The Canon Marketing Japan Group (here in after "the Canon MJ Group") respects the human rights of all stakeholders connected to its business activities including employees and business partners.

Based on the United Nations Guiding Principles on Business and Human Rights, the Canon MJ Group is developing initiatives to promote respect for the human rights of its employees, business partners, and all other stakeholders involved in the Group's business activities.

We promote respect for human rights by taking measures in accordance with the Canon Group Human Rights Policy, which was formulated
in 2021.

The policy clearly states that we conduct human rights due diligence, operate a grievance mechanism, conduct awareness training, and engage in dialogue with stakeholders in order to ensure respect for internationally recognized human rights, including the prohibition of
child and forced labor, the prevention of unreasonable restrictions on movement and excessive overtime work, and respect for freedom of association and the right to collective bargaining.
The Canon MJ Group works to increase its employees' awareness of human rights in accordance with this policy.

Since Canon's founding in 1937, all employees have been treated the same on a fair and equal basis, without any discrimination due to status, gender, age or occupation. This stance is based on a complete respect for humanity.

Following half a century of operations, we adopted our corporate philosophy of kyosei in 1988. Kyosei is the aspiration to realize a society in which all people, regardless of culture, customs, language, or ethnicity, can live and work together in happiness. It sets the goal of human happiness and prosperity above the profits earned by any single company or nation. Kyosei expresses our commitment to and global aspiration for a respect for humanity and makes clear the company's firm stance to working together with stakeholders around the world to achieve this.

This policy expresses Canon Group's commitment to respecting human rights and to taking measures to protect human rights under the corporate philosophy stated above, which we embed into our operational policies and procedures.

1. Respect for Human Rights
Canon commits to respect internationally recognized human rights across its business activities, as set out in the Universal Declaration of Human Rights, International Labor Organization (ILO) Declaration on Fundamental Principles and Rights at Work, UN Guiding Principles on Business and Human Rights, and Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises. Specifically, Canon commits to respecting fundamental human rights, prohibiting discrimination, harassment or violence based on such factors as race, nationality, gender, religion and creed, promoting diversity, prohibiting child labor and forced labor (including human trafficking), prohibiting unreasonable restriction on movement, respecting freedom of association and the right to collective bargaining in accordance with the laws and regulations of each country and region, paying employees wages equal to or greater than legally mandated wages, preventing excessive overtime work and grant appropriate holidays, ensuring occupational health and safety, preventing occupational injuries, protecting privacy, and promoting responsible minerals sourcing.

2. Human Rights Due Diligence
In accordance with the UN Guiding Principles on Business and Human Rights, Canon conducts human rights due diligence to identify any adverse impact its business activities have on human rights, and to prevent or mitigate any adverse impact. In consideration of the findings of its human rights due diligence, Canon will review and update this policy, where necessary.

3. Grievance Mechanism
Canon establishes and operates an effective internal and external reporting system to understand any adverse impact its business activities may have on human rights. When Canon identifies that its business activities have negatively impacted human rights or contributed to a situation negatively impacting human rights, Canon will take appropriate steps to remedy the situation.

4. Awareness Training
Canon conducts human rights awareness training on a continuous basis to enable its executives and employees to deepen their understanding of international initiatives relating to human rights and this policy, and to respond appropriately to human rights issues.

5. Dialogue with Stakeholders
Canon communicates its human rights approach, as stated in this policy, to stakeholders through our website and other communication channels. In a series of initiatives under this policy, Canon learns from the human rights expertise of external experts and engages in dialogue with stakeholders such as employees and suppliers who are or could potentially be affected by our business activities in relation to human rights.

Canon seeks to contribute to our stakeholders' understanding of the international circumstances surrounding human rights. By cooperating with surveys and audits conducted by Canon, as well as with our responses to the risks uncovered through our initiatives, we encourage our stakeholders to join Canon in addressing human rights issues.

Date of establishment 10/15/2021

We have established a Sustainability Promotion Committee, chaired by the President and Representative Director, which holds deliberations, makes decisions and conducts reviews, with respect for human rights positioned as one theme of the Group’s Material issues, and which refers and reports important matters to the Board of Directors. Furthermore, the Sustainability Promotion Department is the department responsible for initiatives relating to respect for human rights and it collaborates with HR, procurement and other relevant departments to gain an understanding of the current situation, consider and implement countermeasures.

The Canon MJ Group has identified any adverse impacts arising from its business activities in accordance with the UN Guiding Principles on Business and Human Rights, guidelines issued by the Japanese Government and other guidance. The Sustainability Promotion Committee has held discussions to pinpoint themes to tackle as a priority and has also decided on countermeasures for different subjects of rights. Going forward, we will continue with activities focusing on the themes to be tackled as a priority, with a view to further mitigating human rights risk.

We conducted an e-learning program for employees with the aim of instilling basic knowledge on business and human rights and awareness of the Canon Group Human Rights Policy. In 2022, a total of 15,193 Canon MJ Group executives and employees participated in the program (98.1% participation rate).

The Canon Group Code of Conduct stipulates that all its executives and employees shall respect one another's personality and not unreasonably discriminate due to a person's race, religion, nationality, gender, age or other factor. The Canon MJ Group makes this provision known to its executives and employees and ensures that they observe it.

At the Canon MJ Group, we take various measures to prevent sexual harassment, power harassment, and other problems before they occur. In training sessions for new employees and newly appointed managers, we clearly define workplace harassment and incorporate case studies as well as train them on appropriate ways to respond if an incident were to occur. Also, in our compliance meetings, our divisions hold discussions on harassment from the perspective that it can take place at any time in our surroundings.
The Canon MJ Group has established an internal harassment helpdesk that employees can consult without worries not only in person but also by e-mail or phone. The internal harassment helpdesk guarantees that the employee contacting it and other employees who cooperate in confirming the facts will not be treated disadvantageously and it strictly protects their privacy.

In accordance with the provision prohibiting child labor and forced labor (including human trafficking) in the Canon Group Human Rights Policy, the Canon MJ Group will respect international norms and implement efforts to mitigate and end these practices.

At Group companies with labor unions, changes in labor conditions such as wages, working hours and health and safety conditions are subject to prior consultation.
At Canon MJ, the Central Labor/Management Conference is held every month, enabling labor union leaders and management executives to exchange opinions and information broadly, not merely on labor conditions and other matters subject to consultation but also on management issues and others. In individual regions, labor/management conferences and labor/management meetings take place, both of which involve regional managers and labor unions. According to the arrangement with the labor union, an unofficial notice of a personnel transfer is to be given in principle not later than one week before the date of the transfer. (Canon MJ's non-consolidated percentage of union members: 71.1%)