Compliance

The Foster Group emphasizes compliance (with laws, regulations and corporate ethics) as a core element of its CSR philosophy and promotes a compliance program—setting internal rules and building a structure for management—to all Group companies.

In promoting a compliance program, emphasis should be placed on a whistleblowing system that serves as a self-cleansing mechanism. Such system is under operation through “the Compliance Hotline” and “Harassment Helpline” that connects whistleblowers to external corporate lawyers available for 24 hours by email. Internally, the highly independent internal audit office and HR representative act as a window to early detect violations of compliance. The whistleblowing hotline is extensively available to employees and officers of the entire Group as well as to their families and the employees of business associates. We also hold briefings on the Compliance Hotline and Harassment Helpline for employees, to ensure that they are fully informed of the internal whistleblowing system.
It is also important to fully consider the protection of whistle-blowers and establish and disseminate internal regulations, including internal reporting regulations, to ensure that employees are treated fairly or not involved in any trouble as a result of their actions. Partly reflecting the revision of the Whistleblower Protection Act, our internal reporting regulations clearly state that the obligation to maintain the confidentiality of information that enables the whistleblower to be identified shall be ensured, and that any violation of the prohibition of searching for the whistleblower and prohibition of retaliation against and disadvantageous treatment of the whistleblower may result in disciplinary action.

The Compliance Committee leads compliance programs with the president serving as chief executive. This committee was set up in accordance with “the Foster Group Code of Conduct for Staff.”
In fiscal 2024, we conducted a compliance test and a questionnaire on overall compliance matters, including “the Foster Group Code of Conduct for Staff.” We also provided online compliance training for all employees on the Subcontract Act, export management, and the prevention of bribery and corrupt practices, as well as compliance training, including harassment prevention, conducted by the corporate lawyers. Through these initiatives, we worked to raise employee awareness of compliance.

Organization of the Compliance Committee
(The same applies to the Risk and Crisis Management Committee)

Our basic approach to anti-corruption is set out in the “Foster Group Code of Conduct for Staff,” and we have been instilling it among officers and all employees. We have also established a framework to prevent bribery of government officials and excessive entertainment and gift-giving to and from private individuals. We have also enacted the Regulations for Preventing Bribery, etc. to prevent corrupt practices. Violations of anti-corruption laws and regulations, the Foster Group Code of Conduct for Staff, the Regulations for Preventing Bribery, etc., and other internal rules and regulations are to be reported to the Compliance Hotline.