Employment and Labor Relations

Toshiba Group respects human rights of its employees, and actively promotes the creation of an environment in which each of its employees thrive in their respective levels of operation. It is our belief that the building of stable and sound labor relations is vital to achieving sustainable growth of our business.

Toshiba supports the principles of the Universal Declaration of Human Rights, the United Nations Global Compact, the OECD Guidelines for Multinational Enterprises, the ILO Declaration on Fundamental Principles and Rights at Work, and the Responsible Business Alliance. Toshiba respects the freedom of association of its employees and ensures that they maintain their fundamental labor rights including the right to collective bargaining.
Cognizant of the fact that formation of a labor union is permitted in Japan, Toshiba Union was established consisting of employees belonging to the Company. In the Labor Agreement concluded with Toshiba Union, it stipulates that Toshiba Union has the three rights of labor (the right to association, the right to collective bargaining, and the right to act collectively). Overseas Toshiba Group companies hold discussions with their respective labor unions and employee representatives based on the laws and regulations of each country. Toshiba Union was comprised of 13,804 members as of March 31, 2024, accounting for 96.4% of employees^*1. The Toshiba Union belongs to the Toshiba Group Unions^*2, which has a membership accounting for 80.0% of Toshiba Group employees. By cooperating with unions in the development of our company business and in the maintenance and improvement of labor conditions for union workers, Toshiba aims to ensure stable and orderly labor relations under the fundamental principles of Labor-Management Equality, Mutual Trust and Mutual Understanding, and Prior Consultation.

Employees are paid at or above the minimum wage stipulated by laws, and any increases in minimum wages are reflected in the wages the employees receive. Toshiba is also taking action in response to equal pay for equal work based on the laws related to equal pay for equal work that came into effect in 2020 and from the perspective of balanced treatment and equal treatment.

• This percentage refers to the ratio of Union members to regular employees, excluding supervisors, pursuant to the Labor Standards Act. Of the employees stated above, employees (HR, Accounting, Security work, etc.) who are stipulated as non-Union members in the Labor Agreement are not included in the ratio calculation. Including Toshiba Corporation, Toshiba Energy Systems & Solutions Corporation, Toshiba Infrastructure Systems & Solutions Corporation, Toshiba Electronic Devices & Storage Corporation, and Toshiba Digital Solutions Corporation.
• The Toshiba Group Unions is headed by the Japanese Electrical Electronic & Information Union (JEEIU). It is formed mainly by labor unions organized within Toshiba Group in Japan in agreement with the association’s principles, objectives and bylaws.

Toshiba enjoys stable labor relations with Toshiba Union, which employees may join. Under the fundamental principles of Labor-Management Equality, Mutual Trust and Mutual Understanding, and Prior Consultation, we hold labor talks with it for practical and amicable solutions.

At the Toshiba Group Labor-Management Congress held every six months in Japan, which is attended by executive management including the President and CEO, Corporate Senior Executive Vice President, and Corporate Officers, Toshiba discusses Toshiba Group’s business policies with representatives of the Association of Toshiba Group Unions, with which the labor unions of Toshiba and Toshiba Group companies in Japan are affiliated.

Furthermore, at the request of labor unions, we hold spring labor-management negotiations between February and March every year, at which a range of matters, including wages, retirement benefits, and the Labor Agreement, are negotiated. We also discuss and confirm with the unions the ways in which our employees work. In conducting spring labor-management negotiations, corporate officers hold a Management Meeting every year to make decisions and factor in budgets.

Toshiba and Toshiba Union hold dialogues based on a spirit of mutual trust, mutual understanding and prior consultation in line with our basic philosophy of labor-management equality with the aim of improving labor-management relations and business operations. The management status is explained on a regular basis through a labor-management council held once every six months and labor-management meetings with top representatives from both parties. In addition, discussions between labor and management are held on a daily basis at the Toshiba Group company level and business site level.
Our sites abroad and Group companies also provide regular opportunities for management and labor to discuss the Group’s management status. In Europe, for example, Toshiba Group has established the Toshiba European Works Forum (TEWFOR) to promote dialogue about the Group’s European operations and to build healthy labor-management relations. TEWFOR holds a regular meeting once a year.

We share with Toshiba Union matters such as major reorganizations reforms or large-scale transfers of union members, and designate the matters including changes in working conditions and other labor-related issues as the matters to be discussed in advance with the union. On each occasion, we have a discussion with sufficient timelines for adequate discussions between labor and management.
In addition to dialogue with labor unions, we provide opportunities for direct dialogue between management and labor, such as occasional site visits by senior management and dialogue at various training sessions for selected employees.

Before implementing any reforms to our business structure, we first explain the reforms to the labor unions and discuss specific measures, such as reshuffles of employees within or outside of the Toshiba Group or the use of our early retirement incentive programs (providing extra retirement allowance or a career transition support program if employees themselves wish to retire early) when it is deemed necessary for business. We never unilaterally notify employees of their dismissals on the grounds of any structural reform.
Toshiba’s Revitalization Plan, the Group’s Medium-term Business Plan announced on May 16, 2024, includes measures to streamline personnel, but we have explained these to the labor union in advance and are discussing the details.

Regarding work styles, we held discussions between labor and management about transitioning to a hybrid work style, which enables individual employees to choose whether to come in to the office or work remotely, thereby improving employees’ flexibility in selecting where to work. We have also been discussing work styles that aim to make it easier for employees to work while maintaining their health, as well as improve their productivity, including the remote work style, by which all work (depending on the work content) can be carried out remotely without requiring employees to come in to the office, and a work style informed by the timeframe from the end of work on the previous day to the start of work the following day (work interval).
And in addition to the Toshiba Group Labor-Management Congress, ｗe also ensured multiple opportunities to explain the Toshiba Group’s management status to the Association of Toshiba Group Unions  to help enhance our employee’s understanding of the management status. In FY2024, we will continue to hold labor-management discussions in an appropriate manner when necessary in accordance with the Labor Agreement. We have not been subjected to any industrial action such as strikes or lockouts from labor unions belonging to the Association of Toshiba Group Unions, including the Toshiba Union.