CSR | Society | Human CapitalCreating Fair Work Environments with Meaningful Work

Approach and Policies

The Nomura Real Estate Group believes that creating fair work environments where employees can perform meaningful work is essential for employees to demonstrate their individuality and maximum capabilities.
Accordingly, we promote the creation of workplace environments where employees can work with reassurance by pursuing fair employee evaluations and remuneration and equitable social benefits and by respecting fundamental rights such as the freedom of association and right to collective bargaining.We listen to the opinions of employees and strive to be a company where employees can work with passion and find their work meaningful.

Management

Management Structure

Nomura Real Estate Holdings established the Group Human Resources Department, and the officer responsible for the Group Human Resources Department has been put in charge of this issue for the Group and carries out measures relating to the creation of fair work environments with meaningful work.
In addition, the CSR Committee, which comprises Nomura Real Estate Holdings and Group company directors and others and is chaired by the Nomura Real Estate Holdings executive vice president, deliberates on and decides related policies and action plans.
Starting in fiscal 2018, targets were set regarding the creation of fair work environments with meaningful work, and the Committee is monitoring progress.

Targets

To create fair workplaces with meaningful work, the Group strives to raise employee satisfaction.

Fair Evaluations and Remuneration

The Group implements fair employee evaluation and remuneration programs by creating mechanisms for the opinions of employees to be heard by human resource divisions and supervisors and for communicating with employees.

  • ・Target Management System
    The Group introduced a target management system so that employees can take the initiative in their jobs and work with managers and supervisors towards achieving their targets.Every six months, employees set their own targets with advice from supervisors, and bonuses are paid based on the degree of achievement of those targets.In addition, reviews of the abilities and conducts that serve as the basis for promotions and raises are also conducted every six months.
  • ・Evaluation of Superiors and Career Development
    Once a year, Nomura Real Estate Development employees complete a questionnaire regarding the skills, performance, personality, and so on of their supervisors and submit the questionnaires to the Human Resources Division.

Creating Fair Work Environments

Labor-Management Dialogues

The Group respects employees’ freedom of association and the right to collective bargaining, and even at Group companies that do not have labor unions, labor representatives and officers responsible for human resource divisions hold periodic meetings and work to improve the workplace environment.
Currently, Nomura Real Estate Development and Nomura Real Estate Partners have labor unions, and the labor union membership rate among career-track personnel is 46.78%.

Communication with Employees

The Group communicates with employees so that employees can gain an accurate understanding of company policies regarding labor standards.Explanations are made to employees during their initial training regarding employment rules, personnel evaluation systems, and social benefits. Rules, regulations, and so on are posted on the Group intranet so that all personnel can check them at any time.

Provision of Social Benefits

The Group provides various social benefits to employees such as childcare and family care support and an employee shareholding program with the aim of creating fair work environments with meaningful work.

Main Social Benefits Provided by Nomura Real Estate Development
Social Benefits Overview
Maternity leave Six weeks prior to childbirth (14 weeks in the case of a multiple pregnancy) and eight weeks after childbirth (with pay)
Childcare leave Until the child reaches the age of three years
Family care leave to care for children Preschool children: 5 days/year for one child and 10 days/year for two or more children
Family care leave Up to one year in total
Volunteer leave Five days for volunteer activities related to a severe natural disaster
Mental health support Health Consultation Office, Physical and Mental Health Consultation Office, appointment of an industrial physician of psychosomatic medicine
Measures to ensure good health Appointment of nurses and industrial physicians, implementation of personnel interviews and medical examinations
Rehiring elderly workers Up to age 65 (one-year extensions)
Retirement benefit program* Payment of retirement benefits pursuant to a defined benefit pension plan
Health insurance association High medical expenses, lump-sum childbirth benefit, injury and disease benefit, comprehensive medical examinations, etc.
Allowances Family allowance, reassignment allowance*, reassignment without family allowance*, housing subsidies, etc.

* Only career-track employees are eligible.

Implementation of Employee Satisfaction Survey

Nomura Real Estate Development conducts an employee satisfaction survey every year. The survey collects suggestions to management and employee opinions on work and the workplace.
Satisfaction is measured on a five-rank scale with regard to (1) sense of fulfillment concerning work, (2) sense of adaptability concerning work, (3) satisfaction with the workplace, (4) satisfaction with superiors, and (5) loyalty to the company. In fiscal 2017, the total satisfaction level was 3.81 and the response rate was 95.1% (1,930 out of 2,028 eligible employees responded).

Typical Questions】
  • Work (level of satisfaction, sense of burden, characteristics)
  • Workplace (issue, interpersonal relationships)
  • Superiors (issues, interpersonal skills)
  • Company (top management, personnel policies, organization)

Fostering a Corporate Culture that Encourages Challenges

Nomura Real Estate Group Awards Presented

The Group has presented the Nomura Real Estate Group Awards since 2016 to foster a corporate culture where employees are willing to tackle the challenges of value creation through innovation, encourage group-wide tie-ups, and raise individual and organizational motivation. Under this program, exceptional businesses, products, and services of the year are recognized. In fiscal 2017, award winners include the OUKAS senior housing with support services and the Attractive30 service that extends the life spans of condominiums and reduces the costs of large-scale repairs.

【Evaluation Criteria】
  • Reform and innovation
  • Increase in customer satisfaction
  • Group-wide tie-ups
  • CSR activities and social contribution
  • Continuity and perseverance
photo

The OUKAS team, first place winner of the Group Award 2018

Business Idea Proposal Program

In November 2017, the Group launched the Business Idea Proposal Program, which allows all employees to propose new businesses, products, or services that go beyond the boundaries of their ordinary work at any time.There were 24 entries in fiscal 2017, and 14 projects are currently in operation.
A start-up company business proposal competition was also held in fiscal 2017, and proposals for future collaboration were received from five companies.

photo

Business proposal competition for start-up companies

Performance

Promotion Measures

Fiscal 2017 performance against the set targets was as set forth below.

Raise employee satisfaction
Nomura Real Estate Development Employee Satisfaction Survey Results
Items FY 2016 FY 2017
Percentage of satisfied employees (%) Men: 47.6
Women: 27.8
Overall: 41.1
Men: 45.9
Women: 32.2
Overall: 41.5
Employee satisfaction level (5-point scale) Men: 3.91
Women: 3.61
Overall: 3.81
Men: 3.88
Women: 3.66
Overall: 3.81
Number of responses/number of eligible employees 1,648/1,738 1,930/2,028
Response rate (%) 94.8 95.1

Responses to Legal and Other Violations

On December 25, 2017, the Nomura Real Estate Development Head Office and four regional offices (Kansai Branch, Nagoya Branch, Sendai Branch, and Fukuoka Branch) received a recommendation for corrective action and guidance from the Labor Standards Inspection Offices with jurisdiction regarding the discretionary work system for planning work that applied to some employees.
We take this matter extremely seriously and are conducting comprehensive labor-management and taking measures to improve workplace environments so that this type of incident does not occur again.
For further details, refer to Appropriate Labor Management and Measures for Improving Workplace Environments.