Figure 1. SK hynix received the Best ESG Bond award at the 2023 IFR Asia Awards dinner

The Inner Workings of SK hynix’s Triple-Tranche Bond

SK hynix’s triple-tranche bond was noted for being creative and offering a variety of investment options while adhering to the needs of both the issuer and investors. The bond was comprised of three segments: a USD 750 million 6.25% 3-year conventional bond, a USD 1 billion 6.375% 5-year sustainability-linked bond (SLB)¹, and a USD 750 million 10-year 6.5% green bond². The balance of the SLB and green bond in the same transaction drew particular attention for offering something unique to the market.

The SLB, which was a first for a global semiconductor memory manufacturer, has a core environmental-related KPI. By 2026, it aims for at least a 57% reduction in Scope 1 and Scope 2³ greenhouse gas (GHG) emissions intensity⁴ compared to a 2020 baseline.

¹Sustainability-linked bond (SLB): A fixed-income bond tied to predefined ESG objectives that are measured through predefined KPIs. The interest rates of the bond can vary depending on whether the issuer achieves its objectives.
²Green bond: A debt security issued by an organization to finance or refinance projects that are positive for the environment and/or the climate.
³Scope 1 and 2: Scope 1 refers to direct emissions generated in the production stage, while Scope 2 describes indirect energy-related emissions generated in the process of making electricity or steam used in the workplace.
⁴Greenhouse gas (GHG) emissions intensity: The amount of GHG released per production capacity for SK hynix’s semiconductor memory.

Meanwhile, the net proceeds from the green bond have been allocated towards the financing or refinancing of environmental projects outlined in SK hynix’s Green Financing Framework. These include sustainable water and wastewater management, energy efficiency, pollution prevention and control, and terrestrial and aquatic biodiversity conservation.

These bonds play a key role in helping SK hynix reach its sustainability goals, such as reaching net zero emissions by 2050. Its environmental commitments are further highlighted by its status as a founding member of the global Semiconductor Climate Consortium, the first consultative body which targets GHG reductions throughout the semiconductor value chain.

Green Bond Funds a More Sustainable Semiconductor Ecosystem

Figure 2. Allocation by category of the green bond’s USD 750 million proceeds

In addition to being the most popular portion of the triple tranche deal, the green bond has realized significant advancements in SK hynix’s products as well as its environmental efforts. A total of 92.8%, or USD 696 million, of the bond’s total proceeds (USD 750 million) was allocated by the third quarter of 2023, with all of the funds expected to be allocated by the end of 2023 (awaiting confirmation of fourth quarter data).

[Read the 2024 green bond annual report for more information on its impact here]

Figure 3. The green bond’s positive effect on water management from 2020 to 2023

Among the funds, USD 6.90 million was allocated to sustainable water and wastewater management. Efforts included work on a regional municipal water project, construction of a drainage reuse system for a cooling tower, and improvements on a water pollution treatment facility. As a result, the company expects to see an increase in its water reuse rate and a reduction in wastewater discharge.

Figure 4. DDR5 offers reduced power consumption compared to its predecessor

SK hynix allocated its largest portion of the green bond’s proceeds for improving energy efficiency as the company invested USD 681.16 million in realizing significant related advancements in the company’s products. These developments included its industry-leading server DRAM DDR5 achieving a 70% increase in server bandwidth compared to DDR4, while its power consumption decreased by 14.4% compared to the previous generation. The performance per watt of the company’s latest SSD product, PS1010 E3.S, also improved by 85% from the earlier generation PE8110 E1.S.

Figure 5. An ecological park near SK hynix’s Icheon main campus which uses recycled water

A further USD 750,000 was allocated to terrestrial and aquatic biodiversity conservation. These funds supported construction of a large public ecological park near SK hynix’s Icheon campus which stretches the area of nearly four American football fields. At the park, crystal-clear water comes from the campus’ wastewater treatment plant and flows into the Jukdang Stream in Icheon.

Figure 6. Reduction of NOx emissions in tons at the Icheon and Cheongju fabs

Another USD 6.96 million was allocated to pollution prevention and control. The proceeds funded monitoring systems for atmospheric management, infrastructure for nitrogen oxide reduction, and a temperature reduction system in both the company’s Icheon and Cheongju fabs. Consequently, from 2020 to 2023, emissions of nitrogen oxides (NOx) were reduced by around 530 tons in these two major fabs. In addition, air pollutant analysis systems and water quality measurement systems have been installed in the fabs to monitor for environmental problems, minimize environmental harm, and make restoration efforts.

