Unlocking Infinite Potential in People to
Enhance Corporate Value through the
Self-Actualization of Diverse Employees
With our management philosophy of conducting business with integrity, we are committed to contributing to society through manufacturing, and are working to develop our personnel and create comfortable work environments as the foundation for such activities. Respect for human rights is also important, and is the basis for various activities with our domestic and overseas Group companies and business partners.
Employee Relations
Human Resource Strategy for Achieving the 2030 Business Plan
To realize the 2030 Business Plan, while advancing reforms to our business structure, we aim to adapt flexibly to environmental changes and foster a “polymer-like organization” capable of continually creating new economic and social value, thereby invigorating both people and the organization.
The foundation of the value we provide to society lies in our people. We combine the specialized expertise in rubber, plastics, and other polymer technologies we have accumulated over many years with the organizational capabilities and teamwork to transform that expertise into products. To drive the business growth and structural reforms outlined in the 2030 Business Plan, we are advancing our human resource strategies based on the following two key themes.
1. Realizing Well-Being for a Diverse Workforce
The labor market is changing at an unprecedented pace, driven by a shrinking workforce due to a declining birthrate and aging population, along with increasingly diverse work styles and evolving values. Given these circumstances, we aim to promote the well-being of our diverse workforce, ensuring that our company remains attractive and a place that people want to join and continue to work for the long term.
Based on the two pillars of creating safe spaces for employees to feel secure and providing platforms where everyone can thrive, we will promote initiatives that ensure psychological safety and enhance engagement through human resource development, foster a sense of unity, and encourage two-way communication. We will also advance DE&I activities to promote the advancement of women, expand opportunities for diverse talent, including people with disabilities, and create an environment where everyone can safely take on challenges, grow, and maximize their potential. Through these efforts, we aim to achieve the well-being of a diverse workforce while enhancing both economic and social value.
2. Securing Resources for Growth
While promoting initiatives to achieve the well-being of a diverse workforce, we recognize that securing the human resources necessary to realize new technologies and address priority themes looking to the future is a key factor in achieving the 2030 Business Plan.
We are developing a talent portfolio that systematically organizes the types of talent and expertise required for the future. As part of our goal to achieve a 100% talent fulfillment rate by 2030, we will assess and visualize our employees’ skills, promote planned development based on these insights, place the right people in the right roles, and strategically hire as needed.
In addition, to ensure a stable pipeline of management personnel who will support our future management foundation, we will conduct succession planning, steadily develop human resources including systematic assignment of talent in management positions at both domestic and overseas affiliates, and strengthen the human resource base in order to support sustainable corporate growth.
■2030 Business Plan and Human Resource Strategy
Realizing Well-Being for a Diverse Workforce
Based on two pillars—creating safe spaces for employees to feel secure and providing platforms where everyone can thrive—we will promote seven initiatives, including mental and physical health, development of human resources, and two-way communication, while encouraging employees to take action with a positive mindset, fostering new value creation.
Creating Safe Spaces for Employees to Feel Secure: Initiatives for Improving Psychological Safety
Creating safe spaces for employees to feel secure means fostering a psychologically safe workplace with open communication and active dialogue. To create a workplace where employees feel safe to speak openly, we are promoting various initiatives emphasizing dialogue and two-way communication.
These include a three-year “Empathy-Driven OMOIYARI Communication Training” conducted by a psychiatrist to promote change among management, well-being seminars led by external experts, and support for in-departmental social events to foster workplace communication (Community Support Activities), as well as efforts to stimulate labor-management dialogue.
Providing Platforms Where Everyone Can Thrive: Initiatives for Improving Engagement
Providing platforms where everyone can thrive means fostering a highly engaged workplace where employees are aligned with the Company’s vision, proactive in taking on challenges, and grow as individuals. Since 2021, we have conducted engagement surveys covering all employees, including those on international and domestic assignments. By analyzing the survey results across workplaces, identifying issues between labor and management, establishing countermeasures, and implementing iterative improvements, there has been a steady improvement in scores to date.
Engagement Scores
Workplace Culture and Management Transformation
In 2015, a union-conducted survey revealed low levels of intrinsic job satisfaction among employees, prompting us to initiate workplace culture reforms. Since then, we have implemented a range of measures, including fostering workplace communication, delivering top-level messages, launching committees to enhance job satisfaction, and hosting lectures by external speakers.
These efforts have addressed both workplace culture and management practices in a sustained manner.
The results of our Experience Survey indicate that these initiatives have yielded measurable improvements in workplace culture in areas such as workplace cooperation and communication. However, challenges remain regarding psychological safety and the ability of supervisors to inspire motivation among their team members. In 2024, we will intensify our efforts to promote further management transformation and enhance opportunities for dialogue.
■Management Transformation
A three-year “Empathy-Driven OMOIYARI Communication Training” (five sessions total) conducted by a psychiatrist is being implemented for all executives and managers. (Session 1 in 2023, Sessions 2 and 3 in 2024, and Sessions 4 and 5 in 2025) In addition to this, workplace leaders will continue participating in “Creating an Empathetic Workplace Training,” led by external instructors, building on last year's efforts.
Empathy-Driven OMOIYARI Communication Training
Participants: 1,207 (Session 1, FY2023)
Creating an Empathetic Workplace Training
Participants: Section Managers: 156, Group Leaders: 275
■Dialogue Activities
To put the results of these training programs into practice, roundtable meetings are held in each workplace, providing opportunities for top management and department heads to engage in dialogue with team members.
Vital and Cohesive Company Culture
Toyoda Gosei holds various companywide events to foster a sense of unity in the workplace. The eighth all-Toyoda Gosei ekiden distance relay race was held this year with total of 1,040 runners participating in the event from both Group companies and suppliers. Approximately 1,000 workplace colleagues and family members came out to cheer them on. Other events were the Morimachi Summer Festival held at the Morimachi Plant and Family Day, when employees invited their families to the company. The TG Festival to deepen family ties and interactions with the local community, and the TG Olympics where various blocks in the company compete athletically are other fun events normally held each year, but unfortunately in 2024 had to be cancelled due to typhoons. Through these events, ties among employees and with the community are strengthened. The events are planned as a way for the company to show hospitality and express its gratitude for the daily support, understanding, and cooperation it receives.
