Modern Slavery Act

Hitachi, Ltd Statement

Statement in Accordance with the UK Modern Slavery Act 2015

This statement is made pursuant to Section 54(1) of the Modern Slavery Act 2015 for the fiscal year ended March 31, 2016 and articulates the steps that Hitachi, Ltd. has taken to ensure that slavery or human trafficking is not taking place in our supply chains or in any part of our business.

Hitachi, Ltd. is a business corporation headquartered in Tokyo and is, together with the major subsidiaries, providing goods and services through its business units and subsidiaries in and outside of Japan in the field of information and telecommunication systems, social infrastructure and industrial systems, electronic systems and equipment, construction machinery, high functional materials and components, automotive systems, smart life and ecofriendly systems, financial services and others. As at March 31, 2016, Hitachi, Ltd. has a branch in the UK which provides support and marketing services for its industrial products business unit.  Hitachi, Ltd. and its major subsidiaries also have 17 active subsidiaries operating as sales offices, factories, and or service and maintenance sites in the areas of information and telecommunication systems, automotive parts and components, rail systems, construction machinery, power tools, power systems, and other related technology sectors. Subsidiaries that are required to produce a statement in accordance with the UK Modern Slavery Act 2015 will issue their own statement. Hitachi, Ltd. and the subsidiaries purchase products, materials, parts and components mainly from Asia to produce products or to provide systems and services. The number of suppliers with whom we have a direct business relationship is approximately 26,000 in around 60 countries worldwide (as of December, 2015). Among them, are 12 Hitachi Group companies based in UK.

Hitachi, Ltd. and the subsidiaries have Group policies and guidelines to show our approach and commitment to addressing modern slavery:

  • Hitachi Group Codes of Conduct
  • Hitachi Group Human Rights Policy
  • Guidelines for Procurement Activities
  • Hitachi Group Supply-Chain CSR Deployment Guidebook
    Distributed to tier 1 suppliers of Hitachi, Ltd. and its subsidiaries.
  • Hitachi, Ltd.  has instituted a group-wide whistle blowing system to prevent illegal and unethical behavior, to promptly address infractions and to enhance our ability to self-regulate.  In this system, reports go directly to the compliance department of Hitachi, Ltd. or to an outside attorney.  Contact can be made via mail or e-mail.  

During the fiscal year 2015, Hitachi, Ltd. has taken the following actions to respect human rights under the aforementioned policies and guidelines:

  • Hitachi, Ltd., and the subsidiaries, asked key suppliers based in the Asian countries that we have identified as high risk areas to conduct CSR self-checks including questions about forced labour.  The results were collected and analyzed to take necessary remedial action.  This has been done since fiscal 2007. In 2015, 218 suppliers completed a self-evaluation.
  • Hitachi, Ltd., and the subsidiaries, have audited suppliers in China from among those providing CSR self-check results and asked them to submit improvement action plans. Hitachi, Ltd., together with the subsidiaries, will be working with and advising the suppliers until they complete the planned improvements.
  • Hitachi, Ltd. holds a biannual group-wide meeting on CSR and green procurement. During the 2015 meetings Hitachi, Ltd. shared the results of supplier audits and asked managers of business units and the subsidiaries to guide suppliers.
  • In order to meet the UN Guiding Principles on Business and Human Rights, which Hitachi, Ltd. and the subsidiaries are committed to following, Hitachi, Ltd. has started a Human Rights Due Diligence (HRDD) process in its and the subsidiaries' procurement activities. This has involved an impact assessment to identify regions, business models, and specific risks to prioritize at group wide level. The progress was shared during the procurement meeting mentioned above as well as at group CSR meetings. Risks relating to migrant workers, including forced labour are one of the priorities for action. During the assessment process, Hitachi, Ltd. has received help from Shift, the independent, non-profit center for business and human rights practice, and the opinions of expert NGOs. The result of this assessment will be integrated into procurement activities through measures including the revision of our Supply Chain CSR Deployment Guidebook, checklists, engagement plan and other relationships with suppliers.
  • To raise awareness and deepen the understanding of respecting human rights, executives as well as employees of Hitachi, Ltd. are receiving ongoing training.  In this connection, during the fiscal year 2015, HRDD training for legal and compliance officers was held in Europe supported by external human rights lawyers. Furthermore, Shift gave two HRDD training sessions for European staff in charge of CSR (in Maidenhead, UK and Brussels, Belgium) during September of the fiscal year. One of the issues covered in the training was forced labour and human trafficking.  Hitachi, Ltd. supported the training sessions.
  • Hitachi, Ltd.’s CEO sent a message to executives and employees of Hitachi, Ltd. and the subsidiaries on Human Rights Day reiterating the importance of respect for human rights.
  • Hitachi, Ltd. and the subsidiaries started to organize a seminar on CSR and the environment in China for suppliers in January, 2016 to share our CSR policy, result of audits, engagement with a NGO, environmental law updates. Fifteen people from 12 suppliers based in Eastern and Southern China have attended. We received positive feedback and plan to continue such training in China and other countries.  

