The Daiei Kankyo Group

JP / EN

Society

Basic Approach

We are committed to proactively addressing social issues over the medium to long term.

As a Company that Supports Society

Society as a whole faces a number of pressing issues, such as fiscal problems in public administration due to a declining population, and disasters that are becoming more severe due to global warming. The Daiei Kankyo Group will actively take a variety of measures to solve these issues and fulfill our responsibility as a company that supports society.

Establishment of Local Circular Ecological Spheres

As the working population continues to decline, there is an urgent need for expenditure reform in public administration to achieve fiscal soundness. We believe that it is essential to work toward the creation of a sustainable society by having the private sector efficiently develop and manage waste management facilities, an indispensable social infrastructure for local communities. By the end of FY2030, our group aims to build consensus for the establishment of local Circular Ecological Spheres through public-private partnerships in 12 locations across Japan. We will work with the municipalities of each area and reliable partner companies to circulate waste into the community as energy and resources at energy centers established in accordance with the conditions of each region.

Establishment of Local Circular Ecological Spheres (JP)

Disaster waste management

Preparation for disasters, which are becoming more severe as a result of global warming, is a pressing issue for society as a whole, and is also important in promoting public-private partnerships. Our group has constructed a framework that enables us to respond to disaster waste management in a consistent and prompt manner through such things as the establishment of systems, the development of proprietary technologies, networking among businesses, and the revision of response manuals.

Disaster waste management (JP)

Revitalization of the forestry industry

Efforts to conserve forests are important as a measure to cope with global warming. We will contribute to the revitalization of Japan’s forestry industry by developing efficient forest management projects that balances the environment and the economy.

Forest Management

Solving social issues through AI and digital transformation

We aim to improve operational efficiency and productivity in the field of waste management by promoting the use of AI and digital transformation through open innovation in collaboration with industry, academia, and government.

Daiei Kankyo’s Digital Transformation

Sustainable Collection and Transportation

A cap on the hours worked by collection drivers (the so-called “2024 problem”) took effect in April 2024. In response to this, we began monitoring the hours of drivers who are Daiei Kankyo Group employees from the fiscal year ended March 31, 2022 and drivers who are temporary workers from the fiscal year ended March 31, 2023, before the regulation was implemented. In response to the increase in the volume of collection and transportation, we are working to improve our transportation capacity within working hours by collaborating with new partner companies in addition to our existing partner companies, and providing indirect support to them for transportation management.

We are seeking the understanding of our customers and revising transportation subcontracting fees gradually to incorporate the increase in the cost of fuel as well as from costs accompanying the steep rise in the price of other goods. Over the past several years, we have been strengthening initiatives to enable the transportation department to earn a reasonable profit as an independent business.

The Daiei Kankyo Group continues to work on building a sustainable collection and transportation system through these activities.

Human Resources Management

We are committed to creating a workplace environment that ensures the diversity of our human resources, nurtures managers who can make the most of this diversity, and creates a climate conducive to the career development of female employees.

Approach to Human Resources Management

We believe that preparing a nurturing environment where employees can take pride in our business, have a sense of mission, and derive satisfaction from their work will lead to sustained growth of and enhance the corporate value of the Daiei Kankyo Group and at the same time will facilitate the development of human resources. We aim to create an environment where employees can enthusiastically endeavor to grow themselves and the Company.

Human Resources Strategy

To enhance the corporate value and achieve sustained growth of the Daiei Kankyo Group, we think it is important to increase employee engagement. We have positioned development of employees who will put the management philosophy and the management vision into practice as an important strategy, and strive to develop workplace environments where diversity is respected and everyone can work comfortably. We believe that maintaining a sense of satisfaction with work and increasing the well-being of employees will enhance corporate value and achieve sustained growth.

Human Resources Development

Developing the next generation of leaders

Since 2014, we have been conducting selective training as a mechanism to develop future executive candidates. The selective training programs include sessions for the executive officer in charge of human resource development, next generation of leaders, and selected employees.
The advanced selective training program for next generation of leaders has been a key focus, with a total of 59 participants completing the course by March 31, 2025. Employees who have completed this training program are actively contributing as key talent at the core of the Group’s business operations.
In addition, we offer a variety of training programs, including stratified training, skill enhancement for on-site staff, and programs aimed at improving organizational strength, all designed to raise the overall capabilities of our employees.

