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Hitachi

Corporate InformationSustainability

Diversity and Inclusion

Toward Achieving Diversity and Inclusion

Hitachi has composed a Statement on Diversity and Inclusion and strives to create an environment where diverse human capital can exercise its potential to the fullest. Furthermore, we continually review our systems and operations in light of this statement.

Statement on Diversity and Inclusion

Diversity and Inclusion Open Our Future

Diversity is the wellspring of our innovation and our growth engine. Hitachi regards personal differences—such as gender, nationality, race, religion, background, age, disability, and sexual orientation—as well as other differences, as facets of people’s individuality. By respecting our employees’ individualities and positioning them as an advantage, Hitachi frames its diversity and inclusion as conducive to both the individual’s and the company’s sustainable growth. With a diverse workforce, strong teamwork and broad experience in the global market, we will meet our customers’ needs.

Diversity Management Promotion Framework

Hitachi has created a Diversity & Inclusion Development Center to promote its diversity initiatives, including support for diverse human capital and work-life management. The center acts as a secretariat managing the Advisory Committee and Diversity Development Council, which are operated jointly by Hitachi, Ltd. and 15 Group companies. The Advisory Committee ensures follow through on our diversity management policy, while the Diversity Development Council discusses specific activities and shares best practices. Both meet every six months.
Group companies and business sites are also advancing diversity management in accordance with their challenges and circumstances. To this end, they have set up their own diversity- promotion organizations and projects, such as those to help develop women’s careers, in order to enhance initiatives geared to the challenges faced by individual workplaces.
Among global diversity initiatives, the achievement of gender equality across the entire Group has been identified as needing particular attention, and initiatives like our Global Women’s Summit are underway across the Group.
We also hold regular meetings to exchange opinions on diversity with labor unions.

Hitachi Diversity Structure

Chart of Hitachi’s Diversity Promotion Structure

KPIs for Promoting Diversity

With the aim of increasing diversity among executive officers and managers, Hitachi, Ltd. has created the following two key performance indicators (KPIs). These demonstrate our commitment both internally and to the world to supporting diverse human capital and enhancing diverse management.

Goals for Hitachi, Ltd. (KPIs)

  • Achieve a 10% ratio of both female and non-Japanese executive officers and corporate officers by fiscal 2020.
  • Increase the number of female managers in Japan to 800 by fiscal 2020 (twice the number at the end of fiscal 2012).

To achieve these goals, as well as reinforcing existing programs, we introduced the Hitachi Group Women’s Career Success Survey to highlight progress with initiatives and outstanding issues in each business division and to set numerical targets for each division, strengthening our management commitment. We will also boost women’s individual ambitions and morale through programs such as the Hitachi Group Women Leaders’ Meeting and the Roundtable Conference with Female Independent Directors, which support female employees at the supervisory level and above. We intend to create an environment where as many women as possible are able to optimize their potential in management positions.

Achievements in FY 2019

The 6th Hitachi Group Women Leaders’ Meeting was held in February 2020. The meeting was attended by 31 women newly appointed to managerial positions in Hitachi Group companies within Japan. A lecture by an external expert and a roundtable on the theme “Proactive Career Building and Behavioral Change” promoted a lively exchange of views between participants, and each participant announced a personal action plan and statement to further encourage behavioral change at the workplace.

Alongside these efforts, we are working to change the mindset of managers and male staff regarding gender parity and examining our working style as a whole with the aim of transforming our corporate culture.
Employee compensation is set according to each individual’s roles and achievements, with no divisions or differences based on gender or age.

Number and Ratio of Female Managers

Graph of the Number and Ratio of Female Managers

 
Note: Figures include section manager–level employees and above.
*1
Since fiscal 2017, “Female managers” has included managerial employees dispatched from Hitachi, Ltd. to other companies and those accepted from other companies by Hitachi, Ltd. Earlier figures include regular managerial employees dispatched to other companies but exclude those accepted from other companies. Figures for fiscal 2020 are targets.
*2
Beginning in fiscal 2019, the scope of reporting shifted from full-time, regular female managers, excluding those dispatched to non-Group companies, to all female managers including those dispatched from Hitachi, Ltd. to other companies and those accepted from other companies; figures for previous years have been adjusted to match this new scope. Rising numbers of female managers in part reflect improved coverage of our human capital databases.

