Ethical Risk Audits and Assessments

SK Chemicals conducts various activities as part of ongoing ethical and compliance management, including operating ethical management programs for employees, providing ethics training to prevent misconduct, investigating whistleblower reports, and diagnosing work processes. To enhance the level of ethical management, we conduct internal audits led by dedicated teams such as the Compliance Team, consisting of regular audits, compliance audits, self-monitoring systems, and whistleblower investigations. We conduct regular audits and compliance inspections annually, categorizing risks by organization and function for all domestic and international business sites. For key risk areas, we have established a self-monitoring system to perform periodic checks. For whistleblower reports received at any time, we conduct investigations within the designated timeframe while protecting the anonymity of whistleblowers. We handle the investigation process transparently and fairly, thereby enhancing employee trust in internal audits.

Regular Audits and Compliance Audits

SK Chemicals conducts regular audits (targeting a three-year cycle) for all business units and subsidiaries, and all audit plans and results are regularly reported to the CEO and the Audit Committee by the audit officer. In addition, non-regular audit results are reported to the CEO on an as-needed basis. SK Chemicals conducts regular audits based on a risk pool derived from company-wide risk factors and performs compliance audits to ensure improvements identified in regular audits are implemented.
In 2025, we verified the implementation status of a total of 18 action items through a follow-up audit on the management diagnosis conducted in the previous year.
In addition, we carried out assessments of our overseas subsidiaries-SK Chemicals (Yantai), SK Chemicals (Shanghai), and other overseas entities.
Based on the findings, we provided improvement recommendations to the relevant departments and proceeded with the necessary follow-up actions.

Self-Monitoring System

SK Chemicals conducts its own self-regulation system checks to quickly respond to changes in internal and external regulations and societal demands.
In accordance with internal inspection guidelines, 97 items across six areas-cost, procurement/BP, HR, sales/recievables, investment, and special risk management-are inspected.
Based on the 2025 assessment, we recommended the implementation of four improvement measures.

Whistleblower Investigations

SK Chemicals receives and manages whistleblower reports through various channels, including the website, phone, mail, email, and in-person interviews.
In 2025, three management-related reports submitted through the reporting channel were investigated.
One case involving violations of internal regulations and work procedures was confirmed, resulting in internal disciplinary action.

Anti-Corruption Reporting Results