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CTC Announces Initiative to Promote Mindset Reform on Working Style

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ITOCHU Techno-Solutions Corporation

On December 1, 2013, ITOCHU Techno-Solutions Corporation (headquartered in Chiyoda-ku, Tokyo; Satoshi Kikuchi, President & CEO; hereinafter "CTC") announced that it would shift its working hours from a night-focused to a morning-focused style, with the aim of promoting a change in employees' mindsets regarding working style. The new initiative is designed to ensure further improvement in the quality of the services we provide, and ultimately to achieve greater customer satisfaction.

CTC has long been striving to provide its employees with a flexible working style with a good work-life balance, such as adopting a discretionary work system to allow a flexible working style that leaves the decisions regarding work schedules and time allocations to the employee's full discretion, and introducing a "Flex Holiday" system that allows consecutive holidays to be taken, as well as establishing "Good Job & Refresh" Award, which grants a travel option right.

The new initiative limits overtime work during the night after a specified time, as well as on holidays, and encourages the completion of unavoidable overtime work the next morning instead of at night, which is expected to not only maintain and improve employees' physical as well as mental health, but also allow employees to remain focused on their jobs, which should further strengthen the effectiveness of the Company's operations. Working late into the night, in particular, not only causes employees to become fatigued, but also inevitably tends to reduce work efficiency. It is believed that employees are both physically and mentally more energetic and focused on the efficient execution of their work in the earlier morning hours than late at night. Based on that belief, CTC is strongly committed to altering employees' mindsets to promote a health-conscious working style with a good work-life balance.

Even in the event of an unexpected situation that requires extra assignments or late night work, CTC will strengthen administrative management in a more careful and flexible manner and provide even higher quality services to our customers.

Going forward, everyone at CTC is committed to working together to further promote the working style mindset reform initiative for greater customer satisfaction.

Summary of Morning-Focused Work

Working Hours

All employees are basically expected to complete their duties during the designated working hours (9 a.m. to 5:30 p.m.) All lights will be completely turned off at 8 p.m. Work from 8 p.m. through 10 p.m. will, in principle, be prohibited. Moreover, late night work (10 p.m. to 5 a.m.) as well as work on holidays will be categorically prohibited. In the event of unavoidable overtime work that necessitates working after 8 p.m., the Company will encourage the completion of the extra work the following morning (5 a.m. to 9 a.m.) instead.

Incentives

The new system was communicated to all employees and managers at training workshops as well as individual explanatory sessions, along with opening a help desk for employees to contact for information about the new system. Beginning January 1, 2014, the Company will pay extra wages (25%) for work in the morning (5 a.m. to 9 a.m.) in addition to the overtime premium as stipulated by the law.

Schedule

The new system will only be in place through the end of May 2014, at which point a decision on continuing it will be made based on confirmation of its impact by reviewing the results achieved during the period.

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Contact Information

ITOCHU Techno-Solutions Corporation
PR & IR Dept.

E-Mail : press@ctc-g.co.jp

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