Respect for Human Rights, the Development of Human Resources, and the Promotion of Diversity

Policy

The Group will respect human rights in all business activities, and promote the development and diversity of human resources.

Awareness of Issues

The Group respects human rights as the basis for all business activities. Amidst rising global interest in human rights, it is important to comply with this policy and respect the human rights of the Group and all stakeholders. Furthermore, we believe that the development and diversification of human resources is indispensable for the growth of our business and the sustainable development of the Group.

Education/Training and Personal Development

The Shin-Etsu Group supports employees' growth through various training systems, which include training for different staff rank, global communication training, auditing student system, environmental education, safety education, and mental health education. As part of digitization measures, AI training also started in FY2021.

Training for different staff grades

We provide various level-specific training programs to learn management, leadership, communication, and problem-solving skills that are essential for improving performance and are required at each level of the organization.

  • - General manager training (Advanced management training, S staff group/ M staff group training)
  • - Section manager training (Middle management training)
  • - Junior manager training (Line management training/ Staff management training)
  • - Regular employees (Mid-career employees training, Women employee training, Junior leader training, Third-year training)

Global Communication Training

The Group is expanding its business activities throughout the world. Competency in a foreign language is an essential skill for smooth operations. Therefore, the company offers the following kinds of training:

  • - English language training (meeting skills course and presentation skills course)
  • - Cross-cultural communication training
  • - Chinese conversation classes

AI Training

In FY2021, we started the following AI training programs in order to discover and develop human resources capable of using AI and to improve the overall level of AI in the company.

  • - AI literacy training (e-learning for new and young employees)
  • - Data analysis skill acquisition training ︓ Problem-based learning for mid-career employees to solve practical problems
  • - AI project management training ︓ E-learning for general and section manager involved in projects

Auditing Student System for Employees

In 1962, Shin-Etsu Chemical established an auditing student system for employees. Under this learning system with the goal of improving the workforce, up to about 10 operators from manufacturing sites of the Group are chosen each year to study at universities for one year. In the 60 years since the system was introduced, a total of 547 employees have completed the program and are now active in various workplaces.

Training system list

Training system list

New lecturering style in COVID-19 calamity 
Ms. YD, lecturer in Chinese

I have been in charge of Chinese-language classes at Shin-Etsu Chemical since about 20 years ago. Affected by the global spread of COVID-19, classes took the form of online sessions, an unprecedented format, instead of in-person sessions. At first, the classes were slow to progress partly because I was not accustomed to the online format while being unable to meet learners in person, which made me feel lonesome. I would like to express gratitude to the students who worked hard, undaunted in the face of that hardship.I hope the COVID-19 crisis will end as soon as possible, and hold classes with students in person. I will strive to teach Chinese in an easy-to-understand way so that students can use it effectively for work and travel.

Performance-based Personnel Evaluation Systems

The Group has introduced an employee evaluation system that emphasizes their ability and work performance. This system aims to increase employees' motivation by reflecting their performance and attitude to the benefits that they will receive, and evaluates how they meet their challenges to achieve higher goals.
To manage the personnel system in a fair and appropriate manner, evaluation training is provided for all managers who conduct performance review, so that they can carry out personnel evaluations fairly. Transparency is increased by informing evaluation standards to employees. In addition, there is a system of interviews between an evaluator and a direct report to ensure that they can communicate successfully.During interviews, each staff member and their immediate supervisor use Communication Sheets to ensure mutual awareness of expectations and set half-year goals. Furthermore, feedback on progress is given for further development of skills.

Related information

「Multi-Stakeholder Policy」

In April 2023, we announced our “Multi-Stakeholder Policy”. Please refer to the PDF file for details.

Promotion of Diversity

Active Promotion of Diverse Human Resources

The Group hires local employees at overseas Group companies and hires foreign nationals in Japan.
The entire Group is also working to proactively employ people with disabilities and create environments where it is easy for them to work.
Furthermore, in order to promote women's participation and advancement, the Group set a five-year goals in FY2016. From FY2021, we set new five-year goals and started to work on them.

Goals to Promote Women's Participation and Advancement

In the next five years from FY2021, the company aims to achieve the following:

  1. 1. The rate of hiring women will be 40% for administrative positions and 10% for engineering positions.
  2. 2. The number of women in managerial positions, including junior manager level, will be quadruple compared to the number in FY2014.

