Human Capital Management

We engage in human resources portfolio management to maximize the value of human capital, aiming to achieve Long-Term Vision 2040. Specifically, we first determine the positions and requirements necessary to achieve our business strategy. Next, we strategically train and assign personnel, implementing personnel policies to ensure the optimal placement of human resources. To ensure the sustainable growth of the organization, we also encourage employees to grow and contribute unique value on their own initiative. Through these efforts, we strive for both optimal placement of human resources and support for growth.

Human Resources Portfolio

Core Talent Profile

The following definitions represent the type of human resources we believe will create new and added value. We recruit and develop talent toward these definitions.

1. 1.Human resources who lead innovation by understanding diversity, accepting diversity, and working in collaboration with stakeholders of various circumstances
2. 2.Human resources who take a sense of ownership, think, act, and embrace challenges on their own
3. 3.Human resources who envision an ideal future in response to changes in the environment, and who are eager to act in achieving that vision

We recruit new graduates from technical majors, not specifying certain fields, but rather recruiting from a wide range of departments, focusing on aptitudes and potential. We are increasing opportunities to communicate the attractiveness of our company by expanding recruitment activities for unaffiliated applicants and technical college students, as well as through internships and employee roundtable discussions. We introduced a new course-based recruitment system for clerical staff. The system assures students an initial job assignment and supports their autonomous career choice. For mid-career professionals, we look for highly specialized individuals, focusing on new business planning and technology development, recruiting persons with technical expertise we do not possess. We use other recruitment channels in parallel, including referrals and comeback recruits, seeking specialized professionals who will strengthen our governance as a publicly listed company.

Recruitment Results (JX Advanced Metals Corporation)

We hire a wide range of outstanding human resources by strengthening the organization in charge of recruitment in the Human Resources Department and diversifying recruitment channels. We recruit technical candidates among new graduates, including technical college students, as well as globally oriented candidates from Japan and overseas who have experience studying abroad. JX Advanced Metals will introduce a course-based hiring system for clerical staff starting with fiscal 2026 recruitment. This system guarantees an initial job assignment and enables students to choose their careers more independently based on their academic background, interests, and preferences. We also actively hire experienced professionals who bring knowledge and expertise not yet in the Company. Furthermore, we diversify our recruitment channels through referral recruitment, in which job candidates are introduced by employees, and come-back recruitment, in which employees who have previously left rejoin the Company. These channels also enable us to develop an open-minded corporate culture that actively seeks to share new knowledge, skills, and ideas.

We hire technical candidates actively to strengthen our technological development and production site capabilities, which represent the roots of our competitiveness. Pursuing these human resources measures is helping us transform into a technology-based company.

[Recruiting New Graduates]

• We hire people with interests and abilities across a wide range of college majors, not limited to those who majored in metals at university (graduate school)
• We are extending recruitment activities to all applicants, not limiting ourselves strictly to applicants recommended by the schools
• We are expanding the employment of technical school students

[Recruiting Mid-Career Professionals]

• We hire for technical expertise in positions such as new business planning, technology development, and others in which we lack expertise
• We hire for key positions above managerial staff levels
• We recruit from diverse industries (automotive, electric, chemical, university, etc.)
• We hire employees who match with our company through referral and come-back hires

VOICE
Comments From A Referral and Come-Back Employee

I left JX Advanced Metals and rejoined in January 2024 after gaining two years of experience at another company. I ran into a senior colleague from JX Advanced Metals at an exhibition, and I realized that applying what I learned from my job away from the company at JX Advanced Metals would lead to my personal growth. When I rejoined JX Advanced Metals, I was nervous about whether I would fit in well at work and how to balance family life, especially childcare. But the various support I received from senior and junior colleagues and the Human Resources Department helped me feel better prepared. After returning, I heard countless employees express they were glad I was back, and I feel the warmth of the people at the company. I am currently in charge of the main customers of the division, gaining a lot of experience implementing structural reform measures. I hope to leverage my perspectives gained outside the company in my current work and share my knowledge and experience with others to contribute to the further growth of JX Advanced Metals.

The Company develops various measures and support policies based on the following human resource development policy.