Ratios for Female and Non-Japanese Executive and Corporate Officers (Hitachi, Ltd.)

Graph of the Ratio of Female and Non-Japanese Executive and Corporate Officers at Hitachi, Ltd.

 
Note: Disclosure began in 2017, when initiatives for increasing diversity among executive and corporate officers started

Ratios for Male/Female and Japanese/Non-Japanese Directors (Hitachi, Ltd.) (as of July 2020)

Ratios for Male/Female and Japanese/Non-Japanese Directors (Hitachi, Ltd.) (as of July 2020)
Item Total Male Female Japanese Non-Japanese
Directors Number 13 11 2 7 6
Ratio (%)   84.6 15.4 53.8 46.2

Basic Salary and Total Individual Compensation for Female and Male Managers at Hitachi, Ltd. (Fiscal 2019)

Basic Salary and Total Individual Compensation for Female and Male Managers at Hitachi, Ltd. (Fiscal 2019)
Basic Salary Total Individual Compensation
100:104 100:106
Note: Benefits for men and women are identical. Differences between male and female salary and compensation are due to age distribution, grade distribution, etc.

Global Women’s Summit

The Global Women’s Summit is a venue where Hitachi Group employees from various countries, regions, companies, and positions gather for discussion on the theme of achieving gender equality.
To encourage attendance by as many employees as possible, the summit takes place at a different country of the world each year. The meeting for fiscal 2019 was held in October in Japan—the fourth country, following the United Kingdom, the United States, and Singapore—and was attended by around 180 executives and employees from 17 countries and regions. During the meeting, President and CEO Toshiaki Higashihara and a female independent director made speeches, and panel discussions were held featuring prominent leaders from regional offices. At workshops and networking dinners, participants deepened their engagement with each other, exchanging information and career advice.
Newly added this year were a program for both male and female employees and a panel discussion involving male executives, offering all participants, male or female, an opportunity to consider gender parity in the workplace.

Expanding Hiring of People with Disabilities

Hitachi, Ltd. and Group companies in Japan have worked hard to employ people with disabilities, such as by holding a special hiring fair and study meetings for Group companies to share information. We have also worked to expand the range of employment opportunities for people with disabilities, coordinating with special subsidiaries to develop new positions for such individuals in IT. As a result, as of June 2020 the employment ratio of people with disabilities was 2.33% at Hitachi, Ltd.*1 and 2.38% for the entire Group in Japan. Both of these figures exceed Japan’s legally required employment rate of 2.2%.

Achievements in FY 2019

Three special subsidiaries within the Hitachi Group were merged into one new company on April 1, 2020, in an effort to improve management stability by expanding business scale and increase employment of people with disabilities within the Group.*2

*1
Includes one special subsidiary and 25 related Group companies.
*2
The new company’s name is Hitachi You and I Co. Ltd. The company employs around 450 people, of which around 380 are people with disabilities.

Employment of People with Disabilities and Employment Ratio (Hitachi, Ltd.) *1

Graph of the Number and Employment Rate of Employees with Disabilities at Hitachi, Ltd.

*1
Includes special subsidiaries and related Group companies. (Two special subsidiaries and 17 related Group companies in fiscal 2020.)
*2
The legally required employment rate was 1.8% up to fiscal 2012, 2.0% between fiscal 2013 and 2017, and became 2.2% in fiscal 2018.
Note:
Data compiled in June 1 of each fiscal year.
The employment ratio is calculated according to methods prescribed in the relevant laws.

B-BBEE Initiatives in South Africa

As Hitachi expands its business in South Africa, it pursues activities aligned with the country’s Broad-Based Black Economic Empowerment (B-BBEE)*1 policies to create employment and economic development. As of the end of fiscal 2019, Hitachi Construction Machinery Southern Africa has achieved a B-BBEE rating of level 4, while Hitachi Vantara has reached level 5.

*1
B-BBEE: Companies and organizations in South Africa are scored on their B-BBEE initiatives and contributions and rated on a scale from level 1 (highest) to 8 or as being “non-compliant.”

