Safety and Health Management｜LG Energy Solution

LG Energy Solution builds a circular battery ecosystem in line with
carbon neutrality and drives sustainable growth across diverse industries.

Safety and Health

Safety and Health Strategy

Occupational safety and health is our top management priority. By selecting and practicing key tasks that reinforce our competitiveness and initiatives in relevant areas, we constantly pursue harmony between our business activities and safety and health, and LG Energy Solution introduced a systematic environmental safety and health management system, including ISO 45001, and continuously enhances it through third-party inspections and management reviews.

Vision and Goals: Harmonization of Business Activities and Safety & Health, Strengthening Safety and Health Competitiveness and Execution. Core Tasks: Secure absolute safety - Strengthen safety awareness among employees, Secure the safety of processing equipment, Reinforce fire/explosion prevention system. Promote Health in a Preventive Manner - Improve the work environment, Manage employees with health issues, Encourage health promotion activities. Continue to Improve the Environment - Preemptively respond to domestic & international regulations and issues, Reduce pollutants, Make efficient use of resources.

Global Safety and Health Policy

EH&S Management

LG Energy Solution publically announced its will for management based on safety, health and environment and established the EH&S management principles to suggest its overall directions. Based on these principles, LG Energy Solution established a set of standards for job implementation and rules/practices for work handling procedure to smoothly perform the works of business sites.

Policy

SE Policy shall be a top level document of management system that means corporation mission and direction officially announced by the CEO.

Standards

SE Standards shall regulate responsibilities, requirements and general procedures applicable to all sites.

Requirements

SE Requirements shall regulate specific methods or measures for detailed or general procedure set in Standards.

Procedures

SE Procedures shall be independent standards for individual sites including corporate HQ.Those Rules shall be practice document linked with SE regulations and practices.

Leadership

SE policy
SE management system manual

Planning

Environmental Impact Assessment Risk Assessment
EHS Regulatory Compliance Management
EHS Goal Management
SE Risk Management for New Business and Investments

Support

Standard on SE Training Management
Standard on SE Communication Management
Standard on SE Document Management

Operation

Chemical Substance Management
Partner Company Environmental and Safety Management
Emergency Preparedness and Response
Health Management
Process Safety Information Management
Transportation Environment and Safety Management
Product Environmental Management
Environmental Operations Management
Safe Work Permit
Pre-startup Environmental and Safety Inspection
Change Management
Fire Prevention Management
Safe Operation Management

Performance Assessment

Safety Environment Monitoring and Performance Management
Accident Reporting and Investigation
Internal Safety Environment Audit

Improvement

Safety Environment Management Review
Corrective Actions for Non-conformities in the Safety Environment

EH&S Policy

Here at LG Energy Solution, we recognize that safety, health and environment(EH&S) is the fundamental element for securing differentiated competitiveness. For continuous improvement on EH&S performance, LG Energy Solution will be committed to implementing the following principles.

1

We will comply with all applicable EH&S legal requirements and establish leading corporate EH&S rules and best practices.
2

We will drive continuous innovation throughout the entire life cycle of operation to supply environmentally-friendly products and services.
3

We will provide a safe and healthy work environment and ensure the principle-adhering corporate culture.
4

We will support business partners and local communities to improve their EH&S practices as our social responsibility.
5

We will communicate our EH&S policies and programs with stakehold

To comply with this policy, we place top priority on environmental, health, and safety considerations in all business activities.

Improvement of Safety Culture

LG Energy Solution is engaged in various activities to establish its own safety culture not only for facilities and equipment but also for workers.

Introduction of behavior-based safety (BBS) program: Change unstable behavior, which causes accidents, into safe behavior through observation and guidance between colleagues. Promote safe behavior through compliments.
Promote the leader's on-site management activities and each organization's own safe culture activities to prevent accidents.
Strengthen the on-site capability to prevent a recurrence of an accident by reflecting safety environment accidents in the evaluation of employees according to their gravity.

EH&S Training

LG Energy Solution’s each site identifies the needs for safety, health

Training courses
customized for different
positions and duities

(beginner, basic, and
professiona courses)

Training for
all sites and
employees

(Improving member
mindset on environmental
safety)

Training for new recruits
and those whose duties
have been changed

(Safety and health training
before)

Training for workers
whoconduct
special tasks

(Specialized content for
high-risk workers)

Regular training
programs for the employees
of partners

(Emphasis on suppliers’ safety
management)

Safety Environment Audit

LG Energy Solution's safety environment Audit system is divided into regular Audit,planned Audit, and special Aduit.

Regular Audit

Management systems, process safety, facility and work safety, occupational health, fire and hazardous materials, environment, etc.

Planned Audit

Partner safety Audit, facility safety management, emergency response, system, implementation check, etc.

Special Audit

Sites where serious disasters have occurred
or where disasters are likely to occur

Health Promotion Activities

LG Energy Solution minimizes the potential health risks of its employees by creating a health management culture through various health promotion activities.

Operate a medical office for each site.

Carry out customized comprehensive health examination every year for employees who are over 35 old and those who have served for the company for more than 5 years.