Investing in employees who are motivated to grow

For employees who are highly motivated to learn and take on challenges, we believe that it is our responsibility to support them in building diverse careers.
Although we are providing employees with opportunities for growth by inter-Group transfers through open recruitment, secondment outside the Group, and other such opportunities, we still feel the need for more opportunities that will generate diverse experiences.
We will also enhance our training programs, provide opportunities to gain broad experience in different departments, and provide spaces for interaction with people outside of the Company. Through these measures, we will continue to encourage employees to take on challenges.

Educational system and training programs

Enhancing the educational system is essential to operate an organization where employees enthusiastically work for the growth of the Company.
We have established a systematic education system. The main training programs include “Companywide training” on the code of conduct (Daiei Kankyo Group Business Conduct Guidelines) and compliance, as well as “stratified training” implemented in conjunction with promotions and other such events, and “skills education” implemented by job type across business locations.
In recent years, we have also focused on expanding selective training with the aim of cultivating the next generation of executives and leaders, as part of building the foundation for a 100-year company. We also actively support taking external courses and other training to acquire the necessary qualifications, licenses, skills, and knowledge for an employee’s work, and support approximately 300 different qualifications. Aiming to develop human resources who can practice the commitment to creation, innovation, and meeting challenges, the Daiei Kankyo Group is working to establish an educational system to support employee growth.
The most important issue in human resources development is to systematically nurture leaders who will carry the Group forward into the future. In the development of our educational system, we are therefore placing particular emphasis on enhancement of selective training. We plan to evolve our training programs by utilizing outside educational institutions and experts. Nurturing outstanding management executives also necessitates cultivating a wide range of knowledge and expertise through experience in a variety of businesses and departments. We are therefore proactive in providing effective job rotations in cooperation with Group companies.

Diversity (Diversity Promotion)

Promoting active participation of women

Our Group believes that women are indispensable to the Company’s sustainable growth, and actively recruits women who are new university graduates or previous graduates. Women accounted for 33.3% of new graduate hires (graduates from a four-year university or graduate program) in the fiscal year ended March 31, 2025, and we will continue to actively recruit women in the fiscal year ending March 31, 2025 and beyond to meet our target of a female new graduate recruitment ratio of 30% or more.
We are also actively pursuing promotion of women to management positions. Female managers accounted for 4.3% of all managers at the end of the fiscal year ended March 31, 2025. The target for the fiscal year ending March 31, 2026 is 4.5% or higher, and we are implementing measures to increase the number of female employees who aim to become leaders, renovating on-site workplace facilities, and enhancing support for maternity leave, such as providing internal information during leave and assistance upon return. To increase the percentage of women in management positions, it is necessary to instill the mindset of expanding the scope of women’s participation in the workplace in all employees and to create an encouraging environment that enables active participation over the medium and long term. In addition, we will continue to plan training for female employees while creating opportunities for female employees who are role models to engage in dialogue with younger employees.

My Action Declaration

Securing diverse human resources (employment)

Our Group believes that women are indispensable to the Company’s sustainable growth, and actively recruits women who are new university graduates or previous graduates. Women accounted for 33.3% of new graduate hires (graduates from a four-year university or graduate program) in the fiscal year ended March 31, 2025, and we will continue to actively recruit women in the fiscal year ending March 31, 2025 and beyond to meet our target of a female new graduate recruitment ratio of 30% or more.
We are also actively pursuing promotion of women to management positions. Female managers accounted for 4.3% of all managers at the end of the fiscal year ended March 31, 2025. The target for the fiscal year ending March 31, 2026 is 4.5% or higher, and we are implementing measures to increase the number of female employees who aim to become leaders, renovating on-site workplace facilities, and enhancing support for maternity leave, such as providing internal information during leave and assistance upon return. To increase the percentage of women in management positions, it is necessary to instill the mindset of expanding the scope of women’s participation in the workplace in all employees and to create an encouraging environment that enables active participation over the medium and long term. In addition, we will continue to plan training for female employees while creating opportunities for female employees who are role models to engage in dialogue with younger employees.