Figure 7. Financial Management Head Hyungmo Yang highlights how the bond supports SK hynix’s environmental goals

“Our triple-tranche bond offers varied investment opportunities while also supporting our sustainability efforts,” said Hyungmo Yang, head of Financial Management. “In particular, the green bond funds environmental innovations such as increased product energy efficiency, improved wastewater management, and pollution reduction. Going forward, the bond’s proceeds will continue to help us meet our environmental goals.”

The post SK hynix Wins IFR Asia Award for Innovative Sustainability Bond first appeared on SK hynix Newsroom.

• Indirect contribution to economy of 7.7853 trillion won, environmental performance of business activity of -1.0423 trillion won, social performance of business activity of 841.5 billion won
• Indirect contribution to economy decreased by industry downturn, social performance increased by enhanced company culture
• First SK affiliate to conduct partner SV measurement, created 1.4698 trillion won of social value from 13 partners
• “Devote to enhance social value, ESG management capabilities in the semiconductor ecosystem”

Seoul, June 12, 2023

SK hynix Inc. (or “the company”, www.skhynix.com) today announced that it generated 7.5845 trillion won in social value last year.

SK hynix’s generation decreased by 20% in 2022 from 9.4173 trillion won recorded in 2021. By category, indirect contribution to economy totaled 7.7853 trillion won, while environmental performance of business activity recorded a negative 1.0423 trillion won and social performance of business activity reached 841.5 billion won.

Indirect contribution to economy decreased 20% from a year ago due to the decrease in tax payments by semiconductor industry downturn from last year. However, SK hynix devoted 37% of SK group’s total indirect contribution to economy which accounts approximately 20.8000 trillion won.

Social performance of business activity increased 29% from a year ago due to the improvement in ‘life quality of employees’ and the expansion of support for partner companies. Last year, SK hynix implemented various benefits such as ▲Happy Friday ▲Increase in parental leave ▲Family friendly vacation system to balance work and life of employees.

In addition, the company’s efforts to vitalize the domestic semiconductor ecosystem by fostering ‘technological innovative companies’ every year and strengthening technological cooperation to localize material and equipment contributed to social performance of business activity.

In the area of environment, however, negative impact increased by 9%. “As semiconductor production increased last year with company’s all-time high annual revenue, resource consumption and greenhouse gas emission naturally increased. But, such negative result was somewhat offset by development of low-power products, adoption of greenhouse gas reduction facilities and renewable energy migration including Green Premium System,” the company said.

Meanwhile, SK hynix expanded the measurement scope of social value to supply chain for the first among SK group affiliates. This is due to company’s judgement that creating SV and enhancing ESG management capabilities in the entire ecosystem beyond the company was essential to fulfill various ESG reinforcement demands from domestic and global stakeholders.

“As a result of consulting with 13 partners* in various industries, including material, equipment, logistics and environmental service, a total of 1.4698 trillion won social value was created in 2022. With this year’s evaluation, it is meaningful that partners have set up self-sustaining management system for SV and ESG data,” the company said.

*Included partners: DAEDUCK ELECTRONICS Co., Ltd /Dong Woo Fine-Chem Co., Ltd./MiCoCeramics Ltd./Veolia Industrial Development Korea/SIMMTECH Co., Ltd./WONIK Materials Co.,Ltd./WONIK HOLDINGS CO.,LTD./Eugene Technology Co.,Ltd./ KCTECH CO., LTD/ KoMiCo Ltd./ Techwing, Inc./ PNS Logis Co.,Ltd./ Hana Micron INC.

The partners above agreed that they would continue to put efforts onward to create more social values by upgrading the management system.

Kim Youn-wook, Vice President for Corporate Sustainability Management at SK hynix, said, “the company will continue to work together with various stakeholders, including its partners, to have positive impact in the semiconductor ecosystem and the society.”

About SK hynix Inc.

SK hynix Inc., headquartered in Korea, is the world’s top tier semiconductor supplier offering Dynamic Random Access Memory chips (“DRAM”), flash memory chips (“NAND flash”) and CMOS Image Sensors (“CIS”) for a wide range of distinguished customers globally. The Company’s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxembourg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com.