Provide in-depth psychological diagnosis through a professional counselor by operating a psychology counseling center and establishing a referral process with hospitals.

Work Environment Management

In order to ensure a safe and pleasant work environment, LG Energy Solution requests outside experts to assess harmful factors in the work environment every year The company reviews the work environment by establishing internal standards that are stronger than legal standards.
In addition, the company constantly makes efforts to ensure that all employees work in pleasant work environment by conducting audit and prevention activities for musculoskeletal disorders and conducting inspection of local exhaust systems.

Empowering Our People

Respecting Fundamental Rights

Under the corporate management philosophy, “People-Oriented Management”, LG Energy Solution fulfills its basic responsibility to uphold human rights and the right for freedom and happiness. LG Energy Solution supports the international standards including Universal Declaration of Human Rights, Human Rights and Labor Principles of UN Global Compact (UNGC), UN Guiding Principles on Business and Human Rights (UNGP), and relevant conventions of the International Labor Organization (ILO), and is in full compliance with relevant laws of each country we operate in. LG Energy Solution has established “Global Human Rights and Labor Policy,” which is applied to all business sites around the world, and constantly monitors and mitigates any human rights risks.

Global Human Rights and Labor Policy(PDF)

Regular ESG Risk Management Process

LG Energy Solution implements a regular ESG risk management process for our business sites and supply chain to uphold human rights in our business activities.

For global business sites, regular ESG risk assessments and on-site due diligence are conducted to manage any potential risks in key ESG issues, including human rights and labor.

Through these processes, we identify areas for improvement and strive to enhance them in our business operations. We also monitor and manage our suppliers' adherence to human rights by identifying relevant risks in the supply chain through regular ESG risk assessments and integrating the results into the regular suppliers evaluation process.

Human Rights Impact Assessment

LG Energy Solution operates a process to evaluate human rights impacts of our business activities on relevant stakeholders. In particular, it intends to diagnose human rights risks and identify areas for improvement for in-house (sub-)contractors, who can be exposed to human rights violations.

The human rights impact assessment intends to take a close look at various human rights issues including human rights management system, humane treatment, prohibition of forced labor, prohibition of child labor, non-discrimination, working hours, wages and benefits, freedom of association, and collective bargaining. The steps involved in the assessment include risk identification through self-assessment questionnaire, documentation review, interviews / survey questionnaire with the focus group, and on-site third-party audit.

Moreover, we plan to enhance the monitoring system of the Global Human Rights and Labor Policy and the Code of Conduct for Suppliers as well as conduct preventive activities in the field of human rights. We will also strengthen the management system for each contractor and continue to expand trainings for contractors on human rights and labor management system and the scope and procedures for handling internal grievance.

Diversity, Equity and Inclusion

LG Energy Solution pursues a culture that respects ‘diversity’ of individuals and does not tolerate any form of discrimination based on individuals’ differences; that ensures ‘equity’ in access, opportunity, resources and power to thrive; and that embraces ‘inclusion’ based on mutual understanding, respect and trust. LG Energy Solution is committed to embracing diversity, equity and inclusion (DEI) into its culture across all global sites and for all our members. We endeavo r to bring sustainable value for society by developing and implementing programs tailored to national and local context. LG Energy Solution is working to promote a culture that respects diversity, running programs such as Women Leadership Conferences focused on women leaders and in-house training programs on DEI as part of the company-wide ESG trainings for all employees.

Diversity, Equity and Inclusion Policy(PDF)

Collaborative Labor-Management Relations

LG Energy Solution recognizes workers and labor unions as important partners. We are committed to fostering a organizational culture and labor-management relations based on mutual trust, and employees are encouraged to freely join in labor unions. To strengthen our cooperative labor-management relations, we engage in regular collective bargaining sessions. In Korea, collective agreements and wage agreements are negotiated annually with the labor union, and the decisions made are promptly and transparently communicated to the employees. The latest collective bargaining agreement was successfully concluded on December 23rd, 2024.

CSR

With the cross-cutting theme of resilience and in line with the three strategic directions, namely, shared resilience, social resilience, and environmental resilience, LG Energy Solution implements various activities that aim to bring sustainable changes for the environment, society, and future generations that we need to protect.

Shared Resilience - Create psychological safety to employees and local residents through participation in sharing activities. Environmental Resilience - Make green energy more accessible and affordable and contribute to avoided emissions. Social Resilience - Support vulnerable social groups with opportunities to be self-sufficient.

Key CSR Activities

LG Energy Solution carries out a variety of activities to support and grow with the local communities near our global business sites. In addition to supporting vulnerable groups in the communities, we work to make green energy more accessible and affordable and provide energy welfare through the installation of renewable energy facilities.

Environmental Restoration

Cheongju Hope Green Power Plant

Through partnerships with local governments and NGOs, we completed the Cheongju hope green power plant, a 410kW solar power facility, at the Cheongju Northern Transfer Center in December 2020. If operated for 20 years, this facility is expected to reduce greenhouse gas emissions by 244 tons annually, totaling 4,900 tons, and generate an estimated revenue of approximately KRW 800-1,000 million. The revenue generated from this power plant is donated to the “Hope Green Energy Center” to support underprivileged youth in the Chungbuk region and cultivate young environmental leaders among them.

