Secure Diverse Human Resources

Mitsubishi Estate believes that human resources are a very important management asset and recognizes that employee growth is essential to the Group's own continued growth. We believe that securing talented personnel is an essential element in achieving high-level management of real estate funds, and we are recruiting a wide range of talented personnel by employing skills as well as potential. In addition, in order to maximize the capabilities of each employee, we have created opportunities to communicate with each employee regarding job satisfaction and confirm career plans so that they can be appropriately assigned.

Female management ratio：16.7％

*As of April 1, 2023

Employee turnover ratio：5.9％

*Fiscal2022

■ Employee data

*As of April 1, 2023

■ Employees who newly joined and left the company / employee turnover ratio

*Does not include transfers of seconded employees

Appropriate evaluation

MJIA has introduced a ”Management by Objective (MBO)” for all employees in order to encourage individuals skills/career development. At the beginning of the year, employees set a specific goal through interviews with the personnel evaluator. Interviews are then conducted to provide employees’ their feedbacks on progress and evaluation during and at the end of the period.

Developing Human Resources

MJIA believes employee development to be essential for sustainable growth of the company. Therefore, we not only hire human resources with a certain level of experience and skills but also actively recruit relatively inexperienced human resources in their 20s to early-30s and provide training to equip them with a wide range of expertise and skills.

Training hours per employee：25.1

*Fiscal 2022

■ Examples of training programs (fiscal 2022)

* In addition to those listed above, MJIA conducts training on Daily Action Guidelines for Implementing MJIA Value regularly, during which respect for diversity is advocated.

■ Targets

Number of compliance and risk management training sessions: 4 per year
Employee attendance at compliance and risk management training: 100%

■ Support career enrichment, qualifications and licenses

In addition to the provision of programs outlined above, we also encourage all employees to boost their professional knowledge and skills via self-help efforts. Based on this policy, we subsidize part of the costs required to obtain and maintain professional qualifications that assist employees in improving their real estate asset management practices. Examples of such qualifications include the Association for Real Estate Securitization (ARES) Certified Master, Certified Building Administrator, Real Estate Transaction Specialist, Certified Real Estate Consultant and Real Estate Appraiser. All permanent employees who wish to obtain a qualification are eligible for a subsidy.

■ Number of employees with qualifications

*As of April 1, 2023
*Including seconded employees

Acceptance of External Human Resources (Utilizing Specialist Skills)

MJIA accepts outstanding human resources with experience and expertise in real estate investment and real estate management from the Group companies. We also accept attorneys and real estate appraisers with high expertise in various legal systems and real estate valuation. We aim to maximize our operational performance by fully utilizing such external human resources.

■ Acceptance of external human resources for fiscal 2022

・Attorneys (2 people)
・Real estate appraisers (1person)
・MEC Human Resources, Inc. (1 person)
・Mitsubishi Jisho IT Solutions Co., Ltd. (1 person)
・Mitsubishi Estate Co., Ltd. (13 people)

Human Rights Initiatives

As a member of society, the Mitsubishi Estate Group is keenly aware of the importance of respect for human rights. To fulfill our responsibility to respect the basic human rights of all stakeholders, in addition to those involved in Group businesses, we set up the Mitsubishi Estate Group Human Rights Policy on April 1, 2018. Respect for human rights is part of the Mitsubishi Estate Group Guidelines for Conduct, which all employees are expected to follow on a daily basis. These Guidelines stress the importance of respect for human rights and diversity, which means that employees show concern for human rights and the environment in the course of their business activities.

■ Mitsubishi Estate Group Guidelines for Conduct (excerpt)

Respecting Human Rights and Employee Diversity
We respect human rights and believe that diversity maximizes value.
1. We respect human rights at all times.
2. We reject discrimination and harassment in any form.
3. We strive to establish a creative and competitive organization that safeguards and respects the beliefs of the individual as reflected in the diverse communities in which we work and live.
4. We foster an open corporate culture in which all employees are encouraged to speak freely.

■ Mitsubishi Estate Group Human Rights Policy (excerpt)

We uphold and respect international standards related to human rights. These include the International Bill of Human Rights, which sets out the fundamental human rights possessed by all the people of the world, and the International Labour Organization's Declaration on Fundamental Principles and Rights at Work, which contains requirements concerning fundamental rights in the workplace.

