Environmental, Social and Governance Report 2023 103 ABOUT THIS REPORT HKEX and GRI Indices Provisions Location of Disclosure Additional information, as applicable KPI B5.2 PILLAR 1: HUMAN CENTRIC: Stakeholder Engagement, Safety, Health & Well-being PILLAR 3: CORPORATE PERFORMANCE: Supply Chain Management KPI B5.2 (Comply and Explain): ESR seeks to engage and work with its Suppliers to adhere to high standards of ESG for their products and services. Specifically, ESR expects its Suppliers to uphold business integrity principles including business conduct, fair competition and confidentiality, amongst other factors. On social related areas, ESR’s Suppliers are also expected to respect basic human rights, prohibit modern slavery and discrimination and uphold health and safety standards. On the environment front, ESR’s Suppliers should comply with relevant environmental laws and regulations and minimise the environmental impact from their activities. After every completed engagement, ESR evaluates the performance of suppliers to provide them with feedback for improvement. Suppliers that do not meet or breach the requirements are penalised or terminated based on the contractual terms. KPI B5.3 PILLAR 1: HUMAN CENTRIC: Stakeholder Engagement, Safety, Health & Well-being PILLAR 3: CORPORATE PERFORMANCE: Risk Management, Supply Chain Management B5.3 (Comply): ESR has measures for the oversight of suppliers and service providers and conducts periodic meetings to discuss related risks and emergency preparedness. We also ensure our contractors and suppliers follow acceptable standards of business practices specified in our Supplier Code of Conduct to establish a sound supply chain. KPI B5.4 PILLAR 1: HUMAN CENTRIC: Stakeholder Engagement, Safety, Health & Well-being PILLAR 3: CORPORATE PERFORMANCE: Risk Management, Supply Chain Management B5.4 (Comply): ESR designs and implements sustainable procurement processes that comply with the standards relating to materials, resources, works or services. We also expect the outsourced contractors, sub-contractors, property managers and other types of suppliers throughout the supply chain to be aware of procurement sustainability and follow the related requirements. Aspect B6: Product Responsibility General Disclosure PILLAR 3: CORPORATE PERFORMANCE: Corporate Governance, Risk Management B6 (Comply): ESR complied with relevant laws and regulations concerning product responsibility during the reporting period, including advertising, labelling and privacy matters. KPI B6.1, B6.2, B6.3, B6.4 These KPIs concerning product recalls, consumer complaints, intellectual property protection and quality assurance are not considered material to our business. KPI B6.5 PILLAR 3: CORPORATE PERFORMANCE: Corporate Governance KPI B6.5 (Comply): We have privacy policies in place to manage third party data. Based on the Information Security Policy, we have procedures and tools in place to prevent unauthorised access and use of data, and to ensure confidentiality and security. Aspect B7: Anti-corruption General Disclosure PILLAR 3: CORPORATE PERFORMANCE: Corporate Governance, Risk Management ESR complied with relevant laws and regulations that have a significant impact on the Group relating to bribery, extortion, fraud and money laundering in all material aspects during the reporting period. KPI B7.1 PILLAR 3: CORPORATE PERFORMANCE: Corporate Governance, Risk Management KPI A7.1 (Comply): There were no concluded legal cases concerning corruption during the reporting period. KPI B7.2 PILLAR 3: CORPORATE PERFORMANCE: Corporate Governance, Risk Management KPI B7.2 & B7.3 (Comply): ESR established the whistleblowing policy and procedures and related preventative measures as disclosed in the report. KPI B7.3 PILLAR 3: CORPORATE PERFORMANCE: Corporate Governance and Risk Management Aspect B8: Community Investment General Disclosure PILLAR 1: HUMAN CENTRIC: Community Investment KPI B8.1 & B8.2(Comply): ESR has strived to contribute positively to the communities in which we operate. Within the report, there is disclosure on the areas of contribution to strengthening social resilience, health, and well-being, promoting education & upskilling, protecting the environment, employee engagement and other charitable initiatives. KPI B8.1 PILLAR 1: HUMAN CENTRIC: Community Investment KPI B8.2 PILLAR 1: HUMAN CENTRIC: Community Investment
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