Material Issue 5
To improve the livelihood of the local communities where we operate
Material Issue 5
Material Issue 5
To improve the livelihood of the local communities where we operate
Creating jobs through our businesses and contributing to the development of local communities.
Related SDGs
Basic Policy
Both in Japan and overseas, regions where forest businesses are operated are far away from major urban areas, and economic and cultural disparities are often seen even within each country. Especially in developing countries, infrastructure such as roads, hospitals, schools and markets may not even be in place. In Japan, even in urban areas, super-aging is progressing, and there are concerns that quality of life of the elderly will decline, along with inactivation of the entire city due to shrinking household size and increase in vacant lands and vacant houses.
The Sumitomo Forestry Group is actively contributing to development of social infrastructure required in each region, in addition to increasing employment by hiring local human resources, particularly in the forest business in developing countries. In Japan, in urban areas, we will expand provision of high-quality elderly care facilities and nursing care facilities where the warmth of wood can be felt, who are also socially vulnerable. In rural areas, we will develop businesses that contribute to regional revitalization while emphasizing communication with local stakeholders.
Impact on Society and the Environment
| Material Issue 5 | Impact (Influence) |
|---|---|
| To improve the livelihood of the local communities where we operate Creating jobs through our businesses and contributing to the development of local communities. |
Correction of economic disparities through regional revitalization |
| Development of a common awareness of the issues of local communities through communication with local residents | |
| Enhancement of welfare by providing elderly care facilities |
Management of Material Issue 5 (FY2022)
In Mid-Term Sustainability Targets 2024, Material Issue 5 is divided into 6 evaluation indicators, and management is carried out by incorporating them into annual activity policies and measures of the management department. We also assess the impacts that the material issue has on society and the environment.
Response to declining birthrate and aging population
The number of private nursing home rooms was unchanged from fiscal 2021 at 1,764 rooms for Sumirin Fill Care and Sumirin Care Life, both of which are elderly care services companies. For fiscal 2023, the number of rooms is expected to increase to 1,842 due to the planned opening of new facilities.
Results
Ratings in the table below
Achieved: ◯ Not achieved but improved from previous year: △ Not achieved and declined compared to previous year: ✕
| Indicators for Evaluation | Managing department | FY2022 target |
FY2022 result |
FY2022 target |
FY2023 target |
FY2024 target |
|---|---|---|---|---|---|---|
| Number of rooms at private-pay elderly care facilities (rooms) | Lifestyle Service Division | 1,764 | 1,764 | ○ | 1,842 | 1,842 |
Communication with local communities
With regard to communication with local communities, we disclose the number of local personnel employed at the Open Bay Timber (OBT), based in Papua New Guinea as an indicator (the target being increase over the previous year). In fiscal 2022, we hired 26 more local residents than in fiscal 2021. In addition to increasing our workforce for larger production volume, we hired more local residents than planned, including carpentry-related employees to develop and improve local living infrastructure. We will continue to actively recruit human resources to contribute to the local community.
Results
Ratings in the table below
Achieved: ◯ Not achieved but improved from previous year: △ Not achieved and declined compared to previous year: ✕
| Indicators for Evaluation | Managing department | FY2022 target |
FY2022 result |
FY2022 target |
FY2023 target |
FY2024 target |
|---|---|---|---|---|---|---|
| Communication with stakeholders related to maintaining SGEC certification (times) | Environment and Resources Division | 1 or more | 6 | ○ | 1 or more | 1 or more |
| Explanation and communication to local residents when planning a new power plant (times) | 1 or more | 4 | ○ | 1 or more | 1 or more | |
| Year-on-year increase in number of people at OBT (persons)
[Recruitment of local human resources to increase production*] |
＋12 | +26 | ○ | ＋17 | ＋28 | |
| Pruning and weeding area at TPF (ha)
[Reduce fire risk and improve landscape (pruning and weeding area)] |
15 | Implementation | ○ | 30 | 30 |
*Number of local employees at the end of fiscal 2021 was 298.
Human Rights
In response to further increasing external requirements for human rights, we are strengthening our human rights efforts. In fiscal 2022, we studied the operational structure so that the Grievance Mechanism* can be comprehensively deployed throughout the Sumitomo Forestry Group.
*Grievance and/or complaint mechanisms related human rights issues for stakeholders.
Results
Ratings in the table below
Achieved: ◯ Not achieved but improved from previous year: △ Not achieved and declined compared to previous year: ✕
| Indicators for Evaluation | Managing department | FY2022 target |
FY2022 result |
FY2022 target |
FY2023 target |
FY2024 target |
|---|---|---|---|---|---|---|
| Efforts related to grievance mechanism | Sustainability Department | Structure Construction | Operational structure under consideration | △ | Range enlargement | Continuous operation |