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Promoting Work-Style Reform

Work Style Reform

Policy and Approach

Skylark Group positions "human resources" as one of its most important management assets. Taking the opportunity of the introduction of the Work Style Reform Legislation in April 2019, we have intensified our efforts to address issues such as curbing long working hours and ensuring that employees take paid leave. Revising our operating hours during the New Year holiday period is one example of these initiatives.
Looking ahead to the post-COVID era, we will continue to foster an environment where a diverse workforce can thrive, aiming to further enhance employee satisfaction.

Skylark Group Diversity Policy

Based on our corporate philosophy and purpose, the Skylark Group prioritizes diversity, equity, and inclusion (DE&I) and aims to build an environment where every employee can maximize their potential.
  1. Promote the recruitment and development of a diverse workforce.
  2. Develop a comfortable and supportive workplace environment for all employees.
  3. Cultivate a workplace culture where each employee collaborates with peers to maximize organizational capability.

Approved by the Group Sustainability Committee
January 28, 2025

Governance

We have established the Group Sustainability Committee to drive sustainability management across the Group. This committee deliberates and oversees policies, targets, initiatives, and progress related to our materiality (key issue) of "Work Style Reform," and reports regularly to the Board of Directors.
For KPIs related to "Work Style Reform," targets are set for each responsible Executive Officer and Director (department head level). We ensure highly effective governance by employing a system where the level of achievement is directly linked to individual performance evaluations (such as bonus variations and evaluation grade determinations).

Strategy

Amid the worsening labor shortage in the food service industry, it is essential to create a supportive working environment for a diverse workforce to secure and retain talent. Furthermore, as employee work styles vary widely, we believe that supporting individuals so they can thrive in line with their respective lifestyles and career plans—thereby increasing job satisfaction and elevating service quality—is indispensable for sustainable corporate growth.
In identifying risks and opportunities regarding the materiality of "Work Style Reform," we evaluate them through the following process:
Risk / Opportunity Description Likelihood Financial Impact
Risk Occurrence of occupational accidents, etc. due to changes in the working environment and resulting damage to corporate image. Medium Medium
Employee attrition and decrease in customers caused by harassment or human rights violations. High Low
Increased labor costs due to continuous minimum wage hikes. High High
Slowdown in growth and increased personnel expenses due to insufficient initiatives in diversity, including women's active participation, and health & productivity management. Medium Medium
Opportunity Productivity improvements as well as higher recruitment and retention rates through the promotion of store-centric management and the utilization of DX tools. Medium Medium

Risk Management

The Group Sustainability Committee oversees medium- to long-term risks and opportunities related to "Work Style Reform," while the Group Risk and Compliance Committee oversees risks in general. The two committees work in collaboration to designate a responsible department for each risk that needs to be addressed, and implement appropriate preventive and responsive measures.
The details of deliberations by both committees are shared with Outside Directors in our effort to ensure the transparency of our risk management system. Furthermore, we have established a structure in which Outside Directors serve as advisors to both committees, allowing us to receive insights and advice from an external perspective. The Board of Directors receives regular reports from the Group Sustainability Committee and oversees the status of risks and the overall management system.

Indicators and Targets

Major Indicators KPIs
2030 2050
Ratio of female managers
30% 50%
Smoking rate
10% Zero
Reduction in overtime hours
20 hours Zero
Paid leave utilization rate
80% 100%

Examples of Action

Initiatives to Support Employee Health and Diverse Workstyles

We position employee health management as a key management priority. Every fiscal year, we set a quantitative goal of a 100% health checkup attendance rate for all full-time employees and ensure thorough implementation. Furthermore, we have established a follow-up system that encourages secondary examinations, striving for the early detection and prevention of diseases.
As a measure against workplace stress, we co-host "Arukatsu" (Walking Activities) with our health insurance association to reduce employee stress and improve mental well-being. "Arukatsu" is an event where individuals or internal teams compete on step counts, with results displayed in a ranking format. Through this initiative, we encourage employees to be mindful of daily exercise and aim for physical and mental refreshment.
In addition, we conduct annual stress checks to monitor the stress levels of each employee, providing them with an opportunity to recognize their own stress levels and take early action. For those identified as having high stress levels or exceeding specific scores, we have a system in place that provides access to consultations with industrial physicians.
We also strive to foster an organizational culture that makes it easy for those in poor health to seek advice early by deepening the understanding of mental health and creating a stigma-free workplace. To strengthen our organization-wide prevention system, we ensure that managers are aware of appropriate guidelines for supporting subordinates and provide opportunities for employees to understand the importance of self-care and stress management. Furthermore, we utilize the results of stress checks to improve the workplace environment and proactively prevent mental health issues.
To provide a safe space for mental health concerns, we have established a 24/7/365 "Health Consultation Desk" in collaboration with external professional institutions. This desk offers various consultation channels, including telephone and email, to ensure employees can seek support without psychological burden. For employees returning from leave due to mental health issues, we provide step-by-step reinstatement support programs to facilitate a smooth transition back to the workplace.

