Toray Group pursues its own safety activities using occupational health and safety management systems (such as OHSAS 18001 and ISO 45001). Toray Group employees take part in an introductory training session immediately after joining the Group to learn and demonstrate their level of understanding of specific procedures and internal rules related to occupational safety. For mid-level employees and managers, the Group provides education on management and supervisory responsibility for occupational safety at every type of group training it holds, as well as studies of more concrete case studies related to the occupational health and safety management systems. In addition, officers in charge of production, as well as production engineering and Environment & Safety Department employees, conduct safety and health, accident prevention, and environment audits of all group companies and plants every year and evaluate and seek improvements in the status of activities from a standardized perspective. In addition, best practices are shared at sites throughout the Group to enhance the entire Group’s performance.
Employees are key stakeholders of Toray Group. Needless to say, ensuring their safety is the prerequisite to their capacity to make the most of their potential.
Officers and employees work together to implement persistent safety initiatives with the goal of zero accidents, out of respect for humanity and the sanctity of life.
To raise the awareness, every year, Toray Group creates a group-wide safety slogan. In 2022, the aim was once again for each and every employee of Toray Group to come together as a concerted group to raise awareness of safety as the top priority and to uphold this year’s slogan—Top Priority is Safety, Pursue “Zero Accidents”— Heighten safety awareness and back to basic all the time—to ensure that basic safety rules and work fundamentals are thoroughly followed on work sites.
Due to the potentially serious impact of an accident not only within the company but on surrounding communities, the Group acts with strong determination to prevent accidents such as fires and explosions, making accident prevention a top priority.
Toray Group sets up safety and health committees and works to ensure the safety and health of its employees through united efforts of labor and management, based on occupational safety and health laws in the countries in which it operates. These efforts help to ensure a pleasant working environment.

Examples of Workplace Initiatives in Fiscal 2022

General Safety Summit Held at Toray Mishima Plant

Malaysia Toray Group Safety Convention [Toray Industries (Malaysia) Sdn. Berhad]

Toray Industries has collected data on all occupational accidents since 1980, and for Toray Group since 1990. Both the number of occupational accidents and frequency of occupational accidents resulting in lost work time have declined, compared with when the data was first collected. The frequency rate for occupational accidents resulting in lost work time for Toray Group overall in 2022 was 0.37. Although this is a positive result compared with that of Japan’s manufacturing industry (1.25), it fell far short of the Group target of achieving the world’s highest standard of safety management of 0.05 or lower. One reason for this is that group companies had many accidents resulting in lost work time. Accordingly, the Group is working to strengthen safety management at those group companies with support and guidance from Toray’s main plant in Japan.
Toray Group will continue to identify the root cause of each accident to prevent reoccurrence, and avoid similar accidents based on the lessons learned in these accidents. Additionally, the Group will raise employee awareness of the need to practice safety first at all times.
Toray Group believes that safety activities depend upon a repetition of simple things. It is important to commit to the basics of safety and for everyone, without exception, to practice the basics at all times. The first step is to work on the comprehensive implementation of the 5S’s—seiri (sort), seiton (set in order), seiso (shine), seiketsu (standardize) and shitsuke (sustain). Through these activities, all employees learn to adopt seiketsu and shitsuke. Seiketsu fosters employees' motivation to keep the workplace standardized and clean, and shitsuke raises employees’ awareness to adhere to the rules. They also take the time to reconsider movement pathways to make work safer. Managers repeatedly go around worksites, praising good behavior in an effort to raise workplace morale.
Next, the Group works to eliminate accidents in routine activities. Managers strive to maintain a sense of alertness in the workplace by continually reminding people to act with safety first, considering what the consequences (accidents) could be under any and all circumstances. In addition, if an occupational accidents does occur, an accident report is sent out to the entire Toray Group. In an effort to eliminate similar accidents, the unit heads and unit chiefs of each workplace take a leading role in discussing the report with workplace team members, imagining the cause of the accident as a specific danger in their own workplace, in order to raise everyone’s safety awareness and ensure commitment to the basics.
While there were no fire or explosion accidents at Toray Industries or Group companies in Japan in 2022, there were two such accidents at Group companies overseas. The cause of the accidents included an electrical fire. As part of measures to help prevent electrical fires, Toray Industries has revised the checklist for preventing fires that it uses and has established a new section for electrical equipment. Toray offices and plants use these checklists to identify and address electrical fire risks and conduct daily inspections.
In an effort to eliminate similar fire-related accidents, the Group has a system to enable Group companies to rapidly share critical information on fire-related accidents. The Group uses knowledge gained from previous accidents to adopt effective fire prevention strategies and implement unified accident prevention management standards.

