Human Resource Strategy

Through our unique human resource strategies focused on strengthening “people,” who are at the core of all our business operations, we aim to achieve the sustainable enhancement of corporate value.

Enhancement of Corporate Value=Expand Created Value/Lower Cost of Capital-Increase Growth Rate

Through our unique human resource strategies focused on strengthening “people,” who are at the core of all our business operations, we aim to achieve the sustainable enhancement of corporate value.

Enhancement of Corporate Value=Expand Created Value/Lower Cost of Capital-Increase Growth Rate

Under our corporate mission of “Sampo-yoshi,” with a clearly identified human resource strategy as a key component of our management strategy, we aim to become a company that is challenging but rewarding to work for, and to ensure all employees find their work rewarding and fully utilize their abilities. By achieving this, we aim to enhance not only employee motivation and labor productivity but also our social reputation, ultimately enhancing our brand value, thereby further enhancing our corporate value and pursue becoming the best company in Japan. In addition, the enhancement of our brand value creates a virtuous cycle enabling us to recruit outstanding talent, which serves as the source of the Company’s strength.

Enhancement of Corporate Value through Improved Labor Productivity -Improving Employees’ Motivation and Willingness to Contribute-

Labor productivity improves year by year: After FYE 2011, Labor productivity x 5.7
Pioneering and Unique Initiatives

Enhancement of Corporate Brand Value -Positive External Evaluations-

(1) Positive External Evaluations

Company rankings by jobseekers, Ministry of Economy, Trade and Industry × Tokyo Stock Exchange, Tokyo Women’s Empowerment Promotion Award

(2) Increasing Attention from Outside the Company
The work-style reforms initiative to improve labor productivity, which we have been promoting since 2010, has attracted significant public attention and we have welcomed visits from many government officials, including those from the Ministry of Economy, Trade and Industry, the Ministry of Health, Labour and Welfare, and the Children and Families Agency.

Moreover, our efforts have been recognized not only in Japan but also overseas, with delegations from the Korean and Chinese governments, among others, coming to observe our initiatives.

In particular, in South Korea, where the declining birthrate and aging population have become serious social issues, our example of introducing early morning work hours and subsequently seeing an increase in the birthrate has been dubbed “The Miracle of ITOCHU” and reported widely in the media. In July 2024, government officials from South Korea visited ITOCHU to observe the current state of the morning focused working system. Additionally, in October of the same year, at a forum hosted by JTBC, a media group affiliated with the JoongAng Ilbo, focusing on the issue of declining birthrates and aging society, CAO Kobayashi delivered a keynote address as a representative of overseas companies, which was also covered by Korean media.

We are steadily addressing issues identified through engagement surveys, thereby further strengthening our human capital.

Enhancement of Corporate Value=Expand Created Value/Lower Cost of Capital-Increase Growth Rate

We are steadily addressing issues identified through engagement surveys, thereby further strengthening our human capital.

Enhancement of Corporate Value=Expand Created Value/Lower Cost of Capital-Increase Growth Rate

Engagement Surveys and the PDCA Cycle to Further Enhancement of Corporate Value

We conduct an engagement survey every year to promptly identify issues and have established a PDCA cycle for continuous improvement. Recent surveys have highlighted challenges such as fostering job satisfaction among junior and mid-career employees, sharing personnel and ideas beyond the boundaries of organizations, and responding to diverse values. These issues are actively discussed at the Management Meeting, and we continuously implement concrete initiatives to address them. As a result, we have confirmed improvements in the related survey indicators. We will continue to advance initiatives in close collaboration between management and front-line employees to realize a company that is a challenging but rewarding workplace. Our aim is to foster a culture in which employees take pride in working at ITOCHU, are highly motivated to contribute, and proactively deliver results that exceed expectations.(→ CAO Interview)

(1) Conduct engagement Implement measures surveys, (2) Assess issues, (3) Decide on policies to address issues, (4) Implement measures, Issue 1 Fostering job satisfaction among junior and mid-career employees, Issue 2 Sharing personnel and ideas beyond the boundaries of organizations, Issue 3 Responding to diverse values

Specific Examples of Key Initiatives

Issue 1 Response
Recognized issues, Increase in average salary (unit: ¥10,000)

Revised Personnel System for More Effective Evaluation and Compensation
In FYE 2025, we implemented our first major revision of the human resource system in approximately a decade. This included raising salary levels, particularly for young and mid-career employees, and introducing measures to enable the early appointment of outstanding employees as Executive Officers of Group companies. Furthermore, from FYE 2026, we are enhancing differentiation in compensation by setting annual salary levels of up to ¥35 million for manager-level employees and ¥40 million for general manager-level employees in cases of exceptional performance. We have also revised our stock compensation plan, doubling the standard grant amount and awarding additional shares upon promotion. As a result, these changes are expected to increase employee’s annual income by approximately 10% year on year.