Vision Alignment
To enhance employees’ intrinsic motivation and help them understand the significance of their daily work, in FY2019, we began “Management Declarations” in which division managers outlined the vision and mission of the workplace. In FY2022, we launched the “Workplace Vision and My Thoughts” initiative in which division and department managers discuss the thinking behind the workplace vision. With the launch of the 2030 Business Plan, all division chiefs have also begun “Sharing Our Vision” sessions to communicate their own aspirations for realizing the company vision, thereby enhancing employees’ understanding and engagement with the vision.
Career Fulfillment
Another key to enhancing engagement is helping employees to achieve their career goals. Although we have implemented many HRD initiatives over the years, survey results indicate that these have not always achieved the desired outcomes in terms of career fulfillment.
This issue was raised by young and mid-career members of the Human Resources Department through our business idea contest as the CareeArch career autonomy initiative with the theme of “taking ownership of one’s career.” We have decided to give this initiative top priority as it directly contributes to improving engagement and realizing well-being.
Specific initiatives include creating an environment where employees can envision their own future through dialogue with supervisors, such as by holding career training sessions that encourage employees to proactively consider their career paths and hosting departmental information sessions. In addition, each department is engaging in detailed discussions to develop its human resource development plans and launch initiatives aimed at aligning the Company’s business needs with employee’s career aspirations.
We have also introduced frameworks such as the 10-Year Development Program for Young Employees and open rotation programs to expand opportunities for employees to take on challenges to achieve their career goals, thereby strengthening the framework to support their individual growth. We will continue to create an environment where employees can independently plan their careers and take on challenges to achieve them, which we believe will lead to improved engagement.
Initiatives to Enhance Corporate Value
To enrich employee benefits and support their wealth-building efforts, the Company has introduced a Restricted Stock Incentive Program tailored for employee shareholder associations. This initiative aims to foster a deeper sense of shared value between individual employees and the Company's shareholders and to enhance employees’ sense of participation in management decisions.
Shareholder association membership rate: Increased from 45% to 84% (as of October 2025)
Securing Resources for Growth
In addition to promoting initiatives aimed at realizing well-being for diverse talent, we are working to develop and assign talent that will support business growth and enhance our business foundation to help achieve the 2030 Business Plan.
Optimizing Our Talent Portfolio
In FY2024, we reassessed company-wide priority focus areas and personnel requirements. By organizing these into a talent portfolio aligned with our business portfolio, we were not only able to manage workforce size, we were also able to improve the management of workforce quality. To clarify the types of talent we wish to cultivate for achieving the 2030 Business Plan, we have defined the “Three Pillars of Talent” within our talent portfolio.
These pillars are further divided into 15 distinct talent types. By identifying gaps between our current talent and the talent needed to achieve the 2030 Business Plan, we are developing strategic plans for talent acquisition, allocation, and development.
Furthermore, to support the career development and personal growth of our employees, we are using the talent portfolio to clarify career aspirations and facilitate the acquisition of necessary expertise.
When employees are interested in taking advantage of opportunities such as open rotation programs to pursue personal growth toward their desired career goals, their supervisors support their challenges by engaging in thorough dialogue.
Through these career development initiatives, we are working to align employees’ aspirations with company needs, thereby contributing to securing resources necessary for future growth.
■Business Strategy and Required Talent
■The Three Pillars of Talent
- Talent for advancing key businesses: Personnel responsible for themes directly tied to the key businesses of the 2030 Business Plan
- Talent for strengthening management base: Personnel who enhance management foundations across all operations
- Next-generation management talent: Next-generation leaders and overseas site heads who will lead the two types of personnel above
Talent Supporting Advancement of Key Businesses and Enhancing of Business Foundations
The first pillar of the “Three Pillars of Talent,” Talent for Advancing Key Businesses, includes personnel involved in the development of the key businesses outlined in the 2030 Business Plan: Safety Systems, Interior/ Exterior Components, and Materials/New Businesses & New Products. To achieve the business plan, efforts will focus on allocating and acquiring these talents.
By clarifying the required talent and expertise in the talent portfolio, the Company will shift resources within internal talent while also enhancing recruitment of new talent with specialized skills.
The second pillar, Talent for Strengthening Management Base, refers to personnel who support foundational functions across all business areas within the Company to achieve the 2030 Business Plan.
This includes talent essential for expanding sales, enhancing production in key global regions, and advancing DX (digital transformation). Similar to the Talent for Advancing Key Businesses, efforts will be made to acquire, allocate, and develop this talent.
■Examples of Required Talent
Acquiring and Developing Next-Generation Management Talent
To systematically develop future leaders, we have clarified the key requirements for executive positions essential to executing management strategies. We are also implementing a succession planning system to select candidates, plan their development, and assign them to challenging roles (tough assignments). Efforts are also underway to develop human resources by appointing and training national staff executives at overseas sites. To accelerate these proactive appointments in various regions, we established a basic policy and targets for appointing national staff executives (vice president-level and above) in FY2021. Each business unit is actively working toward achieving these goals.
We are aiming to achieve a 60% ratio of national staff executives by 2030. To this end, we are progressing with evaluating and developing high-potential talent across all regions. Key initiatives include the “Leadership Development Academy,” “Basic Management Skills Training,” and other training programs for developing local executive candidates. We are also holding regional succession committees (RSC) in the Americas, China, and other regions to share updates on development and recruitment activities for executive successors, as well as to discuss challenges.
Diversity, Equity, and Inclusion (DE&I)
Basic Philosophy
To incorporate diverse values and fresh perspectives into management, the Company has actively implemented the recruitment, development, and promotion of individuals from a wide range of backgrounds and attributes.
Since 2020, the Company has focused on creating spaces and opportunities where diverse talents are welcomed and can thrive. Efforts have been directed toward fostering a culture of inclusion by developing systems, policies, and educational frameworks to support this goal.
In 2023, to further embed the Company’s diversity initiatives, employees were invited to propose ideas for a symbolic logo and slogan. The chosen slogan, “Let’s advance together towards a diverse future through DE&I.”
Key Initiatives for Diversity, Equity, and Inclusion (DE&I)
Regarding DE&I initiatives, we actively promote support, education, system development, and workplace improvements to enable our diverse talent, including women, people with disabilities, and senior employees, to fully utilize their abilities.
