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Activities to Enhance Corporate Ethics

To ensure an environment in which employees can work with a high-level sense of ethics, we have various training courses, a consultation desk and a whistleblower system available for employees.

Training for Employees

(1) Enhancement of Corporate Ethics in Workplaces

We have assigned the Corporate Ethics Promotion Leaders in each office in Japan to be in charge of the thorough informing and promotion of corporate ethics. In the overseas regions, Risk Management Officers are responsible for promoting a culture of ethics regionally. The Risk Management Officers are supported by the Business Ethics Officers at the affiliate level. The Corporate Ethics Leaders and Risk Management Officers regularly report the results of corporate ethics activities to the Compliance Committee.

(2) Training for All Employees (Once a Year)

Human rights enlightenment and corporate ethics training are conducted for all employees at all business locations of the Shiseido Group in Japan with emphasis on raising awareness through employee discussions.
Various trainings are held to improve communication in various situations and create an open and free working environment.

(3) Position-specific Training (Once a Year)

The position-specific training is conducted according to respective positions in addition to training for all employees.

Points of Contact for Employee Inquiries

In response to the Whistleblower Protection Act, which took effect in April 2006, and in order to internally resolve misconduct in the unlikely event of such occurrence and before such an issue would become more serious, Shiseido is working toward more widespread recognition of two points of contact: the in-house Shiseido Consultation Office and the telephone counseling service which is operated by the Japan Industrial Counselors Association. Relevant information is distributed in various ways such as through manager training and pamphlet distribution to all employees.

Also, a set of "Shiseido Group Consultation Office Regulations" was established to clarify paths of investigation and resolution and to prohibit prejudicial treatment of whistleblowers (as well as individuals seeking advice). Employees have been informed of these initiatives.

The Shiseido Consultation Office welcomes individuals seeking advice on a wide range of topics relating to the Company's business and operations in general, and is trying to quickly resolve employees’ inquiries. In fiscal 2017, a total of 214 inquiries were received, contributing to a cumulative total of 3,030 inquiries since the establishment of facilities in April 2000.

Furthermore, the Company distributed an Ethics Card to each employee, including employees dispatched from employment agencies. The Ethics Card features various information including contacts for the aforementioned work-related consultation inside and outside the Company, as well as internal "Mental Health Consultation" and external "Shiseido Health Support Dial 24" for advice related to mental and physical concerns.

Whistleblower System

As the social environment continues to change, companies are required to make swift responses according to such changes. To ensure that any acts in violation of the law, employment regulations, or internal rules found in the Company are resolved internally before they become serious, the Company has established an entity for reporting (counseling) ethics concerns: the in-house Shiseido Consultation Office to receive inquiries and reports covering a wide range of topics regarding the workplace. Furthermore, the Company has also established the “Compliance Committee Hotline”, which specializes in reported cases, and “Report Mail to Auditors”, which receives reports concerning corporate officers.

The Company has also created and publicized through Ethics Card distribution, posters, intranet, etc., to employees a set of regulations setting forth an impartial means of investigating and resolving complaints and clearly prohibiting prejudicial treatment of whistleblowers (as well as individuals seeking advice) for each of the above entities, along with the means to receive inquiries, etc.

The Shiseido Consultation Office welcomes individuals seeking advice on a wide range of topics, relating to the Company's business and operations in general. The Office has worked to quickly resolve 220 (domestic) inquiries in FY2017.

Approximately 70% of the inquiries received in FY2017 were regarding relationships and words/behavior between superiors, colleagues, and subordinates as well as regarding labor management. Necessary measures were taken, such as internal investigations, etc., to resolve all of such inquiries. Furthermore, the Company aims to thoroughly prevent recurrence of those that must be regarded as issues for the overall workplace by calling attention throughout the Company by incorporating such issues in the management training, etc.

Overseas, the Company has established the “hotline” system, which is a Whistleblower system, as well as an entity to receive reports in each major affiliate. In addition, the Company has also established the “Shiseido Group Global Hotline” at the HQ to directly receive reports from employees of overseas affiliates.

Ethics Card

Ethics Card

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