The Company develops various measures and support policies based on the following human resource development policy.
Our Self-Innovation Support program encourages employees to apply for external training programs of their own choice. The Company subsidizes half of the course fees (up to 500,000 yen), motivating employees to learn. We have also created a flexible learning environment using an online video learning service that allows employees to study at any time and from any location. Online learning and overseas training programs are other vehicles we use to improve language skills and develop global human resources. We also provide practical learning opportunities across external organizations, rather than limiting training to within the company. These opportunities expose employees to diverse values and knowledge, helping them develop their careers with a broader perspective. At the same time, we strive to develop the next generation of leaders. Through programs that foster an understanding of management issues and a company-wide perspective, we develop individuals who will be responsible for a future of corporate growth.
Through these and other measures, we strengthen the competitive stance of the Company, creating an environment in which employees learn and grow independently.

In our education for young employees by job level, we aim to expand our younger workforce and manager-track training and encourage autonomous development by introducing selective trainings and supporting self-development. We also aim to provide such employees with opportunities for practical education outside the company and systematically train management candidates, global personnel to oversee overseas business development, specialists to lead the Company with their specialized knowledge, and personnel to improve the competitiveness of the workplace.
We also provide other training to foster a shared awareness of financial knowledge, quality communication, and problem-solving skills.

We have a variety of training programs that are tailored to the abilities and disposition of each employee.

With a view to early promotion to managerial positions, we are speeding up the pace of focusing on training through year three of employment. Our aim here is to instill the Company’s DNA while fostering the basic skills and mindset to act independently and take on challenges. In this context, we provide follow-up training six months after an employee joins the Company, providing an opportunity for reflection, raising awareness of their current situation and expected roles, and following up to foster a positive attitude toward taking on challenges through the acquisition of organizational skills. We also provide training for leaders to develop the ability to solve problems for which there are no clear answers and to foster thinking from a company-wide perspective at stages before managerial levels.

In conjunction with the revised human resources system for managers, we improved management training to instill a management mindset and build management skills. Newly promoted manager training includes panel discussions with vice presidents, allowing managers to learn about the ideas and specific background experiences of other managers. Our intent here is to teach an understanding of management attitudes and thinking from a company-wide perspective.

We offer this program to voluntary employees, aiming to develop talent who will support the sustained growth of the Company. The program deepens understanding of our current management situation and priority issues through lectures. Participants also engage in dialogue with officers and group work on company-wide challenges, through which they gain an awareness of management and the ability to drive transformation. Employees from diverse backgrounds take part and strengthen the perspective and execution capability required of next-generation leaders as they learn from and challenge one another.

We provide training for senior chiefs and chiefs —key personnel at production sites— to develop the skills and acquire the knowledge necessary for on-site management. While deepening an understanding of the Company’s current management situation and issues, we also foster leadership skills to face challenges as a team, as well as personal skills and mindsets for developing and following up with subordinates.

We strive for autonomous and voluntary employee growth in addition to conventional rank-specific education. To this end, we introduced selective programs that allow each employee to learn according to their personal job expectations, capacities, and aspirations. Participants select the knowledge and skills they wish to strengthen from several options, including logical thinking, business quantitative analysis, and DX skills and strategies.

We provide overseas training for younger employees. Our objective is to not only develop language skills, cross-cultural understanding, relationship building, and global business awareness, but also develop the toughness and confidence to dive into different environments and cultivate various skills, knowledge, and mindsets.

We select eligible individuals to study abroad at graduate schools to obtain degrees or at business schools to obtain MBA degrees, strengthening their expertise and management skills.

As part of our efforts to develop human resources for global business, we adopted goFLUENT, a comprehensive language online learning system, in fiscal 2023.
Employees can build practical language skills through one-on-one lessons centered on individual sessions with native instructors, enabling language learning that is applicable to real work situations.

We offer age-specific career education as an opportunity for employees to think independently about their future life plans and careers. Considerations include what the individual wants to accomplish at the Company, their future roles, and what skills they should acquire. Lectures by career counselors and in-house systems for balancing life events and work help employees build independent careers while alleviating concerns about the future.

We provide practical learning opportunities across external organizations, rather than limiting training to within the company. These opportunities expose employees to diverse values and knowledge, helping them develop their careers with a broader perspective. Through these and other measures, we strengthen the competitive stance of the Company, creating an environment in which employees learn and grow independently.