Promoting Women’s Empowerment
In the manufacturing industry, the proportion of female employees tends to be low, and workplace environments are often designed with male employees as the default. This, combined with a lack of female role models, has delayed the promotion and development of female managers in the Company. To address this, we have set a target of reaching 100 female managers by 2030 (we are currently at 41), accelerating initiatives to support women’s empowerment.
■Administrative and Technical Roles
For administrative and technical roles, we offer the Advance Program, which identifies employees’ own developmental challenges for management roles and hones their skill sets to become management candidates, as well as the Encourage Program for young and midlevel employees with a focus on mindsets for managers, in which participants better understand themselves and envision leadership roles that align with their strengths.
In addition, this year we introduced an executive mentorship program as a follow-up measure after promotion to a managerial position. Going forward, we will promote various initiatives to enable individuals to better plan their careers, such as training and lectures to foster awareness of career advancement for female employees and encourage the building of networks both inside and outside the Company.
■Skilled Roles
For skilled roles, in FY2024, we began Heart Link, a project in which women selected from each plant identify workplace environment and operational challenges and work to promote their resolution. We proactively hold networking events with other companies, including the Toyota Group to provide opportunities for awareness, empathy, and learning through an information exchange on women’s work styles and workplace challenges, thereby encouraging more active roles by women as future leaders. We also actively promote workplace kaizen activities by female leaders and case presentations at conferences both inside and outside the Company, and our case study presentation won the excellence award at the TPM Ladies Competition for manufacturing presentations.
■Support for Work-Life Balance
To support a balance between work and family life, we are improving our systems and environment by incorporating feedback from those involved, such as by establishing special childcare leave, a flexible system of reduced working hours, and an on-site daycare center on holidays. In addition to promoting initiatives for female employees, we are also encouraging male employees to take childcare leave.
In recognition of the above efforts, Toyoda Gosei has been awarded as a top-tier company making exemplary efforts in the “Aichi Women Shine Company,” certified by Aichi Prefecture for companies that are actively empowering women.
■Creating Systems and Environments for Flexible Working Styles and That Support Increased Activity
In addition to systems that exceed the legal requirements for support in balancing work with childcare, nursing care, and medical treatment, we are fostering a workplace culture of mutual consideration. In working to achieve the company target of a childcare leave-taking rate of 100% among male employees, which is a company target for 2030, we actively conduct activities for the understanding of mutual support, not only in systems but with seminars for superiors and raising awareness through our in-house newsletters. These efforts were recognized with “Platinum Kurumin” certification in FY2024. For nursing care, we offer seminars for employees 55 years and older to gain knowledge that will help them balance work even when directly involved in nursing care. In FY2024, we began information seminars on the long-term nursing care system and insurance for employees at the milestone age of 40. To achieve a work-life balance, we strive to create an environment where all employees can continue to work with a sense of security and fulfillment, with work-life balance support and flexible work styles.
Major Systems for Childcare Support
- *2 4-hour workday up to first grade of elementary school, 6/7-hour workday up to fourth grade of elementary school
Major Systems for Care Support
System to Support a Balance Between Work and Medical Care
- Reduced working hours
- Half-day work
- Relaxation of upper restrictions on telework
Company-Wide Average Overtime Hours [Toyoda Gosei Co., Ltd.]
Number of Men Who Took Childcare Leave [Toyoda Gosei Co., Ltd.]*4
- *4 No. corresponding to the year when childcare leave was started
Annual Paid Leave Taking Rate [Toyoda Gosei Co., Ltd.]
- *3 There were company shutdowns due to COVID-19
Respect for Human Rights
Basic Philosophy
The Toyoda Gosei Group respects and supports the Universal Declaration of Human Rights, the UN Guiding Principles on Business and Human Rights, and other international norms. The Toyoda Gosei Group Charter for Business Ethics lays out our basic principles of “respecting human rights and the diversity, character, and individuality of each person and striving to create workplaces that are free of discrimination and harassment and always healthy, pleasant, and safe, based on labor-management cooperation.” This policy expressly prohibits all forms of harassment, forced labor, and child labor, as well as promoting fair hiring practices and respect for human rights and individual dignity.
■Toyoda Gosei Group Human Rights Policy
In order to accelerate existing efforts for the Respect of Human Rights, we established the “Toyoda Gosei Group Human Rights Policy” in April 2022. The policy was developed with support from external experts, and then reviewed by all Officers and Chiefs of Divisions at the Sustainability Meeting and approved at the Board of Directors Meeting.
In our human rights policy, we recognize everyone we do business as a business partner, and declare that if any business partner or other affiliate is somehow involved in human rights violations, we will apply pressure on that party so that human rights are not violated. We hope to receive the understanding and support of all stakeholders for these policies.
We have also shared our “Sustainability Guideline for Suppliers” with our suppliers and sought their cooperation.
Risk Assessment
Activities for the respect of human rights are discussed at meetings attended by Directors, and the results of those discussions are reported at Sustainability Meetings headed by the company president. The Chief of the General Administration and Human Resources Headquarters is responsible for promoting activities for the respect of human rights, while the Human Resources Division is the division in charge. They coordinate with the Corporate Planning Division, Purchasing Division, Legal Division and others to advance efforts for human rights.
Human Rights Due Diligence
In alignment with the “UN Guiding Principles on Business and Human Rights,” the Group began implementing human rights due diligence in 2022.
Human rights due diligence refers to a series of processes that identify negative human rights impacts in a company’s operations, supply chain, and other business relationships; prevent or mitigate those negative impacts; track implementation and results; and communicate how the negative impacts have been addressed.
■Overall Framework for Initiatives Related to Human Rights
Human Rights Impact Assessment
As part of our human rights due diligence, we first conducted a human rights impact assessment together with external experts to identify the human rights issues within the Group that should be prioritized (salient human rights issues).
To obtain an overall picture of human rights risks associated with the Group’s business activities, products, and services, we first conducted a desktop survey to uncover human rights risks in the Group’s value chain. In addition, as a result of the survey, we conducted a questionnaire survey of Group companies, plus interviews in countries and regions with high risks, to confirm the actual status of and issues in efforts in this area. Then, based on the findings of these surveys, we evaluated and prioritized each human rights issue and identified salient human rights issues within the Group.
