Bank Islam Integrated Annual Report 2022

DIVERSITY AND INCLUSION Diversity and inclusion go beyond merely aligning with policies and workplace ethics. It is about representing and valuing the multicultural community we serve in Malaysia. We strive to create a workplace culture where all employees feel valued and appreciated for their hard work, regardless of their religious background, gender, or educational background. By fostering a diverse and inclusive environment, we can increase employee retention rates and attract a more diverse talent pool. This opens up opportunities to recruit people with different working experiences who can make a positive impact on our financial banking systems. It is essential to create an inclusive workplace culture that ensures our employees are treated fairly, and this can help promote a positive environment for both employees and other associates or customers at BIMB. Progress in 2022 1 Creating a Safe and Inclusive Workplace BIMB has established channels for staff to report incidents of harassment. Employees can raise a complaint via the Grievance/Complaint channel as per the process stated in the Bank’s Disciplinary Management Policy or through respective Collective Agreements for unionised employees. Any act of harassment or discrimination will be addressed according to the Bank’s Disciplinary Management Policy. The GHR (IR) will conduct an inquiry followed by disciplinary action against the perpetrator. We encourage all employees to utilise the grievance channels to report any misconduct experienced safely. In 2022, we received 3 sexual harassment cases and zero discrimination cases. Decisive actions were taken to resolve the issue and protect the victims. As of 7th April 2023, we have welcomed a new board member who is a prominent figure with remarkable credentials that has also marked our 30-70 female to male representation ratio at the board level. This achievement is a positive step towards promoting gender diversity and equality in the workplace. SUSTAINABLE SUPPLY CHAIN Sustainable supply chain is an important component of BIMB's sustainability agenda and stakeholder value. It involves integrating sustainability principles into the management of the supply chain to contribute to positive social and environmental impacts while creating long-term value for all stakeholders across the value chain. A sustainable supply chain enables us to reduce our carbon footprint, reduce waste generation, and preserve natural resources. This not only helps to protect the environment but also enhances our reputation as a responsible corporate citizen. In addition, responsible sourcing practices ensure that goods and services are procured ethically and sustainably, taking into account factors such as human rights, fair labour practices, and animal welfare. This helps to promote social responsibility and ensure that our supply chain partners share our values. Progress in 2022 1 Screening Our Suppliers BIMB requires all vendors to submit a vendor declaration form as part of its procurement process. This form serves several purposes, including allowing the Bank to conduct market and trade checking of the vendors. This helps to ensure that vendors meet the Bank’s standards for quality, sustainability, and ethical conduct. Additionally, the form confirms the vendor’s policy not to offer gratuity, commission, or other forms of unethical or illegal payments. This aligns with our commitment to ethical business practices and to avoiding any potential legal or reputational risks associated with working with vendors who engage in corrupt or unethical behaviour. Overall, the vendor declaration form is an important tool for ensuring that BIMB’s supply chain is sustainable, ethical, and aligned with the Bank’s values and goals. Social Impact Outlook BIMB is currently working on a Diversity, Equity and Inclusion policy is expected to be launched in Quarter 3 2023. This policy will outline the bank's commitment to creating a more diverse, equitable and inclusive workplace and will provide guidelines for achieving this goal. Integrated Report 2022 136

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