Sustainability data related to diversity

Improvement of Workplace Environments

Health and productivity management

We believe that the mental and physical health of employees leads to the well-being of the employees and their families, and is the driving force behind their motivation to work. We strive to improve work environments where employees can continue to work in good health by implementing various measures such as mental health support measures, a subsidy system for additional medical examinations, a subsidy system for medical examinations of the spouses of employees with 10 or more years of service, and promoting smoking cessation activities.
To address smoking cessation, we have been separating smoking areas to prevent secondhand smoke at some sites. We will continue to make improvements at sites where the separation of smoking areas is ambiguous. Smoking has also been prohibited in Company vehicles from the fiscal year ending March 31, 2025 to prevent passive smoke inhalation and promote employee health. We also provide support to employees who want to quit smoking in addition to promoting smoking cessation. We will continue to implement initiatives such as a smoking cessation program via remote guidance to promote smoking cessation.

Promoting Health and Productivity Management Declaration

Consideration for work–life balance

For labor management, we have introduced an attendance management system to keep tabs on working hours and are building a structure that will enable managers to appropriately manage work by ascertaining day-to-day work status. Every month, the Human Resources Department in the Business Administration Division sends an alert email to employees who have worked a certain amount of overtime and their managers in an effort to control long working hours. In the fiscal year ended March 31, 2025, most companies in the Group also increased annual holidays by another five days over the increase in the fiscal year ended March 31, 2024, creating a workplace environment in which employees find it more comfortable to work.
To encourage employees to take paid leave, we have a system in which managers regularly encourage employees who have not taken paid leave to take it. The rate of the used portion of employees' annual paid leave was 74.9% as of March 31, 2025, and the target for the fiscal year ending March 31, 2026 is 90% or more.

Balancing work and childcare

In the Group, we help employees balance work and childcare and support working women by expanding employees who are eligible for working shorter hours to care for children. We have also expanded the system to enable employees to choose shortened working hours for pregnancy, childcare, and caregiving, thus improving the system to enable them to adopt a workstyle that suits their personal circumstances.
Interest in childcare has increased among male employees, and we are promoting a system that enables them to balance work and family. We distribute a guidebook to parenting employees and provide an explanation of the system available to them. This system has become established as a regular practice, resulting in the rate of male employees who take childcare leave reaching 90.9% as of March 31, 2025. We will aim to maintain 90% or higher in the fiscal year ending March 31, 2026 as well and will continue our efforts to reach 100%.

Fair evaluations and treatment

The Group ensures employee compensation in compliance with the legally mandated minimum wage and the principle of equal pay for equal work. In conducting evaluations that form the basis of employee compensation, supervisors hold semiannual interviews with employees and fairly assess not only work performance but also organizational contributions from multiple perspectives, reflecting these assessments in compensation.

Assignment and reassignment of employees

In determining assignment of new employees, we confirm the wishes of the employee, take their wishes into consideration, and observe those wishes in assigning them, insofar as possible.
We have also introduced a self-reporting system and provide annual opportunities for employees to submit their wishes in writing. The employee’s superior and the Human Resources Department speak with the employee and, based on the employee’s wishes, make an effort to incorporate positive wishes to the extent possible, enabling them to outline a future career plan.

Initiative to rectify the wage gap between men and women

In the fiscal year ended March 31, 2025, women’s wages in the Group were 72.3%* of men’s wages. Due to the nature of our business model, there is a traditional tendency for more men to be employed, and except for office-based roles, the majority of our workforce is men. As a result, in non-office roles, supervisory and managerial positions are predominantly held by men, which significantly affects the wage gap between men and women.
Securing human resources for non-office roles is an urgent challenge, making the active participation of diverse personnel essential. Supporting women’s career planning and providing more opportunities for their advancement are key initiatives we believe will help close the wage gap.