■Process of Human Rights Impact Assessment
-
Desktop Survey
- Comprehensively designate human rights risks specific to the Group’s business areas, products, countries/regions, and companies, utilizing indices and reports published by international organizations, governments, NGOs and others, internal documents, and the knowledge of external experts.
-
Survey & Interviews
- Survey: Conduct a web-based questionnaire survey for the entire Group to comprehensively investigate the situation of each company.
- Interview: Conduct interviews with Group companies in countries and industries found to be at high risk based on the desktop survey, and investigate their management situation and past cases.
-
Prioritization/identification of salient human rights issues
- Evaluate the degree of impact on human rights based on the results of the desktop survey, online survey, and interviews.
- Based on the evaluation results, and through consultation with external experts, identify human rights issues that should be prioritized as “salient human rights issues“ for the Group after approval by management.
As a result of the assessment, the three issues below were identified as salient human rights issues for which Toyoda Gosei should strengthen its management structure, and which should be prioritized.
With the cooperation of related departments, we will promote initiatives to prevent and mitigate negative impacts associated with the identified salient human rights issues. In addition, since the situation surrounding human rights is constantly changing, we will continue to conduct human rights impact assessments on a regular basis.
- * NB. Although “occupational health and safety” was also raised as an important human rights issue in the evaluation process, “occupational safety and health” was excluded as a priority issue in human rights due diligence because a Group-wide management system has already been established for this and initiatives are being promoted based on the PDCA cycle.
■Significant Human Rights Issues (Within Our Group)
| Significant Human Rights Issues | Affected stakeholders | Description |
|---|---|---|
| Harassment |
|
|
| Migrant workers |
|
|
| DE&I |
|
|
■Human Rights Risk Matrix
Initiatives
■Risk Assessment for New Businesses and Projects
When checking potential business partners, we conduct risk assessments including the status of hiring and managing foreign employees (including technical interns), whether or not they have any incidents of harassment, and their progress status in empowering women in the workplace.
■Employee Awareness and Education Activities
Up to this time, Toyoda Gosei has provided education on respect for human rights on various occasions, such as when people join the company and when they are promoted. However, with the establishment of the Toyoda Gosei Group Human Rights Policy, the company has begun hosting presentations by outside lecturers on well-being and DEI, giving explanations of the company’s human rights policy in company newsletters, providing online training for technical and administrative staff, and developing awareness tools for skilled workers. Monthly communications are issued to create workplaces free of harassment and discrimination. Other efforts include training of representatives who will have a high sensitivity to human rights, including sending personnel managers to outside training for professional learning on human rights problems.
| Objective | Outline of training | Targeted employees | Attendance rate(%) |
|---|---|---|---|
| To promote understanding of human rights | Basic human rights knowledge | All Toyoda Gosei employees | 100 |
| To promote understanding and educate employees on individual human rights issues | Training on basic human rights knowledge and unconscious bias | New managing supervisors | 100 |
| DE&I training | DE&I basic knowledge | New managers | 100 |
| Classification | Contents | Targeted employees | Frequency |
|---|---|---|---|
| Message from the president | Message on the importance of human rights | All employees | Once a year |
| Compassion month | Making rights policy known to all | All employees | Every 5 months |
■Harassment Prevention
Together with training for executives, managers, supervisors and others, a “TG Positive Workplace Support Squad” report is sent out about once a month and all employees strive to create a healthy and pleasant workplace free of harassment. In particular, ongoing training is provided to all people in supervisory and above positions to decrease harassment.
| Classification | Targeted persons | Frequency | Attendance rate(%) |
|---|---|---|---|
| Harassment training | New managers, supervisors, and team leaders | Once a year | 100 |
■Foreign Technical Interns
In 2023, a written survey was conducted on the employment situation at domestic Group companies, and it was confirmed that a total of 78 trainees had been accepted at six companies (as of July 2023). Each of these companies was asked to conduct a voluntary inspection of the workplace environment, health and safety, and document management similar to the inspections issued by the Japan International Trainee & Skilled Worker Cooperation Organization (JITCO). All group companies were then visited and on-site investigative committees conducted interviews of technical trainees, who are stakeholders. Workplaces were toured, and workers were asked about difficulties they faced. Toyoda Gosei provided guidance and implemented immediate corrective measures for any shortcomings identified to ensure that there were no violations that could lead to human rights abuses. In these surveys, it was learned that more than half of trainees come from Vietnam, and efforts are also being made to ensure that fees charged are appropriate.
■Respect for the Rights of Workers
Toyoda Gosei respects the rights of workers to freely associate and to collective bargaining, based on the applicable laws of each country. We guarantee the rights of employees to communicate openly and directly to management without fear of retaliation, threats, or harassment. While respecting local laws, we will support those methods to protect workers rights to the fullest possible extent.
■Prevention of Overwork
Toyoda Gosei complies with standards set in the labor-related laws and regulations of each country for working hours and days off. We also distribute the Toyoda Gosei Group Charter for Business Ethics and the Toyoda Gosei Guidelines for Business Ethics to familiarize employees, including those overseas, with adherence to labor standards. To avoid exceeding the legal limit for working hours, performance is managed and telework and IT tools are actively adopted at Toyoda Gosei World Headquarters as a measure to reduce working hours.
■Fair pay
In setting employee pay, we strive to guarantee standards that will ensure the livelihoods of employees and their families based first on satisfying the minimum wage in each region, and the idea of equal pay for equal work.
■Prohibition of Forced Labor and Child Labor
Toyoda Gosei complies with the laws and regulations of each country. We do not use child labor, which robs them of educational opportunities and makes them work from an early age and impedes their development. We also do use any kind of labor that is coerced through violence or threats, or forms of modern slavery in any form, including human trafficking.
When concluding labor contracts with foreign workers in Japan, we check their alien registration certificate or other documents to ensure that they are permitted to work, and that their age is not a problem. We do not keep their passports or other personal identification at the company, and do not interfere with their freedom in changing residence based on their own choices.
In affiliated companies overseas, work qualifications and age are confirmed with passports or other ID cards, alien registration cards, or similar documents. Such government-issued ID and employment authorization is not held at the company, and we work to prevent forced labor and child labor, such as interfering with free movement.