Media Contact

SK hynix Inc.
Global Public Relations

Technical Leader
Minseok Jang
E-Mail: global_newsroom@skhynix.com

Technical Leader
Kanga Kong
E-Mail: global_newsroom@skhynix.com

Technical Leader
Joori Roh
E-Mail: global_newsroom@skhynix.com

The post SK hynix Generates 7.6T Won in Social Value in 2022 first appeared on SK hynix Newsroom.

• Semiconductor memory industry’s first issuance of ESG target-linked bond
• Carbon emissions reduction target highlights commitment to climate action
• Investors’ orders surpass initial plan to raise USD 500 million
• “Successful issuance underlines expectations for a turnaround in semiconductor industry and investors’ trust in SK hynix’s ESG management”

Seoul, January 11, 2023

SK hynix Inc. (or “the company”, www.skhynix.com) announced today that it successfully issued a Sustainability-Linked Bond (SLB) with a total amount of USD 1 billion.

“The company is highly encouraged by the large-scale investment even during the downturn in the semiconductor industry,” SK hynix said. “We see this as a result of global investors’ trust in the company’s commitment to climate action, along with the prospects of a turnaround in the semiconductor industry later this year.”

Orders from more than 304 global institutions surpassed the company’s expectations and thus, resulted in a decision to increase the total amount of the issuance from USD 500 million to USD 1 billion.

SLB is a type of bond for which the interest rates can vary depending on whether the issuer achieves predefined environmental, social, and governance (ESG) management objectives. SK hynix aims to reduce Scope 1 and 2* greenhouse gas (GHG) emissions intensity** by 57% compared to the company’s 2020 baseline by 2026.

* Scope 1 and 2: Scope 1 is direct emissions generated in the production stage, while Scope 2 is indirect energy-related emissions generated in the process of making electricity or steam used in workplace

** GHG emissions intensity: carbon dioxide emissions per unit(1Gb eq.) of semiconductor memory production

With SLB recently having been thrust into the limelight as one of the corporate sustainability management strategies, SK hynix became the first global semiconductor memory manufacturer to issue such bond.

The company plans to disclose the performance against target for GHG emissions reduction transparently in its Sustainability Reporting System (SRS) every year. The company, subsequently after 2026, will also measure the final target achievement during the first half of the following year and adjust interest rates according to the results.

Prior to the issuance, SK hynix received second-party opinions from global verification organizations on its predefined ESG targets. Moody’s and DNV*** evaluated that the company’s sustainability performance target is “ambitious” and that it will have a “significant contribution” to corporate sustainability management when achieved.

*** DNV (Det Norske Veritas): A global verification organization headquartered in Norway

Woo-hyun Kim, Head of Finance at SK hynix said, “The successful issuance of SLB is seen as a result of global investors’ recognition of the company’s commitment to climate action,” adding the company “will continue to lead ESG management and contribute to increasing both economic value (EV) and social value (SV).”

Meanwhile, along with SLB, SK hynix issued a green bond with an amount of USD 750 million along with SLB. Green bond is a type of bond with a special purpose, limited to use only to fund environmentally friendly projects. The company plans to invest in eco-friendly projects including water quality management, energy efficiency improvement, pollution prevention and ecological restoration with the funds raised through the green bond.

Disclaimer

“These materials are not an offer for sale of the securities of SK hynix Inc. in the United States. The securities may not be offered or sold in the United States absent registration with the U.S. Securities and Exchange Commission or an exemption from registration under the U.S. Securities Act of 1933, as amended. SK hynix Inc. does not intend to register any offering in the United States or to conduct a public offering of securities in the United States.”

About SK hynix Inc.

SK hynix Inc., headquartered in Korea, is the world’s top tier semiconductor supplier offering Dynamic Random Access Memory chips (“DRAM”), flash memory chips (“NAND flash”) and CMOS Image Sensors (“CIS”) for a wide range of distinguished customers globally. The Company’s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxembourg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com.

Media Contact

SK hynix Inc.
Global Public Relations

Technical Leader
Kanga Kong
E-Mail: global_newsroom@skhynix.com

Technical Leader
Joori Roh
E-Mail: global_newsroom@skhynix.com

The post SK hynix Issues Industry’s First Sustainability-Linked Bond first appeared on SK hynix Newsroom.

