Human Rights Management

We create a sustainable future where people, society and the environment will coexist.

Policy

SK ecoplant established the ‘SK ecoplant Human Rights Declaration’, which complies with domestic labor laws, major conventions of the International Labor Organization (ILO), the Universal Declaration of Human Rights, and the 10 principles of the United Nations Global Compact (UNGC), and was announced publicly by the CEO in July 2022.
The SK ecoplant Human Rights Declaration specifies various social and environmental responsibilities, including no discrimination against gender, race, and physical disabilities, respect for diversity, ban on child labor, and the building of a safe and pleasant working environment for the company’s and suppliers’ employees. In addition, we have set the implementation of our environmental social responsibilities as a key area of management, and we continuously respond to potential issues by regularly conducting human rights impact assessments on business operations and major projects. The HR Division, a key body in charge of disseminating a culture of respect for human rights through general supervision of human rights management, is responsible for establishing relevant policies, conducting human rights training and impact assessment, and implementing remedial measures. Also, employee education on human rights is regularly offered while education on workplace bullying is provided – in addition to mandatory education courses. In particular, new rules and policies were established to protect employees from discrimination of any kind, including workplace bullying and sexual harassment, in order to create a happy and enjoyable workplace. The relevant rules are also specified in employment regulations and sexual harassment guidelines, and any violation is subject to strict disciplinary measures. Moreover, employees can report grievances in real time via SK Group’s integrated reporting system, our website bulletin board, a dedicated e-mail, and the grievance officer for each department. These complaints are reported to the CEO and the Audit Committee on a regular basis.

Human Rights Commitment

SK ecoplant Human Rights Commitment

Commitment

“All human beings are born free and equal in dignity and rights.” (Article 1, Universal Declaration of Human Rights)
“Good Impact For Tomorrow”

SK ecoplant promises to fulfill our corporate social responsibility and proactively conduct human rights management to spread a positive influence on the future of humanity.
To this end, we commit to supporting, respecting, and faithfully complying with the internationally recognized Universal Declaration of Human Rights1), the ILO Conventions2), and the 10 Principles3) of the UN Global Compact (UNGC)4).

  • 1) The Universal Declaration of Human Rights
  • 2) ILO Conventions: Prohibition of forced labor, the Right to Organize and Collective Bargaining Convention, prohibition of child labor, etc.
  • 3) UN Global Compact (UNGC): A UN framework and initiative composed of civil society and the world’s largest companies, with thousands of members in over 100 countries and an overarching goal to facilitate social responsibility and growth by corporations and international markets
  • 4) UNGC’s 10 Principles: A set of ten principles to help corporations fulfill their social responsibility

Scope

We recognize and respect that all human beings are equal in dignity and rights.
We respectfully request that all employees as well as our entire value chain – including our subsidiaries, Biz. Partners, and joint ventures – to support and comply with not only the international conventions on human rights and labor above, but also our internal human rights policies.

Human Rights Impact Assessment

We have identified and assessed the actual and potential human rights risks that may impact our stakeholders as a result of our business operations.
human rights-friendly business operation by identifying the impacts that our business activities have on the human rights of our stakeholders based on the human rights risk assessment and proposing measures to prevent and resolve any potential negative risks.

Human Rights
  • 1. Businesses should support and respect the protection of internationally proclaimed human rights
  • 2. M ake sure that they are not complicit in human rights abuses
Environment
  • 7. Businesses should support a precautionary approach to environmental challenges
  • 8. Undertake initiatives to promote greater environmental responsibility
  • 9. Encourage the development and diffusion of environmentally friendly technologies.
Labour
  • 3. Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining
  • 4. The elimination of all forms of forced and compulsory labour
  • 5. The effective abolition of child labour
  • 6. The elimination of discrimination in respect of employment and occupation.
Anti-Corruption
  • 10. Businesses should work against corruption in all its forms, including extortion and bribery.

Ground Rules

1. Prohibition of discrimination

We prohibit discrimination on the grounds of gender, race, ethnicity, nationality, religion, disability, age, social standing, political beliefs, etc., across the entirety of our business operations.

2. Respect for diversity

We recognize and respect the diversity of all minority groups – ethnic, racial, religious, linguistic – across the entirety of our domestic and overseas business sites. Further, we strive to realize their equality of opportunity.

3. Prohibition of forced and child labor

We strictly prohibit all forms of forced labor, including assaults, blackmail, confinement, human trafficking, etc., and forbid child labor in all our domestic and overseas business sites as a matter of principle. In regions where employment of minors is not illegal under local laws, we may offer opportunities for work only if such employment does not restrict their right to education.

* For overseas business sites, the definition of a minor is defined by local laws and regulations

4. Protection of freedom of association and the right to collective bargaining

We respect freedom of association and the right to collective bargaining, as enshrined in the constitution and the National Labor Relations Act, and provide all employees with suitable opportunities for communication in terms of their working conditions.

5. Fair treatment and support for education and training

We treat all employees fairly in terms of their capabilities and talents, foster an environment that facilities their self-development, and proactively support them with opportunities to receive the training and education required for their jobs.

