Relations with Employees
Initiatives to create energetic, safe, and healthy workplaces.
Initiatives for Fair Working Conditions (Decent Work)
In line with one of our management principles, the creation of a frank and open-minded business culture, we are committed to developing a safe and sound working environment where each and every one of our employees can work in a motivated manner.
Employment of Persons with Disabilities
Our employment rate for persons with disabilities as at the end of fiscal 2012 was 2.23% (the legal rate of employment is above 1.8%). Going forward, we will continue to advance the employment of persons with disabilities.
We have introduced the Rehiring System in April 2003, targeting the skilled retired employees who are physically and mentally healthy and wish to continue working after their mandatory retirement (or expiration of a contract). The rehired employees can work until the day on which they reach the age eligible to receive the full payment of employee pension. This maximum age limit has been increased gradually, and extended to 65 in April 2009.
As of the end of March 2012, the number of rehired employees was 31, reaching a total of 124.
Creating a Workplace Environment that is Easy to Work in
Work-Life Balance Initiatives
TOK has formulated an action plan based on the Act on Advancement of Measures to Support Raising Next-Generation Children. In order to ensure that employees are able to balance work and family commitments, we are injecting efforts into creating workplace environments that are easy to work in. The results of our efforts were recognized with the “Kurumin” (Mark of Support for Raising Next-Generation Children) accreditation in 2012.
Childcare Leave System
We introduced the childcare leave system in July 1990. Under the system, employees are allowed to take leave for child care from the birth of their child up until 18 months of age or up until the first April 30 after the child’s first birthday, whichever is longer. This enables employees to take leave for up to two years, which exceeds the length of the statutory leave period. The employee who has taken childcare leave can return to the same or an equivalent position in principle. They are also allowed to shorten their working hours until their child completes the third grade of elementary school. In addition, we introduced a flextime scheme for childcare in October 2007 in order to further enhance the support for employees’ child raising efforts.
As of the end of March 2012, a total of 64 employees were using the childcare leave system, 32 employees applied to reduce their working hours and 42 employees were using the flextime scheme for child care.
We have also set up a range of leave systems such as the “family nursing care leave” and “charitable activity leave,” as well as vacation leave systems such as “bonemarrow donor leave” and “sick/injured child-care leave.”
Time-Off System to Care for a Family Member
In July 1992, TOK introduced a system that gives employees time off to look after a parent or other family member in need of care. Under the Time-Off System to Care for a Family Member, time off was extended to up to a total of 366 days, which exceeds the period under the law.
Moreover, the Company continues to pay health insurance and pension premiums during the time the employee takes off, except for contract workers. In principle, an employee can return to his/her former position or a similar position elsewhere. Employees can also request a shorter working day so that they can care for a family member while continuing to work. As of the end of March 2012, a total of 7 employees were using the Time-Off System.
Sick Leave System
In March 1993, we adopted the sick leave system that supports employees who are unable to work due to non-occupational injury or illness and have used all their paid leave. The sick leave is classified into three categories of “short-term sick leave”, “long-term sick leave” and “special long-term sick leave” and the amount of compensation for absence from work is determine d according to the categories.
Occupational Rehabilitation System
In April 2005, we adopted the occupational rehabilitation system to help employees return comfortably to work after an absence of more than one month or longer due to non-occupational injury or illness. Under this system, these employees can reduce their working hours for up to two months from the day they return to work.
Charitable Activity Holiday System
Under the Charitable Activity Holiday System, which we have offered since July 1993, employees can take leave for up to 2years and 4months to participate in the activities of the Japan Overseas Cooperation Volunteers.
Time-Off System for Bone Marrow Donors
TOK started offering time off for bone marrow donors in September 2005. We want to support the social contributions of employees by reducing the burden involved in bone marrow donation, from registration through the actual transplant. Employees can receive up to 6 days off for examinations and hospital stays for transplants, which are used to treat leukemia and other disorders.
Expired Paid Leave Reserve System
In April 2008, we introduced the expired paid leave reserve system. Under the system, employees can reserve their unused, expired paid leave in cases where they have non-occupational injury or illness. A maximum of five days can be added each year and a total of up to 30 days can be reserved. The reserved paid leave can be used by a unit of 0.5 day.
Time-Off System for Child-Rearers
TOK started offering time off for rearers nursing children in October 2002. Employees who have pre-school aged children can use this system for nursing, bringing their children to hospitals, and transportation to and from nursery school. A maximum of 10 days can be taken a year.
Human Resource Initiatives
Our personnel system comprises the “rank system”, “remuneration system”, “evaluation system” and “job challenge system”. Our goal is to set the Basic Policy of Human Resources within the Company, and create a rewarding workplace for employees through a performance-based evaluation system.
We began to accept employee transfers from overseas subsidiaries two years ago, and plan to directly employ foreign employees in the future.
The rank system allows talented employees to earn early promotion, which is composed of two career paths: the “work-location selection course” according to aptitude, education, assignment and rotation; and the “qualification rank system” according to duties and responsibilities.
Under the remuneration system, employees receive a “base salary” that reflects their skills and performance and a “job category salary” that reflects their duties and responsibilities. For regular employees, the “base salary” is determined based on their functional skill grade and job performance; for executives, primarily based on their performance required according to their functional skill grade. Furthermore, there are upper and lower limits of remuneration for each qualification rank. This system eliminates seniority-based salaries and gives younger employees the opportunity to earn more.
We have incorporated a goal management approach into the employee evaluation system, where employees set their goals and assignments and clarify their duties to perform and goals to achieve.
The evaluation system combines a “performance evaluation” reflecting the degree of employees’ attainment of goals/assignments, and a “competency evaluation” reflecting employees’ competency to perform their duties and responsibilities while attaining their goals. This system completely eliminates factors such as age, academic background and gender of employees in evaluating their performance.
Under this system, all employees are required to submit a report on their activities once each year. The report should cover the nature and volume of their tasks as well as their working environment, desired position/work location, comments and messages to the management of the Company, etc. These reports are submitted to the supervising director and used as basic information for skill and career developments, appropriate personnel allocations, improvement planning of worksites, and so on.
Job Challenge System
This system aims to support employees who take their career development seriously and wish to challenge a new position at their own risk. The system has the following two options:
1. Free Agent (FA) System
In this system, employees can select a position to which they wish to be transferred. Then, they go through an interview with related supervisors. Their ability, aptitude, career goals, self-development, etc. are comprehensively assessed to determine whether or not they can be transferred to their desired position. This aims to promote employees’ motivation, not only to accept the assignment made by the Company but to voluntarily extend their career path.
2. Career Challenge (CC) System
This system allows employees to apply for work at a particular location. The request will be processed through coordination between their current division and desired division taking into consideration their qualification and ability. In principle, employees must return to their original division within five years.
This system encourages employees to explore their growth direction and suitable role within the Company from a medium and long term perspective, while fostering their skills and career motivation to help them gain professional expertise through their duties.
Specialist Development System
We have set up a new Specialist Development System that is separate from the management development system that we have had in place thus far. This new system aims to foster personnel with a high level of expertise in specific fields, not as organizational leaders but as specialists to lead the completion of specific tasks and contribute to improving the company’s results. In fiscal 2012, three employees were inducted into the Specialist Development System.