Work-Life Management

Hitachi goes beyond “work-life balance,” in which employees are simply urged to balance work and private life, to promote “work-life management,” which encourages employees to proactively take charge of improving the quality of both their work and private lives. We believe that practicing work-life management will enrich employees’ work and private lives, enhance professionalism, and build personal character, resulting in both individual and organizational growth over the long term. Based on this philosophy, we have established systems to support work-life reforms and a balance between employees’ work and private lives.

Promoting Work-Life Reform

Hitachi, Ltd. promotes a companywide work-life reform initiative, “Hitachi Work Life Innovation,” to develop workstyles allowing talent from diverse backgrounds to work with enthusiasm and demonstrate strong performance.
In order to put work-life reform into practice, it was determined that reform of administrative operations at the company’s headquarters was necessary. To that end, we implemented a review of our own business operations and processes.
Today, 70% of all full-time, regular Hitachi employees take advantage of our telecommuting and satellite office work programs, including managerial-level employees, flex workers, and career-track employees who need to balance work with child care or nursing care. The programs do not require the applicants to come into the office for a certain amount of time, nor are there any limitations on the number of times for doing so, allowing employees to work from wherever they need to be for child care or nursing care. If posted away from their families, they can work from their family home.
We are also rolling out location-free work for managerial-level employees, allowing them to perform their duties from anywhere when approved by the company. To further enhance our telecommuting and satellite office work programs, since fiscal 2020 we have added balance between work and medical care as grounds for program use, and made the programs available to all employees meeting the necessary conditions.

Work-Life Innovation Initiatives at Hitachi, Ltd.

Work-Life Innovation Initiatives at Hitachi, Ltd.
Initiative Key components
Top commitment
  • Send message within company
Review of operations and processes
  • Reform administrative operations at headquarters
  • Clarify rules for outgoing email
  • Use support tool designed to optimize meeting durations and participant numbers and improve meeting efficiency
Strengthening of workplace management
  • Increase operational transparency using in-house consultants (experience-oriented approach)
  • Improve attendance management system for compliance rule Enforcement
Promotion of time- and locationindependent work practices
  • Expand telecommuting program
  • Create environments where internal wireless local area network (LAN) can be accessed safely
  • Distribute around 30,000 IT tools to support paperless and online meetings
  • Roll out location-independent work for managerial-level employees
  • Expand satellite office network (88 sites as of March 2020, with over 50,000 monthly users across the entire Hitachi Group)
  • 15,651 people participating in Telework Days
Companywide promotional tactics
  • Put up posters, create intranet site
  • Share best practices by giving awards

Enhancing Work-Life Management Support Systems

Hitachi, Ltd. introduced and expanded an array of programs to support work-life balance, striving to create a more friendly working environment. We have distributed an Allowance for Balancing Child Care and Work; launched “Hokatsu Concierge,” an information-providing service supporting the search for a nursery; and provided a child-care matching service in collaboration with company-led nurseries. Through these kinds of support, we offer an environment where work and parenting can be balanced with peace of mind.
Additionally, with Japan’s society continuing to age, it is expected that more employees will be involved in caring for their elderly family members. We have, therefore, declared the years from fiscal 2018 to fiscal 2020 a period to focus on reinforcement of work and nursing care balance support, and are expanding programs. We have established a new “Points for Balancing Nursing Care and Work” system strengthening financial support for employees. We also conducted awareness surveys and work-life support seminars to encourage employees and provide information to prepare for this issue, emphasizing the importance of balancing work with nursing care and conveying practical know-how on the topic.

Achievements in FY 2019

Sometimes employees quit their job unexpectedly due to caregiving obligations when better information on nursing care might have helped them balance those obligations with work. To prevent such outcomes, Hitachi, Ltd. held a seminar for all employees aged 40 and over on how to balance work and nursing care.
Anticipating that their families might also need such information, we also created the Handbook on Balancing Work and Caregiving , which includes the basic information provided in the seminar along with case studies on using support systems and services, and distributed a copy to each employee’s home.
In Japan, to support a more balanced approach between work and parenting, in fiscal 2020 we launched a child-care matching service in collaboration with company-led nurseries. This service enables employees who are looking for a nursery for their children to apply for admission to a company-led nursery, created with the help of the Cabinet Office’s support program, thereby expediting an early return to work for employees on maternity or child-care leave.

