Support diverse talent with motivating challenges and job satisfaction

• Improving the tangible sense of well-being and work engagement among our human resources
• Improving the sustainability of management and business operations (human resource development)
• Securing diverse human resources
• Upholding human rights
• Supporting the health of our human resources

Relevant stakeholders

Direct:Employees, local communities, suppliers
Indirect:Shareholders and investors, creditors, NGOs, industry groups

In the Medium-Term ’26 Plan announced in March 2026, we set out our commitments to optimizing the organization to enable diverse talent to thrive, raising the individuality, autonomy and satisfaction of our employees, creating an environment that encourages and supports them to thrive and grow, and promoting health and productivity management.
We strive to develop a human resource base that enables diverse talent to grow and flourish regardless of their nationality, gender, age, background or other characteristics, and it is our basic principle that we hire, promote and appoint people based on their ability, aptitude and performance. In terms of human capital investment, we are introducing a talent management system to develop managerial talent, using digital technology to raise productivity, encouraging work engagement among our employees, and engaging in data-driven health and productivity management. It is our aim to raise the resilience of individuals and the organization as a whole, which will underpin value creation through our business activities.
Through our health and productivity management policy, we strive to foster job satisfaction and happiness among our employees and protect their mental and physical health as well as a healthy work environment, in order to provide support that enables them to perform to their best.

Toyo Tire Group Charter of Corporate Behavior

Global Human Rights & Labor Policy

The Toyo Tire Group established the Global Human Rights & Labor Policy in January 2019. This policy endorses the Universal Declaration of Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work, and the 10 principles of the United Nations Global Compact. As our Group business globalizes and our stakeholders diversify, we strive to carry out our activities in a way that respects the human rights of everyone involved in our corporate activities, including people in our workplaces, at our suppliers, and within the communities where we operate. This will help us contribute to creating an inclusive society that supports everyone, including socially vulnerable people, by protecting them from exclusion, conflict, loneliness and isolation. Group employees also recognize that they may potentially cause, contribute to or be complicit in adverse impacts on human rights through their own activities, and work to prevent this.

See below for English and Chinese versions

• Global Human Rights & Labor Policy
• 全球人权与劳动政策

Read more about our human rights due diligence.

Promoting work-life balance

In 2023, we introduced a new working style system with a remote work option, which had been established during COVID-19 pandemic. At our head office, we also renovated our work spaces so that employees can choose their own seat each day, allowing them to concentrate and be more productive while also fostering better collaboration with colleagues. Survey results show that over 90% of employees are satisfied with these broader working style options and our new office style where they can work freely and autonomously. Our renovated head office has also received an encouragement award from Nikkei Inc. and the New Office Promotion Association.
With our 100% remote work option, which has been incorporated into to our permanent system since November 2024, we identified a number of challenges inherent to remote work environments such as difficulties with communication and labor management. In order to overcome these challenges, we established a remote work manual to inform employees of key considerations. We also revised our line care training primarily intended for managers at our head office by adding a curriculum for more active communication between line managers and their subordinates in efforts to create comfortable working environments for employees.
To promote work-life balance, we strive to improve our understanding of any changes in our employees' lives caused by different life events and to provide ways to help them achieve a healthy work-life balance. We have set up various systems that allow employees to fulfill their childcare and nursing care responsibilities, such as a care leave system to enable employees to concentrate on raising children up to two years of age and care for family members (for families requiring nursing care within the second degree of kinship, up to one year). We have also worked hard to establish systems and nurture a workplace environment that are more conducive to men taking childcare leave. In addition, we have established a system that allows employees to reinstate and use annual paid leave that expired from two years ago in the event of an injury or illness, childcare or nursing care, volunteer activities, hospital appointments, hospitalization, pregnancy, infertility treatment, or other reasons. Meanwhile, following labor-management consultations, our administrative and technical bases have designated several work-life balance promotion days a year to encourage employees to take their annual leave. At the same time, we encourage employees at production sites to systematically take annual paid leave in line with the annual production plan.
In fiscal 2025, the annual leave utilization rate stood at 79.6%, an increase of 17 points over the past three years.
The updated 2026 action plan includes exploring the possibility of offering paid sick child care leaves to look after sick children and expanding the number of days of paid childcare leave, and seeks to expand our childcare support system and improve workplace environments to help increase the rate of eligible employees taking childcare leave to 100%, irrespective of gender.

