Integrated Annual Report 2022

SUSTAINABILITY STATEMENT (CONT’D) BIOSECURITY DEVELOPMENT Three key initiatives were conducted in FY2022 to strengthen biosecurity controls and improves its effectiveness. 1. QL ensured compliance with Malaysian Good Agricultural Practice (myGAP), improved Closed House System (CHS) management, and recruited experienced veterinarians for better biosecurity and farm management. 2. We established an internal team to provide laboratory test and support for better diagnostic and biosecurity assurance in an effective and timely manner. 3. QLPCOE increased the biosecurity audit frequency to twice a year to ensure adherence to Standard Operating Procedure (SOP). During the year, 16 audits were conducted despite the pandemic. All corrective and preventive actions were completed within three months. With the implementation of this enhancement plan, biosecurity quality and control had improved at all our farms. Per formance Our Approach • 16 biosecurity audits in 12 farms Adhering to good farm management practices and strict biosecurity measures is central to healthy and hygienic poultry. The QL Poultry Centre of Excellence (QLPCOE) continuously improves disease surveillance for timely response. Audits are conducted regularly for continuous identification of improvement areas. We also invest in latest technology and equipment for more accurate and timely data collection from diagnosis test to improve the effectiveness and efficiency of farm operations. BIOSECURITY Staying Abreast and Strengthening Our Labour Practices Our Human Rights and Labour Standards Legal Register has been updated to reflect the changes in the laws and regulations in line with our commitment to update and communicate the Legal Register periodically to all business units. Accompanying the updated version of the Legal Register, an Internal HR Social Compliance and Audit Checklist was established to further intensify compliance efforts. This checklist enables all business units to carry out structured self-assessments against existing compliance levels and take remediation actions to address any gaps. Plans are underway to carry out formal internal audits following our business units’ initial self-assessment. Per formance Our Approach • Established an Internal HR Social Compliance and Audit Checklist • 1,927 employees attended the Human Rights and Labour Standards Policy briefing • 54% of Human Resources Professionals attended training on Forced Labour awareness QL firmly upholds our commitment to conducting business in a manner that respects the rights and dignity of our people. We remain focused on enhancing and improving the management of our workforce in line with ensuring that all businesses within QL comply with relevant legal requirements, human rights and fair labour practices.` FAIR LABOUR PRACTICES QL continues to pay close attention to ensuring compliance to key human rights and fair labour practices. As the business units hire migrant workers to fill resource gaps resulting from the prolonged pandemic, we ensure no migrant worker is required to pay any recruitment, hiring or employment fee. In line with the RM1,500 minimum wage announcement by the Malaysian government effective 1st May 2022, QL is committed to comply with the revision. QL constantly reviews and monitors compliance levels relating to wages, work hours, overtimes and benefits to meet and where possible exceed basic human rights requirements. Solidifying QL’s stance on Respect and Support for Human Rights QL continues to reinforce the Human Rights and Labour Standards Policy since its inception in February 2020. A total of 1927 employees1 attended internal briefings that aimed to cultivate employee awareness on QL’s uncompromising stance on human rights and labour standards. Additionally, in FY2022, a total of 54% of our Human Resources Professionals2 across the various business units participated in a Human Rights Training to deepen knowledge on Forced Labour. This enables our Human Resources Team to be the gatekeepers and advisors in ensuring that the QL workplace is free from forced labour and poor labour practices. A copy of QL’s Human Rights and Labour Standards Policy can be found on the QL’s website3. Workplace Grievance and Harassment Handling QL believes that all employees have the right to seek redress for any grievance, harassment or area of discontentment. All our business units have an established Grievance and Harassment Policy. We actively track, report and monitor grievances related to workplace bullying, sexual harassment, discrimination, as well as work conditions relating to workload, pay and benefits. In FY2022, we had 2 reported cases relating to harassment which have been resolved in accordance with the Grievance and Harassment Policy. In addition to the Grievance and Harassment Policy and formal channel of complaints, QL is committed to and encourages an open and transparent workplace atmosphere where an employee will be comfortable to raise their grievance directly to their immediate superior prior to escalating it through the formal channel. Reinforcement of Migrant Workers’ Zero Recruitment Cost Across QL Group of Businesses Footnote: 1 Employees refer to full-time permanent employees. 2 Human Resources professional refers to those employed in the capacity as Human Resources Executives and above for Companies under the sustainability scope of reporting. 3 Read more about our Human Rights and Labour Standards Policy at https://ql.com.my/corporate-governance/. 5 7 5 6 S U S TA I N A B I L I T Y S TAT E M E N T QL Resources Berhad INTEGRATED ANNUAL REPORT 2022

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