Initiatives to Human Resource Management
Reaching One's Full Potential While Staying Safe and Healthy
We believe that, in order for each employee to maximize their abilities, it is important to maintain good physical and mental health, to respect their peers, and to be able to engage in constructive discussion based on trust. We seek to further strengthen and invigorate our organizational capabilities by creating healthy, comfortable, and open working environments.
Ensuring Occupational Health and Safety
In line with our Health and Safety Principles, which emphasize our resolve to ensure the health and safety of workers and create comfortable workplace environments, we are promoting health and safety activities on a daily basis.
Achieving Well-Being
We believe that it is important to achieve well-being as well as to enhance employee engagement to maximize the performance of individuals and organizations. We also believe that providing growth opportunities and encouraging job satisfaction among employees will ultimately generate greater well-being for its customers, so it is committed to the tandem pursuit of employee well-being and broader well-being as it pertains to potential business opportunities.
Regarding employee well-being, it is also important to create open and communicative workplace environments that promote good physical and mental health. We aim to create new value for customers by viewing well-being considerations that ensure customer safety, security, comfort, and health as a business opportunity.
Promoting Health and Productivity Management
Health and Productivity Management Policy
The Obayashi Philosophy promises to become a company that values people to achieve our vision of realizing the sustainability of the planet, society, and people.
Furthermore, the Obayashi Group Human Resource Management Policy places "reaching one's full potential while staying safe and healthy" at the top of the list and we have positioned health and productivity management as a critical human resource management strategy.
As such, we formulated the following health and productivity management policy and we have been working on enhancing our corporate value and realizing the well-being of all our employees and their families.
Health and Productivity Management Policy
For the well-being of our employees and their families, Obayashi Group strives to provide a fulfilling workplace and support initiatives to improve, maintain, and enhance our employees' mental and physical health.
Health and Productivity Management Promotion Framework
The President is responsible for Obayashi Group health and productivity management. The Business Plan Committee, under the Management Meeting, and its specialist team, the Human Resource Management Expert Committee (Director of HR as promotion officer), formulate the policies and strategies. The Health and Productivity Management Promotion Expert Subcommittee promotes specific measures in collaboration with organizations such as the Health Insurance Association for Architecture and Civil Engineering companies (HIA2CE).
The Subcommittee, led by the HR and Business planning departments, also works with occupational health physicians and certified public psychologists/clinical psychologists to propose and implement measures to help maintain and enhance the well-being of employees and their families. These ongoing measures include analyzing employees' health checkup data and making necessary workplace adjustments.
Final Indicators and Targets for Solving Health and Productivity Management Issues
Health and Productivity Management Policy
The management issues we want to solve through health and productivity management are sustainable growth of the company, rich human capital, and maintaining and enhancing the health of employees and their families. We aim to achieve the following four final targets.
- Improvement in work engagement
- Improvement in labor productivity
- Decrease in presenteeism (working while sick)
- Decrease in absenteeism (sick leave)
Health and Productivity Management Strategy Map:
Mapping out the ways that the effects of health investments connect with the management issues we seek to solve through Health and Productivity Management
Performance to date on health and productivity management
Performance against "indicators related to health investment measures and initiatives"
| Indicators | Unit | Targets | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|---|---|
| Ratio of employees undergoing annual health checkups |
% | 100 | 98.5 | 98.7 | 98.3 | 98.7 | 98.6 |
| Ratio of employees with long work hours recieved face-to-face guidance by a physician |
% | 100 | 64.3 | 69.9 | 68.1 | 71.9 | 74.0 |
| Ratio of employees with long work hours received interview |
% | 100 | 90.0 | 99.4 | 95.1 | 96.8 | 98.6 |
| Ratio of employees received Influenza vaccination |
% | - | 42.1 | 33.3 | 40.2 | 41.6 | 42.3 |
| Total number of participant in events and trainings to promote physical and mental health |
