Health and Productivity Management

Health and Productivity Management Initiatives

Epson believes that providing and maintaining a safe and healthy work environment and promoting physical and mental well-being are the foundation of a healthy company. We understand that safety and health are the lifeblood of the company and have instituted occupational health and safety activities globally, so that all workers in the Epson Group can enjoy working in a healthy environment and in the knowledge that they are safe and secure.

In Japan, we regularly revise and communicate mid-range health plans under which we implement health and productivity management programs designed to improve employee health and increase corporate value. The latest mid-range health plan, "Health Action 2025," was established in April 2022, and is linked with work reforms and actions of the health insurance association. The president of SEC has made free and open communication, enjoyment of work, and changes in the organizational climate priorities. In conjunction with this, Epson established a Health Management Office, publicly announced the Health and Productivity Management Declaration below as a management commitment and is strengthening the initiatives of relevant organizations.

Outside Japan, we are working continuously to improve employee health in ways that fit the situation at each company. Occupational health and safety laws vary by country and region, so each overseas affiliate manages employee health based on local law.

Health and Productivity Management Declaration

At Epson, the health of our employees is our top priority.
The company and its employees will work together to create an enjoyable and dynamic workplace environment to ensure the physical and mental wellness of all.
Our goal is to energize all employees with a vital workplace, produce results that surprise and delight the world, and make the world a better place.

Yasunori Ogawa
President and CEO
Seiko Epson Corporation

Health Management Objectives and Organization

Objective. The Company considers the health of its employees to be the top priority. Accordingly, we want to see employee health improve and to create a positive, energetic workplace that is conducive to job satisfaction in line with the Management Philosophy, Basic Occupational Health and Safety Policy, and the Epson Group Health and Productivity Management Declaration. We believe this will ultimately result in better financial performance and higher corporate value.

Organization. Epson established a Health Management Office to drive initiatives under the president, who is responsible for health and productivity management. The office director is an executive officer who also serves as the general administrative manager of the Human Resources Division, the chair of the Health Insurance Association, and the overall health and safety controller. The office director also participates in Corporate Management Council meetings and is responsible for the general management of health and productivity. A Health and Productivity Management Committee, which is jointly run by the Company and the health insurance association, is responsible for health and productivity-related data analysis, measures and policies, and health evaluations and improvements. The committee regularly meets to coordinate activities of the health promotion committees at the various plants and offices. Health promotion committees are chaired by the general managers of the General Affairs Departments at Epson plants and offices. An officer of the labor union serves as the vice-chair. An occupational physician and a public health nurse serve in an advisory capacity.

Initiatives under Health Action 2025

Epson has instituted mid-range health plans since FY2001. These plans are periodically renewed. In FY2022, we introduced the latest plan, called Health Action 2025. In creating this plan, we took into account the results of activities under the previous plan, Health Action 2020, as well as the issues that arose and the societal changes that we anticipate.

Significant changes are anticipated in things such as work arrangements, which are becoming more flexible, and the composition of the workforce, which is getting older. To meet the challenges that these changes will pose, it is important for employees to understand the state of their own health and to work toward personal wellness. We are working on two important areas. One is mental and physical health, where we are looking to foster autonomy and strike a harmonious balance between work and health. The other is workplace health1, where we aim to ensure safety and foster an organizational climate in which teams work in an enjoyable and dynamic manner. Health Action 2025 programs are being carried out under the slogan "Notice, learn, act, and acknowledge."

1 Epson coined and has used the term "workplace health" since FY2016. It is based on the World Health Organization's definition of health as "a state of complete physical, mental and social well-being" but also incorporates the idea of health and productivity management, which has elements of both mental and physical well-being coupled with how we work. It is creating a safe, dynamic, communicative workplace in which everyone feels energized and enjoys job satisfaction.

Health Action 2020 targets and results are as follows.

First Selection under the Health & Productivity Management Stock Program

In March 2022, Epson earned its first selection as a Health and Productivity Management Stock.

The Health and Productivity Management Stock program, which was launched jointly by the Ministry of Economy, Trade and Industry (METI) and the Tokyo Stock Exchange, is meant to promote corporate initiatives in the area of health and productivity management. Under the program, companies that demonstrate excellence in terms of health and productivity management are selected and highlighted as attractive companies for investors who see long-term improvement in corporate value as a priority.