Employee opinion survey

It is important that our employees should feel proud of what they do and are motivated to create value. We have been conducting an employee awareness survey once every two years since 2021 to capture a snapshot of our organizational culture (The Toyo Tire Corporation response rate in the third employee awareness survey reached approximately 96%).
The survey results and detailed analysis are shared with the Executive Committee and feedback is provided to each department. Our efforts to create and implement improvement action plans based on deep reflection are starting to bear fruit as the cycle takes hold. Each department is encouraged to implement autonomous and proactive initiatives based on their individual strengths and weaknesses. The Human Resources Department regularly monitors the progress of each department, and incorporates common issues into the development of company-wide policies and system reviews.
As a result of practical action plans to address the state of the organization and the issues highlighted in the previous survey, significant improvements were achieved, with the work engagement (job satisfaction) indicator going up by 16% and the employee engagement indicator by 21%.
Following on from the 2023 survey, the 2025 survey results also highlighted issues relating to the burden of shift working in the production department. We are continuing our combined efforts of labor and management to make improvements through a targeted project to address the issues.
Linking our philosophy, systems, events, and communication will enable us to form a unique culture and increase employee job satisfaction.

In 2021, we launched a new human resource evaluation system to define a clearer picture of the type of talent required to support sustainable growth for the Toyo Tire Group, to clarify company expectations for individual roles at different levels, and to better motivate talent to achieve results and pursue personal growth. We are building an integrated system by promoting well-balanced evaluations with an emphasis on dialogue, raising remuneration levels, and introducing training programs that help improve individual capabilities. In 2023, we clarified our expectations regarding the ideal human resources profile and expected roles at our production sites.
A survey conducted after its launch confirmed that the new system and related measures are increasing employee motivation as anticipated. Going forward, we will continue to invest in human capital to drive improvements and revisions to our human resources system with the aims of increasing talent retention for positions that have had issues with working environments or treatment, promoting sustainable corporate management and maintaining and increasing our company’s social value.
To encourage the active growth of all employees, once per year we also hold individual career-building interviews between employees and their line managers to discuss skill strengths and weaknesses, promote development and formulate human resource development plans.
Having positioned talent development as the cornerstone of this new system, since 2022 we have been expanding each of our training and education programs. In our level-specific training for core employees, we have added training on conceptual points designed to help employees correctly follow company philosophy at each level, as well as mandatory training to help core employees acquire vital basic knowledge on digital transformation (DX), ESG or other subjects. This several-month program also focuses on acquiring the mindset and skills necessary to fulfil role expectations and apply that learning in the workplace. We have also updated our training for divisional general managers and general managers to help them acquire the necessary qualities and skills for developing effective management perspectives, managing their own personal transformations, and displaying leadership on medium- to long-term issues. Furthermore, as part of our drive to train more management candidates, we are also promoting cross-border training at excellent universities and other planned personnel transfers including overseas transfer, to help build a firm pool of human resources.
Furthermore, in order to assist individual employees with self-directed learning and continuous development, we have introduced personal development e-learning and a program to support employees seeking to gain language proficiency and other qualifications. E-learning can also be used in the training of newly promoted personnel to facilitate learning and behavioral changes in response to the evolving expectations of their new roles.