person | - | 1,289 | 1,251 | 1,191 | 1,162 | 1,235 |
| Ratio of employees completing stress assessment |
% | 100 | 94.2 | 95.6 | 96.5 | 94.6 | 96.5 |
| Number of employees seek smoking cessation |
person | - | 1 | 3 | 8 | 4 | 4 |
Performance against "indicators related to changes in employee mindsets and behavior"
| Indicators | Unit | Targets | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|---|---|
| Ratio of employees requiring followup health checkup |
% | under 35 | 38.7 | 38.6 | 35.0 | 35.6 | 34.6 |
| Ratio of employees who met the metabolic syndrome criteria |
% | - | 12.8 | 12.5 | 12.7 | 12.6 | 13.0 |
| Ratio of employees with a predisposition to metabolic syndrome |
% | - | 14.7 | 15.2 | 14.5 | 14.6 | 14.3 |
| Employee satisfaction rate | % | - | - | 78.4 | 80.9 | 84.5 | 85.6 |
| Average monthly overtime per person | hours /month |
- | 41.8 | 37.5 | 35.0 | 32.8 | 32.1 |
| Ratio of employees who took their annual paid vacation |
% | - | 46.7 | 51.7 | 55.4 | 52.9 | 64.8 |
| Ratio of employee smoking | % | - | 21.6 | 21.0 | 20.8 | 20.5 | 20.9 |
| Absenteeism sick leave rate(*1) | % | - | 0.25 | 0.36 | 0.37 | 0.49 | 0.43 |
| Presenteeism Overall Assessmennt of Work Functioning (WFun)(*2) |
- | A | - | - | - | A | A |
- *1 Percentage of sick leave among regular employees
- *2 WFun (Work Functioning Impairment Scale) is an indicator used to measure the degree of work functioning impairment due to health problems
Distribution of Work Function Assessment |
FY2025 |
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|---|---|---|---|---|---|---|---|---|---|
(1) The ratio of no issues is 50% or higher |
51% |
○ |
A |
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(2) The proportion of moderate or higher |
13% |
○ |
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(3) The altitude ratio is 10% or less |
2% |
○ |
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- Grade A:
Meets all of (1) to (3) - Grade B:
Meets two of the following criteria (1) to (3) - Grade C:
Fulfills one of (1) to (3) - Grade D:
Does not meet any of (1) to (3)
Measures and Initiatives
【Implementing Various Health Checkups】
We have been working to achieve that 100% of employees undergo annual health checkups and to increase the rate of employees getting follow-up health checkups (in FY2025, the rate was 98.6% for the former and 74.0% for the latter).
We also offer health checkups for specified workers.
In addition to the standard health checkups, we subsidize (fully or partially) the cost of a comprehensive health screening for employees and their dependent spouses (they must be 30 years old or above).
【In-house Clinics】
We have set up a Health Management Center and a dental clinic in the Tokyo head office and a clinic in the Osaka main office. In addition to general internal medicine, the clinics provide smoking cessation treatment, and test for sleep apnea syndrome and so on. We also offer an external health consultation service by phone or email as part of our disease prevention effort for employees and their families.
【Face-to-Face Guidance by a Physician to Employees with Long Work Hours】
For early detection and prevention of mental and physical health issues caused by long working hours, consultations with doctors and specialists are available in person and online. Based on the doctor's advice, we provide guidance to the employees and take necessary measures.
【Measures Against the Spread of Infectious Diseases】
As part of our prevention measures, we offer influenza vaccination every year. We also notify employees of infectious diseases, such as norovirus, to raise their awareness around infection prevention.
【Initiatives for Expatriate Employees】
We advise employees on overseas assignments to get vaccinated according to their destination to minimize the risk of infections that can otherwise be prevented. The cost is covered by the company.
We have also established a health support system that enables employees working overseas and accompanying family members to seek health consultations via phone or online.
【Activities to Support Employee Health】
Obayashi Corporation Employee's Union and Obayashi extracurricular athletic club host various sporting events. We also provide information on external events via the intranet to improve the employees' participation in physical activities and make them more health conscious.
【Health Month Initiative】
With the aim of fostering health awareness and improving health literacy of employees, we set January as 'Health Month', which is the month prior to the annual health check-ups. During this period, we distribute a message comment from the President, provide health information and organize health check events using measuring equipment; by offering employees the opportunity to reassess their own health, we aim to increase the take-up rate for health check-ups.
【Mental Health Measures】
We take various opportunities to provide mental health care for employees in order to create a healthy working environment for all.