Example of work made safer by improving movement pathways through a change in layout

1. 1 Data for Japan includes non-regular employees (part-time employees, contract employees, casual part-timers, and dispatched workers). Data from outside of Japan does not include temporary staff.
2. 2 Occupational accident frequency rate: The number of fatalities and injuries at worksites per one million cumulative working hours.

1. Identifying danger (hazards) and evaluating risk

Toray Group has a system whereby employees report any potential risks in the workplace to managers and the managers provide feedback on countermeasures and improvements. Before starting work, hazard prediction information, near miss reports, and safety proposals are shared with employees to confirm and mitigate risks.
Company inspectors also carry out audits to review the system for preventing occupational accidents and the status of the implementation of countermeasures. If there are any problems, the inspectors give instructions for improvements.

2. Accident investigation

In the event of an occupational accident, the emergency response review meeting and the countermeasure meeting are convened to clarify the chain of events leading up to the accident, identify the cause, and decide on and execute countermeasures. In addition, information about the accident is shared throughout the Group and measures taken to prevent a reoccurrence.

3. Prioritized risk reduction activities

In 2021, 28% of Toray Group occupational accidents were caused by insufficient operation management, such as unclear work methods, ambiguous work instructions, and self-initiated work methods. Of these types of accidents, 15% occurred in situations in which inappropriate work methods were used, including the use of inappropriate tools and the implementation of unsafe work procedures, despite prescribed work methods and procedures being in place. In the first half of 2022, Toray Group worked to eliminate accidents caused by insufficient operation management by developing thorough safety confirmation measures to be taken before starting operations. These measures focus on giving and confirming specific instructions on work methods and procedures before the work is performed. Although such accidents decreased during the period that the measures were implemented, they ultimately increased slightly to 32%. In the second half of 2022, in order to eliminate accidents caused by inappropriate work methods, managers identified risks by conducting on-site patrols to check actual work conditions, and workers themselves conducted risk detection and work improvement activities to identify potential risks in their own specific tasks. Although such accidents saw an initial decline after these activities were conducted, they ultimately remained at 16%, essentially unchanged.
In addition to the remaining issues that have resulted from these outcomes, the Group is also analyzing accident occurrences from various perspectives and promoting the improvements needed to eliminate accidents. It also implements plan-do-check-action (PDCA) cycles to reduce risks.

As part of their safety and accident prevention training, Toray Group companies and plants provide workshops and hands-on simulations to sensitize employees to dangers and hazards. Safety simulators enable workers to experience the dangers of electrocution, residual pressure, and getting caught in rollers. Virtual reality (VR) technology is also used to realistically simulate accidents at worksites. In the area of accident prevention, the Group conducts simulation training to teach employees about the risk of fires and explosions, and provides training on the fundamentals of accident prevention.
Additionally, the Group publishes on familiar topics regarding safety and accident prevention in its in-house magazine, People, in an effort to spread understanding of the fundamentals of accident prevention.

• Simulation training at Mishima Plant (Toray Industries, Inc.)
• Simulation training at Nagoya Plant (Toray Industries, Inc.)

• Demonstrating the danger of fires and explosions at Gifu Plant (Toray Industries, Inc.)

All companies and plants in Toray Group are making efforts to improve their accident-prevention capabilities by carrying out fire-fighting drills specifically intended for fires and explosions. These drills include practice using water hoses, rescuing the injured, responding to a chemical leak, and giving emergency notification to authorities and local residents.
Since 2012, Group companies and plants have been conducting annual drills on setting up a company-wide emergency headquarters in response to a large-scale earthquake. The drills also involve checking on employees and monitoring facilities damage and supply chains. In 2022, online drills were conducted not only for setting up emergency headquarters, but also for implementing the headquarters emergency response over the days following an earthquake. In addition to conducting drills for the initial response to a large-scale earthquake, Group plants in seaside locations conduct drills of the evacuations that would be needed if a tsunami were triggered by a large-scale earthquake.