Epson was recognized for having made balanced improvement in four areas of health management: management philosophy and policy, organization, program and action implementation, and evaluation and improvement. Epson's total score was the first ranking in the electronics industry. As a result of its ongoing efforts, Epson has also been certified for six consecutive years under the Certified Health and Productivity Management Organization Recognition Program (White 500), which was started in 2017 by METI and the Nippon Kenko Kaigi as a way to recognize companies that practice excellent health and productivity management.

Health and Productivity Management and Work Reforms

The health promotion committees at our various sites have been operating since the 1990s in a cooperative effort among management, the union, and the health insurance association based on THP (Total Health Promotion Plan) guidelines to maintain and improve health and revitalize/energize the workplace. Employees selected by their workplace plan and lead activities from an employee perspective.

Initiatives designed to increase workplace health, which are described in Health Action 2020, preserve the spirit of work and work culture goals set forth in 2004 in a labor-management agreement regarding overtime work and work on days off. They are aligned with Epson's position regarding health and productivity management. Epson has been carrying out work reforms to achieve our work and work culture goals. These reforms are driving the improvement of workplace health.

Introductory Statement to "Epson's Work Goals and Work Culture"

Our goal is for all employees to maintain and improve their physical and mental health while working efficiently in a vital, rewarding work environment, without excessive labor demands. In this way, the company will develop in perpetuity, raising its corporate value and ensuring a win-win relationship with its employees.

We aim to achieve this beneficial working style and work culture both for the individual and the company.

Main Health and Productivity Management Activities

Creating an Enjoyable and Dynamic Workplace Environment

We are working to improve mental and physical health by helping employees to better recognize and manage stress through self-care. At the same time, we are trying to improve workplace health and reduce mental health issues by building a greater sense of unity through workplace environment improvements and by fostering a team-oriented, positive workplace environment.

Counseling and Assistance

The Health Management Offices at Epson sites have medical professionals (occupational physicians, nurses, and clinical psychologists) who counsel and educate employees about mental and physical health. Meanwhile, Employee Counseling Offices are staffed with industrial counselors who provide both mental health and career counseling. Mental health action plans are created via a collaborative effort involving various departments. A wide range of actions are being undertaken, from offering individual support to providing site support to improve workplace communication.

Stress Checks

Since 2004, all employees have been asked to fill out a questionnaire to evaluate their occupational stress before they undergo their annual medical exam. The main purpose is to help employees practice self-care when they feel stress. Occupational physicians, nurses, and industrial counselors follow up with employees diagnosed as highly stressed. This evaluation facilitates early detection and early treatment of mental health issues.

The results of the occupational stress evaluation are grouped by manager, which allows us to see where problems exist and plan workplace improvements. In FY2017, we began sharing the results of analyses of occupational stress evaluations with managers and employees. In FY2018, we began holding workshops for improving the workplace environment. In FY2019, we began providing concrete support to workplaces with issues as well as to workplaces that ask for assistance in making improvements. In 2020, we began evaluating occupational stress twice a year to enable us to quickly detect changes and further strengthen support. These actions have enable us to improve our total health risk score (the national average is 100) from 95 in FY2020 to 86 in 2021.

Training

We have offered ongoing mental health training since 2000. Group training is provided separately for new employees, mid-level employees, and managers. During the COVID-19 pandemic, we began holding online courses and continue to do so.

One of the more distinctive self-care training courses is called "Around 35: Mental Health for the Prime of Your Career." This course is for employees who are about 35, an age at which their role in the company tends to change and when there are often important changes in their personal lives. Since 2012, a total of 2,837 employees have taken this course, which has been conducted 220 times.

We provided staff care training for middle managers at Epson Group companies in Japan from FY2019 to FY2020 because we saw a need for managers of all ages to redouble their efforts to improve the workplace environment. The training course, which was based on training given in the past on a site basis, was taken by 1,253 managers (99% of the total). In FY2021, an online course for workplace leaders was taken by 3,057 (97%) of the people in this supervisory position. Epson plans to periodically provide this type of training in the future as well.

In February 2020, a lecture was held for all executives, managers, and supervisors on the topic of "Creating a lively workplace that supports health management: focusing on work engagement."