Stress checks are conducted once a year for all employees to improve the consultation rate and promote aftercare for those who take the checks.
We also conduct various mental health training throughout the year as part of the training based on hierarchy such as new hires, young employees, and managers. The training aims to provide the employees with the correct knowledge on mental health issues so they can keep themselves and their subordinates healthy.
We have set up a mental health consulting office in the head office to make consultations more accessible. Specialists, certified public psychologists, and clinical psychologists are available to provide comprehensive support for the mental well-being of the employees. They will work with managers and HR personnel to adjust the work environment as needed.
External consultation service can be used 24 hours a day, and we accept consultations by email or telephone for overseas employees and their families as well.
Message from the certified public psychologist/clinical psychologist at our mental health consulting office at Health Management Center in the head office:
We offer consultations and training to help employees stay mentally and physically healthy.
To make our services more accessible, online consultations are also available. When necessary, we will work with management and HR personnel to create a safe workplace by taking steps such as adjusting the work environment. We will also help employees who have been on long-term leave to return to work.
Training for young employees includes self-cognitive behavioral therapy, which allows them to recognize stress and deal with it early.
Management training is more holistic, including learning how to handle unwell employees, how to create a highly reassuring workplace and tips on effective daily communication with subordinates. This is also known as "line care."
【Support for Smoking Cessation】
Since August 2009, we have been offering an outpatient smoking cessation program at our in-house clinics (Health Management Center, Osaka clinic) to prevent health problems caused by smoking and passive smoking. As of March 2026, 200 people visited the clinic for consultation. The smoking rate is on a downward trend.
Reducing Working Hours
To comply with the limits on overtime hours set forth in Japan's Labor Standards Act and to reduce total working hours, we have been implementing the following measures.
- Thorough and Appropriate Attendance Management
- Encouraging Employees to Take Time/Days Off
- Reduction of Overtime Work
- Leveling of Work Volume
Specific Initiatives
【Encouraging Employees to Take Time Off】
- Display of posters to encourage employees to take days off
- Development of various leave systems (such as simultaneous taking of paid annual leave, hourly paid annual leave program, sabbatical refreshment program according to the number of continuous years of work, job site vacation for employees working at construction site offices, a leave program for employees when they are relocated)
- Development of the environments in which employees easily take days off (designating the days on which employees are encouraged to take paid annual leave, calling attention to adjust the days of annual leave in the workplace, conducting a survey on annual paid leave, and publicizing the survey results)
【Reduction of Overtime Work】
- Helping Increase Operational Efficiency through ICT
Obayashi aims to automate work processes and make them more efficient with less human labor by actively adopting tools using the latest ICT technology. Bold steps we are taking to make work processes more efficient include repeated e-learning about attendance management to raise awareness. Others include simplifying accounting procedures by introducing an expense adjustment system and implementing Robotic Process Automation (RPA). - Raising awareness repeatedly through e-learning about attendance management
- Holding a meeting between the company and the labor union to discuss reduction in total work hours.
- Holding a no-overtime day, etc.
【The status of the Closed Eight Days out of Every Four-Week Period at construction sites and efforts to encourage clients to set appropriate construction schedules】
With regard to the Closed Eight Days out of Every Four-Week Period at construction sites (totalling at least 104 days per year) at construction sites, we are promoting initiatives in line with the basic policy of the Japan Federation of Construction Contractors(JFCC). In the 2025 financial year, the implementation rate stood at 69.7% across all domestic construction sites, encompassing both building and civil engineering works.
We explain this to the client using leaflets published by JFCC and other means when receiving orders, and clients are becoming more accommodating on this issue. The proportion of projects for which the system of closing eight days out of every four-week period is accepted is increasing each year. In FY2025, the proportion of orders received with that stipulation rose to 95%(*3) in the domestic building construction business.
- *3 Proportion of construction work with a contract amount of or more ¥100 million, or a construction period of four months or more.
Securing Attractive Diverse Talent
We believe that each and every employee supports the Company and so we are committed to promoting diversity and inclusion inorder to continue to create new value. We strive to create workplaces where diverse human resources can fulfill the same role,irrespective of their gender, nationality, culture, generation, or ability/disability. We are also working to hire more talent and toencourage the active participation of our personnel.