Recognized issues, Increase in average salary (unit: ¥10,000)
Issue 3 Response
Recognized issues, Female Executive Officer ratio

Women’s Advancement in the Workforce to Increase Diversity within the Organization
As a trading company with strengths in the consumer-related business, we aim to capture the diversifying needs of consumers and evolve our business model accordingly. To create an environment where women can continue working without giving up on their careers, we provide detailed individual support to remove barriers to career development, taking into consideration life events, etc. In FYE 2025, we will integrate the women’s dormitories, and promote communication across age and departments as a place for internal networking and human resource development. In response to significant changes in the administrative environment driven by DX initiatives and the advancement of internal controls, we have redefined “clerical staff” and renamed them as “Business Experts (BX).” BX are tasked with playing a central role as an Organizational Hub by leveraging advanced expertise.

Recognized issues, Female Executive Officer ratio
Issue 1 3 Response
Recognized issues, Childcare leave acquisition rate of male employees

Support for Balancing Work and Childcare
In 2010, we established an in-house childcare facility. In FYE 2023, we began providing childcare and work-life balance allowances*1 to employees, regardless of gender, who return to work from childcare leave within one year as a system to support employees who wish to return to work early after giving birth, regardless of the timing of their child’s enrollment in nursery school. In FYE 2024, we started workplace after-school care, and from April 2024, we made it “mandatory” for men to take childcare leave, thereby strengthening our support. In FYE 2025, the rate of male employees taking childcare leave increased to 96%. Furthermore, compared to FYE 2022—prior to the introduction of the support allowance—the number of male employees taking childcare leave for four weeks or more has increased approximately sixfold.


*1 This allowance is provided to cover additional expenses (such as childcare costs) incurred when balancing work and childcare, for employees who take four weeks or more of childcare leave and return to work before their child turns one year old.

Recognized issues, Childcare leave acquisition rate of male employees
Issue 1 Response
Recognized issues, Investment in human resource development per employee (unit: ¥10,000)

Investing in Human Resource Development to Support Proactive Career Development
Since FYE 2000, we have positioned human resource development expenses as “human capital investment” for the sustainable improvement of corporate value. To foster “next-generation merchants” who can respond to changes in the social environment and increasingly diverse customer needs, we support employee growth through on-the-job experience and training, based on regular career reviews.

Recognized issues, Investment in human resource development per employee (unit: ¥10,000)
課題①②への対応
Related questions*2 of engagement survey Average score of Virtual Office participants 14% (Average for each item) UP *2 Sharing resources beyond the boundaries of organizations, etc.

Virtual Office (In-House Dual Jobs System)
In April 2023, we formally introduced Virtual Office, an online platform for cross-organizational collaboration that enables passionate employees to participate in projects they have interest in beyond organizational boundaries, with the aim of further accelerating the promotion of crossorganizational projects and the creation of new businesses. We aim to foster the exchange of insights that break down the industry silos, a common challenge for general trading companies, while stimulating a spirit of challenge and growth ambition among junior and mid-career employees, leading to their revitalization and growth.

Related questions*2 of engagement survey Average score of Virtual Office participants 14% (Average for each item) UP *2 Sharing resources beyond the boundaries of organizations, etc.

New Products Born from the Virtual Office “Next Generation Protein Brand Development Team”

In FYE 2025, in response to the growing health concern of declining protein intake among the Japanese population, young and midcareer employees from our Food, Energy & Chemicals, and Human Resources & General Affairs divisions initiated this project with the aim of increasing protein consumption and promoting better health. By adopting a market-oriented perspective and conducting interviews with consumers, they identified latent needs. They achieved rapid product development and have fostered cross-organizational value creation and synergy by collaborating across Companies, such as through the provision of raw materials.

For details on work-style reforms, please refer to ITOCHU’s website. We provide an introduction to our unique work-style reforms, including the objectives and outcomes of various initiatives, as well as the stories behind their implementation.

https://www.itochu.co.jp/en/about/work_style/files/itochu_work_style_en.pdf[PDF]