existing facilities using various approaches. We engage in centralized management of those risks that have the potential to lead to accidents or disasters, and we have established an environment where any employee working at a business site can check the description of risks, the status of countermeasures, and the status of emergency responses carried out until permanent countermeasures can be implemented.

An audit team consisting of members from the Environment and Safety Department at JSR Headquarters conducts annual Headquarters Environment and Safety Audits of JSR Group’s plants and laboratories on a regular basis. These audits are conducted according to an audit plan and check sheet*. They verify the effectiveness of the management system in place at each department based on the results of interviews and objective facts (evidence, on-site inspections, etc.) on the status of safety, health, security, disaster prevention, environmental conservation, and chemical management in the audited department. The audits also provide an opportunity to share and discuss issues faced by audited departments, and the Group comes together to resolve issues related to environmental and safety activities.
With the verification of system effectiveness, the team not only identifies areas for improvement and provides guidance but also highlights the strengths. The results are shared with business sites and companies as necessary and used to raise the level of safety group-wide.

Since FY2015, opportunities have been provided for top management and employees to engage in dialogue during JSR audits. This allows management and frontline workers to share their thoughts and revitalize environmental and safety activities.

*Prepared based on the Risk-Based Process Safety (RBPS) approach

In FY2022, we conducted in-person audits and site inspections in relation to the impact of the transfer of the Elastomer Business in April 2022 on the environmental and safety system in addition to the key areas of risk management, legal compliance management, and accident management.

The business sites and companies audited are shown below. There were no non-conformities at any of the business sites or companies that would significantly impact safety activities.
We are currently looking into expanding the scope of the audits. In the next fiscal year or thereafter, we plan to conduct audits at business sites outside of Japan as well.

　Yokkaichi Plant & Research Laboratories
　Tsukuba Research Laboratories / Tsukuba Site
　JSR Bioscience and informatics R&D center

　Medical & Biological Laboratories Co., Ltd. (Ina Laboratory and Tsukuba Laboratory)
　Emulsion Technology Co., Ltd.
　JSR Micro Kyushu Corporation
　JSR Life Sciences Corporation
　JSR ARTON Manufacturing Co., Ltd.
　Techno-UMG Co., Ltd. (Yokkaichi Plant)
　Japan Coloring Co., Ltd.

One of the material issues for the management foundation set forth by JSR Group is safety and health. In FY2022, JSR began evaluating domestic and overseas group companies based on uniform standards, establishing the number of occupational and facility accidents (lagging indicator) as a KPI. At the same time, we have begun looking into setting KPIs related to fostering a culture of safety as leading indicators.

We have concluded that a common approach to safety is necessary for the Group to work together with a shared focus ensure safety. We are currently developing this approach and the goals we aim to achieve from the perspectives of safety, safety infrastructure, and safety culture. Furthermore, we are looking into establishing a new evaluation system to measure the level of our safety infrastructure and safety culture.

Moving forward, we will work on instilling the above approach through e-learning and other means. At the same time, we will regularly monitor the safety infrastructure and safety culture level at each business site and provide feedback to advance the safety activities at each business site.

JSR has established a Crisis Management Manual to minimize damage and protect employees, local residents, and other stakeholders in the event of a serious accident, disaster, or scandal involving our business activities, or in the event of an emergency such as a major natural disaster. The manual also includes information about emergency contact channels, and both JSR and our Group companies in Japan and overseas act accordingly.

In 2022, the emergency contact channels were reviewed in conjunction with the transfer of the Elastomer Business. At the same time, we verified the effectiveness and made sure there were no serious deficiencies in the newly established channels by conducting training at the business sites subject to the review.

None of the earthquakes that occurred in 2022 in or near the areas where Group plants or business sites are located caused any damage to people, the environment, or facilities.

• March 16, 2022 Off the coast of Fukushima Prefecture Maximum intensity of upper-6
• April 19, 2022 Northern Ibaraki Prefecture Maximum intensity of lower-5
• May 22, 2022 Off the coast of Ibaraki Prefecture Maximum intensity of lower-5
• June 26, 2022 Kumamoto area, Kumamoto Prefecture Maximum intensity of lower-5
• October 21, 2022 Off the cost of Fukushima Prefecture Maximum intensity of lower-5
• November 9, 2022 Southern Ibaraki Prefecture Maximum intensity of upper-5

JSR conducts on-the-job training (OJT) at each business site and offers experience-based, practical skills training in miniature plant setting at its company-owned and operated training centers. This training helps to instill knowledge, skills and sensitivity to security management.

Training on work processes includes an experience-based component provided in a virtual space using virtual reality (VR). Through experiencing fear that is difficult to replicate in real life for safety reasons, employees are able to increase their safety awareness and make efforts to eliminate unsafe actions.

In addition to mandatory training under Industrial Safety and Health Act, we provide training on occupational safety, security and accident prevention in rank-based training for each job type in stages. In addition to gathering opinions on the training from the top management and frontline workers of the business sites, we survey the participants and instructors after the training and use the results to continuously review the curriculum and approaches.

The main training conducted in FY2022 is shown in the table below.