We help ensure that respect for human rights is actively practiced in all business activities, and that such activities do not infringe on the human rights of other people. If such activities nevertheless result in a violation of the human rights of others, efforts shall be made to minimize the negative impact.

We carry out human rights due diligence in order to minimize any negative impact caused by human rights violations occurring as a result of the Group's business activities. We maintain a framework for human rights due diligence and make improvements to the framework on an ongoing basis or if problems arise in order to improve its efficacy.

Furthermore, in the event that the activities of a business partner or any other individual or organization affiliated with the Mitsubishi Estate Group directly have a negative impact on the human rights of others, even if we were not directly involved in fostering such a negative impact, we shall endeavor to make improvements together with stakeholders to ensure respect for human rights and eliminate all violations.

Based on our human rights policy, MJIA understands and respects human rights that are internationally proclaimed based on our human rights policies as a minimum, and supports and respects their protection, are committed to respecting the human rights of all parties involved, including those derived from our businesses. In order to become aware of discrimination and to foster awareness of human rights, we conduct training on human rights, focusing on the prevention of harassment, which is also a human rights issue in the workplace.

■ Examples of human rights training offered

Internal harassment training program (once a year)
External human rights enlightenment training courses (Tokyo Human Right Awareness Liaison Group)

Employee Hotlines

We have established a consultation desk for legal violations, violations of internal rules, harassment, and other matters that are widely contrary to ethical and social standards, and all persons engaged in our business, including retirees and temporary employees, can report and consult with us. We strictly observe privacy in whistleblowing and consulting, confirm and investigate the facts, and take appropriate action. The Mitsubishi Estate Group Help Line and the Mitsubishi Estate Group Whistleblower System may also be used as necessary.

Improve Work Environment for Productivity

■ Introduction of activity-based working

We have established diverse offices in places where we work, such as group addresses, co-workspaces, centralized booths and high desks. We are working to improve productivity by allowing employees to choose the work environment best-suited for their time-to-time needs.

• A comfortable working space thanks to high ceilings and automated light adjustment
• Utilization of natural sunlight
• High chairs and desks for employees’ health-being

• Co-workspace
• Co-workspace
• Separated work areas that help you stay focused

• Ensure security with entrance management system
• Provide information to employees through electronic bulletin board

■ Utilization of ICT

We are working to make a paperless environment and improve operational efficiency by actively using ICTs, such as mobile PCs, iPhone rentals, and enhancement of WiFi environment.

Initiatives to Promote Internal Communication

■ Improvement of community space in the office

A coffee shop where baristas offer specialized coffee is set up to induce informal communication with other employees in the same office.

■ Hold social gatherings to promote internal exchanges and subsidize costs

We subsidize part of the cost of holding social gatherings and other events at the department level to support the development within the team. In addition, in order to promote inter-departmental exchanges, we are implementing a variety of initiatives, including social gatherings (an in-house community space holding a social gathering where people can comfortably visit after work) and an internal event support system.

Initiatives to Promote Communication between Employee and the Company

With the aim of understanding employees’ thoughts on their career plans and their level of satisfaction with the company, MJIA works hard to encourage active communication between employees and their managers or the Personnel Department, through various forms, on both a regular and ad hoc basis.

■ Employee condition pulse survey

Once a month, all employees ascertained of the conditions related to work, human relationships, health and conduct timely interviews and reflect them in personnel measures.

■ Employee satisfaction survey

Once a year, a compliance questionnaire is conducted for all employees, covering the MJIA's corporate culture, the state of communication, and the degree of employee satisfaction. The results of the questionnaire are also relayed back to the President for use in improvement activities.

■ Human resources department interviews with employees

Once a year, the Human Resources Department interviews all employees regarding their career plans and motivation towards work. In addition to the goals established through the interviews, also set out is the goal of “creating a vibrant workplace,” which is defined as to “embrace the diverse values of the members around and work to create a vibrant workplace,” and efforts are encouraged and evaluated in the personal appraisal.

Initiatives for Employee Health-being

To enable employees to work in good health physically and mentally, we are taking the following measures, in addition to health examinations and stress checks, based on the idea that by giving consideration to the health of employees, we can expect greater results in management.