September 27, 2016   
Toshiaki Higashihara President & CEO
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Hitachi Europe Ltd Statement 2016-2017

Statement in Accordance with the UK Modern Slavery Act 2015

Hitachi Europe Limited is part of the Hitachi Group and is a wholly-owned subsidiary of
Hitachi, Ltd. in Japan.  Our business in the UK is headquartered in Maidenhead, with significant presences in London, Cambridge and Liverpool.  We also have branch offices in Istanbul (Turkey), Warsaw (Poland), Johannesburg (South Africa) and Copenhagen (Denmark), and representative offices in Vilnius (Lithuania) and Bucharest (Romania).

Our UK business operates as a European corporate centre for Hitachi, Ltd. and houses a number of diverse businesses which are organised into operational business groups supplying a variety of products and services under the Hitachi brand.  These business groups include: 

  • The Digital Media Group – sources and sells LED TVs, projectors, flat screen panels, sound bars, digital receivers, security solutions and accessories. Consumer products are available in the UK via retailers such as Argos;
  • The Information Systems Group – focusses on digital security solutions and finger vein technology, a secure, simple and safe way for banks to identify their customers by reading their unique vein pattern;
  • The Power Device Division – provides advanced high reliability semiconductors – including insulated gate bipolar transistors, integrated circuits and diodes – to industrial, rail, automotive and consumer markets. These components deliver high power efficiency for precise electric power control, in applications ranging from motors to grid level power transmission;
  • The Particle Beam Therapy Group – provides systems to deliver proton therapy, one of the most advanced forms of cancer therapy available, offering treatment with pinpoint accuracy and minimal side effects; and
  • The Digital Solutions Group – offers digital solutions, combining Hitachi's extensive operational technology and advanced IT capability to meet client needs in areas including connected communities, energy management and electric mobility.

We also provide corporate and administrative services to other Hitachi Group Companies.  Our UK business, and its overseas branch and representative offices, employs approximately 310 people and had a turnover in the 2016/2017 financial year of approximately £173 million.

A significant proportion of the products supplied by us are manufactured by Hitachi Group Companies in Japan with others coming from Asian markets including, China, Malaysia, Thailand and the Philippines.  We have approximately 45 active trade suppliers (of which over 20 are Hitachi Group Companies) and approximately 850 non-trade suppliers.

We are committed to conducting business ethically and to minimising the risk of slavery or human trafficking in our own business and in our supply chains as much as possible.

We have a number of company and Group policies which address issues relevant to slavery and human trafficking, including:

  • The Hitachi Group Codes of Conduct
  • The Hitachi Group Human Rights Policy
  • Written employment practices and procedures which ensure fair recruitment and treatment of employees
  • A written whistleblowing procedure to encourage employees to report concerns of malpractice, which would include any concerns related to slavery and human trafficking issues

In the last financial year we have taken the following steps to address the issue of modern slavery:

  • We have continued to map our supply chains in order to assess the potential risk of modern slavery being present
  • Hitachi, Ltd. has revised its Group CSR Supply Chain Guideline which also applies to Hitachi Europe’s operations.  The guideline includes relevant labour standards for suppliers such as freely chosen employment, minimum worker age, working hours, wages and humane treatment
  • We have procured a modern slavery e-learning programme which raises awareness of different manifestations of modern slavery and trafficking and explains how these should be reported.  The module is available to all employees
  • We continue to be members of the UN Global Compact’s UK Modern Slavery Working Group and participate in the Human Rights Groups of CSR Europe, BSR as well as the Shift Business Learning Program in order to stay up to date on best practice and to benefit from stakeholder input