• Fire prevention drill (Toray Precision Co., Ltd.)
• Firefighting training (Toray PEF Products, Inc.)

Examples of Workplace Initiatives in Fiscal 2022

Participating in Tokai City Firefighting Ceremony (Toray Industries, Inc. Tokai Plant)

In 2022, as part of the regularly held activities to strengthen fire prevention for the Fire Prevention Project Part II, Toray Group in Japan held lectures on revised checklist contents to upgrade the skills of its FP⁴ key persons, who play a pivotal role on the frontlines by promoting accident prevention inspections and measures. Toray Group’s internal accident prevention experts provided support and guidance in identifying the root cause and taking countermeasures to prevent reoccurrence of those fire accidents and near misses for which the experts decided onsite audits and investigations were necessary.
The Group’s earthquake measures seek to mitigate damage, while placing utmost priority on saving the lives of employees and preventing impacts on local communities. The Toray Group Business Continuity Plan (BCP) for a Large-Scale Earthquake outlines the emergency response to an earthquake and subsequent activities to maintain and restore business operations, as well as the Group’s duties and normal readiness. In particular, for critical products, the Group develops BCPs that encompass supply chains and continually works to reduce risks.

1. 4 FP : Fire Prevention

Toray Industries is working to ensure safe distribution in its operations. In an effort to manage safety when transporting hazardous substances, the Company concludes security agreements with certain customers, raw material manufacturers, and shipping companies to designate their specific safety responsibilities and roles with regards to safety.

In consideration of the health risks to the Company’s employees and contract employees, Toray Group is implementing the following initiatives for the handling of chemical substances.

1. Study the actual handling of chemical substances
   Toray Group collects annual data on the volume of chemical substances handled by offices and plants of Group companies and volume in their possession. Furthermore, the Group clearly indicates the danger of mutagenicity for each chemical substance as stipulated in the Industrial Safety and Health Act, and discloses the risks.
2. Implement chemical substance risk assessments
   Toray Group implements risk assessments using working environment measurements for the chemical substances that it handles, as well as using ECETIOC’s Targeted Risk Assessment (TRA) tool and control banding. The risk assessment results are used to protect the health of employees by implementing comprehensive measures to prevent worker exposure to organic solvents and dust where it is required.
3. Conduct follow-up through internal audits
   Toray Group conducts an annual safety, health, accident prevention, and environmental audit, to objectively evaluate the methods for handling chemical substances and working conditions. The audit is used to identify any oversights or unattended issues and implement necessary improvements.
4. Other
   Toray Group endeavors to maintain and improve working conditions by conducting working environment measurements and on-site monitoring of actual work in accordance with the risk level of handled substances. It also conducts medical checkups to continually follow-up on the health status of employees. To prevent health issues among workers, the Group conducts training on the dangerousness of handled chemicals, and prepares and keeps records of the on-site monitoring of actual work.

Toray Group has manufactured and imported building materials containing asbestos in the past. In addition, certain buildings and facilities were constructed using such materials and thermal insulation containing asbestos. Starting in 2005, when asbestos-related health hazards became a social concern in Japan, Toray took action to address the issue of its own asbestos-containing facilities. The health program offers medical examinations to current and former employees who handled even small amounts of asbestos and wish to undergo an examination. Toray Group is working in good faith with individuals diagnosed with asbestos-related health issues by assisting with their applications for workers' compensation and providing an ongoing program of medical examinations. The Group has not been contacted about health issues by residents living near affected plants. The cumulative health impacts on former and current Toray Group employees as of March 31, 2023 are as follows.

Certified occupational accidents arising from handling asbestos (Toray Group): 122 (105)^*
Certified health victims based on Japan's Act on Asbestos Health Damage Relief (Toray Group): 8 (8)^*
Medical examination recipients involving asbestos (Toray Group): 4,041

1. * Note: Figures in parentheses refer to fatalities as of March 2023.