We began posting internal jobs in fiscal 2024 to foster a culture where employees take initiative, while also supporting career development and strengthening talent retention. Initial positions included theme-based roles and roles intended for talent exchange with other companies. However, we expanded the range of available positions in fiscal 2025 to broaden the environment where employees can take on new challenges proactively.

Under our Self-Innovation Support program, employees may apply to any eligible external training program. On completing the program, half of the expenses will be subsidized (up to 500,000 yen per program).
This program supports the self-directed growth of employees, with many employees participating to obtain qualifications or improve their language skills.

VOICE
Comments From a System Beneficiary

Working with overseas customers, I became acutely aware of the importance of language skills and began learning English through the Company’s self-development support system. At first, I struggled speaking as well as I wanted, but by attending English conversation classes every week, the quality of my communication improved gradually. Little by little, I have become more confident in my work.
Last year, I took on a new challenge of cross-border studies, becoming seconded to a local government for one year. This cross-border study initiative exposes employees to different values and cultures as we leave our own organization and join another. I learned about the challenges and fun of working with people in a completely different environment and industry—people with different positions and perspectives. I think I developed the ability to do my work with an understanding of the backgrounds of others.
I have just been assigned to an overseas post, and the experiences I have had so far, including learning English and working in an external organization, have been part of my personal growth story. Now, I look forward to tackling new challenges with a positive attitude.

We began revising our personnel system in stages in fiscal 2021. Our aim is to transform into a technology-based company by creating an environment where each employee is aware of his or her role, respects and encourages each other, and takes on more challenging tasks in a spirit of friendly competition.

We plan to introduce a structure that aims to select and develop outstanding employees, regardless of job type, department, or rank. These employees will manage our businesses from a long-term, company-wide perspective and play a central role in management. Specifically, we clarified the classification of line managers with subordinates as management personnel. We also implement consistent compensation based on the scope of responsibilities and endeavor to promote individuals to managerial positions earlier in their careers.

We implemented the following measures to strengthen the on-site competitiveness through the appropriate evaluation and compensation of employees who support production sites, secure and develop human resources to support business expansion, and allow diverse human resources, including seniors, to play active roles, etc.

(1) Clarified course classifications between career-track and general staff positions
After clarifying the roles of each course, we designed the system to provide appropriate evaluations and compensation accordingly. We also established a means for employees to switch from general staff to career-track or regional career-track, depending on their willingness to take on new challenges. In this way, we support an independent career development and foster a corporate culture of embracing the challenge of change.

(3) Raised retirement age to 65
We raised the retirement age from 60 to 65 for more stable operations at production sites and the passing on of learned skills. Salary levels will remain at that of employees aged 60. At the same time, we introduced a manager retirement program at a maximum age of 60 to provide management opportunities to young and experienced workers, as well as to revitalize our organization.

VOICE
Comments From a Regional Career-Track Employee

I moved to Ibaraki, my husband's hometown, and joined the Hitachi Works as a mid-career employee through prior connections. As I gained abundant work experience, I began wanting to advance my career and job from a broader perspective. It was then that I decided to take on the challenge of the course switch system. Although I was also interested in pursuing a career-track position, I decided to switch to the regional career-track position that would allow me to be even more active here in Ibaraki, considering childcare and family living arrangements.
I switched to a regional career track position in April 2023, and currently play a small role in the start-up of the Hitachinaka New Plant. I find my current work load rewarding and am learning a lot. Although every day is busy, I strive to balance my work and family life. To this end, I am doing my best to help strengthen business in Ibaraki Prefecture in cooperation with my colleagues and family.

We conducted an employee awareness survey in January 2025 (98.2% response rate) that confirmed generally favorable engagement levels compared to the national average*. In particular, employees indicated high satisfaction on matters related to job performance, including a sense of growth, satisfaction with work, clarity of work goals, and a sense of accomplishment.
On the other hand, we noted issues related to transformation and sustainable growth. Such issues included the awareness and acceptance of management policies among general employees, career development support for younger employees, interesting work content, distribution of labor, and skills transfer.
We intend to provide feedback from the survey to each workplace to encourage improvement. We expect to tie this feedback to measures that include expanded career support, revised personnel systems, and enhanced information disclosure, both internally and externally.
We intend to improve the value of human capital further through ongoing efforts linked to KPIs.

• *Results of a survey conducted by a contracted research organization in December 2024 involving approximately 10,000 workers in Japan