HUMAN CAPITAL

People as a Wellspring of Value Creation

Mazda believes that people are a wellspring of value creation, its most important form of management capital for exercising its corporate philosophy. The operating environment for the automotive industry has recently been undergoing substantial change, as seen in the trends toward carbon neutrality and electrification. These changes present obstacles that cannot be overcome through conventional ways of thinking or merely by building upon existing ideas. If Mazda is to advance its management strategies in this environment, it will need to ensure resilience toward operating environment changes while also providing products and services that are matched to customer tastes and needs to ensure that the Company resonates and can form strong bonds with stakeholders. For this reason, we aspire to foster people who can create value and thereby evolve Mazda's manufacturing approach based on our brand value management philosophy. By developing environments and frameworks that enable all employees to deliver their best possible performance, we aim to drive the growth of the entire Mazda Group.

We are seeing a rise in new work tasks needing to be addressed by people in response to trends such as the push for carbon neutrality and the move toward electrification. At the same time, we still need to perform the traditional tasks that existed before. In the past, Mazda has responded to rises in work needs by increasing the number of employees to handle each new task. Today, however, the number of people seeking to join the automotive industry is declining as the workforce contracts and we face uncertainty at a once-in-a-century time of transformation. For this reason, it will likely become more difficult to secure the additional staff required to accommodate rising work needs going forward. To respond to this situation, we will need to improve operational efficiency. We will go about this by reassessing work needs based on business plans and transitioning to more efficient organizations while promoting digital transformation on a Companywide basis. It can be expected that the ways we work will be fundamentally transformed in conjunction with the evolution of generative AI and other digital technologies, which will also change the roles and skills needed of people. We are thus faced with a pressing need to foster autonomous employees who are able to act in a flexible, self-driven manner, under any circumstances, if we hope to adapt to the upcoming changes. Based on this recognition, we have defined the development of efficient organizations, recruitment of human resources, and cultivation of environments conducive to learning supporting autonomy and growth as material human capital issues. In addition, we formulated a medium-term human resource strategy in February 2025 to guide us in exercising our corporate philosophy and advancing the Management Policy up to 2030.

Our human resource strategies equate the sum of employee skills and growth with the growth of the entire Mazda Group. By maximizing the skills and growth of all employees and developing strong organizations capable of swiftly tackling management issues, we look to produce greater results with fewer people. In other words, the Mazda Group aims to achieve ongoing growth by becoming a team of highly efficiency professionals.

Development of Efficient Organizations

To support us in exercising our corporate philosophy and advancing the Management Policy up to 2030, it would be ideal for organizations to be able to furnish swift and flexible responses to any change. To achieve such organizations, we must abandon our prior approach of increasing staff numbers to accommodate rises in work needs. Instead, we should transition to organizations capable of planning staff levels and processes based on back casting, looking at the goals of the business plans for their respective areas. Mazda therefore intends to develop area-specific human resource portfolios and formulate medium-term staff plans to transition to more efficient organizations.

Mazda has formulated an outlook for 2030 and beyond in which it has included detailed descriptions of the functions and positions it will need to advance its business plans for each area of operation. By comparing this outlook against our existing organizations, we will identify the functions and work areas where we need to pursue improvement in order to craft a vision for the stronger and more efficient organizations to be developed going forward. At the same time, the functions and work areas needing to be contracted will be tracked and downsized as we transition from our current organizations to our envisioned organizations.

To enhance the functions identified as needing strengthening for developing the human resource portfolio targeted for 2030, Mazda will recruit outside talent while also making effective use of its current human employee base through reskilling and skill development programs. Moreover, organizations will formulate medium-term staff plans that incorporate the necessary staff numbers and recruitment and development methods as well as the timings at which staff needs must be met.

A number of new work tasks needing to be addressed are arising in response to trends such as the push for carbon neutrality and the move toward electrification. As we seek to accommodate these newly emerging tasks, it will be imperative for us to revise work processes with the potential for automation and streamlining using AI or other digital technologies while continuing to emphasize existing tasks that contribute to the creation of value. In this manner, we will revise all work processes to achieve streamlining. At the same time, we will proactively adopt AI, IT, and other digital technologies to advance the systematic digital transformation of work processes while identifying those tasks that should continue to be performed by people.