■Encouragement of Social and Human Resource Development
To improve the skills and abilities needed in working at Toyoda Gosei, we encourage human resources development in three key areas: problem-solving, which is fundamental to work; the ability to work in teams based on communication; and basic skills for strong on-site abilities. We also conduct training to develop project leaders who can bring about reforms in order to respond to changes in the business environment, and digital talent training to promote DX. We offer career design and other training for career independence in employees and encourage self-study with individually-selected e-learning so that individuals can develop skills based on their own volition. Efforts are also made for the development of employees with a high degree of self-motivation, who can think and act for themselves.
■Efforts for the Respect of Human Rights Throughout the Supply Chain
Toyoda Gosei also seeks to ensure that suppliers do not violate human rights or contribute to human rights abuses.
With the same procedures as for domestic and international Toyoda Gosei Group companies, we have conducted interviews and identified the following as risks.
| Classification | Significant human rights issues |
|---|---|
| Domestic suppliers | Harassment, migrant workers (foreign technical trainees), DE&I |
| Overseas suppliers | Child labor, forced labor, migrant workers |
We have spread our Supplier Sustainability Guidelines globally. These guidelines incorporate items needed for the respect of human rights, such as prohibitions on forced labor and discrimination, and seek suppliers’ support for the content of the guidelines. We provide check sheets for the regular assessment of hidden risks and early corrective measures. After conducting self-inspections, these companies make efforts for improvement. We also conduct surveys on conflict minerals once a year for all suppliers as one way to ensure responsible resource and raw materials procurement.
Regular human rights educational activities are conducted through liaison meetings with suppliers and other means. For overseas suppliers, in March and April of 2025 we visited 23 suppliers in India, Thailand and Vietnam, where the risk of human rights problems is particularly high. We had these companies conduct self-inspections in advance, and conducted on-site checks of workplaces and legal and regulatory documentation. We provided support for places that were found to be lacking, implemented immediate corrections, and confirmed that there were no major issues potentially leading to human rights risks. Going forward, using self-inspection and other tools, we will continue to prevent and correct human rights risks.
■Grievance Mechanisms
Toyoda Gosei has established internal and external channels that are available to employees of both Toyoda Gosei itself and Group companies. People can seek advice and make reports anonymously, and efforts are being made to protect the people who use these channels so that they will not be treated unfairly as a result of coming forward with concerns or reports.
An internal consultation service has also been established for matters including harassment, child and nursing care, and employment support for people with disabilities, and the company is striving to create an environment where employees can work in mutual respect.
A supplier consultation service has also been established for inquiries and reports from suppliers, while all stakeholders can consult or make reports through the “Contact us” section on the company’s website. We have constructed mechanisms for community residents and all other stakeholders inside and outside the company to make reports, with a contact point posted on our company website.
■Dialogues with Stakeholders
Toyoda Gosei establishes opportunities for regular dialogue with all stakeholders, including employees, shareholders/investors, community residents, and suppliers in coordination with related departments. We actively disclose necessary information.
■Status of Compliance Violations Related to Human Rights and Labor
The Toyoda Gosei Group had no human rights violations or infractions, or serious compliance violations, such as those related to labor laws and regulations, in FY2023.
| Classification | Frequency |
|---|---|
| Violation of laws and regulations related to human rights infringements and labor, and major compliance violations | 0 |
■Participation in external organizations
- Japan Business Federation
- Japan Automobile Manufacturers Association
- JP-MIRAI
■Major external initiatives supported or used as reference
- UN “Guiding Principles on Business and Human Rights”
- UN “Sustainable Development Goals” (SDGs)
- UN “International Bill of Human Rights”
- ILO “Fundamental Principles and Rights at Work”
Promoting the Employment of People with Disabilities
For people with disabilities, we conduct pre-employment internships in collaboration with special support schools to help alleviate concerns about working in a manufacturing environment. To ensure long-term employee satisfaction, we have assigned life consultants at each business site. These consultants conduct regular care meetings to address concerns and help create a more supportive and accommodating workplace environment. In addition, from FY2024, we are enhancing our efforts to hire office and engineering workers. This includes expanding the range of job categories available and actively participating in job fairs. These efforts aim to position the Company as an employer of choice.
Initiatives for Empowering Senior Employees
We promote the creation of a workplace where employees can continue to thrive regardless of age, even after the mandatory retirement age of 65. For employees at age 55, we offer training that includes future work styles, health promotion, and building assets for post-retirement life. We are also promoting new opportunities for employees to thrive in the workplace by introducing a support program at suppliers that enables them to make use of their accumulated career experience. Looking ahead, we will use opinion exchange meetings and survey results from employees under 60 years old to support work styles that enable senior employees to actively demonstrate their abilities.
| Increasing motivation |
|
|---|---|
| Health and physical fitness improvement |
|
| Workplace environment improvement |
|
Other activities
■Mid-career hires
Toyoda Gosei hires people mid-career in order to bring in know-how and knowledge not available in the company. We began a new effort in 2024 to hire foreign national employees and hire for open positions to advance the active roles of women. Currently, approximately 30% of company employees are hired mid-career, and the company is creating a workplace environment where these employees can play active roles, providing them with introductory training after they join the company and education in each workplace. These employees are also interviewed by human resources staff with regard to any problems or difficulties they may have.
Trends in number of mid-career hires
Safety and Health
Basic Philosophy
Basic Philosophy on Safety and Health
The Toyoda Gosei Group considers employee safety and mental and physical health to be one of the most important management issues, and we do our best to ensure safe, comfortable workplace environments for all business activities.
Safety and Health Initiatives
Based on the Basic Philosophy above, the Toyoda Gosei Group has formulated and rolled out a Safety and Health Declaration for our health and safety activities.
Safety and Health Declaration
- 1. We will comply with all laws and company regulations and standards related to safety and health.
- 2. We will keep in mind that “Safety takes priority over everything else” and ensure that each and every one of us acts in a “safety-first” manner.
- 3. We will engage in initiatives with a sense of ownership, and strive to foster a culture of safety in which all employees participate and are mutually enlightened.
Implementation System
The Central Safety and Health Committee, chaired by the general manager in charge of the Safety & Health Promotion Division and attended by the president, the labor union chairperson, all plant managers in Japan, and the presidents of domestic and overseas subsidiaries, meets four times a year to report and deliberate on various safety and health-related measures, and report the results of these deliberations to the Board of Directors.