Document and on-site inspections were carried out at the Icheon and Cheongju campuses for all products and processes, including development, production, and quality assurance (QA) functions. The certification ceremony at the Icheon Campus was attended by Junho Song, vice president of Global QRA Quality System at SK hynix, and Bruce Moon, president of SGS Korea.

IECQ QC 080000 is an international standard for the management of hazardous substances in products based on the ISO 9001¹⁾ quality management system prepared by the International Electrotechnical Commission (IEC). It is a management standard that aims to reduce or eliminate the use and production of environmentally hazardous substances, such as heavy metals and endocrine disruptors, and guarantees environmental sustainability to customers, employees and shareholders, as well as compliance with various environmental regulations such as RoHS²⁾ and WEEE³⁾ standards.

▲ Junho Song, SK hynix’s vice president of QRA Quality System,
and Bruce Moon, president of SGS Korea, attended the IECQ QC 080000 certification ceremony.

SK hynix formed a task force for this certification in January of this year and has been carrying out activities to establish processes for dealing with hazardous substances, as well as conducting an internal audit in August. Following the certification audit by SGS in September, it was determined that all semiconductor products manufactured at SK hynix’s Icheon and Cheongju campuses met IECQ QC 080000 requirements.

As a result of this international standard certification, SK hynix expects to secure voluntary management capabilities beyond compliance with international environmental regulations, as well as provide environmentally friendly semiconductors to customers and strengthen its ESG image to investors. It is anticipated that this in turn will spread eco-friendly management throughout the semiconductor supply chain.

▲ Junho Song, SK hynix’s vice president of QRA Quality System,
at the ceremony discussing the company’s quality policies for hazardous substance management.

Junho Song said, “We have obtained IECQ QC 080000 certification based on SK hynix’s continuous efforts to produce environmentally friendly products. Through this, our goal is to become a global leader trusted by customers and the market, offering a hazardous substance-free guarantee that goes above and beyond existing performance and quality reliability assurance.”

▲ Members of SK hynix’s task force who worked to achieve IECQ QC 080000 certification.

¹⁾ISO 9001: International standard for quality management system established and implemented by the International Organization for Standardization (ISO)

²⁾RoHS (Restriction of Hazardous Substances): A guideline for restricting the use of specific hazardous substances in electrical and electronic equipment, including the prohibition of heavy metals such as lead, mercury, and cadmium.

³⁾WEEE (Waste Electrical and Electronic Equipment): A guideline for the disposal of electrical waste.

The post SK hynix Becomes First Semiconductor Company in Korea to Receive ‘IECQ QC 080000’ Certification first appeared on SK hynix Newsroom.

SK hynix Inc. (or “the company”, www.skhynix.com) today announced that it generated 9.4173 trillion won in social value last year. Based on the calculations of SK Group’s social-value tracking methods, SK hynix’s generation surged by 93% in 2021 from 4.8887 trillion won recorded in 2020. The company’s performance represents more than half of 18.4 trillion won that the entire SK Group generated in social value last year.

By category, indirect contribution to economy such as tax payments, employment, and dividends totaled 9.7201 trillion won, while environmental performance of business activity recorded a negative 952.7 billion won and social performance of business activity reached 649.9 billion won.

In particular, indirect contribution to economy increased by 81%, or 4.3465 trillion won, from a year ago, helped by the company’s all-time high revenues in 2021. Social performance of business activity also rose by 44%, or 198.5 billion won, on the back of efforts to vitalize the semiconductor ecosystem and expanded philanthropic contributions for the underprivileged. But with increased greenhouse gas emissions as a result of more production to meet stronger demand for semiconductor globally, the negative impact grew by 2%, or 15 billion won, in the area of the environmental performance of business activity.

Indirect contribution to economy increased across all categories of tax payments, employment, and dividends. Tax payments soared 160%, or 2.3633 trillion won, on year as the company reported stronger financial results. A rise in the number of employees and bigger compensation package also led to an increase of 56%, or 1.7245 trillion won, in the employment category. Dividends rose by 32%, or 258.6 billion won, as the company implemented a more aggressive shareholder return policy.

In the area of environment, the company reported a negative reading for a second straight year as more resources were consumed to produce more semiconductors, also resulting in a gain in greenhouse gas emission. More precisely, negative cost increased by 3%, or 24.2 billion won, from a year ago, in the area of resource consumption/environmental pollution. Such negative result was somewhat offset by an increase of 128%, or 9.1 billion won, in the product/services segment with development of low-power products.