Promoting Diversity and Inclusion
Driven by our mission to help create an ever-evolving organization that enables diverse human resources to play an active role and that embraces change with a positive attitude, the Diversity & Inclusion Promotion Department works with the Human Resources Department and labor unions to promote D&I. This is done in a way that balances efforts to shift employees' mindsets, to implement measures such as reforming personnel system, and to establish mechanisms for encouraging employees to change their own approach and behavior.
Since FY2024, we have been seeking to maximize our human resource capabilities through a dual-engine approach based on the recognition that individual diversity facilitates organizational growth. One engine involves providing support for balancing work and life underpinned by the principle of equity whereby no individual is deprived of the opportunity to shine. The other involves creating a system of inclusion that embraces diversity and change to improve organizational capabilities.
Promoting Opportunities for Female Employees
In April 2025, we formulated its third action plan based on Japan' s Act on the Promotion of Women' s Participation and Advancement in the Workplace and is aiming to increase the proportion of female employees in managerial positions to 9% and the proportion of female engineers to 14% by FY2028. Some female engineers already serve in senior positions, including general managers and project directors, and Obayashi boasts one of the highest proportions of female managers in the industry.
Specific Initiatives for D&I
Transition of Initiatives to Encourage Women to Thrive (in Japan)
| Year | Obayashi's initiatives | Society's Trend | ||
|---|---|---|---|---|
| 1992 | Childcare leave system introduced | Act on Child Care Leave takes effect | ||
| 2003 | Track-based employment system eliminated (Eliminated employee classification) |
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| 2005 | Act on Advancement of Measures to Support Raising Next-Generation takes effect |
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| 2006 | Shorter working hours system introduced |
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| 2008 | Paternity leave introduced | |||
| 2016 | Next Generation subsidy system newly established |
Act of Promotion of Women's Participation and Advancement in the Workplace takes effect |
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| 2017 | Child raising leave system newly introduced |
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| 2018 | Introduced childcare consecutive leave system and time-shifted work system for childcare |
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| 2022 | In April, the childcare leave system for childbirth (father's childcare leave after childbirth) introduced in advance (the Act becomes effective in October) ・Obtained Stage 3 (three-star) "Eruboshi" certification |
Act on Childcare Leave, Caregiver Leave, and Other Measures for the Welfare of Workers Caring for Children or Other Family Members amended |
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| 2023 | Expansion of employees eligible for shorter working hours system |
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| 2025 | Formulation of the Action Plan Based on Japan's Act on the Promotion of Women's Participation and Advancement in the Workplace. |
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Employment of Foreign Nationals and Experienced Employees
The number of foreign and experienced hires has been increasing year by year throughout the group, and the number of experienced hires in FY2023 exceeded 20% of the total number of hires. From FY2024, we have also introduced referral hiring (hiring friends and acuaintances of employees) and alumni hiring (re-hiring former employees).
In addition, locally hired national staff are playing an active role as core personnel responsible for business administration and management at our overseas Group companies.
Specific Initiatives for D&I
Promoting Employment of People with Disabilities
In 2001, we established a special subsidiary firm, Oak Friendly Service Corporation, to promote the employment of people with intellectual or mental disabilities at 10 business sites across Japan. Employees with disabilities are given work tasks that take into account the nature of their disability and are supervised by specialist job coaches to help them develop greater independence and interact with society.
Specific Initiatives for D&I
Senior staff actively involved
To pass on our DNA, "honest craftmanship" and "technical skills" inherited from our foundation, we have a system to provide ongoing employment opportunities for people after they have reached the age of mandatory retirement.
We have maintained a rehiring level of 100% for those senior staffs who wish to participate. These veterans are helping to solve one of the big issues facing the construction industry: how to pass on skills to the next generation.
In April 2023, we significantly revised the annual salary level for senior workers appointed to such positions as managers with important responsibilities at construction sites, and in April 2024 we also applied the same revision to senior back office employees. In this and other ways, we actively promotes measures to enhance employee engagement.
In FY2026, as part of our personnel system reform, we implemented measures to enable more flexible work arrangements, including the introduction of reduced-day and reduced-hour work schedules, permission for side jobs, and the expansion of child-care-related benefits (now extended to include grandchildren).