In addition to the outcomes of discussions in the Central Safety and Health Committee, the Toyoda Gosei Group comes together to promote activities with the dissemination of safety information through the President’s new year message and company newsletter, and repeated dialogs on safety. We also regularly share information with our suppliers through procurement liaison meetings and other means.
Targets and Achievements (Global)
We believe it is the Company’s responsibility to ensure that everyone who works for us returns home in the same good health as when they arrived at work. We have implemented various measures to achieve our goal of zero critical*5, severe*6, and STOP7*7 accidents on a global basis aimed at a zero-accident, zero-incident workplace. In FY2024, we achieved the global goal of zero critical accidents, although four serious STOP7 accidents involving “crushing or entanglement” occurred at our own facilities and at domestic and overseas subsidiaries.
■Global Target Achievement in FY2024(including contractors and engineering companies)
| Results | Evaluation | ||
|---|---|---|---|
| No. of critical accidents | 0 | 0 | ◯ |
| No. of severe STOP7 accidents | 0 | 4 | × |
- *5 Critical: Death
- *6 Severe: Victim loses part of body (or function)
- *7 STOP7: Seven events that may cause serious injury: (1) Crushing or entanglement, (2) Heavy object, (3) Drop or fall, (4) Electric shock, (5) Vehicle, (6) Hot object, explosion, or gas, (7) Amputation
■Global Critical and Severe STOP7 Accidents
(including contractors and engineering companies)
Specific Efforts
■Safety and Health Management System
Globally, we have introduced and operate labor safety and health management systems to continuously improve labor safety and health standards.
After obtaining OSHMS certification, Toyoda Gosei has been voluntarily operating its own system at all 31 locations in Japan with the addition of internal control items. Of Toyoda Gosei’s 31 overseas locations, 14, or about 45%, have acquired ISO 45001 certification.
- As of December 2025
| ISO 45001 certification body | OHSMS certification body | Independently operated companies/plants | |
|---|---|---|---|
| Toyoda Gosei Co., Ltd. (11 plants) | ― | ― | 11 |
| Subsidiaries in Japan (12 companies) | ― | 4 | 8 |
| Subsidiaries in other countries (31 companies) | 14 | 1 | 16 |
■Risk assessments
Risk assessments are activities centered on safety and health management. The promotion of these assessments in adopted as a common Group policy. Sources of danger in machinery, work tasks, and chemical substances are properly identified, and risk assessments are conducted for safety and health with respect to each of these hazards. Hard and soft measures (residual risk management) are implemented with priority on hazards with high risk levels.
To understand the implementation status of risk assessments, audits and guidance are conducted with genchi-genbutsu (direct, on-site observation) at domestic and international subsidiaries. Reports are given as needed at meetings of the Central Safety and Health Committee (held 4 times/year), which are attended by the president of Toyoda Gosei and presidents of domestic and international subsidiaries.
■Safety and Health Education
For the advance prevention of work-related accidents, an educational curriculum is set for all officers and employees, matched to rank and at the necessary timing. Various types of training are provided. In addition to conventional in-person training, Web-training*8 and e-learning*9 are offered. As a result, 12,095 people received various types of safety and health education in FY2024.
FY 2024 Companywide Safety and Health Education, Implementation Results Chart
| No. | Name of training/education | Targeted persons | Contents | Implementation method | Number of students | ||
|---|---|---|---|---|---|---|---|
| Group (in-person) education |
Web-based education | e-learning | |||||
| 1 | Plant manager and site manager training | Plant managers and site managers |
|
○ | - | - | 12 |
| 2 | Safety and health regulation training for plant, site personnel | Plant, site personnel |
|
- | ○ | - | 54 |
| 3 | Safety and health regulation training (senior management/management, all employees) | Senior management/management |
|
- | ○ | - | 911 |
| 4 | New supervisor training/TL safety & health education | Newly promoted/assigned individuals |
|
○ | - | - | 119 |
| 5 | Equipment safety education | Managing supervisor of production engineering and manufacturing engineering departments |
|
○ | - | - | 12 |
| 6 | Mid-level skilled worker training | Skilled work next-term supervisor candidates |
|
○ | - | - | 106 |
| 7 | Overseas leader, No. 2 pre-assignment training | Individuals scheduled for overseas subsidiary assignment |
|
○ | - | - | 8 |
| 8 | Pre-overseas assignment training | Individuals scheduled for overseas subsidiary assignment |
|
- | - | ○ | 73 |
- *8 Web-based education: A learning format in which two-way communication is possible on the Web
- *9 e-learning: A learning method in which learning content is provided using the Internet and digital technology
■Domestic and International Subsidiary Audits
We have been using safety and fire prevention maps (SFPM) since FY2020 for the purpose of understanding the safety and fire prevention levels at our domestic and international subsidiaries and rectifying weaknesses.
In FY2024, uniform assessment items were again established based on the results of voluntary assessments at each company. For domestic subsidiaries, regular and irregular on-site audits and support are conducted with checks of the actual situation.
For overseas subsidiaries, the assessment results (activity content) of each company are checked with a combination of regular Web meetings and overseas trips to observe the actual situation. For subsidiaries who are judged to require further improvements, Web-based guidance meetings utilizing videos and various materials and audits and guidance are held to improve safety levels.
Work Accident Occurrence
Of the severe STOP7 accidents involving workers getting stuck or caught in machinery that occurred in FY2024, two were injuries suffered when workers put their hand in machinery even though it was operating. To prevent recurrences, we are thoroughly conducting activities for things such as renewing awareness of the extreme danger of putting one’s hand into moving machinery and the misery that can result, reviewing and inculcating company rules, safety dialogs with top management, and plant rounds by head of locations and other management personnel.
Although there is a rising trend in the number of accidents, in FY2025 we aim to create an environment where risk is taken as something that people personally, and thorough kaizen is conducted. We are spreading safety measures globally with the three aspects of people, machinery/environment, and management.
