The Tosei Group's approach to respect for human rights, employee ethics and norms, and occupational health and safety is set forth in policies and internal regulations, including the "Tosei Group Human Rights Policy" and the "Tosei Group Ethics Code" in order to respect the human rights of all persons working for the Group, tolerate no discrimination or harassment, and create a good work environment. These policies, norms, and regulations were established through meetings of the Management Committee and Board of Directors of Tosei Corporation, and are posted on the Company's website and intranet, as well as distributed in the Risk Compliance Guidebook, to ensure that all employees are fully aware of them. In addition, periodic education is provided to all employees to promote correct understanding of these policies.

The Tosei Group respects the fundamental human rights set forth in the International Bill of Human Rights and the Guiding Principles on Business and Human Rights. We support and respect the following items as basic labor rights.

We require applicants to be at least 18 years of age to be considered for employment, and we are required to verify the age of applicants when we receive an application for employment.

In hiring, we assume that the applicant has applied for the position, and after one or more employment screenings, we notify the applicant of his/her acceptance. Upon entering the company, working conditions are presented and employment is initiated upon agreement with the applicant.

Working hours are monitored on a daily basis, with an overtime upper limit of 80 hours per month, and if the limit is exceeded, an interview with an industrial physician is conducted. If the limit is approaching, a reminder is sent to the head of the department of the employee. In addition, we are striving to prevent excessive work through measures such as "No Overtime Day" and encouraging employees to take paid leaves.

Our basic policy is not only to comply with minimum wage regulations, but also to pay wages that exceed them. For FY2023, the average annual salary was 8.47 million yen (Tosei Corporation).

We confirm the status of our suppliers' efforts to respect human rights in the supply chain. We have established a Sustainable Procurement Manual and conduct an ESG questionnaire for suppliers whose annual transaction value exceeds a certain level, to check their efforts to prohibit child labor, forced labor, and harassment, ensure occupational health and safety, comply with laws and regulations, give consideration to the environment, and implement risk management. The Sustainability Committee then reviews the results and discusses whether or not to continue transactions with them.
In 2023, we conducted questionnaires for 6 suppliers in the Revitalization, Development, and Rental Business, and the committee reviewed their initiatives and discussed whether to continue transactions with them. The same questionnaire has been conducted since 2021, monitoring a cumulative total of 19 suppliers, accounting for more than 84% of total supplier orders in the relevant businesses.

In addition to distributing the "Harassment Handbook" to all Group officers and employees to provide specific definitions and examples of harassment, we are working to promote understanding and prevent harassment by distributing educational content to the Risk Compliance Portal on the intranet and providing online courses by outside instructors. In addition, "Personnel, Labor and Management Training" is provided to managers, which includes training on how to respond to incidents of harassment, what they should pay attention to as managers, and how to prepare themselves for harassment prevention.

The Group has established dedicated consultation desk (via e-mail or telephone) in the human resources sections of each Group company for the purpose of preventing all forms of harassment and responding promptly and appropriately in the event that harassment does occur. This harassment consultation desk is available to all Group employees regardless of their employment status. In resolving the problem, we will confirm the facts through hearings with the reporter, the subject of the report, as well as cooperating parties, etc., and take appropriate measures to prevent recurrence. If you wish to consult or report anonymously, you may do so through the dedicated anonymous consultation desk. In addition, we ensure that the privacy of the informant is protected and that confidentiality is strictly observed so that the informant will not be disadvantaged when using the harassment consultation desk. If an investigation confirms that harassment has occurred, disciplinary action will be taken against the harasser in accordance with the rules on rewards and punishments. In addition to the harassment consultation desk, the Company also provides a consultation desk regarding working styles and personnel systems.
In addition to the harassment consultation desk, we have also established the "Tosei Hot Line," a whistle-blowing desk for the entire Group, which accepts reports from employees and officers of the Group on any conduct that violates or may violate laws and regulations, for the prevention and early detection of violations of laws and regulations and corruption, including bribery.