Aims of level-specific training

• *1 Included in the training hours of the training by level

Developing talent with technical expertise

With an eye toward a future predicted to have dramatically different market conditions through a mobility revolution, we are focusing on the development of professionals who can transform difficulties and crises into opportunities for sustainable growth. To develop the talent that supports our Group’s essential technological innovations, our education and training emphasizes basic knowledge, external company relations and the passing down of technology.
In addition to our company-wide training systems, we have also set up a specialized educational curriculum for young engineers run by the R&D function in which senior employees serve as instructors to help improve specialist capabilities. They also pass on knowledge and expertise that can be difficult to standardize or verbalize. In 2020, we added lectures on sustainable development goals (SDGs) designed to promote awareness of the role that technological development plays in solving social issues and to incorporate SDG considerations into R&D workflows.
Going forward, we will need even more human resources who can use their machine learning, deep learning and other AI-related knowledge and skills to transform our operations and overall business. To avoid over-reliance on AI-generated results, we will strive to train engineers who can design products and systems based on an accurate understanding of the fundamental principles of why things are the way they are, and who can use AI to expand their own thinking skills and capacities.

Developing talent with sales expertise

Tire distributors associated with the Toyo Tire Group work to develop human resources training that strengthens expertise through education and training and improves the skills of people in charge of customer service so that our customers can always feel comfortable and secure when selecting Toyo Tire products. Our subsidiary companies in the United States offer selective All American Leadership training and T3 online product modules as a digital training system on an ongoing basis. T3+ mobile gaming platform has also been added to existing platforms in the digital training system to facilitate the acquisition of greater product expertise. Furthermore, we have introduced a mentoring system that enables junior and new sales members to receive coaching and counseling from highly experienced veteran sales people and deepen their understanding on the products and company.

Read more about our ongoing initiatives in Japan.

Developing talent with production expertise

Retaining and passing on skills and know-how are important challenges when it comes to maintaining flexible production. We have a range of measures to retain and nurture human resources based on the nature of each plant and trends in the labor market of the country.
In Japan, where there are clear signs of a decrease in working population causing labor shortages, we make planned investments to improve the working conditions in the plants that have been in operation for a long time in order to increase human resource retention rate. Equipment weight reduction and automation as well as work standardization as part of Group-wide digital transformation reduce the burden on workers and make it easier for older employees and women to work with us, as well as eliminating reliance on specific personnel and their skills. Conversely, at our plant in the US, where the labor market is highly dynamic, we work from the assumption that the labor retention rate cannot be improved significantly and provide short-term training and skills development programs instead. In addition to the standard operating procedure videos designed for all production sites, we also provide a full range of on-the-job training, with trainers assigned to each production process, to promote efficient and effective job readiness.
In addition to the compliance training offered to all employees, our subsidiary in Thailand also provides internal audit training on quality management for employees in certain occupations.
We are currently considering offering leadership training for managers and seeking to enhance training opportunities that are specific to an employee’s level within the company and job type.

Training held in 2025(Japan)

• Basic courses for young employees by mid-level employees
• Competency development courses for mid-level employees by external lecturers
• Participation in external training courses

Training held in 2025 (Toyo Tire Corporation)

• ・Level-specific training
• ・Selective training
• ・Diversity training

Read more about the details of our level-specific, selective and other training.

Securing diverse human resources

Fostering a culture of mutual respect among diverse human resources and establishing a culture of cooperation and collaboration are both important for creating unique Toyo Tire value. We work together with universities when recruiting new graduates to ensure we secure talented human resources, opening our doors to foreign students studying at Japanese universities and Japanese students studying at overseas universities, and actively approaching doctoral degree holders. At the same time, we are striving to increase our proportion of mid-career hires with experience at other companies, who are important in supporting our growth stage. Meanwhile, we are rehiring human resources who have turned 60 and are creating mechanisms to facilitate the active participation of people with disabilities. We have also built a job evaluation structure that can respond flexibly to diverse employees’ job and career preferences in both specified and general employment. In spring 2024, we introduced evaluation standards that would enable us to treat both human resources with outstanding management skills or the power to drive management strategy and personnel with specialist technological expertise or specific skills who have reached retirement age in the same way as we treat our current managers and employees under the age of 60. This move was designed to improve motivation among elder employees and encourage the nurturing of future successors. We expect these new structures and standards to have a positive internal impact and help invigorate our organization.
While the Group has a uniform compensation system for men and women with the same job qualifications and the same level of responsibility, our analysis shows that the differing ratios of men and women in management positions affect wage performance.
In efforts to change this, we have a number of measures in place including diversity and inclusion e-learning to improve employee awareness, and lectures by external experts to promote women’s empowerment. In addition, we are actively engaging in the development and promotion of women employees to ultimately eliminate wage disparities. In specific terms, over five years from 2016 to 2020, we doubled the percentage of women at the junior management level (assistant managers who become candidates for managerial positions) from 2.03% in 2016 to 4.65% in 2020. In further efforts to promote more women into management, for the five-year period starting in 2021, we also set a target for promotion of women from junior management level to manager level or higher, with the ratio of women promoted to be 0.8-1.2 times that of men. The 1.2 target has been achieved based on the average of the last three years from 2023 to 2025 (three-year average of 1.2 from 2023-2025, compared to 0.7 as of the end of 2020).