To support diverse workstyles, we have introduced a modified working hours system that allows employees to determine their own start and end times based on their individual needs. This enables flexible adjustments of working hours to align with busy and slow periods, as well as "shortened work weeks" where employees can adjust their daily hours to reduce the number of workdays per week. We also operate systems that allow employees to flexibly choose work styles, such as part-time work or roles without relocation, to accommodate various life events.
As part of our financial support for childcare, we provide a childcare support allowance of 10,000 yen per child. Furthermore, we have established an environment where employees can balance work and childcare by allowing them to take necessary breaks and providing access to private spaces for their specific needs.
In addition to statutory leave systems, the Group offers a unique fully-paid leave program where the company guarantees 100% of the employee's salary as follows:
  • Childcare (for employees and their spouses/partners): 30 days (4.3 weeks)
  • Family/Relative Care (children, parents, grandparents, in-laws, siblings, and grandchildren): 30 days (4.3 weeks)
This is part of our "accumulated leave system," which allows employees to use up to 30 days (4.3 weeks) of expired annual leave for life events such as childcare and caregiving. As a special paid leave program that exceeds statutory requirements, it ensures an environment where the majority of our employees (full-time staff) can balance work and family care without financial burden.

Employee Development Training

Skylark Group has implemented the Manager Step-up Program (MSP) for full-time employees and the Crew Career-up Program (CCP) for part-time and other employees to support their growth and career advancement.
MSP is a training program designed to enhance individual leadership skills in addition to knowledge and skill acquisition. CCP is a system that enables employees to improve their skills and advance their careers by learning the knowledge and techniques necessary for store operations. Both programs incorporate coaching and aim to improve employees' autonomous problem-solving abilities.
For technical interns and specified skilled workers from overseas, in addition to providing technical guidance necessary for their duties, we offer opportunities to learn about Japanese culture and language to promote cross-cultural understanding.
Internally, a voluntary community known as the "Mokumoku-kai" (Intensive Study Group) has been established. This community holds study sessions on cloud computing and generative AI with the aim of developing DX talent. It enables employees to collaborate, learn, and enhance their skills, while also promoting the application of AI in business operations.
Additionally, we have a certification support system to enhance IT skills, offering full reimbursement for examination fees.
For retirees, we conduct pre-retirement information sessions for those approaching mandatory retirement age. These sessions provide information on defined contribution pension plans and life planning, as well as support for re-employment and assistance for transitioning to a non-working life.
The effectiveness of these human resource development programs is measured using indicators such as employee turnover rates, productivity, and profitability, and we strive for continuous improvement based on these metrics. Furthermore, upon completion of our training programs, we conduct quantitative evaluations through participant surveys and comprehension assessments. We have established a framework to utilize these results to verify program effectiveness and drive continuous improvements for future sessions.

Limiting Long Working Hours

Under the Upper Limit on Overtime Work Regulations introduced in April 2019, as a general rule, the upper limit for overtime work is 45 hours per month, and 360 hours per year. Even under special temporary circumstances, the upper limit has now been set to 720 hours per year, less than 100 hours per month (including work on days off), and an average of 80 hours per month across multiple months (also including work on days off).
In 2018, Skylark set its own upper limits of less than 80 hours per month (including work on days off) and an average of 60 hours per month across multiple months (also including work on days off), and continues to monitor overtime in order to ensure legal compliance. Furthermore, to achieve a fundamental improvement in work-life balance, we have established phased quantitative targets to reduce average monthly overtime to 24 hours in fiscal 2026, 22 hours in fiscal 2027, 20 hours in fiscal 2030, and zero by fiscal 2050. We are promoting the reduction of working hours through company-wide efforts.
As part of these initiatives, we are implementing measures to proactively prevent mental health risks by ensuring the appropriate management and adjustment of individual workloads.

unit : hours

FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025
Prescribed regular working hours per year 1,984 1,984 1,984 1,984 1,984 1,984 1,984 2,000
Prescribed annual overtime working hours 416 379 254 247 348 357 384 345

Ensuring that Employees Take Annual Paid Leave

At the same time, we have also made it mandatory for all employees who have been granted 10 days or more of annual paid leave to take at least 5 days at a specified time of the year. We create a paid leave management log for each individual employee, have employees take leave in a planned manner, and obtain feedback on actual results.

Response to Equal Pay for Equal Work

Regarding the "prohibition of unreasonable treatment differences between regular and non-regular employees" (Equal Pay for Equal Work) introduced in April 2020, we have conducted a comprehensive review comparing all internal employment categories with the treatment of regular employees to ensure equal and equitable treatment. Consequently, we have developed manuals to provide rational explanations for any differences in treatment and established a framework led by the Human Resources and General Affairs Headquarters to ensure these explanations are communicated effectively.
Furthermore, to support our "crews" (part-time and temporary staff), we provide educational opportunities through the CCP (Crew Career-up Program), welfare benefits, and a pay raise system, while also promoting stable career development through an active regular employee promotion system.
In addition, we have identified the gender imbalance in job positions as a primary factor contributing to the wage gap. To address this, we are pursuing a long-term strategy to eliminate the gender pay gap by promoting the retention of female employees through enhanced support systems. These include the extension of shortened working hours available until a child completes the sixth grade and the expansion of childcare allowances.

Working at Home

For the purpose of improving productivity and accommodating life events such as childcare and nursing care, employees who work in the office are allowed to work at home, subject to approval by their supervisors and other criteria.