Year on year we seek to progress our work on addressing modern slavery.  During FY2017 we plan:

  • To further clarify our expectations of suppliers as to how they should address modern slavery issues
  • To hold workshops with business groups to outline the expectations and discuss plans going forward
  • To review and define our human rights due diligence process for the supply chain including revision of sourcing procedures to be shared with the business groups
  • To invite those responsible for procurement to attend an Addressing Social Issues in the Supply Chain collaborative learning project with other Group Companies offered by Hitachi’s European CSR team
  • To request all employees to complete the Modern Slavery e-learning module
  • To identify relevant KPIs for tracking progress

This statement is made pursuant to section 54(1) of the Modern Slavery Act 2015 and constitutes Hitachi Europe Limited’s slavery and human trafficking statement for the financial year ended 31 March 2017.  It has been approved by Hitachi Europe Limited’s Board of Directors.

Kazuo Abe
Managing Director
Date: 26 July 2017

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Hitachi Automotive Systems Europe GmbH and Hitachi Automotive Systems UK Ltd Statement

Statement in Accordance with the UK Modern Slavery Act 2015

Hitachi Automotive Systems Europe GmbH (“HIAMS EU”) and Hitachi Automotive Systems UK Ltd. (“HIAMS UK”) are both part of the Hitachi Group and are subsidiaries of Hitachi Automotive Systems, Ltd. in Japan.  HIAMS EU is headquartered in Schwaig, Germany and HIAMS UK is headquartered in Bolton, UK.  HIAMS EU and HIAMS UK each sell automotive components into the UK market and are referred to jointly in this statement as “Hitachi Automotive Systems” or “we”.

Hitachi Automotive Systems supplies a variety of automotive products to the automotive industry under the Hitachi brand or under their customer’s brand.  Some of these products are assembled in Hitachi Automotive Systems’ assembly plants in Germany, Czech Republic and the UK, whilst other products are imported from Hitachi’s automotive factories in Asia or in the Americas.  Hitachi Automotive Systems’ business employs around 960 people and had a turnover in the 2015/2016 financial year of approximately 316 million Euro.

Hitachi Automotive Systems has approximately 85 trade suppliers (of which 11 are Hitachi Group companies) and around 1000 non-trade suppliers.

We are committed to conducting business ethically and to ensuring that there is no slavery or human trafficking in our business or in our supply chains. 

We have in place a number of company and Group policies which address issues relevant to slavery and human trafficking, including:

  • the Hitachi Group Codes of Conduct
  • the Hitachi Group Human Rights Policy
  • written employment practices and procedures which ensure fair recruitment and treatment of employees
  • a written whistleblowing procedure to encourage employees to report concerns of malpractice, which would include any concerns related to slavery and human trafficking issues

In the last financial year we have taken, and are continuing to take, the following steps to address the issue of modern slavery:

  • we are focussing on the process of mapping our supply chains and undertaking a full risk assessment to identify areas of potential risk for modern slavery
  • we will review our due diligence processes in the light of the results of the supply chain mapping and risk assessment exercises to ensure an appropriate risk-based approach
  • we have conducted mandatory online training on the Hitachi Group Codes of Conduct to targeted employees
  • we have arranged the provision of human rights training to targeted employees to improve awareness of the issues.  We are looking at integrating slavery and human trafficking awareness training into our e-learning programme and will identify the exposed staff which should be trained with priority
  • we have prepared updated contractual provisions to include specific provisions relating to offences under the Modern Slavery Act and are currently planning the roll-out to our suppliers
  • once we have completed the risk assessment and review of due diligence processes we will be in a position to revise our sourcing procedures

This statement is made pursuant to section 54(1) of the Modern Slavery Act 2015 and constitutes Hitachi Automotive Systems’ slavery and human trafficking statement for the financial year ended 31 March 2016.

John Conlon                                                            
Geschäftsführer, Hitachi Automotive Systems Europe GmbH
Managing Director, Hitachi Automotive Systems UK Ltd.
Date: 28th September 2016
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Documents:  PDF icon hitachi_automotive_modern_slavery_act_transparency_statement.pdf PDF icon uk_modern_slavery_act_statement_final.pdf PDF icon hitachi_europe_modern_slavery_act_transparency_statement_fy2016-17.pdf