Human Resource Management

MGC respects human rights and actively supports the realization of work-life balance, mental and physical health management, and improvement of abilities, so as to enable all its employees, who are the most valuable management asset, to demonstrate their abilities to the fullest.

* Refer to the page on Work-Style Reforms and Work-Life Balance for information on the work-life balance.

Basic Approach

MGC is a "social presence" contributing society through business at the same time as being a "place" for employees to improve themselves and achieve their respective happiness though work. In order to put this approach into practice, we are working to enhance support systems such as various forms of training to enable each employee to improve his or her knowledge and capabilities as a professional.We are also engaged in the creation of an autonomous organization leveraging "individuality" fulfilling self-improvement while meeting customers' needs. Specifically, we form small groups and business management units (BMU) in each organization and give them authority and responsibility to enable individuals to fulfill their potential.

Through such initiatives, we accurately determine personnel information such as the skills and attributes of each employee, and conduct appropriate human resource management by ascertaining the direction and means of career formation and development of each person. Furthermore, we have established personnel evaluation standards enabling clear quantitative comparisons to encourage autonomous change. In recent years, we have also actively engaged in the promotion of diversity and inclusion and also work style reforms.

Human Resource Development at MGC

Our people are our most important asset. With the aim of realizing our Group mission of “creating value to share with society,” we work to create systems for employees to improve their knowledge and capabilities while refining their individuality as professionals, as well as workplaces and environments that are infused with vibrancy through self-improvement.

The personnel system is characterized by individual management based on the aptitude, skills and goals of each person, with emphasis on human resource development. Specifically, this is made up of three components: a multi-stream vocation qualification grading system, an evaluation system, and a wage system clearly linked to these. We support all employees equally, providing them with a range of career opportunities in line with individual aspirations that meet their individual roles, achievements, and capabilities.

Also, MGC is reviewing its education and training system centered on grade-specific training with the aim of conducting human resource development for utilizing the individuality of all employees and enabling diverse participation. In fiscal 2021, MGC established objectives and policies for reviewing the education and training system, and considered issues in human resource management and development, as well as the relationship between promotion and education and training. Going forward, as a new education system we will create programs for supporting development of leadership and management skills by grade along with diverse career design for all grades.

Figure: Conceptual Diagram of Personnel System that shows 3 personnel systems. — Conceptual Diagram of Personnel System

Main training systems

	Grade-specific training	Occupation-specific training	Self-education
Managerial level	General Manager level Organizational management training Manager level Manager training New manager training Manager candidate training Mid-level employee training 5th year Optional training courses	Global human resource development training Facilitation skill training Programming education Logical communication training Overseas short-term training Negotiation strategy training Technology networking events (production, research and engineering departments) Patent study sessions (research promotion departments) Marketing education (research promotion departments) Placements at research institutions, such as universities Safety and health, environmental management, quality control-related training Other specialized education and in-house seminars	Language qualifications and language training (includes English, other languages, and theme-specific training) Management and business skills Finance, accounting, tax, and law Basic chemistry and basic safety technology Other communications training
Mid-level employees
Junior employees	2nd year Junior employee training 2nd year New employee follow-up training When joining the company New employee training

Note: The year in which grade-specific training is taken is shown using the case of a technical employee (with a master’s degree).

Mental and Physical Health Care

The checkup compliance rate for regular health checkups for all officers and employees was over 99% in fiscal 2022; industrial physicians and public health nurses actively provide guidance when the results of tests indicate the need for retesting or in the event that there are any specific findings.

In addition to health promotion activities conducted at each business site, we work to further increase activity and awareness through such initiatives as starting the Company-wide Workplace Health Promotion Program, which is an on-demand exercise and stretching video streaming service based on the increase in teleworkers and the change in the environment due to COVID-19.

The comprehensive Employee Assistance Program (EAP), including a stress check, is implemented to ensure mental well-being, providing employees with an environment in which they can freely consult outside specialists regarding their concerns. Furthermore,we endeavor to continuously improve our workplace culture and raise employee awareness by providing appropriate feedback of group analysis results to each organization head, holding workshops on self-care and “line care” (consulting with managers and supervisors)at each business site, and through e-learning, as well as implementing mental health training at the time of entry into the company and when a promotion is earned.

In recognition of the initiatives implemented to date, MGC was certified in fiscal 2022 as a “Health & Productivity Management Outstanding Organization (large enterprise category)” by the Japan Health Council of the Ministry of Economy, Trade and Industry for the fourth successive year (2020, 2021, 2022, and 2023).

Ensuring the Safety of and Providing Medical Support for Employees Traveling or Posted Overseas

By working with an outside consultant for security and medical assistance, and receiving advice based on analysis of threats to safety by country, we are able to promptly acquire accurate information, and, when necessary, provide that information to employees posted, or traveling on business, overseas, as well as using it to determine whether it is advisable to travel or not, and on appropriate safety measures for travel.

In terms of medical care, we have established a comprehensive support system for employees posted, or traveling on business, overseas, including referrals to local hospitals, telephonic consultations with doctors in Japanese, preventive advice on local infectious diseases, and arrangement of medical transport in case of emergencies.

Union and Labor-Management Relations

Under a positive relationship of mutual trust and respect, labor and management at MGC work together to address a variety of issues. We hold regular management council meetings with the aim of sharing our understanding of issues related to management and the business environment, including such key topics as work styles, employee benefits, and treatment, and meetings of the Personnel System Review Committee for joint labor management discussion of various programs throughout the year. Together, we have revised the personnel system, the re-employment system, and our retirement plans. Other issues such as wages and bonuses are determined through yearly collective bargaining and other negotiations.

Note that there were 1,888 labor union members as of the end of March, 2023. Employee tenure was 18.7 years (19.1 years for men, 14.5 years for women).

Graph: the bar graphs show Number of labor union members by year. — Number of labor union members (As of March 31, each year)

* The participation rate is 100% due to the union-shop system.

Employee tenure (as of March 31, 2022)

	Male	Female	Total
Average age	42 years 3 months	38 years 2 months	41 years 10 months
Number of years worked	19 years 1 month	14 years 6 months	18 years 8 months

* Includes employees on outside assignment

Graph: The bar graphs show the number of new employees hired as new graduates, and enrollments up to 3 years after joining. The line graph shows retention of new employees — Retention of new employees (third year after joining)

* Number of enrollments after 2 years in 2019 and after 1 year in 2020

Graph: The bar graphs shows the number of turnover by year. — Turnover

* Number of labor union members / managers (including employees on outside assignment) who have retired for their own reasons (including Expiration of Leave of Absence Period and transfer subsidies employees, or excluding transfer employees)