“SK hynix has been making efforts in various aspects, joining the Green Premium System, trying to reduce greenhouse gas emissions and expanding reuse of wastewater in order to lessen the environmental impact,” the company said. “But whatever the reasons are, we are still responsible for the impact we had on the environment. We will continue to aim for an improvement in the environment area and make endless efforts.”

*Green Premium System: A pricing system whereby a consumer of electricity pays an additional premium on existing electricity costs in order to use power from renewable energy sources

In the category of the social performance of business activity, shared growth showed the most remarkable improvement. SK hynix has for years continued its efforts to vitalize the semiconductor ecosystem by consistently providing technological support and training opportunities to its business partners. SK hynix has also contributed to localization of materials, parts, and equipment through joint technological development with its partners. As a result, shared growth performance rose by 56%, or 180.6 billion won, from a year ago.

Elsewhere, the company saw a growth of 9%, or 9.7 billion won, in the social contribution area as it continued relevant activities in a socially distanced manner during the pandemic. The performance for “life-quality improvement for the underprivileged” increased by 45%, or 8.2 billion won, thanks to its continued support for social enterprises.

Kim Youn-wook, Vice President for Corporate Sustainability Management, said that SK hynix has been communicating with relevant stakeholders transparently, making public its social value performance for the past 4 years since 2019. “We will speed up implementation of the SV2030, our mid- to long-term initiative for social-value generation, and advance our ESG management commitment further with an aim to contribute to the mankind and the community.”

*Specific examples of social value generation and detailed calculation methods can be found from the SK hynix newsroom.

About SK hynix Inc.

SK hynix Inc., headquartered in Korea, is the world’s top tier semiconductor supplier offering Dynamic Random Access Memory chips (“DRAM”), flash memory chips (“NAND flash”) and CMOS Image Sensors (“CIS”) for a wide range of distinguished customers globally. The Company’s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxembourg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com.

Media Contact

SK hynix Inc.

Global Public Relations

Technical Leader

Kanga Kong

E-Mail: global_newsroom@skhynix.com

Technical Leader

Jaehwan Kevin Kim

E-Mail: global_newsroom@skhynix.com

The post SK hynix Generates 9.4T Won in Social Value in 2021 first appeared on SK hynix Newsroom.

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That is why we are launching a new editorial series titled “Employee Spotlight”, where we will champion different SK hynix employees around the globe around a variety of topics. In celebration of Earth Month, we are highlighting employees old and new, who have contributed to building our ESG practice and looking where the future could lead for other members at SK hynix.

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The Way I See It: Seongbong Cho (Social Value Strategy / Project Leader)

Tell us about Social Value at SK hynix: “Social Value (SV) pursuit is all activities that pursue the happiness of stakeholders. In other words, it is SK’s strategy to earn their trust and support by meeting the SVs of customers, society, shareholders, and BP, and lead to increased EVs in the mid to long term.”

Highlights of the job: “My team established and organized the company-wide DBL promotion system (DBLMS) and systematized the SV Account concept and implemented empirical measurement for the first time.”

Most memorable volunteer experience: “In 2014, we recruited members of affiliates during a heavy snowfall in the mountains of Gangwon-do to support a village isolated from snow. I have fond memories of SK hynix employees working very hard during that time.”

How is SK hynix tackling environmental issues: “To address climate change, SK hynix declared RE100 last year and will do its best to use renewable energy while growing. In addition, we are minimizing the increase in energy use caused by our products by continuously increasing the energy use efficiency of our products.”

What’s next for ESG at SK hynix: “It is my hope that our company’s SV/ESG activities will be firmly established as a management system with tangible results, becoming the global top tier company in the industry and being used as a case for business schools.”

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The Way I See It: Saeyoung Lee (ESG innovation / Team Leader)

Highlights of the job: “I am a team leader of ESG Innovation Team. I am in charge of establishing/implementing strategies for the ‘S’ part of the ESG, discovering new tasks, and responding to DJSI evaluation agencies (e.g., improving supply chain ESG/conflict minerals, establishing a human rights management system, etc.)”

