BioGaia Sustainability Report 2021

BIOGAIA SUSTAINABILITY REPORT 2021 35 Materiality and risks BioGaia’s subsidiary, BioGaia Production, is responsible for a large share of BioGaia’s production which, together with BioGaia AB’s laboratories, represents a substantial share of BioGaia’s product development and manufacturing. However, here the risk of physical injury is elevated in comparison to the rest of the organisation. The risk of accidents may increase if employees are not properly trained for handling chemicals and/or machines. Furthermore, repetitive physical work may result in strain injuries. Contract manufacturers are responsible for a portion of the production that does not take place at BioGaia Production and among these, BioGaia does not have the same level of control over the risk of poor working conditions. Risks at these external facilities are managed as part of BioGaia’s work with suppliers, see healthy networks, page 26. How work is conducted BioGaia manages safety in the workplace through the working environment policy, which is supplemented by specific instructions for each operation. Risk analyses of operations are performed regularly and BioGaia Production continuously works with improvements, for example by investing in equipment that minimises the risk of injuries and by endeavouring to rotate physical tasks among staff. Safety checks are carried out every day at BioGaia Production and deviations are addressed on a continuous basis. Health and safety representatives and the safety committee at BioGaia Production meet twice per year to discuss any incidents and accidents. Mandatory health and safety training was held early in 2021 for all managers at BioGaia Production, BioGaia Pharma AB, MetaboGen AB and BioGaia AB. BioGaia’s suppliers, including BioGaia Production, are required to commit to the Supplier Code of Conduct, which covers safety and working conditions. Safety is also an aspect that is followed-up in ongoing discussions and in connection with regular audits. Safety in production (GRI 3-3) Progress and priorities going forward In 2021, BioGaia recruited a new COO who is ultimately responsible for BioGaia AB’s operations and BioGaia Production. One aim of this recruitment was to create a clearer bridge between BioGaia AB and BioGaia Production to identify synergies and to increase collaboration between the operations. For example, BioGaia AB continued to review current procedures related to the working environment at Group level during the year and will continue with this work going forward, work that will hopefully be more efficient when coordinated under a single COO. BioGaia AB has begun work to set up a safety committee with employees and employer representatives. As is already the case at BioGaia Production, the committee intends to meet regularly to identify opportunities for improvements related to both physical and psychological working environments. BioGaia also launched an internal website in 2021 containing information about working environment issues for both employees andmanagers. This is available to everyone on the intranet. During the year, BioGaia Production introduced a new packaging line that replaced manual packaging, thereby reducing the workload for employees. BioGaia Production expects to maintain a high standard in its improvement efforts going forward, and will make enhancements where possible. In 2022, we are planning to construct new production premises in Eslöv. Safety standards on these premises will be high and prioritised, as is the case at existing facilities. During the year, BioGaia Group had 0 (0) injuries resulting in absence (LTI). Work-related injuries1) (GRI 403-9) Work-related injuries resulting in absence 2021 2020 2019 Number of lost time incidents (LTI2)) 0 0 1 Number of incidents per 1,000,000 working hours (LTIF3)) 0 0 3.1 Degree of seriousness (days of absence per LTI) 0 0 5 1) Number of incidents. BioGaia Group has never had a fatal accident. 2) Lost Time Incident (LTI) is an incident that results in loss of working hours. 3) Lost Time Incident Frequency (LTIF): (LTI × 1,000,000)/ (average number of employees × 2,080 hours). A healthy workplace CONTENTS

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