Specific Initiatives for D&I
Improving Organizational Capabilities
We have been promoting the Pit-in (Pit Stop) Program as part of its drive to build ever-evolving organizations since FY2022. The purpose of this program, which got its name from pit stops in auto racing, is to review organizational communication, change behavior for the better from the bottom up, and to achieve individual growth and increased organizational strength. The program is designed to improve work productivity and build organizations that offer job satisfaction. Nowadays, an increasing number of organizations are voluntarily implementing this program. This will be achieved by encouraging employees to take a moment as a team to review individual and organizational tasks and make organizational improvements while accumulating small successes.
"Appreciation Ceremonies" for Retiring Employees
Since FY2024, we have been holding "Appreciation Ceremonies" for retiring employees. These ceremonies are held not only for those who have reached mandatory retirement age but also for retirees of all ages and backgrounds, and are held every six months as an opportunity to express gratitude for the contributions employees made during their tenure.
Achieving Work-Life Balance
We strive to encourage a good work-life balance by improving its workplace culture and reforming systems so motivated employees know they can continue to work with no detriment to their career even during different life stages, such as when they have childcare or nursing care commitments. In July 2023, we expanded the eligibility for the shorter working hours system to include those who are raising children or caring for family members and those with a disability certificate, and we made the program available to employees to use the system regardless of their length of employment. We are also working to create an environment that makes it easier for employees to apply for some of the childcare-related systems, for example by digitizing the application forms for these systems.
Support for Successfully Balancing Work and Childcare
We are taking initiatives in providing various systems and creating environments for a workplace where it is possible for employees to balance work and childcare, regardless of gender. In April 2022, we created a childcare leave system for childbirth (father's childcare leave after childbirth) before the system was newly established with the revision of the Act on Childcare Leave, Caregiver Leave, and Other Measures for the Welfare of Workers Caring for Children or Other Family Members of Japan. We are also working to create a workplace environment that enables balancing work and childcare by offering consultation for supporting return to work, corporate parent classes and seminars on returning from childcare leave, as well as setting up nursing areas.
We are also actively encouraging male employees to take advantage of the childcare support system. In February 2022, we endorsed the Ministry of Health, Labour, and Welfare's Ikumen (men proactively involved in childcare) Project and the initiative for companies to declare 100% of fathers taking parental leave. In FY2024, we achieved a 100% annual utilization rate for childcare leave and childcare-related leave among male employees.
We believe that it is not the taking of childcare leave in itself that is important, but rather the opportunity to make the long child-rearing period fulfilling together with a partner. Company-run parenting classes led by specialist instructors are held twice a year to give male employees eligible for childcare leave the opportunity to learnabout the role of fathers, and building a dual-income parenting team.
Specific Initiatives for D&I
Measures to Support Raising Next-generation Children
Obayashi formulates and continues to work on action plans as a company for a society in which the children who will lead the next generation of society are born and raised healthily.
Specific Initiatives for D&I
Support for Successfully Balancing Work and Home Nursing Care
We are establishing working environments that enable employees juggling work and nursing care commitments to work comfortably, and devising ways of supporting each employee based on their individual circumstances.
According to the "Caregiving Situation Survey," which has been conducted annually for all employees since FY2023, approximately 48% of respondents indicated that they are likely to provide care for a family member or relative within the next five years. In light of this trend, we plan to continue providing information to enhance literacy among all employees--including those not directly involved in caregiving--while also incorporating employee feedback to consider and expand information and necessary measures regarding flexible work arrangements.
Specific Initiatives for D&I
Promoting Flexible Work Styles
We are developing and enhancing programs so that all employees are able to choose flexible work styles. In April 2021, we expanded the system so that all employees could choose to stagger work hours and telecommute regardless of reason. We also made it possible for annual paid leave to be taken on an hourly basis. Furthermore, we are creating a work environment to make telecommuting easier such as by preparing satellite offices and shared offices, actively installing ICT tools, and promoting going paperless working.
Specific Initiatives for D&I
Encouraging Everyone to Enjoy Learning and Grow Together
We have positioned human resource development as one of its most important measures because we believe that human resources are a key management resource. We foster a corporate culture that encourages employees to view their own work and work environment as an opportunity to grow. It also helps employees take the initiative in developing skills and building their own career path by supporting the acquisition of skills and knowledge and providing development opportunities through such means as training and overseas study.