Recurrence Prevention

Employees whose mental health issues have caused them to take time off from their jobs can benefit from our back-to-work program. The program has helped smooth the transition back to the workplace and prevent relapses. We have strengthened our efforts to review what led each individual to take a leave of absence when they return to work and have been successful in reducing relapses. Medical professionals and industrial counselors come together to consider how to respond as a team, and they work closely with the individual's primary care physician, workplace manager, and human resources department to provide better support.

Providing a Clean, Smoke-Free Work Environment

We have been stepping up actions to protect employees from harm caused by tobacco smoke. In 2016, we began to gradually reduce the number of smoking areas at our sites in Japan and to move them outdoors. Furthermore, in April 2018, we banned smoking during working hours, except for during the lunch break, and, on October 1, 2020, instituted a complete smoking ban on the premises for additional protection against passive smoking.

We have also been promoting smoking cessation among employees by drawing their attention to associated risks on World No Tobacco Day, offering professional counseling, and fully subsidizing the cost of treatment at a smoking cessation outpatient clinic. These actions have accelerated the rate at which employees in the domestic Epson Group have quit smoking. Whereas the percentage of smokers declined by 2.6% over the five years from FY2011, it declined by 6.8% over the five years since FY2016. In FY2021, the percentage of smokers was 18.8%.

Improving Lifestyle Habits by Increasing Health Literacy

As part of our efforts to increase physical activity in FY2021, Epson and the Health Insurance Association jointly held two company-wide walking events in which employees were encouraged to set goals for the number of steps taken during a given period. A total of 10,341 employees participated. We also offered an online course in exercise and sleep to build health awareness.

Lifestyle initiatives are more important in Health Action 2025. All Epson sites plan and carry out their own activities to address their particular health-related issues, but in addition to these, a newly formed company-wide organization will plan and carry out activities to better address company-wide issues. The maintenance of a proper body weight was made a key focus of our health-building activities in FY2022, and we plan to continue holding company-wide walking events.

In addition to the activities of the health promotion committees, we are also conducting regular activities to build health awareness. In FY2022, we plan to offer an online course in self-care.

Epidemic Prevention and Life-Saving Initiatives

Global Roll-out of Measures to Prevent Infections

Epson considers infectious diseases to be a serious risk to its global business activities. To eliminate disease-related plant closures, we have been taking action to ensure that our people are alert to infectious diseases and that they practice measures to prevent their spread in the workplace. Epson Group companies around the world maintain their own business continuity plans (BCP) to control risks associated with emerging infectious diseases. These BCP are tailored to their specific needs and serve not only to protect their employees but to minimize harm and ensure the continuity of business operations. In 2017, we stepped up our inspection and improvement programs at our overseas manufacturing companies to prevent the spread of infectious diseases such as tuberculosis, malaria, and Middle East respiratory syndrome (MERS).

Epson Group companies around the world maintain their own business continuity plans (BCP) to control risks associated with emerging infectious diseases. These BCP are tailored to their specific needs and serve not only to protect their employees but to minimize harm and ensure the continuity of business operations.

Support for Japanese Employees Working Overseas

The Health Management Office has set up a global health support desk to provide consultation services and health-related information to Epson employees from Japan who are working overseas. Previously, occupational physicians and public health nurses visited Epson Group companies to help reduce mental and physical health risks, but due to the coronavirus pandemic, we have begun using an IT tool.

An occupational physician in charge of overseas provides information and education about the three priority diseases (HIV, malaria, and tuberculosis) to employees before they are transferred overseas. Materials that cover a broad range of mental and physical health risks are also posted on the company intranet and are available for viewing by all employees.

Measures to Prevent COVID-19 Infections

The health and safety of our employees, customers, and other stakeholders are our top priority. The Epson Crisis Management Committee, under the direction of senior management, has therefore been at the forefront of measures to prevent the spread of COVID-19. In FY2021, we provided vaccinations for employees and their families at three of our sites in Japan. In total, our occupational physicians and nurses vaccinated 7,687 people. We will continue to work to prevent the spread of infections in accordance with internal and external trends.

Training in Life-Saving Procedures

There have been incidents in the past in which individuals have suffered cardiopulmonary arrest at Epson sites. In view of this, Epson began to spread awareness of emergency procedures at Group companies in Japan so that we can provide the best first aid and life-saving treatment if we should ever be present when someone suffers such an event. Executives and other personnel have been given hands-on training in cardiopulmonary resuscitation (CPR) and the use of automated external defibrillators (AEDs). As of the end of March 2022, approximately 16,000 employees had received training.

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