■Trends in Serious STOP 7 Accidents in the Toyoda Gosei Group
(including contractors)
■Trends in the Labor Accident Rate in the TG Group
(rate of lost-worktime injuries)
■FY2024 Toyoda Gosei Co., Ltd. Safety Performance
Safety performance at companies other than Toyoda Gosei Source: Ministry of Health, Labor and Welfare “Survey on Industrial Accidents (Business Sites with ≥100 people)/Survey period: January–December”
| Item | Calculation formula, disclosure method | Toyoda Gosei Co., Ltd. | Transport machine and equipment manufacturers | Manufacturing industry |
|---|---|---|---|---|
| Fiscal year (April to March) |
Year (January to December) | |||
| Time lost to industrial accidents (average number of days of lost work per casualty) |
Average number of days of lost work per casualty:
Reference: Number of days lost |
8.1 | 50.2 | 47.4 |
| Number of industrial accidents (lost time injury frequency rate) |
Lost time injury frequency rate:
|
0.50 | 0.66 | 1.30 |
| Number of industrial accidents (total accident frequency rate) |
Total injury frequency rate:
|
1.89 | - | - |
| Number of deaths due to industrial accidents | *Includes number of deaths from Covid-19 | 0 | 7 | 34 |
Health Management
Basic Philosophy
We conduct health management activities so that all people working in the Toyoda Gosei Group can continue working in both mental and physical health.
Health Declaration
To Achieve “Boundless Creativity and Social Contribution”
- 1. We believe the health of our employees is an important management resource and will strive to foster a corporate culture that puts safety and mental and physical health first.
- 2. We will strive to create positive and lively workplaces where employees can work energetically, and develop our personnel.
- 3. To help improve the health of employees and their families, we will raise health awareness for disease prevention.
Promotion System
Toyoda Gosei holds quarterly meetings of its Health and Happiness Promotion Council, a subbranch of the company’s Central Safety and Health Committee.*9 The Council aims not only for good health in work, but also happiness. With the Safety & Health Promotion Division acting as executive office, industrial physicians and the company’s Human Resources Division, health insurance union, and labor union come together to discuss health management and well-being activities for the well-being of workers. These discussions and decisions are also shared with the safety and health committee of each workplace.
- *9 The Headquarters Chief responsible for the Safety & Health Promotion Division serves as chairperson, while the president of Toyoda Gosei, the labor union chairperson, plant managers of all plants in Japan, and the presidents of all subsidiaries in Japan are committee members
Health Management Activities
The ability of each employee to work with energy and health into the future is essential as a foundation to fulfill Toyoda Gosei’s corporate social responsibility as stated in our management philosophy. In recognition of this, we undertake health management to maintain and promote the health of our employees.
In these efforts we have prepared a strategic roadmap aligned with METI’s Guidelines for Administrative Accounting of Investment in Health and Productivity Management. By quantifying investments and effects and going through the PDCA cycle, we promote ongoing and effective activities.
In 2025, we deepened this strategic roadmap based on the Health Management Guidebook (March 2025 edition). In keeping with recent environmental changes, we have visualized the links between management policy and the interconnectivity with health management promotion policies as well as individual measures. We then raised the goal of “Improving engagement that leads to happiness and vitality based on maintenance and improvement in mental and physical health to achieve well-being.”
We have established an engagement score of 75% as a key goal indicator (KGI). To achieve this key goal, we are fostering a corporate culture where each person can stay healthy, and we will continue to actively invest in health improvement and educational activities.
Health Challenge 8 in Health Management
To raise the implementation rate for the company’s Health Challenge 8,*10 which was established in FY2021 as a health KPI, every department releases its aggregate score results each year to give people an opportunity to check the status in their own workplace.
To promote health activities centered on the workplace, a health advocate system (health improvement rangers) was introduced. These health improvement rangers issue monthly health reports and support health activities in each workplace.
- *10 Health Challenge 8: The eight items of body weight, breakfast, alcohol, snacking, smoking, exercise, sleep, and stress
Raising Health Awareness and Changing Behaviors
We are in the ninth year of our workplace-based health promotion activities, one of the programs to achieve the goals in Health Challenge 8. The number of participants has increased year by year, reaching 94.4% of all employees in FY2023. Members are finding fun and creative ways to promote health and wellness, with activity leaders in a central role. The low exercise implementation rate in the Health Challenge 8 results is an issue that needs to be improved, but more than half of participating teams have adopted an exercise theme, indicating a high level of interest.
The annual health checkup is taken as a “Day to Think About Health” for each employee, and health education activities, such as “Health Message Drawing” and “Grip and Leg Strength Measurements,” are conducted by public health workers and nurses.
Health checkups and complete physical examinations
| FY2022 | FY2023 | FY2024 | |
|---|---|---|---|
| Percentage of employees who take health checkups | 100% | 100% | 100% |
| Percentage of employees who take complete physical examinations | 84.5% | 70.2% | 75.0% |
Enhancement of Specific Health Guidance and Follow-up Measures
2023 Specific health guidance implementation rate 97.7%
Active support implementation rate 80.8% Motivation support implementation rate 95.0%
Group instruction for specific health guidance (active support) in partnership with the health insurance union since 2019.
Since January 2020, we have been checking all employees using even test items that occupational physicians say could be omitted in regular health checkups. The findings are used in the early detection of anomalies and the establishment of healthy lifestyles.
In addition to health guidance by industrial physicians and others for employees with adverse health checkup findings, since FY2022 employees have received age-specific health guidance through interviews with a public health worker every four years, regardless of whether or not any problems are found in health checkups. Opportunities are also provided for all employees to review their own health.
Trends in percentage of people with anomalies/Health Challenge 8 (lifestyle improvement rate)
Health promotion activities to date have led to improvements (rising trends) and maintenance of the same level in the obesity rate and percentage of people with findings of high blood pressure, triglycerides, or blood sugar.
The rate of Challenge 8 implementation, which serves as an indication of lifestyle improvement, has also risen.
■Obesity rate (BMI ≥ 25)
■Percentage of people with blood pressure anomalies
■Percentage of people with blood lipid anomalies
■Percentage of people with blood sugar (HbA1c) anomalies
■Trends in Challenge 8 implementation rate
Dietary Improvements
In FY2021 we remodeled our company cafeteria with the concept “Eat delicious food and be healthy.” Healthy meals with lots ofvegetables and protein were incorporated in the menu, which was adapted to be both healthy and satisfying in terms of qualityand volume. A system was also introduced that allowed people to check on their smart phones the nutrition and calories in the meal they ate that day for self-management.
Cancer prevention measures
Toyoda Gosei implements cancer prevention measures as a partner company in the Action to Promote Cancer Control.