Shared Resilience

LG Energy Solution provides opportunities for employees to directly participate in social contribution programs (volunteer activities), enabling them to connect with their community and find joy and fulfillment in return. Beginning in 2024, we have been shifting from companyled social contribution initiatives to a model focused on voluntary participation by employees.
To support this shift, LG Energy Solution has set the “Percentage of voluntary employee participation in community service” as a mid- to long-term goal, helping employees experience the joy of giving.

Hamsori Outreach

"Hamsori," meaning "Together with Ensol," is a community outreach and support program for employees based in Seoul, Daejeon, and Ochang. Based on the survey conducted in 2022 on areas and types of activities that employees are interested in engaging, the activities are planned and rolled out on a monthly basis.

Ensol Touch (Donation Kiosk)

"Ensol Touch" is a kiosk system that enables employees’ donations to the vulnerable at their fingertips. The kiosks are installed in various locations in each of the domestic sites, such as at the entrance, lounges, and restaurants. The kiosks display stories of the recipient, selected in consultation with local social welfare institutions, for a week. The employees can read about and donate, on a voluntary basis, by tagging ID card on the screen.

Providing Opportunities for Self-Reliance

Support activities for vulnerable groups

LG Energy Solution is engaged in various support activities for vulnerable populations in global communities. In Korea, we have undertaken initiatives to enhance fire safety environments for vulnerable groups such as basic livelihood recipients, people with disabilities, and elderly living alone in Cheongju

Education Support Activities

LG Energy Solution promotes various initiatives to expand educational opportunities for children and youth and to support the self-reliance of socially vulnerable groups. At its China sites, the company has continued to provide educational resources and scholarships, focusing on students from low-income families as well as vulnerable girls and neglected children. In cooperation with the Yangyao Child Welfare Foundation in Jiangsu Province, LG Energy Solution has been offering scholarships and educational resources since 2019 to create tangible educational opportunities for local students, while also supporting schools through teacher training, infrastructure upgrades, knowledge-sharing lectures, and book donations. Through these efforts, the company contributes to improving the local educational environment and supporting the growth of children.

Information Security

LG Energy Solution protects its crucial information assets as well as information of the stakeholders, including the members, customers and business partners, according to the information security management based on an international standard ISO/IEC 27001. We comply with the applicable laws and regulations regarding information security in and out of Korea, including the General Data Protection Regulation (GDPR) in the EU or the Network Security Law in China, and implement various activities to improve awareness of security. We also take real-time response to internal and external cyber threats, and build the capacity to prevent accidents.

Information Security Management Framework

Information Security Management Framework
Scope of Information	Company's trade secret Management information, technical information, intellectual property, etc.	Personal Information Employees, customers, suppliers, and all relevant stakeholders
Target Group	Employees, visitors, dayworkers, suppliers, and all personnel in contractual relations with the company, pertaining to all global business sites
Policy	Based on information security regulations, LG Energy Solution enacted enforcement rules that consist of the entities engaged in information security, such as employees, business partners, security organizations, and other related departments. Audits for Information Security Policy and System are conducted annually, in align with ISO certification surveillance and/or renewal.
Organization	In order to systematically carry out various information security management activities, LG Energy Solution has appointed the Chief Information Security Officer (CSO) and is operating an information security organization at the headquarters and each business site. In addition, through the information security meetings attended by the security personnel from all global business sites, we continuously share and discuss various security status and issues of each business site. We also hold information security committee meetings attended by the management and executive directors of relevant departments to ensure timely decision-making of the management.

Privacy and Personal Data Protection

In terms of privacy protection, LG Energy Solution also conducts a security review in advance to check for any infringement of personal information and compliance issues. In addition, we appointed a privacy officer who is authorized to handle inquiries/complaints and relieve damages associated with privacy. We intend to further block all risk factors in a preemptive manner and bolster our security system to safeguard the personal information of employees, customers, business partners, and stakeholders.

Preventive and Responsive Activities to Information Security Incident

LG Energy Solution operates a security control system from the office area to process facility area, and continuously improves its security level and response capabilities by regularly inspecting and simulating security vulnerabilities and carrying out mock exercises in preparation of internal and external cyber-attacks. LG Energy Solution engages in various activities aimed at raising awareness of all the target groups on information security and preventing incidents.

In order to improve Security Awareness, we are…

1

Conducting information security training and awareness raising activities
2

Annual trainings for all employees (contract workers included)
3

Customized trainings for respective target group such as new hires, prospective retirees, business partners, visitors, and national key technicians/personal information handlers
4

Promoting information security accident cases to encourage employees to practice security awareness and partake in related activities

Enter Your Information to Download

Name

Company Name

Product of interest.

I agree to the collection and use of personal information

Items Collected : Name, Email, Company Name
Purpose : Provide product catalogs, respond to customer inquiries
Retention Period : 1 year from collection, then destroyed
You may refuse to consent; however, in such cases, content may not be provided.

[Optional] I agree to receive marketing information.

[Optional] I agree to the overseas transfer of personal information.