Training System
Training System
We seek to create an ideal talent portfolio by promoting talent development through support for career- building and various training programs. Optimized training programs are available for three talent groups: (1) management and expert talent, (2) executive talent, and (3) innovation talent. We foster the corporate culture that encourages employees to view their work and surrounding environment as an opportunity to grow . We also assist employees in developing their own skills and building their own careers by , for instance, helping them acquire specific skills and knowledge or providing training and international study opportunities.
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New Employee Training (Administrative Specialized Training)
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Training for Operational Staff (Across All Job Categories)
Development of Global Human Resources
【Overseas Study Program】
We have established a program for supporting study abroad at schools research centers, foreign companies, and other overseas organizations to develop the skills of young employees and mid-career employees. Employees who have studied abroad are active in overseas departments and in various areas.
【Global Leadership Training Program】
Since FY 2013, as one of our priority measures to develop human resources in response to global expansion, in addition to overseas study, deployment to overseas companies, language training, etc., we have been implementing the selective "Global Leadership Training Program," a training program to systematically learn the basic knowledge required for global business.
This training program is designed for employees who are likely to work overseas, as well as those involved in business dealings with foreign-affiliated companies within Japan. It focuses on cross-cultural communication, fostering a mindset attuned to overseas business operations, and understanding the content of contract terms in English. Participants will acquire expertise in various areas, including business customs in different countries, management techniques for local staff overseas, and risk management.
Starting in FY2023, with the aim of fostering global talent at an early stage, we are focusing on expanding our training programs. This includes incorporating the entry-level training program--which was previously selective--into tiered training programs for younger employees as "Global Mindset Training."
Various Types of Training Programs
In conjunction with the personnel system reform in FY2026, we have introduced an elective executive leadership development program for management candidates and senior management candidates, as well as selective executive management and middle management training programs aimed at developing the next generation of business leaders.
In addition, we are working to enhance our specialized training programs, including those for mid-career hires and national staff (employees hired locally by our overseas group companies), as well as programs designed to develop digital talent capable of leading digital transformation (DX) and to support them in obtaining relevant certifications. Furthermore, we conduct training sessions aimed at fostering a cultural shift among our employees, such as diversity and inclusion training, unconscious bias training, self-leadership training, and post-retirement career planning training.
Initiatives to help employees develop skills independently have been underway since FY2022. These initiatives include the holding of various workshops on improving productivity by looking at how employees conduct their work and communicate, in addition to seminars on career support and online self-learning programs that offer employees the opportunity to learn new or different skills.
Nurturing Mid-career Recruits
We give our mid-career recruits education on various personnel programs, information security and human rights regardless of their occupation when they join us. After that, we divide them by type of occupation to give them the education they need.These educations help them to play active roles just like employees who joined as new graduates.
Nurturing National Staff Overseas
We offer a program of hands-on training for national (locally hired) staff at overseas Group companies. The goal is to enable national staff to learn our latest construction technologies and safety management measures.
Supporting Employees Seeking New Qualifications
To encourage employees to further develop their expertise, proactively shape their own careers, and foster a desire for self-improvement, we actively support the pursuit of professional certifications. We have designated recommended certifications for each business unit, operational area, and job category, and we cover a portion of the costs for study materials and certification exam fees. In addition, for certifications that are particularly important in terms of management and business operations, we promote their acquisition as "Priority Certifications" and have established support programs that include not only a passing bonus but also a certification allowance for those who obtain them. Furthermore, since FY2026, obtaining specified "Priority Certifications" has become a requirement for promotion to management positions across all job categories; consequently, we are expanding our support measures—such as conducting online group training sessions—to facilitate certification acquisition.
Dynamic Individuals, Effective Teams
We strive to maximize the performance of individuals and organizations and, as such, seek to assign the right person to the right job based on the abilities and aptitudes of each employee and the career paths they choose. We also share our vision and goals with all employees to help create a workplace in which all employees can feel motivated and satisfied in their daily work.