Absentee rate：0.19％

Injury rate：1.48％

Lost days rate：0.00％

*Fiscal 2022

■ Annual health checkup

All employees are to receive annual physical health checkup by a doctor paid for by the Company.

■ Conduct stress check

Once a year, we conduct stress checks to encourage awareness of individual stress and prevent the occurrence of mental health issues.

■ Appointment of industrial physicians

MJIA have appointed an industrial physician to receive guidance and advice on employee well-being.

■ Consultation desk

As a necessary measure for mental health, we have set up a desk outside the company, and employees can consult about a wide range of concerns, not limited to business concerns.

■ Installation of massage chairs

We have installed 3 massage chairs in the company and employees can use them for refreshment at any time.

■ Join the Mitsubishi Estate Health Insurance Association

MJIA has joined the Mitsubishi Estate Health Insurance Association which will cover the subsidy for comprehensive medical examination fees and vaccination costs for infectious diseases such as influenza.

Initiatives for Diverse Work Styles

We endeavor to provide a comfortable work environment by offering various systems to respond to changes in each employees’ lifestyles and life stages and create an employee-friendly environment and maximize their productivity.

Percentage of employees taking paid leave ：73.8％ (Target: 90% or greater)

*Fiscal 2022

Percentage of employees returning to work after taking childcare leave：80.0％

*Fiscal 2022

■ Flextime working system

MJIA has adopted flexible attendance hours. Employees are allowed to choose the time they start working from 6:00 to 11:00 and end by 15:00 to 20:00 to work according to their convenience. As a general rule, various internal meetings are held at core time from 11:00 to 15:00.

■ Annual paid leave

We grant 10 to 20 days of annual paid leave according to the number of years of service. In addition, we have established a half-day paid holiday system and an hourly paid holiday system to enable employees to take paid holidays as necessary, and we are working to increase the ratio of employees taking these holidays.

* Average of permanent employees, contract employees, and part-time employees
* From fiscal 2021, calculated based on registered employees as of April 1.

■ Various leave systems

We have implemented maternity leave, childcare leave and short-time work, nursing care leave of absence for children and nursing care leave of absence of family and short-time work to support the balance between life and work for employees.

Enhancement of Leisure

MJIA has introduced various range of programs designed to foster an environment where employees can work with more security and fulfillment as their lifestyles and life stages evolve.

■ Granting paid leave

All employees are granted two days of leave per year as time off for leisure in lieu of summer vacation.

■ Introduced special incentive leave

We provide long paid leave according to the years of service for opportunity for refreshment and self-development.

■ Benefit programs

MJIA have introduced a cafeteria plan where employees can choose from a variety of benefit programs.

Support Employees’ Asset Formation

We have introduced the following system to support employees’ asset formation and to improve its motivation in the medium-to-long-term.

■ Retirement plan (permanent employees only)

■ Employee stock ownership for Mitsubishi Estate

■ Defined contribution pension

■ Asset formation savings

■ Payroll deduction stock program (Mitsubishi Estate Logistics REIT Investment Corporation)

The Mitsubishi Estate Group has adopted as its fundamental mission the goal of creating a truly meaningful society by building attractive, environmentally sound communities where people can live, work and relax with contentment. By putting this mission into practice, MJIA will actively play a role in the CSR initiatives conducted by Mitsubishi Estate Co., Ltd.

■ Participating in CSR initiatives

MJIA has formulated the following action plan to develop an employment environment that allows all employees, both men and women, to play active roles in their professional lives.

1. Period of the plan

April 1, 2023 – March 31, 2026

2. Background

At MJIA, many of its employees tend to work overtime, making it difficult for them to balance work and family life. This has also raised concerns over employee resignations due to life events such as marriage, childbirth, and childcare. To better help employees continue working without having to resign, MJIA encourages its employees to take paid leave as part of improving work-life balance.

3. Goal

90% or more paid leave usage rate for all employees*

*Applicable to employees as of April 1 each year; rate of paid leave utilized out of total granted in the current year

4. Initiative details

(1) Establishment of sick leave where employees may take time off when they feel unwell
(2) Establishment of benefit programs to reward employees with a high rate of paid leave usage