Employment situation

The Toyo Tire Group is committed to ensuring fair employment practices and treatment of employees, and to creating workplaces where a diverse team members can thrive regardless of their personal characteristics^*2. We are actively engaging in local hiring at each of our locations for continuing sustainable growth together with the local communities where we operate.
In our human resources recruitment, we strive to secure a diverse range of talent across the world, by, for example, recruiting both new graduates and mid-career candidates, rehiring retirees, and employing people with disabilities. As an illustration of those efforts, we no longer advertise recruitment targets for women and non-Japanese candidates when hiring new graduates, and have adopted a policy of fair, unbiased evaluation and recruitment for all talent.
In order to acquire the best talent, beginning with our fiscal 2024 new graduate hiring, we have also started using direct recruitment to approach students who fit our desired profile in addition to receiving applications from interested candidates via job hunting websites for students. We have resumed in-person, on-the-job training internships, which were discontinued during the COVID-19 pandemic, to provide more work experience opportunities, and these were continued in 2025.
One of our subsidiaries, Toyo Tire Refine Corporation, is designated as a special subsidiary under the Act to Facilitate the Employment of Persons with Disabilities. In partnership with welfare organizations, polytechnic schools, schools for special needs education and other institutions, we actively encourage and welcome workplace visits and work experience placements at this company as part of our efforts to recruit human resources that have the required aptitude for working with us.
Furthermore, the company has been expanding its fields of work since 2025, and in addition to cleaning work, it also engages in administrative work such as digitization of documents. These changes aim to create opportunities for employees that suit their individual abilities and aptitudes.
In order to ensure a stable level of continuous employment of people with disabilities and promote their workplace inclusion, we have strengthened our cooperation with the employees’ families and support organizations. We have set up a dedicated website to disseminate information within the company and share information through regular face-to-face meetings in order to create an environment where everyone feels safe when seeking advice.
In recognition of these efforts, Toyo Tire Refine Corporation received the Monisu certification*3 from the Hyogo Labour Bureau and was also certified as a provider of employment counseling and support services for persons with disabilities in 2024.
We will continue our endeavor to provide a work environment where diverse talent can thrive, whether or not they have disabilities.

Toyo Tire Refine Corporation

• *2 Including race, religion, gender, age, sexual orientation, ability/disability, and nationality
• *3 ertification program for small and medium businesses with outstanding records in the employment of people with disabilities (Monisu Certification Program)

Diversity and equal opportunities

To promote the empowerment of all employees, we have established different types of personnel systems and a talent development plan, and offer career counseling for each employee. To encourage understanding of diversity from multiple perspectives, we are also enhancing thematic training opportunities on a variety of topics including LGBT, empowering women, harassment, and unconscious bias.
Toyo Tire Japan Co., Ltd. has established a human resources empowerment committee as part of its efforts to create workplaces that encourage both men and women to challenge themselves, to help employees build careers that recognize and respect diverse values and lifestyle choices, and to promote diverse workplace communication to achieve those aims. The committee was originally established to promote the career advancement and empowerment of female employees in particular. However, we subsequently broadened the committee focus to incorporate all employees in recognition of the fact that encouraging active participation and improved awareness among managers, supervisors, and male employees is also important. The company has been proactive in reviewing job descriptions, responsibilities and authority with a view to advancing the careers of female employees, and the number of women in management positions is rising as a result.
Moreover, as part of our efforts to create gender-balanced working environments, we have reviewed our company dress code at some locations, including our headquarters, to allow male employees to wear business casual.