* The wage gap between men and women is calculated as specified in the Act on the Promotion of Women’s Active Engagement in Professional Life (Act No. 64, 2015).

Increasing Engagement

At Daiei Kankyo Co., Ltd., we gather employee feedback on job satisfaction and requests through employee surveys and a self-reporting system, and have been working to address issues to create a more fulfilling workplace. In response to strong employee demand, we expanded the number of annual holidays in the fiscal years ended March 31, 2024 and March 31, 2025.
We also introduced a new employee engagement survey for the Group employees in the fiscal year ended March 31, 2024, in addition to the surveys mentioned above. This survey measures employee trends in greater detail. We analyze the results to enhance the strengths of the Group and work to solve issues. Analysis of the survey results revealed challenges particularly related to motivation enhancement, career planning, and employee development. In response, we are reviewing human resource initiatives to make career planning easier and improving training content, among other measures, to boost motivation.
As an initiative to improve engagement, we encourage employees to join the employee stock ownership plan. For enrollees who meet certain criteria, we introduced a restricted stock compensation system and measures to increase the grant rate of incentives, thereby promoting stable asset formation for employees and raising their awareness of participation in management. Through these, we are striving to enhance the corporate value of the Group over the medium and long term.

Respect for Human Rights

Respect for human rights is the foundation for business activities. We formulated the Daiei Kankyo Group Human Rights Policy in June 2024 to clearly express our stance on respecting human rights, both internally and externally.
Guided by our Management Philosophy, ”With our strong commitment to creation, innovation, and meeting challenges, we shall contribute to society while striving for the coexistence of human life, industry, and nature,” we are dedicated to respecting human rights and addressing social issues in collaboration with all stakeholders, including business partners, shareholders, local communities, and employees, as an integral part of the social infrastructure that supports the future.

The Daiei Kankyo Group formulated its Human Rights Policy

Human Rights Due Diligence

The Group is working to establish a human rights due diligence framework in accordance with international human rights standards, including the United Nations Guiding Principles on Business and Human Rights.
To detect potential negative human rights impacts of our business activities, we identified candidate issues to be resolved between December 2024 and March 2025, and prioritized the most critical through a scoring-based evaluation. Following discussions with Outside Directors and deliberations by the Sustainability Promotion Committee and the Board of Directors, we established our key human rights issues in June 2025.
We will begin implementing human rights due diligence for these key issues starting in July 2025. By applying the plan-do-check-act (PDCA) cycle, we will ensure that preventive and mitigation measures are implemented effectively and sustained.
Moreover, if we become aware that a stakeholder has been affected by a human rights violation or the potential for in our business activities, through the human rights hotline on our corporate website, we will urge that corrective action be taken to minimize the impact.

Overview of human rights initiatives

Material human rights issues

  Human rights issues Potential human rights violation risks
1 Local community Human rights violations that threaten the lives and health of local residents, resulting from the negative environmental impact of corporate activities
2 Occupational safety and health Human rights violations that threaten the health of employees, resulting from the negative environmental impact of corporate activities
Human rights violations suffered by employees due to work-related accidents and occupational diseases
3 Working conditions and related matters Human rights violations suffered by employees due to working conditions
Human rights violations historically associated with acquired companies
4 Harassment Human rights violations involving harassment

Human rights hotline (JP)

Occupational Safety and Health

Safety and Health Action Policy and management system

We have developed the Safety and Health Action Policy based on the Safety and Health Philosophy which serves as the basis for all safety and health activities in the Group.
Each fiscal year, each business location formulates safety and health activity plans and engages in safety and health activities aimed at reducing the number of accidents / occupational accidents, based on these common philosophy and policy.

Safety and Health Philosophy

We place top priority on safety and health in all aspects of our business, and strive for workplaces free of accidents and disasters by being watchful, attentive, and considerate.