Through opportunities such as individual consultations, milestone health education, in-house newsletters and the company intranet, we encourage employees to understand the importance of early cancer detection and encourage employees to undergo complete medical checkups and cancer screenings.
The company’s health insurance union provides financial support for health checkups and for mail-in cancer screenings (no out-of-pocket expense). One policy to improve the rates of these examinations is to give special days off for health checkups in milestone years, and to create environments that make it easier for employees to undergo these examinations.
Initiatives to Maintain and Improve Women’s Health
With the aim of improving the cancer screening rate among female employees, we provided a special menu (pink ribbon lunch) in company cafeterias and information in panels, handouts and digital signage as “Women’s Health Week” events in March 2025 to educate women on breast cancer and uterine cancer screening. We also distribute leaflets to raise the cancer screening rate among women in their 20s, who have particularly low screening rate, and encourage them to get health checkups.
We also try to support women who are returning to work after childcare leave by providing information on consultation services and self-care information to help them balance childcare and work from a health perspective.
Starting in 2022 we also opened a consultation office for women that is staffed by female medical professionals (doctors, public health workers) to offer health counseling.
Anti-smoking Measures
With the aim of preventing health damage in smokers and passive smoking in non-smokers, we first banned the sales of cigarettes in the company (including vending machines). At the same time, we provided support by public health nurses to help smokers quit smoking. Since 2016 we have held “Smoking cessation talks” with invited outside instructors and held experience-based exhibitions that include measurements of lung age as motivation to quit smoking.
In anticipation of the Revised Health Promotion Act in Japan, which went into full effect in April 2020, we extended a smoking ban on all company property in the country starting in January 2020. At that time, the ban on employee smoking was not limited to company property but was extended to at least 100m from the property boundaries to prevent passive smoking by neighborhood residents. In cases when a nursery school or medical institution was in that zone, we expanded the ban zone to include the area around them.
To protect all people working in the company from passive smoking, we set a company policy with the aim of preventing harmful passive smoking. In addition to steady efforts beforehand to gain employees’ understanding, we made repeated requests to staffing agencies and contractors for their cooperation. Today, one year after the smoking ban on company property, its continuation has had no effect on productivity or employee retention.
The companywide smoking rate has decreased from 42.5% in 2010 to 25% in 2024.
■Smoking Rate at Toyoda Gosei Co., Ltd.
Responding to and Preventing Mental Health Problems
Once each year, we conduct stress checks that will lead to self-care and early detection of problems.
We also offer individual consultations by public health workers and nurses and have opened a consultation office specializing in mental health. Other initiatives include EAP*11 (Ministry of Health, Labor and Welfare/employee support program) and education for managers and supervisors.
Since FY2020 we have focused on sleep, where the effects of poor mental health tend to appear early, and have tried to “visualize the quality of sleep” using a wearable terminal. By catching warning signs early, we hope to prevent the recurrence of mental health problems.
- *11 Employee assistance program in which outside specialists support the mental health of employees
| FY2022 | FY2023 | FY2024 | |
|---|---|---|---|
| Percentage of people who have undergone a stress check | 95.5% | 94.6% | 92.8% |
| Percentage of people with high stress | 12.6% | 13.0% | 11.4% |
Prevention of Infections Among Employees
Subsidies for antibody tests for diseases such as measles and rubella were added to the company benefit system in 2020. Partial subsidies are also given for influenza vaccinations, including for family members.
As a measure to counter coronavirus infection, we have provided workplace vaccinations four times so far in the World Headquarters and Morimachi areas at the request of the government.
To counter diseases such as AIDS (including HIV infection), tuberculosis, and malaria that are subject to notification based on the Infectious Diseases Act, our Crisis Management Guide details prevention and initial response methods and we are familiarizing employees with them.
Many Types of Health Education
Since FY2021, we have actively incorporated web-based education and have provided annual mental health education to all management workers. Since 2021 we have modified our educational programs to avoid the 3Cs (closed spaces, crowded places, close-contact settings) and promote mutual communication, such as by reducing the number of people in age-specific group physical health education*12 classes.
- *12 Aspects of physical health including various types of health checkup, prevention of lifestyle-related disease, anti-smoking measures, and various types of health promotion
■Educational Implementation in FY2024
| Name of education | Targeted employees | Number of targeted employees | Number of attendees | Participation rate* (Number in parentheses is satisfaction rate) |
|---|---|---|---|---|
| Health up seminar | 39-year-old employees | 131 | 120 | 92% |
| Flexible health education | 44-year-old employees | 134 | 118 | 88% |
| Mental health education | Management | 259 | 227 | 88% (4.1 on a 5-point scale) |
Promoting the Spread of Health Management Among Business Partners and Other Companies
In a procurement liaison meeting held in July 2025 for domestic subsidiaries and suppliers, we shared the importance and advantages of promoting health maintenance based on changes in society and the environment, and provided backup support for efforts.
In addition, based on the wishes of our business partners, we provide specific methods and know-how in line with health challenges in face-to-face meetings. We also provide support to promote health management.
We hold collaborative health development events and other activities to together expand the circle of health management.
At domestic subsidiaries, we carry out activities to promote health management in cooperation with health insurance unions, and nine companies were certified as “Health & Productivity Management Outstanding Organizations 2025.” Among them, one company was certified as “Bright 500.”
We will continue to implement health management together with our business partners with the aim of creating a more fit society.
Assessment of health-related indicators
| FY2022 | FY2023 | FY2024 | |
|---|---|---|---|
| Presenteeism loss rate (Tokyo University’s Single-Item Presenteeism Question) |
22.1% | 22.2% | 22.3% |
| Absenteeism (Percentage of employees who miss work for 14 days or more due to illness) |
2.9% | 2.9% | 3.0% |
| Work engagement Mean percentage of positive responses (4 or 5 on a 5-point scale) to statements (1)–(3) below (1)I try to contribute more than is expected of me in my duties (2)I feel a sense of accomplishment as an individual through work (3)I would actively recommend working at Toyoda Gosei to acquaintances |
53% | 56% | 59% |
Recognitions and awards
- Health & Productivity Management Outstanding Organization 2025 (White 500)
- Sports Yell Company 2025 Bronze+
- Outstanding Cancer Prevention Company Award (FY2024)
