Exercising our corporate philosophy and advancing the Management Policy up to 2030 will require us to secure sufficient human resources. For this purpose, Mazda will systematically reallocate internal staff based on its clearly defined human resource portfolio and medium-term staff plan while also fundamentally transforming how it recruits external talent.

Expansion of Internal Open Application Systems

Mazda has implemented internal open application systems on a year-round basis since 2023. Prior to this, open allocations were limited to a few times a year in predetermined application periods. Making these systems available year-round has resulted in increases in the range of recruiting positions as well as in the numbers of applications, thereby accelerating relocation of staff to different fields or areas. We have also noticed a change in how employees view their careers and a subsequent increase in the number of employees taking a proactive approach toward developing their own careers. Mazda intends to ramp up these activities going forward and to tie these activities to the underdevelopment career challenge system.

Systematic Human Resource Development Through Reskilling and Skill Development

Relocating internal staff to areas to be strengthened going forward will require that the applicable employees be provided with opportunities to learn the skills they will need in these areas. Specifically, reskilling programs must be offered for employees taking on the challenge of entering a new field while employees seeking to engage in more sophisticated work using their existing expertise will need access to skill development programs. Accordingly, area-specific medium-term staff plans are being coordinated with human resource development plans predicated on the relocation of internal employees as we prepare the learning opportunities necessitated by these plans.

Diversification of New Graduate Recruitment Channels

A massive change in the values of job-seeking students is emerging amid the diversification of workstyles. The factors that students emphasize when choosing a company are incredibly varied, and can include factors such as job description, workplace atmosphere and culture, quality of education support systems, and existence of flextime, teleworking, and other systems for supporting diverse workstyles. Based on these varied values, Mazda is enhancing its recruitment programs through means such as introducing job-specific recruitment campaigns, bolstering internship programs, and providing workplace tours. In addition, the Company is organizing job-seeker information forums that focus specifically on elements of the Company such as its employee benefits and education programs.

Expansion of Channels for Mid-Career Recruitment

Japan's traditional approach toward lifetime employment is losing viability due to the diversification of workstyles and employment arrangements as well as changes in how younger generations view work. Accordingly, a number of Japanese companies are finding themselves pressed to move away from their prior approach of simultaneous recruitment of new graduates. Mazda has continued to increase its levels of mid-career recruitment in response to this trend. At the same time, we have been actively expanding our recruitment channels in a bid to overcome the intensifying competition in the job market.

・Alumni Hiring Program
In 2024, Mazda introduced an alumni hiring program for rehiring former employees who have gained experience and insight in different industries and areas after leaving the Company. As part of this program, we have established a special recruitment site with which any such employees seeking to return to Mazda can register, regardless of their age, number of years away from the Company, or division prior to leaving. This site also features information on Mazda, employment opportunities, and recruitment events as well as interviews with individuals who have used the alumni hiring program. Furthermore, we provide support for prospective rehires through dedicated coordinators.

・Referral Recruitment
It is Mazda's employees who best understand the Company. Based on this recognition, we began conducting referral recruitment in 2023 to make use of the interpersonal connections and networks of our employees. This approach provides a great chance of us finding recruits who are highly compatible with Mazda and who have an accurate understanding of our corporate culture and work processes. We have already recruited a wide range of individuals through this approach.

・Information Provision via Social Media
Information on the actual people and workplaces at a company is an important resource for job seekers. For this reason, Mazda actively provides information on its employees, workplace atmosphere, and culture reform activities via social media to improve understanding with regard to its corporate culture. This information is also viewed by various individuals not currently seeking employment, thereby expanding the pool of people who may be interested in working at Mazda in the future.