Proudest moment: “I established a JEM (job exposure matrix) system and the first cohort in Korea to prevent occupational diseases (leukemia, etc.) in the SHE organization, and established a leading model for corporate occupational health through the Industrial Health Advancement Committee (Labor-Management Council).”

Key to good company culture: “First of all, communication and transparency based on the trust of a horizontal relationship seem to be necessary, and this is considered a positive factor for external relationships as well.”

How employees are contributing to ESG: “All executives and employees would like to contribute to enhancing corporate value through work, but I believe that through ESG connection, we can continuously maximize corporate value by securing both economic value and stakeholder’s trust.”

What’s next for ESG at SK hynix: “I hope that SK hynix’s passion of ESG management will lead to empathy and cooperation based on the trust and support of internal and external members and stakeholders. Through this, SK hynix will achieve the status of a truly global top-tier ESG company.

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The Way I See It: Jaeho Lee (ESG Strategic Planning / Team Leader)

Key to good company culture: “Two-way communication based on empathy.”

Biggest environmental challenge in the industry: “The semiconductor industry produces high-tech products through continuous technological development – but this comes at the environmental cost of increased energy consumption and generation of harmful substances.”

Biggest ESG issue ICT companies are facing: ICT companies are based on information that comes out through efficient processing of large amounts of data. At this time, the necessary parts and systems are based on a large amount of power consumption, and the demand for suppression of carbon emissions is increasing.

SK hynix’s ESG approach: “SK hynix is working to reinforce ESG value through a development strategy that minimizes these negative aspects when developing technology. We are striving to reduce power use in the system by expanding the use of renewable energy through the declaration of participation in RE100 and developing low-power semiconductors.”

What’s next for ESG at SK hynix: “I want to create a system where ESG elements can be reflected when making any decision that is necessary for business and management. I believe that our company can pursue more stable growth in the mid to long term if ESG factors are reflected in the values pursued by the field.”

The post Introducing the SK hynix Employee Spotlight Series first appeared on SK hynix Newsroom.

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According to Autism Speaks, an advocacy organization, autism (also called autism spectrum disorder or ASD), refers to “a broad range of conditions characterized by challenges with social skills, repetitive behaviors, speech and nonverbal communication.” This spectrum of ability – which can range from highly skilled to severely challenged — makes each person’s experience with autism unique. There is no “one” autism, but rather many distinct types of autism.

At SK hynix, we know that the technology we make — and the people we employ – have the power to improve lives, advance societies and transform industries. That’s why we develop products like Silver Friend and Happy GPS to help the members of our community who are the most vulnerable, and work with local organizations and charities on community outreach projects. It’s also why we work with social good organizations like Autistar to make a positive impact on the lives of people around the world.

The Autistar Exhibition

Founded in 2012 by Professor So-Hyun Lee of the Department of Special Education at Ewha Womans University, Autistar is a Korean company that trains and supports people with autism to work as designers in our society. Today, the company has 12 full-time designers with autism – and all Autistar products are created with drawings of designers with autism and trainees.

Last year, SK hynix worked with Autistar to create an open exhibition at our head campus, purchasing 80 design frames made by designers with autism and decorating the walls of our underground sidewalks. We also invited the Autistar team to visit the SK hynix campus, where they could present their work and speak with engineers and employees.

Hearing from Our Partners at Autistar

Hyesung Park, Executive Director of Autistar

Tell us about your work at Autistar. “I work with designers with autism – and every day, I admire the incredible pictures they’ve drawn. People with autism are clearly different from other people, but they work with us and in the company, and they live together in our society.”

What was meaningful about working with SK hynix? “Of course, it’s nice to sell a lot of products to increase sales, but when I work with people from other companies, I feel a lot of joy when I feel that they respect each and every Autistar designer. In that sense, the experience of working with SK hynix remains a special experience for me.”

Figure 1. SK hynix officials who attended the ceremony and designers with autism from
“Autistar” taking pictures. From the 5th from left, Sohyun Lee, Autistar CEO,
Il Woo Lee, head of experience design at SK hynix

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How do you work to accommodate designers across the autism spectrum? “For designers with a low understanding of linguistic work, our work is communicated by writing or drawing. And for designers who find the workspace too bright, we provide an environment with a lowered light level. In the case of those who struggle with speaking, we’ll work with them to demonstrate straightforward sentences, and give them a chance to speak again.”