New hires

New hires at Toyo Tire Corporation (full-time employees including mid-career hires)

Read more about the details of New hires.

Employee diversity

Employee diversity at Toyo Tire Corporation (full-time employees)

Read more about the details of Employee diversity.

Diversity in management target
Women: Between 2026 and 2030, raise the proportion of women promoted to section manager or higher managerial positions to be the same or higher than that of men on average over the two preceding years. In addition, aim to raise the proportion of women among all managers to be the same as the proportion of women among the Company’s entire workforce.
We have achieved the targets set out in the action plan formulated based on Japan’s Act on Advancement of Measures to Support Raising Next-Generation Children, and have received “Kurumin certification” from the Minister of Health, Labour and Welfare in 2021 for satisfying certain requirements. We remain committed to supporting the balance between a career and raising children.

You can find details on our current action plan (for the period from January 1, 2026 to December 31, 2030) here:

• General Employer Action Plan Based on Japan's Act on Advancement of Measures to Support Raising Next-Generation Children

Fair compensation for labor

Toyo Tire Corporation pays appropriate wages that exceed the minimum and living wages based on Japan’s Minimum Wage Act, in order to improve the lives and health of our workers.

Labor and management relations

Toyo Tire Corporation recognizes The Toyo Tire Labor Union as the sole negotiating organization. Terms for consultation and negotiation with the union are clearly stipulated in the collective labor agreement. As of the end of October 2025, the union membership is formed of 3,356 general employees, excluding 440 company executives and managers (87.2% of general employees).
The Labor-Management Conference on Business Management Measures is held twice a year and the Central Conference is held annually to bring together labor and management representatives to share and discuss management issues and the Group's goals.

In accordance with our Global Human Rights & Labor Policy, we conduct human rights due diligence to identify and address any adverse impacts (human rights risks) within our own business activities and our supply chain.
We identified human rights risks and assessed their significance throughout all of our Group business activities and the supply chain. Among the human rights risks facing our Group employees, we identified occupational health and safety, forced labor and child labor, power harassment (workplace bullying), discriminatory treatment and long working hours as the important risks that need to be prioritized and addressed.
For details of our policy, responsible executive, organizational responsibilities and grievance mechanism, please see S: Upholding human rights.

Key measures, KPIs and performance

We created a health and productivity management strategy map, identified the management issues that we need to address through health and productivity management, and have been working on various measures.

• Health and Productivity Management Strategy Map

（１）Mental health measures

We provide support to employees returning to work from leave due to mental conditions, which accounts for about 60% of leaves taken in the Company. At the same time, we are also working to improve our stress check analysis to ensure that we implement effective measures to prevent further cases from developing.

2030 targets
Number of new leave takers: 20pt improvement (compared to 2024)（Toyo Tire Corporation）

（２）Smoking measures

On the occasion of the full enforcement of the revised Health Promotion Act of Japan in April 1, 2020, we closed down indoor smoking areas and enforced other measures to stop smoking. Together with stepping up our efforts against smoking and taking measures to combat secondhand smoke, we are also working to foster a work environment that accounts for health hazards.

2030 targets
Smoking rate: 10%（Toyo Tire Corporation）

• See the smoking rates from 2021-2025 here.

（３）Lifestyle-related disease measures

With the increase in remote work opportunities, we have seen a downward trend in the practice of healthy habits by individuals. We are therefore enhancing measures aimed at improving lifestyle habits. Here, we focus on proper weight maintenance rate, which is affected by all lifestyle habits.

• See the proper weight maintenance rates from 2021-2025 here.

Other achievements

• See the other achievements here.