6. Compliance with and improvement of working conditions

We strictly comply with all local laws relating to working conditions, such as working hours and minimum wages, in the countries in which we operate our business. Further, we strive to improve working conditions and guarantee equal compensation under the principle of equal pay for equal work.

7. Establishment of a pleasant and safe working environment

We foster safe and pleasant working environments to promote the health of our employees and those of our Biz. Partners. Moreover, we proactively pursue necessary measures to prevent safety incidents and establish plans to support follow-up management in this regard.

8. Compliance with laws and regulations on environmental protection

We comply with all related laws and international standards on environmental protection.

9. Fulfillment of environmental social responsibility

As a leading environmental company, we promote environmental responsibility across the entirety of our business activities as well as ceaselessly strive to implement measures for the development and diffusion of eco-friendly technologies.

10. Protection of the environment, safety, and property rights of local residents

We respect the environmental, safety, and property rights of local residents who may be directly or indirectly impacted by our business operations. Further, we strive to ensure that the environmental, safety, and property rights of local residents are not violated by our operations, and proactively pursue countermeasures to prevent violations whenever necessary.

CEO, SK ecoplant Kyung-Il Park

Goal

To minimize negative effects such as abuse of administrative power, legal disputes, and deterioration of corporate image due to human rights issues, comprehensive preventive measures and early and effective resolutions must be implemented. Starting in 2022, SK ecoplant plans to identify vulnerabilities in human rights through human rights impact assessments. We will classify identified vulnerabilities as key targets for management, while stakeholder investigations are carried out to identify vulnerable groups and examine human rights violations.
Furthermore, the post-analysis results of the assessments and grievance counseling will be used to create bespoke indicators for SK ecoplant and set up improvement activities to achieve our targets. As employees should play a key role in driving human rights management, the hours of human rights training courses, currently underway, will be gradually increased, and the content will be diversified further. Content about potential issues will be distributed to employees while each business partner or overseas subsidiary will receive materials appropriate to their circumstances.

SK에코플랜트 인권영향평가 목표 테이블 (목표 (직원 1인당 인권교육 시간, 인권영향평가 시행 범위), 단위, 2022, 2023, 2024)
Type Unit 2022 2023 2024
No. of human rights education hours per employee Hours 2 2.5 3
Scope of impact assessment on human rights - HQ Production sites included Subsidiaries included

Performance

01. Human Rights Impact Assessment

In the first half of 2022, SK ecoplant conducted an human rights impact assessment in accordance with a five-phase process: selection of indicators, identification of stakeholders’ major human rights issues, preparation and assessment of a checklist, and reporting and follow-up management. We came up with company-wide responses centering around the main human rights issues drawn from the assessment, and will publicly disclose the findings on our website.

Human Rights Impact Assessment Process
  • Selection of Indicators

    Define issues of negative/serious human rights impact

    • Set up a group to lead the task
    • Departments related to each assessment indicator
    • Select human rights personnel
  • Identification of Stakeholders

    Identify stakeholders and consider the impact

    • Relation to company operations and business
    • Identify stakeholders
    • Prioritize the identified stakeholders
  • Identification of major human rights issues

    Negative human rights impact

    • Actual/potential human rights issues
    • Prioritize human rights issues
    • Verification with stakeholders and external experts
  • Checklist Preparation and Assessment

    Checklist Preparation and Assessment

    • Checklist design
    • Stakeholder participation
    • Data collection and analysis
  • Reporting & Follow-up Management

    Result reporting and improvement

    • Third-party verification (external experts)
    • Result reporting and disclosure
    • Implementation of improvement measures
Selection of Evaluation Indicators

30 detailed evaluation categories and a total of 116 evaluation indicators were selected in 10 areas.

평가지표 선정 테이블 (평가지표, 세부 평가 항목)
Area Detailed Evaluation Category
Establishment of Human Rights Management System
  • Declaration of Respect for Human Rights Policy
  • Implementation of Human Rights Impact Assessment on a regular basis
  • Necessary measures to institutionalize Human Rights management
  • Human Rights Management Performance
  • Remedial Procedures
  • Human Rights Education
Non-discrimination in Employment
  • Non-discrimination in employment
  • Non-discrimination based on gender in employment
  • Non-discrimination against non-regular workers
Guaranteed Freedom of Association and Collective Bargaining
  • Freedom of Association and Collective Bargaining
  • Prohibition of unfair treatment of union activities
  • Guaranteed collective bargaining and faithful implementation
Prohibition of Forced Labor
  • Prohibition of forced labor
  • Prevention of forced labor in business partners
Prohibition of Child Labor
  • Prohibition of Child Labor
Occupational Safety Assurance
  • Prevention of Serious Industrial Accidents
  • Workplace safety
  • Provision of essential equipment and training
Responsible Supply Chain Management
  • Prevention of human rights violations by business partners, etc.
  • Monitoring
  • Prevention of human rights violations by information security staff
Human Rights Protection of Local Residents
  • Respect and protection of human rights of local residents
Ensuring Environmental Rights
  • Establishment and maintenance of an environmental management system
  • Disclosure of environmental information
  • Principles of precautionary approach to environmental problems
  • Establishment of an emergency plan
Human Rights Protection of Workers
  • Prevention and Protection measures of Workers' Human Rights Violations
  • Protection of personal information and prevention of human rights violations
  • Guaranteed workers' right to rest
  • Support for women's rights and maternity protection
Implementation of Human Rights Impact Assessment

Based on 116 indicators, the human rights impact assessment was conducted in the following ways: personnel evaluation of each area, survey of employees and opinion gathering, verification of evidence for each area, and expert advice.
We will identify potential human rights risks through regular human rights impact assessments and carry out improvement activities, and we plan to expand the scope of assessment to include projects (in ‘23) and subsidiaries (in ‘24).