Work-Life Management Support System at Hitachi, Ltd.

Chart of Work-Life Management Support Systems at Hitachi, Ltd.

*1
Flextime and discretionary labor systems are also available. The Cafeteria Plan is a system in which employees can select the support that they need, when they need it, according to their “Cafeteria Points.”

Return and Retention Rates After Maternity and Child-Care Leave (Hitachi, Ltd.)

出産・育児休暇後の復職率と定着率 (日立製作所)
    FY 2019
Return rate (%) Male 100
Female 97.4
Retention rate (%) Male 84.8
Female 95.5

In-House Child-Care Centers

Hitachi, Ltd., in collaboration with its labor union, has set up in-house child-care facilities with capacity for approximately 70 children in its Yokohama Office as a way to support employees in balancing work with child care.

Support Systems that Meet Diverse Employee Needs

To respond to the diverse lifestyles and needs of its employees, Hitachi, Ltd. has provided a wide range of support through welfare benefits that includes a Cafeteria Plan program, housing support such as dormitory and family housing and a housing allowance system, allowances for balancing work with child and nursing care, a property accumulation promotion system, an employee stock ownership program, retirement and pension plans, group insurance, a consolation payment system, internal sales, cultural and physical education activities, and employee cafeterias.
The Cafeteria Plan allows employees to select the benefits they receive, depending on individual lifestyles and needs, from a list of options, such as skills development, child care, nursing care, health promotion, and donations. Employees can use their Cafeteria Points to select the type of support they need when they need it.
For our retirement and pension plans, defined contribution and defined benefit plans have been introduced across the Hitachi Group in response to the diversification of lifestyles among the elderly and the changes in forms of employment.

Achievements in FY 2019

Starting in fiscal 2020, we expanded the scope of our support systems to recognize same-sex partners of employees. Considering the intent of laws around equal pay for equal work, we are expanding the scope of some support systems to cover limited-term contract employees as well.

Initiatives at Regional Headquarters to Create a Good Working Environment

The Statement on Diversity and Inclusion guides Hitachi’s endeavors to create work environments that allow our diverse range of human capital to work with enthusiasm and to support workstyles that are conducive to each employee achieving their full potential.
Region-specific policies are also implemented by our regional headquarters.

Hitachi America, Ltd.
Initiatives to promote diversity and inclusion include a mentor program and webinars to share the experiences of employee role models. Of the employees promoted between January and early August 2020, 36% were women. New hires during the same span were about one-third women, and half were ethnic minorities.
Nearly 30% of minority employees have reached the level of director or higher.

Hitachi Asia Ltd.
Efforts to make Hitachi Asia the best place to work in Asia include providing equal opportunities for all employees and creating workplaces that foster and retain outstanding human capital. Emphasis is placed on employee engagement aimed at promoting teamwork and recognizing the importance of human capital diversity. The concerns of employees’ families are also considered, such as by offering flexible working hours to enable a better work-life balance and providing fringe benefits for family members.

Hitachi (China) Ltd.
Activities are being promoted to strengthen inter-divisional cooperation. A group of mainly younger employees are asked to introduce their division’s work to workers in other divisions to deepen understanding and encourage collaborative creation across divisions. The activities were launched in fiscal 2019 with the participation of 27 employees, and the network built through these activities has contributed to smoother business operations. Plans for fiscal 2020 include increasing the frequency of meetings and holding them online.

Hitachi Europe Ltd.
In addition to conducting a Global Employee Survey, Hitachi Europe independently implements a survey targeting employees who choose to leave the company.
Their reasons are analyzed, and measures to reduce attrition are formulated. Support is provided to employees’ philanthropic activities, with auctions and sporting events being organized to benefit a charity selected by a vote among employees each year. An online program was implemented in Germany to promote the health of employees working from home during the COVID-19 pandemic.

Hitachi India Pvt. Ltd.
To ensure the safety of female employees, those traveling on business or leaving work after 7:00 p.m. in the summer and 6:00 p.m. in the winter are permitted to use the company car or a taxi. Measures to support employees working from home during the COVID-19 outbreak are being expanded, such as by using a cellphone app offering online meditation and yoga sessions.

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