What’s happening on April 2? “Every year on World Autism Awareness Day, the ‘Light It Up Blue’ campaign is held to illuminate the blue light that symbolizes interest and understanding of people with autism. On the evening of April 2nd, you can see the Seoul N Tower shining in blue. It is good to see that lighting this blue light gives us an opportunity to recognize that people with autism are living together in our society.”

What does Autistar do for World Autism Awareness Day? “Each year, Autistar publishes a poster designed by a designer with autism on the theme of blue on the company’s social media. It is a great autism-friendly event for people with autism to work as designers with their abilities and to show our society a beautiful picture and a design with a valuable message.”

What kind of collaborations do you want to do with SK hynix in the future? “I would like to do a variety of work so that Autistar Design can be located in various places in SK hynix. I hope that Autistar’s artwork will be included in everyday items like a uniquely designed picture frame in an empty corridor, a mug on your desk, and a gift to give a visitor.”

Creating Social Value

“SK hynix’s collaboration with Autistar has raised awareness of the importance of social value,” said Eun-ho Lee, Technical Leader at SK hynix and leader of the Autistar Partnership. “Above all, I am grateful for the opportunity to help the socially underprivileged. Many employees began to take an interest in people with autism and helped to improve awareness of people with autism.”

At SK hynix, we are driven by the philosophy that social value should grow alongside economic value – and as one of the world’s leading semiconductor companies, we feel an acute responsibility to create social value in the areas we serve.

The post SK hynix Recognizes World Autism Awareness Day first appeared on SK hynix Newsroom.

If you are more interested in SK hynix’s commitment to ESG, please check out below articles.
 ● ESG, a new perspective for companies: how far has SK hynix come?
 ● SK hynix starts ESG Management in earnest by recruiting an industry expert

The post SK hynix’s Comittment to ESG first appeared on SK hynix Newsroom.

As a forward-looking company, we are always growing and looking to the potential of tomorrow, and the day after that. This applies to our vision for social value as well. To guide our trajectory over the next decade, SK hynix has announced SV 2030, a roadmap for maximizing social values across the company. Organized across four core areas of Environment, Shared Growth, Social Safety Net, and Corporate Culture, the ambitious project will aim to meet specific goals in each sector by 2030.

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A newly established Environmental, Social, Governance (ESG) Management Committee will convene on a quarterly basis to oversee the progression of our SV 2030 goals. This progress will be reported yearly in our annual sustainability management reports.

In his 2021 New Year’s speech, SK Chairman Chey Tae-Won emphasized the importance of this moment for the company: “It is a time when we need a new entrepreneurial spirit to empathize with society and work together to solve problems.”

Environment – Green 2030

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Environmental issues are a global concern – they affect us all, the planet we live on, and the air that we breathe. That’s why we care about the way in which our products are made, manufactured and treated. No matter the importance of a certain product, we believe its economic value must equal its social value.

Through Green 2030, SK hynix will join companies like Apple in achieving the RE100 benchmark by 2050, and thrive to achieving net zero (by 2050), zero additional emissions of air pollutants, a gold rating at ZWTL at its domestic production sites. Also, by advancing an eco-friendly semiconductor manufacturing system and increasing water reuse up to 3 times, we aim to contribute to a healthy planet that will continue to support future generations for years to come.

Shared growth – Advance Together

When our company succeeds, we all succeed. SK hynix aims to increase the competitiveness of the Korean semiconductor industry by enhancing the capabilities of our partner companies including suppliers of semiconductor materials, components, and equipment. As semiconductors have a profound impact on the national economy, we believe that revitalizing the semiconductor ecosystem through partnerships can reinvigorate our economy.

To this end, we will achieve KRW 3 trillion in cumulative investment in technological cooperation for business partners. We will sequentially invest KRW 1.2 trillion in the establishment and operation of a ‘We Do Tech Center,’ operated as SK hynix’s flagship semiconductor ecosystem platform. In addition, it will expand and implement a win-win growth program, including support for technologically innovative companies, industry-academia, and national projects.

Social Safety Net

A social safety net is an infrastructure to establish the role of companies in preparation for crisis situations such as pandemics or natural disasters, and to enhance their capabilities to solve social problems. We plan to create a system of roles that companies should perform in emergency situations and create a separate fund to implement them. We will also invest in the specific needs of the local communities where our production bases are located.

