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Third-party Evaluation and Independent Reviews

Social Issues Attributable to JSR Group's Corporate Activity / Employees Labor Environment

FY :
Fiscal Year means the year starting April 1st.
For example, FY2016 means April 1, 2016 - March 31, 2017

1. Work-Life Management Basic Philosophy

JSR is actively promoting its Work-Life Management initiative. Employees are encouraged to not only develop work-related skills, but to also actively participate in social, and personal activities (e.g., social and community groups, family, volunteer activities, self-development, and hobbies). JSR believes that by encouraging our employees to become well-rounded individuals, and by finding a personal sense of self-fulfillment and satisfaction that they will then be able to bring that energy into their work.
JSR encourages all of our employees to closely manage their personal time and maintain a balanced work schedule. We are also working on implementing various systems that support flexible work styles, with special consideration for childbirth, childcare and family-nursing needs.
Work-life management is vital in the implementation of diversity management, because in order to create an organization with a diverse workforce, we must also promote a corporate culture that is open to diverse values and work styles.

2. Overtime Reduction Initiatives

The total number of working hours per JSR employee in FY2016 was 1,977 hours. This includes, on average, 225 hours of overtime per employee, per year. In FY2004, we implemented an electronic time and attendance system to accurately record working hours. By implementing this system, employees gained the ability to effortlessly self-report working hours producing easily accessed records of entry & exit times at our offices and plants. Managers also gained the ability to verify their employees working hours. This system has enhanced the efficiency and accuracy of time and attendance reporting within JSR. The electronic system also automatically notifies supervisors when employees exceed a certain amount of overtime. We are working on ways to foster a more efficient and transparent work culture by internally disclosing each department's overtime hours.

3. Work-Style Reform Activities

At JSR, we are implementing work-style reforms with the goal of realizing sustainable growth for both the company and our employees.
In promoting work-style reform, we will analyze factors in the workload of each department and then formulate and execute concrete measures to reduce work and alleviate workloads based on prioritization so that each employee can approach it with problem awareness. Reports and information on countermeasures proposed by each department are shared at meetings attended by assigned officers.
Furthermore, we see three main approaches to changing work style: work place, work tools, and work time. Given this, we are implementing the "free address" system and using ICT on a trial bases in some areas of our Head Office and Yokkaichi Plant. We are also publicizing JSR's fundamental rules on meetings and e-mail, encouraging the use of "no overtime days" at all major business locations, and encouraging the taking of paid holidays on workdays sandwiched between national holidays and in combination with three-day weekends.

JSR held a seminar on "work-style reform."

work-style reformIn February 2017, we held our first seminar primarily focused on work-style reform. The seminar's focal point was "work-style reform: reducing labor hours x raising productivity = time management that produces results." More than 160 employees participated. We invited Mr. Takayuki Kawashima to serve as the seminar's lecturer. Mr. Kawashima is a pioneer in Japan's "IkuBoss"* movement and active as a member of the Cabinet Office's Council for Gender Equality and the NPO Fathering Japan. He spoke on views of the topic—namely, "work-life balance is not a welfare issue but a management strategy" and "seeking something extremely difficult: reducing work hours while producing results"—as well as initiatives for raising organizational productivity. Following the seminar, Mr. Kawashima and JSR's officer in charge of diversity held a discussion on the topic of "diversity and work-style reform."
Through the seminar, we gained an appreciation of the goals and philosophy of Fathering Japan's activities and decided to join the Fathering Japan-led "IkuBoss Company Alliance" in May 2017.

* "IkuBoss" refers to a boss (manager or management position) who enjoys his or her own work and personal life, produces results for his or her organization, and supports the careers and daily lives of his or her subordinates and staff by considering their work-life balance.

4. Flexible Working Style Support Benefits

While life is a series of major events, child care and long-term nursing care have become increasingly prominent. Because of this, JSR is working to create an environment that enables its employees to balance work and caretaking needs. In an effort to increase awareness of the multitude of support structures, JSR distributes a guidebook that details the various internal and external support benefits and policies available to employees. By using these resources, JSR helps employees balance their responsibilities at work and at home.

JSR's Flexible Working Style Support Benefits

Life Stage Available Support Description
(Fertility treatment, prenatal care etc.)

- Shortened working hours

During pregnancy, employees may reduce their working hours up to two hours per day.
Employees engaged in fertility treatments can reduce their working hours by up to four hours per day, or up to 44 hours per month.

- Work from home

During pregnancy, employees are able to work from home one day per week.

- Maternity leave (prenatal & postpartum )*

Employees can take maternity leave starting six weeks before, and extending eight weeks after childbirth.

- Special paid paternity leave

Male employees can take four days of special paid paternity leave anytime from one week prior to two weeks after the birth of their child.

- Extended childcare leave*

Employees are able to take an extended leave of absence until their child turns 18 months of age.

- Extended childcare leave counseling

Upon request by employees taking extended childcare leave, counseling sessions between the employee and their supervisor are held. In these sessions they discuss and aim to resolve any worries or issues that could hinder a smooth transition back to working life.
Balancing work and childcare

- Shortened working hours

Employees with non-working spouses can shorten their working hours until the child is three years of age. Additionally, employees with working spouses can reduce their working times until the child is in their third year of elementary school.

- Work from home

Employees with working spouses may work from home one day per week until their child finishes elementary school.

- Family-care leave

Employees can take up to ten days of leave in half-day units per year to provide nursing care for family member's that live in the same household. Uses include, accompanying family members to the hospital, medical examinations, vaccinations etc.
Balancing work and nursing care

- Shortened working hours

Employees providing nursing-care for family members can reduce their working hours by up to four hours per day, or up to 44 hours per month.