Safety and health code of conduct

  • ● Prioritize safety and health for employees and their families
  • ● Clarify safety and health organizational responsibilities and authorities
  • ● Reflect on past accidents and disaster drills to make sure they are not forgotten
  • ● Make the “5S” principles a basic practice (Sort, Set-in-Order, Shine (clean), Standardize, and Sustain/Self-discipline)
  • ● Take individual responsibility and act in unison
  • ● Break through the status quo and pursue continual improvement
  • ● Create a welcoming workplace that is considerate of senior employees

Accidents/Occupational Accidents and Risk Mitigation

In addition to measures such as maintenance of vehicles and machinery and the use of protective equipment, the Group centrally manages occupational accidents through the Enterprise Division. At each business location, joint labor-management safety and health committees are held monthly, and a Group-wide safety and health conference is conducted. These forums are used to share information on potential and actual accidents, as well as to develop, communicate, and implement countermeasures.
In the fiscal year ended March 31, 2025, there were 12 major accidents resulting in four or more days of work absence (one fewer than the previous year). The total number of accidents, including property damage, was 132, showing a decrease of one major accident year on year, while the total number of accidents including property damage increased.
Each business location conducts risk assessments and implements measures to reduce risks, such as applying engineering controls to hazardous tasks or areas identified by on-site personnel. In addition, pre-task hazard prediction (KY: Kiken Yochi) activities are conducted to ensure that all workers are aware of potential hazards before beginning work. Taking into account that minor accidents can escalate into serious incidents, the entire Group works together to carry out safety initiatives.

Safety Education and Training

In the fiscal year ended March 31, 2025, we focused on classroom training for foreman-level employees and those with less than three years of service, as well as educational sessions using recreated videos of serious accidents. Across the Group, 86 employees attended foreman-level training, 164 employees with less than three years of service participated in the new-employee training, and 585 employees viewed the recreated videos of serious accidents.

Training implementation steps

Targets for training

Safety Management at Partner Companies

At the Daiei Kankyo Group Safety Conference every year in July, we make sure that our partner companies understand our Safety and health code of conduct. Although the partner companies who provide collection and transportation services under contract are not included when counting the number of accidents/occupational accidents, they share indirect information on safety activities.
For exclusive partner companies who are stationed at a work site, we perform the same integrated data management as we do for Daiei Kankyo Group employees and temporary workers. The same activities are also implemented for safety education, improving the ability to detect hazards on a routine basis, and alerts.

Reduction in Vehicle Accidents and Prevention of Related Injuries

In the Group’s transportation division, emphasis has been placed on practical training, safe work training, near miss video training, and transportation compliance education. In the fiscal year ended March 31, 2025, a total of 45 accidents / occupational accidents occurred in vehicle transportation. There were 10 accidents resulting in injuries to drivers or assistants, and 35 property-damage or traffic accidents with no personal injuries. Both the total number of accidents and the number of injury accidents decreased compared with the fiscal year ended March 31, 2024.

Practical training (experience with vehicle characteristics and hands-on training)
Following the previous fiscal year, new hands-on training sessions were conducted in both the first and second halves of the year. By experiencing the tasks firsthand, participants gain a clear understanding of hazards that cannot be conveyed through classroom instruction alone, earning high praise from attendees.
  • ・First half: “The dangers of distracted driving”
  • ・Second half: “The risks of runaway accidents”
We continue to provide lecture support on instructional methods for hands-on training at the Group’s corporate vehicle bases. Furthermore, we have expanded the scope of the training to include our employees, aiming to prevent accidents involving company vehicles and heavy machinery.
Work safety training (audiovisual training through videos that re-enact accidents which resulted in injuries)
The purpose of video re-enactment of accidents resulting in injuries is to increase the sensitivity to hazards through a simulated audiovisual experience.
Near miss video training (hazard prediction training using dashcam videos)
In monthly safety training, we continue using various videos such as near miss incidents and traffic accidents involving other vehicles for visual learning. In addition, newly acquired vehicles are equipped with in-cabin dash cameras, which help prevent accidents and support future accident analysis.
Special training (tailgate lifter operation training)
Partial amendments to the occupational health and safety regulations of the Ministry of Health, Labour and Welfare made special training mandatory for cargo unloading work using a tailgate lifter. As these regulations have been enforced since February 2024, the Group shared special education text on tailgate lifters and DVD materials, and held workshops for personnel in charge of education at each site that uses tailgate lifters in Group companies. Special training for designated participants continued in the fiscal year ended March 31, 2025.

