Modern Slavery Statement 2018

Toyota (GB) PLC ("TGB") and Toyota Financial Services (UK) PLC ("TFS") ("together", "we", "us") are fully committed to identify and address modern slavery and human trafficking in all forms in their business practices. Modern slavery can take various forms, including slavery, servitude and forced labour. This is our third joint statement under s.54 of the Modern Slavery Act 2015 ("the Act") and it sets out the actions we have taken to prevent modern slavery and human trafficking in our businesses and supply chain since our last statement was published. This statement applies for the financial year ending 31 March 2019.

As mentioned in our 2017 statement, we have formed a Modern Slavery Committee which is attended by senior management ofTGB and TFS. Its role is to monitor, review and plan the actions we have taken and will take to counter modern slavery so that we comply with applicable law, our policies and maintain the integrity of our brands, 'Toyota' and 'Lexus.' This statement sets out the actions we have undertaken in this regard.

Key Supplier Audits

In our 2017 statement, TGB committed to conduct audits of key suppliers. This ensures that our own high standards for ethical conduct are shared by suppliers that we do business with. During the year, TGB's lead internal auditor, along with TGB's compliance and procurement teams, began the process of planning compliance audits based on a business risk profile. In March 2018, TGB undertook its first modern slavery audit of a supplier. Whilst no modern slavery infringements were identified, TGB are committed to conducting a follow-up audit this year and to further monitor the supplier's adherence to the Act.
Whilst TFS is a services business and does not actively source or distribute physical goods as part of its primary activities, it is aware of its responsibilities towards modern slavery within its business and operating model. TFS considers and assesses any risks in its services supply chain and business.

Mandatory Training

Following the implementation of our Modern Slavery policy in March 2017, TGB has taken action to raise awareness of this type of activity across the business. Across TGB, a mandatory e-learning training module has been distributed to all staff. This module developed the knowledge and understanding of modern slavery so that our employees are able to identify and address potential modern slavery risks. This training included information concerning how to spot modern slavery as well as key cases from the automotive industry and training on how to raise any concerns in a confidential manner. This training will be completed by TGB staff every year.
TFS will issue a modern slavery awareness communication to its employees, emphasising its policy and making available e-learning training.

Retail Network

We want to ensure that not only do our businesses here at TGB and TFS comply with the Act, but our network of retail centres are also compliant. In order to raise awareness and ensure compliance, specific contractual clauses were included in TGB's retailer agreements in November 2017. This change requires each retailer to comply with the Act and to implement and observe their own specific modern slavery policies.

Manufacturing Business

Toyota's UK manufacturing business ("TMUK") also upholds high standards during their vehicle production processes. They are aware about the potential risks involved in vehicle manufacturing and seek to mitigate any risks by following strict requirements. This allows for our business and our production line to be free of modern slavery, ensuring widespread compliance with the Act. TMUK's modern slavery statement can be found here.

Our ongoing commitment

As part of our modern slavery strategy during the next financial year, we will continue to monitor the progress we have made and to build on our achievements and initiatives.

In the coming year, TGB are committed to conducting further modern slavery audits on key suppliers. Our procurement and compliance teams will focus on quickly identifying any deviations from legal requirements and our expectations as a customer. The audit teams will undertake detailed inspections to ensure that applicable suppliers' business practices meet all moral, ethical and legal standards.

TGB plan to expand on the e-learning and business policies, refreshing and expanding the information and training given to staff. TFS will continue to provide awareness communications to its employees and make available e-learning training. The elearning training will be included as part of its introduction programme for new employees.

We are fully committed to consolidate this work in all that we do. We shall continue our efforts in identifying and addressing any form of slavery that could exist within our businesses at TGB and TFS and within our supply chain.


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