Assignment of Right Person to Right Job
We introduced a talent management system in FY2022. We manage building construction employee skills using a database that lists each employee's detailed work experience, qualifications, and other information. That enables supervisors to swiftly grasp the skills and development of each staff member and conduct on-the-job training by assigning new tasks that enable employees to fill any gaps in their skill set. We are seeking to raise the skill level of our workforce by offering off-the-job training opportunities for tasks on which skill scores are generally low. This system is designed to encourage employees to systematically develop their own careers and skills, and to optimize the allocation of available human resources.
Improving Employee Engagement
Indicators for Engagement
We believe that it is essential to maximize the performance of individuals and organizations to achieve sustainable growth. We also believe that strong engagement fosters positive organizational vitality . As such, the Obayashi Group Human Resource Management Policy seeks to promote the development of personnel who identify with the Company's vision and are driven to seize opportunities and collaborate with others to achieve their full potential as ideal human resources. We conduct annual engagement surveys of all employees, identify issues, and work to resolve them. In FY2025, the score for indicators related to remuneration and the evaluation system improved from 44.8% to 48.5%, while the average engagement score also increased from 74.4% to 75.9%.
Other Surveys
To reflect the views of our employees in improving the various personnel systems, we conducted various surveys on all our employees and held conferences with our employees union to improve engagement. The survey results were published in the internal newsletter and on the intranet so that our all employees can check them.
| Survey name | Survey results etc. | ||
|---|---|---|---|
| Fact-finding Survey on Harassment (Including a Level of Happiness Survey) [FY2025] |
Response rate: 76.1%(11,351 out of 14,915 people) |
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| Survey contents: We conducted a survey on whether our employees had experienced or observed harassment within the past year and what was said and done at that time. We held interviews with all employees who requested an individual consultation. |
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| Feedback of survey results: We analyzed the characteristics and background of harassment. We are now giving education with e-learning to all employees in addition to manager training. Moreover, we are providing information to employees on the Intranet and the Monthly Obayashi internal newsletter. |
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| Opinion Survey on Benefits Programs [FY2023] |
Survey contents: We conducted a survey on opinions and requests relating to the benefits programs in general. |
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| Feedback of survey results: ・Expanded the scope of employees eligible for the shorter working hours system (removing restrictions on the length of employment and adding those with disability certificates) and digitized application forms for some childcare-related systems. ・Added "a person who is in a de facto marital relationship," whether of the same or opposite sex, to the definition of "spouse" in the rules for benefits, etc. |
Rewarding Contribution to the Company
We revise wage levels to support the lives of employees who work hard to improve the Group's business performance and ensure its medium- to long-term growth, as well as to support the lives of their families. Not only that, but we reward employee contribution to our business in a timely and appropriate manner and strive to maintain and increase their motivation. We implemented reforms to our personnel system in FY2026.
The new personnel system is shifting the focus for managers away from the former function (seniority)-oriented approach and will instead determine remuneration and treatment based on management roles and duties. Determining employee remuneration and treatment based on the scale of responsibilities and nature of duties undertaken will enable us to appropriately evaluate employees' endeavors and achievements and encourage self-driven action, while also motivating employees to act as proud, self-aware professionals and to play a proactive role in the creation of value. One such measure, namely the introduction of a stock-based remuneration scheme for managers, underscores their role in working with the Company to enhance corporate value and the scale of their responsibility in that regard. It emphasizes the need to view corporate growth not simply as an outcome to be enjoyed but as something that is proactively created and directly linked to each employee's own decision-making and actions.
The new system will also encourage senior talent to actively participate and to play a central role on construction sites, and train and assign international talent to support Obayashi's business portfolio. Efforts will also be made to ensure the assignment of the right person for the job and encourage autonomous career-building. These initiatives will increase overall organizational productivity and maximize the value of human resources.
【Actions for the Human Capital Strategy】
Fair Personnel Evaluation
The foundation of our personnel management system is fair pay and benefits based on fair personnel evaluations. Personnel evaluations are conducted every six months, with managers and subordinates discussing targets and achievements in detail. To ensure transparency and acceptance of the personnel evaluations, the system allows employees to check their final evaluations. Our personnel system makes no distinction between men and women with regard to the assignment of roles, promotions, and compensation and benefits. Our employees actively demonstrate their individual capabilities.