Human Rights Impact Assessment Results

We conducted the human rights impact assessment for the first time in 2022 and obtained the grade of ‘settling human rights management’ with an average of 89.4 points in 10 evaluation areas . Although no significant human rights risks were found, SK Ecoplant has set its own priority management items based on the results of collected opinions from internal members and recommendations from external evaluation companies for continuous human rights protection. Through improvement activities, we plan to internalize and advance the human rights management system gradually.

Key management items and improvement activities
중점 관리항목 및 개선활동 (항목, 권고사항, 개선활동)
Item Recommendation Improvement Activity
Declaration of Human Rights Policy
  • Required to express at the highest level, reflecting international standards related to human rights management, communicate to stakeholders such as executives and employees, and disclose internally and externally
  • Completed internal and external public declaration of our human rights management policy through the CEO declaration of ESG Business Principles and Human Rights Policy Statement reflecting international standards in the Sustainability Report
  • New Human Rights Management menu to be created on the website upon renewal enhancing accessibility
  • Internalization of major principles of the declaration of human rights policy, including the principle of non-discrimination
Regular Implementation of Human Rights Impact Assessment
  • Conduct annual due diligence, including human rights impact assessment, in accordance with the Human Rights Commission manual and UNGC Business and Human Rights Guidelines
  • Involve external experts for continuous diagnosis and recommendation of improvement activities
  • Implementing human rights impact assessment recommendations for the HQ (’22)
  • Periodic human rights impact assessment to be conducted every year, and scope of implementation to be expanded to projects in '23 and subsidiaries in '24
  • Plan to prepare own human rights-related checklist and conduct regular inspections on subsidiaries, etc.
Measures to institutionalize Human Rights Management
  • Establish a department exclusively dedicated to human rights management, or, depending on the situation, consider the integration and expansion with similar work areas (ESG, etc.) in the sustainability management sector
  • The ‘ESG Council’ supported the establishment of a human rights management system for the company and its subsidiaries. The Human Rights subcommittee, which forms part of the ESG Council, collaborates with related departments such as ESG, safety and health, environment, and information protection.
Procedures for Human Rights Relief
  • Strengthen relief procedures to improve the root cause and enhance protection of victims
    • Reinforce access to website reporting and reporting channels in consideration of external stakeholders
    • Reinforce publicity for reporting and relief procedures, etc.
  • Diversified reporting channels such as ethical management, HR, and labor-management council, and clarified the grievance handling process for human rights compliance management, employee grievance handling, relief, and protection.
  • Notified human rights violations reporting and counseling channels and sent ethical management practice letter
  • To strengthen access to reporting and reporting channels through website renewal
Human Rights Education
  • Reinforce customized education such as enhancing human rights sensitivity, leader education and gender equality, in addition to statutory compulsory education, to improve awareness and mutual respect for human rights
  • Leadership training to eradicate sexual harassment in the workplace (education through external experts for all executives and positions)
  • Workplace harassment prevention education curriculum prepared and provided in addition to statutory compulsory education
  • Human rights education for field managers scheduled to be conducted to improve awareness and human rights sensitivity prior to the expansion of on-site human rights impact assessment in ’23
Application of principle of precautionary approach to environmental problems
  • Expected to take preemptive measures to minimize serious environmental damage even if there is no scientific proof and responsibility for such damage, as an effort to advance environmental management
  • Diagnosis and improvement of the environmental management level of all construction sites in progress
  • Preemptively diagnosed environmental management level of subsidiaries and established improvement plans for new businesses through the Environment Subcommittee under the ESG Council

02. Human Rights Training

SK ecoplant provides training courses to prevent workplace bullying and sexual harassment and to increase awareness of people with physical disabilities to all SK ecoplant staff, including senior management such as the CEO (excluding outside directors on the BOD) and full-time and contract employees. An evaluation is conducted after training every year, and additional education is offered to those who fail to meet certain requirements. The completion rate of training in 2021 was 100%, including re-education. Day laborers and overseas technical workers take a written training session instead.

03. Handling of Employee Grievances

A factual survey on workplace bullying conducted in 2021 found a total of 381 such cases experienced or witnessed by employees, and different types of grievances were disclosed to employees transparently via the company’s homepage. In addition, follow-up measures were taken for some of the cases according to our procedures and rules. Moreover, the Management Development Council, which discusses mutual cooperation between the management and employees, holds consultations on matters related to employee grievances in regular quarterly meetings.

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