Stakeholder Engagement

Key stakeholders of the Daiei Kankyo Group

The Group values its relationships with a diverse range of stakeholders, including customers, shareholders and investors, business partners, government and industry organizations, local communities, and employees. By earning their trust, the Group aims to create new value through its business activities.

Stakeholders Main engagement methods
Customers All customers using the services provided by the Group
  • ・‍Daily sales and proposal activities
  • ・‍Consulting to address customer issues
  • ・‍Hosting facility tours and briefings
  • ・‍Public relations activities
  • ・‍Customer contact points
Shareholders and
investors
Individual and institutional investors, including shareholders of Daiei Kankyo Co., Ltd.
  • ・‍Annual General Meeting of Shareholders
  • ・‍Integrated Report
  • ・‍Investor relations section of our website
  • ・‍Earnings briefings
  • ・‍Shareholder newsletters
  • ・‍Hosting facility tours
Government and
industry
organizations
National and municipal agencies and organizations responsible for policies, laws, and initiatives
  • ・Submission of various notifications and reports
  • ・Participation in industry association committees and working groups
Business partners All companies that provide various forms of support for our services, including partner companies that collaborate with us to address environmental, social, and economic challenges
  • ・Collaboration to resolve challenges
  • ・Opinion exchange meetings
  • ・Daily business transactions
  • ・‍Customer contact points
Local communities People in the community who understand and trust the Group’s business, as well as society and the natural environment where they live
  • ・Local events
  • ・‍Hosting facility tours
  • ・Social contribution activities
  • ・Management of Izumi Recycling Environmental Park
  • ・Environmental education
  • ・Measures addressing climate change and biodiversity
  • ・‍Customer contact points
Employees All employees of the Group and their families
  • ・Various training programs
  • ・Self-reporting system
  • ・Internal recognition/award programs
  • ・Employee benefits
  • ・Internal newsletter
  • ・Engagement surveys
  • ・Whistleblowing channels
  • ・Mental health support channels

Engagement with the Local Community

Our business is built on trust earned through communication with local communities who understand our business. We believe that we can further deepen this trust by becoming an integral part of people’s lives. To this end, we are promoting various initiatives under the slogans of "openness," "interaction," and "appreciation."

Communication with local communities

  • Mie Chuo Kaihatsu Fureai Festival
  • Community cleanup activities
  • Facility tours
  • Opening of convenience store
  • Sponsorship contract with Iga FC Kunoichi Mie
  • Sponsorship of a children’s baseball tournament

Promotion of local employment

We actively promote local employment with the aim of revitalizing communities. We are working with agricultural producers’ cooperative corporations and Izumi Recycling Environment Park to provide skills and knowledge to people employed in the local community.

Seminars for clients

We hold seminars for our clients. These seminars are well received for their wide-ranging content delivered from the perspective of waste generators.

Collection of plastic bottle caps

4,000 babies and children die every day, or 1 every 20 seconds, due to a lack of vaccines.* We collect plastic bottle caps with the cooperation of all our employees as well as other organizations and individuals who support our activities, and donate the equivalent amount of raw materials (15 yen per kilogram) to the Japan Committee, Vaccines for the World’s Children. The collected caps are turned into plastic pallets at our plastic recycling plant.

*Source: Japan Committee, Vaccines for the World’s Children website (Our Activities) (in Japanese)
https://www.jcv-jp.org/activity Accessed on Feb. 9, 2022

About our plastic bottle cap collection drive (JP)

Collection box located at Izumi Recycling Environment Park

Izumi Recycling Environment Park

Izumi Recycling Environment Park in Izumi City, Osaka Prefecture, was originally a controlled final disposal site. This park is the embodiment of our desire to return former landfill sites to local communities as recreational spaces filled with nature. The park’s facilities incorporate a variety of recycled materials. Many people visit the park throughout the year to enjoy seasonal flowers and sports.

About Izumi Recycling Environment Park (JP)

Izumi Recycling Environment Park Photo Contest
(First Grand Prize winner)