Basic Policy on Communication with Employees

Sumitomo Forestry strives to create an environment that facilitates free and vigorous expression as well as an exchange of opinions by employees so that they can perform their responsibilities with vigor, integrity and consideration for others. The Company wants each and every employee to grow within a corporate culture of respect for individual employees, and fair evaluation of accomplishments and efforts.

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Communication in Employee Evaluation and Job Execution

Sumitomo Forestry has a policy of providing all employees feedback on their evaluation results, with the main objective of nurturing and developing human resources through employee evaluations. Meetings between individual employees and supervisors must be held once every six months, providing an opportunity to set targets and receive an explanation of evaluation results.

In fiscal 2017, the multi-faceted evaluation system (360 Degree Evaluation) was conducted for new managers and playing managers. This program increases management skills by providing feedback to evaluation results and bring new awareness to each individual.

Sumitomo Forestry also recognizes the continuous service of employees who have worked for 10 and 20 years to thank them for their contributions to the company over so many years. In addition, the Personnel Department conducts direct self-report hearings of all employees once a year to ascertain opinions on jobs and workplaces, transfer requests and family circumstances, among other matters.

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Casual Discussion

Casual Discussions have been held on a regular basis since 2007 as a platform for discussion between the President and employees, with an aim of facilitating new ideas for the Sumitomo Forestry Group.

The Sumitomo Forestry Group held two dialogues by recruiting participants from five Group companies in 2017. The first dialogue was held under a work-life balance theme to widely discuss carer paths and work-style reforms to succeed in working while raise children or taking care of a family member. The second dialogue was held under a Sumitomo Forestry Group technological capabilities theme to broadly discuss the hopes and challenges of future technological development. As an opportunity for face-to-face dialogue between management and employees, discussions will be organized again in 2018.

An open discussion

An open discussion

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Employee Satisfaction Survey

In November 2017, Sumitomo Forestry conducted its eighth bi-annual Employee Satisfaction Survey, targeting its 4,852 employees. This survey included items to gain feedback on ten indicators such as work motivation, career goals and employee satisfaction with a 92.0% response rate that showed 81.0% employee satisfaction from the people working at the company, which makes the results the highest ever on this survey. Furthermore, in terms of improving motivation, we appealed to the importance of good bilateral communication in vitalizing an organization.

Based on the results of this survey, Sumitomo Forestry revised feedback interviews of assessments and techniques for guiding careers as an effort to improve motivation while reviewing training for assessments and career guidance. In addition, we will share favorable examples and initiatives based on the results of this feedback to employees and work to promote work-style reforms to enhance productivity.

Employee Satisfaction Survey Trend

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Relationship with Labor Unions

Membership rate in labor unions (Non-consolidated)

All of the eligible employees at Sumitomo Forestry (3,574 people) have joined the labor union as of April 1, 2018. Within the labor agreement completed between the Company and the Sumitomo Forestry Labor Union, the Company recognizes the Labor Union’s right to freely engage in activities and to collective bargaining, and promises to guarantee the stable livelihoods of labor-union members, and to maintain and improve labor conditions by establishing meetings with management comprised of both labor and management members.

In 2017, joint labor-management discussions were held on 20 occasions, and following on from the previous year, consideration was given to measures for reducing long working hours and innovating work styles.

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