Building a healthy social safety net is no mean feat, but SK hynix has managed to do just that thanks to its tireless work for local communities made possible by its kindhearted employees. Our main goal is supporting those who need it the most, like low-income families and the elderly. This is why SK hynix America founded the VOICE (Valuable Opportunities for Interaction, Collaboration, and Engagement) initiative which allows its employees to do their bit for the local society through food bank volunteering, toy and backpack drives, fundraisers, and events supporting important social movements and celebrations like International Women’s Day. To assist elderly locals, the company set up a social contribution program that already benefits 100,000 people who are not familiar with modern technologies like using unmanned convenience stores.

SK hynix is helping communities in numerous ways. Take its job creation track record as a perfect example, is aiming to create 1,000 jobs for people with disabilities and encouraged more than 100,000 to participate in a its global ICT human resource development program. And SK hynix did not shy away when the pandemic struck the globe in early 2020, its US division donating an incredible 50,000 masks to medical workers around San Jose, California, where its HQ is based.

In the future, SK hynix plans to create a system of roles that companies should perform in emergencies and create a separate fund for this.

As we have seen through the COVID-19 pandemic, crises such as these tend to impact the weakest places in society. That’s why SK hynix plans to actively support the vulnerable against the threat of public safety, health and livelihood.

Corporate Culture – Diversity and Inclusion

SK hynix’s working culture continuously evolves, the company focusing on improving the happiness of its employees by providing a level playing field for all and the opportunity to grow as people and professionals. To foster an effective learning environment, we encourage employees with 200 hours of self-development education on top of insightful diversity training that promotes equal opportunities. The company is also making efforts to establish gender-balanced workforce, with a commitment to guarantee leadership-nutruring training programs for female employees twice the number of current female managers.

At SK hynix, the purpose of corporate management is to ensure the happiness of its members. We are committed to promoting a diverse and inclusive corporate culture where self-development is encouraged and supported.

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Our goal is to create a truly inclusive, vibrant community where all voices are lifted up and celebrated. To achieve this, we will implement education trainings on diversity and inclusion topics, expand our female recruitment rates, and reinforce our female leader training programs.

Your Questions Answered

Curious to hear even more? We’ve answered some of the top questions about our SV 2030 commitment below.

Q: What are we doing to become Net Zero by 2050?
A: A total of 13 million tons CO2 will be saved by 2030. Specifically, 6.5 million tons of CO2 emissions will be reduced  through domestic RE certification using green tariff plans and PPA, RE100 for Chinese business sites, and participation in carbon reduction projects in developing countries. Another 6.5 million tons will be saved by promoting CO2 reduction by supplying low-power semiconductors (detailed measurement methodology being developed).

Q: What are the air pollutants we’re concerned with? How much are we emitting?
A: Sulfur oxide, nitrogen oxide, dust, fluorine, ammonia, hydrogen chloride, formaldehyde (VOCs), etc. According to our Sustainability Reports, we emitted about 690 tons in 2020 and about 650 tons in 2019.

Q: What are we doing to expand waste recycling?
A: Enhancement of the actual recycling rate of designated wastes, promotion of heat recovery and reuse of incineration waste, reinforcement of waste resource recycling efforts, etc.

Q: What are some of the representative water resource saving activities?
A: There is a case of a water-free scrubber that breaks the common sense of conventional scrubbers that purify harmful gases with water and treats high-temperature gas with an indirect cooling method to save water and costs with a waterless scrubber.

Q: Is the ESG Management Committee a regular meeting body led by the CEO?
A: As the recent emphasis on ESG management continues, it is a new meeting body led directly by the CEO, and mid- to long-term ESG-related policies and strategic decisions are made.

Q: What is the status of RE100 declaration in the semiconductor industry?
A: In July 2020, Taiwan’s TSMC declared that it would achieve RE100 by 2050. SK hynix is the first among semiconductor memory companies to do so.

Q: Are there any plans for cooperation with partner companies as well as customers in the future related to RE100?
A: Many global clients have already declared and implemented RE100 and are requesting cooperation from our company in the supply chain to achieve their environmental goals. In the future, we will continue to maintain cooperation from the viewpoint of social value, and we will support environmental management of business partners through the ECO Alliance, etc.

The post SK hynix Announces SV 2030: A Long-Term Vision for Social Value first appeared on SK hynix Newsroom.