Initiatives to Promote Women's Participation and Advancement

  1. 1. Promoting the development of a working environment to support a balance between childcare and work
    ・Enhancement of information provision to support work-life balance
    ・ Continue and expand measures to enable employees to continue working
  2. 2. Promote the operation of a fair personnel evaluation system for the appointment of women to managerial positions
    ・Promotion of understanding of the system by holding regular evaluator training
  3. 3. Providing learning opportunities to encourage employees to change their mindsets
    ・Plan and hold trainings to change employees' awareness of women's participation and advancement

Changes in the number of female managers compared to the 2014 level

FY 2020 FY 2021 FY 2022
Approx.258% Approx.284% Approx.300%

Changes in the rate of hiring women

April 2021 April 2022 April 2023
Administrative position 36.4% 40.0% 42.9%
Engineering position 6.9% 4.5% 6.3%

Employment Rate of Persons with Disabilities

We are working to create a workplace where people with or without disabilities can play an active role. At the head office, we are working to maximize employment opportunities by flexibly setting working hours and working locations according to the degree of disability and situation. At our plants, we are improving the environment from both a hardware perspective, such as facilities and equipment, and a software perspective, such as disaster drills, so that people with disabilities can work safely.

Employment Rate of Persons with Disabilities

Wheelchair ramps (Shiin-Etsu Chemical Gunma Complex)

Wheelchair ramps
(Shiin-Etsu Chemical Gunma Complex)

Related Information

Sustainability data

Raising Retirement Age

In April 2019, the company raised the retirement age from 60 to 65 after continuing discussions with the Shin-Etsu Chemical Labor Union. It is the first time that such a system was implemented at a major Japanese chemical company. After turning 60, they will receive 80% of the salary received at age 59. We will also raise salaries and promote people based on personnel evaluation.
By adjusting the employment environment after the age of 60, skilled workers at manufacturing sites will be able to pass on the technology and their experience to the next generation.

Employee Initiatives

Ms. SH,
Human Resources Department,
Simcoa Operations(Australia)

Ms. SH,
Human Resources Department,
Simcoa Operations (Australia)

1.Please tell us about your current responsibilities.
After joining the company, I was assigned to the human resources department, and I am working on respecting human rights, developing human resources, and creating an environment where employees can work comfortably. Since we are a small company, we have many opportunities to interact directly with our employees and strive to build good relationships with them. I also work closely not only with HR but also with other departments, so it feels great to be able to tackle our company's challenges as a team.

2.Please tell us about your efforts to respect human rights and develop human resources.
We are continuously working to improve our stakeholder engagement and our recruitment process. We have implemented some initiatives to ensure our supply chain doesn’t not engage in human trafficking. We have submitted a Modern Slavery Statement to the Australian Boarder Security to comply with the Modern Slavery Act 2018. Our employees are also trained by external experts on the importance of promoting human rights initiatives in our supply chain. In addition, we have various training systems such as level-specific training programs and safety education on handling equipment and machine. We have also introduced a work-life balance system to make it comfortable for employees to work.

3. Please tell us about your efforts to promote diversity.
I work closely with Australia’s WGEA (Workplace Gender Equility Agency). I submit annual reports on diversity, inclusion and gender pay gaps. I am involved in the working groups with other companies and with the Australian Government on Workplace Gender and Equality. I dial into meetings with the teams regularly to find out what and share information with others about what they are doing to promote diversity, inclusion and to the respect of human rights in workplace. I also attend online semenars with our legal team and Australia Work Health and Safety seminars on how to ensure the workplace is safe, diverse, and free from bullying and harasshment.

4.What do you intend to focus on in the future with regard to respect human rights, development of human resources and promotion of diversity?
Currrently I am updating and implementing some new policies and procedures to ensure we meet the legislation. For example, we completed a Remedication Policy for Human Rights, Team Building Activities Policy and Retention Policy for prevention of outflow of human resources. These policiesy ensure that our company treats all employees fair and equitable. As for our supply chain we will continually monitor, implement strategies and improve our relationships with Simcoa supply chain to ensure we are not involved with any suppliers that exploite humans to substandard working conditions.

  • * Personnel subject to human resource development and promotion of diversity in the Group are the employees of and loaned employees from Shin-Etsu Chemical.