- Work from home

Employees providing nursing-care for family members are able to work from home one day per week.

- Family-care leave

Employees can take up to ten days of leave in half-day units per year to provide nursing care for family members that live in the same household. Uses include, accompanying family members to the hospital, medical examinations, vaccinations etc.

- Nursing-care leave

Employees providing nursing-care for family members can take up to 20 days of leave in half-day units annually.

- Extended nursing-care leave*

Employees providing care for family members can take up to 24 months of extended nursing-care leave.
Extended leave can be broken down into as many as three periods for up to two years.

* Per employee request, mobile devices with remote access to the company network are provided under these benefits.

JSR also provides a discretionary labor system for employees in R&D, as well as a "no-core" flextime labor system for its non-shift based employees. Employees can take up to five days of paid leave per year as a part of our paid volunteer leave system. This allows employees to participate in social contribution activities that occur during working hours. JSR is also improving and fostering communication between female employees through the implementation of our internal SNS tool, Harmony.

Next Generation Accreditation Mark Kurumin

Next Generation Accreditation Mark "Kurumin"

JSR and JSR Micro Kyushu are Accredited with the "Kurumin" Next-Generation Mark

In August 2007 and April 2012, JSR received the Next Generation Mark accreditation (nicknamed "Kurumin") issued by the Minister of Health, Labor and Welfare. Kurumin designates enterprises that provide superb parenting support.
JSR Micro Kyushu also received the mark in May 2017.

JSR Original Support Benefits

In addition to compensation benefits available during paid leave periods via health and workers compensation insurance, JSR employees are provided with the following original benefits. These benefits aim to aid employees in maintaining a healthy work-life balance.

(1) Childbirth Lump-Sum Allowance

Women enrolled in JSR's health insurance program are eligible to receive a 100,000 yen per child Childbirth Lump-Sum allowance in addition to the government mandated childbirth allowance.

(2) Extended Childcare Leave Allowance

Employees on extended childcare leave are eligible to receive their base salary with an additional 50% bonus for the first five days. This allowance is funded via the JSR Mutual Aid Association.

(3) Post Childcare Leave Reinstatement Allowance

For employees who have returned back to work for a continues six months following maternity leave or extended childcare leave (of at least one month) are eligible to receive a allowance of 200,000 yen per child. This allowance is funded by the JSR Mutual Aid Association for the purpose of recognizing employees past service, and continued dedication.

(4) Daycare Allowance

In households where both parents work, employees are reimbursed half the cost of daycare services that are required on working days. Costs are reimbursed via the JSR Mutual Aid Association with an annual limit of 400,000 yen per eligible employee.

5. JSR Workers' Union Activities

(1) JSR Workers' Union Basic Policies

With the search for affluence as its guiding principle, the JSR Workers' Union works to:
(1) Negotiate wages
(2) Improve workplace environments
(3) Improve welfare
(4) Publicize leisure, public relations, and volunteer activities
(5) Promote union activities

(2) Members of the JSR Workers' Union

There are 2,542 members of the workers' union as of April 1, 2017. Group companies have also established their own workers' unions.

(3) Communication between JSR and the JSR Workers' Union

JSR and the JSR Workers' Union have entered a labor agreement based on workers' union regulations.
The president and directors in charge of individual business segments have regular discussions with the workers' union to exchange opinions and conduct QA sessions regarding the working environment, business conditions, major company policies, and workers' union activities. The JSR Workers' Union discloses the content of these discussions with union members. Negotiations include labor management councils at the employee- and plant-level, local labor management councils, and Safety and Health Committees to deepen understanding and trust as well as ensure sound labor relations. In FY2016, our offices and plants made efforts to create a work-friendly environment with a particular focus on partially revising the retirement pension system, correcting overtime, and engaging in frequent discussions on expanded support for childcare and nursing care.

(4) Communication between the JSR Workers' Union and union members

Union members at each plant represent of plant workers' opinions. They also act as a conduit between union leadership and the union members. Workplace discussions and questionnaires are conducted to ensure the ideas and opinions of union members are incorporated into union activities.

6. Utilization of Work-Life Balance benefits and JSR Original Benefits

Utilization of Work-Life Balance Benefits FY
Fertility treatments Shortened working hours - - - 0 0 0 0   Established in FY2013
Childbirth Childbirth leave* 23 25 23 14 15 20 23    
Extended childcare leave* Female 19 24 22 15 18 20 19    
Male 5 4 3 6 2 5 11    
Total 24 28 25 21 20 25 30    
Extended childcare leave counseling 10 14 19 17 13 12 14    
Balancing work and childcare Shortened working hours
(Includes prenatal employees)
59 67 73 79 77 81 87    
Work from home
(Includes prenatal employees)
9 9 9 12 11 10 10    
Balancing work and nursing-care Shortened working hours 3 2 1 0 3 4 2    
Work from home 1 3 3 0 0 2 1    
Nursing-care leave 4 4 1 2 1 6 3    
Extended nursing-care leave* 0 0 0 0 0 1 1    
Other Provision of mobile devices with remote access to the company network 8 9 7 4 3 2 4    
Discretionary labor system   446 464 104 107 103 107 108 Number of employees at the start of each FY. (April 1st)
Special volunteer leave
(The value in parenthesis represents the total number of leave days taken)
  In FY2011, major volunteering efforts were taken for earthquake disaster recovery.

* Per employee request, mobile devices with remote access to the company network are provided under these benefits.

Original Benefits FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016
Extended Childcare Leave Allowance23272721182526
Post Childcare Leave Reinstatement Allowance24101919231519
Daycare Allowance2356256