・Acceleration of Recruitment Activities in the Tokyo Metropolitan Area and Full Teleworking System
In the past, we have conducted recruitment of both new graduates and mid-career hires based on the assumption that they would work in our Hiroshima head office. However, the recent diversification in workstyles has also led to a rise in people placing more emphasis on where they will be working. In response to this trend, we established MAZDA INNOVATION SPACE TOKYO in the Roppongi area and Mazda R&D Center Tokyo in the Azabudai area of Minato City, Tokyo. These new bases make it possible for people to be involved in Mazda's business without having to work in Hiroshima. Going forward, we will ramp up efforts to provide workplaces in the Tokyo metropolitan area while also accelerating recruitment activities in this area. Furthermore, the Company has introduced a full teleworking system in response to the rising demand. Today, there are numerous employees taking advantage of teleworking infrastructure to work at Mazda from locations across Japan.

Global Employment Maintenance and Recruitment Activities

The Mazda Group conducts recruitment activities to secure the personnel required based on the needs of each country and region. Production sites strive to appropriately maintain and manage employment with an understanding that such practices have great impact on the local economies. In Japan, the Company has maintained the production volumes and related employment at production sites in Hiroshima and Yamaguchi prefectures. Overseas, steps are taken to maintain employment and recruit staff based on the labor practices of the respective countries and regions, which include Mexico, Thailand, and the United States.

In addition to compensation systems (wage ranges) based on conventional job grade systems, Mazda is expanding its range of compensation systems to provide appropriate compensation that matches market rates for IT and software engineers as well as other professions for which it is difficult to recruit talent. We are also revising our evaluation systems to better reward employees who are generating results and redeveloping compensation systems to offer more tailored compensation as part of efforts to build frameworks that support employee success.

Mazda Brand Academy

Maximizing employee growth and success requires that all employees be able to craft their own career plans and engage in voluntary learning to work toward their goals while maintaining an optimistic outlook as they go about their everyday tasks with a sense of optimism. The Mazda Brand Academy is a comprehensive initiative for achieving this objective by offering the following provisions for supporting employee career independence.

Formulating a career plan entails having employees set goals based on their own career aspirations and charting a course toward achieving those goals. An important part of this process is encouraging employees to objectively assess their own strengths and weaknesses based on their career history (experience, skills, etc.). Reflecting on one's history is an indispensable step toward better understanding one's own strengths as well as toward identifying the skills or areas of experience they lack and the challenges they need to overcome. The challenges identified through this process are incorporated into career plans. After formulating plans, employees are empowered to systematically acquire skills and experience through their everyday work while maintaining communication with their supervisors to prepare them for their next career step.

To complement its traditional membership systems, Mazda has introduced job-type human resource systems to allow employees to pursue their own career ambitions based on their own volition. In this manner, the Company is developing an environment that allows all employees to choose their own career path.

Evolved Tobiuo 2.0 System

Mazda introduced its Tobiuo human resource system in 2000. At that time, function-based evaluation systems were still commonplace among Japanese companies. Mazda was among the first companies to abolish this system for back-office divisions and adopt a job-grade system, which was still rare at this point. This system formed the basic foundation for Tobiuo, and we continued to use Tobiuo for nearly a quarter-century thereafter. However, the Company later decided to evolve this system in conjunction with its efforts to offer multiple career paths. The resulting Tobiuo 2.0 includes evaluation, compensation, and other frameworks better matched to the current era of diversity.

Career Challenge System

Job-type human resource systems entail defining the roles, skills, and experience required for specific positions and basing employment, assignment, evaluation, and compensation decisions on these parameters. These systems are becoming increasingly common among Japanese companies. In response to this trend, Mazda plans to introduce a career challenge system in FY March 2027. This system will be specially designed for ambitious employees with a desire to pursue self-driven career development based on their own career goals. To this end, the career challenge system will be combined with the existing internal open application system to provide a wider range of job posting opportunities. We also intend to provide evaluation and compensation systems through the career challenge system that differ from those offered via Tobiuo.

If employees are to make steady progress in the steps defined in their career plans, they will need to be provided with ongoing opportunities for learning while also accumulating on-the-job experience. Accordingly, we are enhancing frameworks for supporting voluntary learning based on curricula developed for individual employees to prepare them for their next career step. We are also bolstering our range of e-learning programs to enable employees to learn on company premises as well as at home or during commutes, and these programs are being made more accessible through availability via company computers as well as private smartphones. Mazda is expanding the range of educational content it offers in response to employee needs to support voluntary learning by employees through the development of frameworks that allow easy access to learning anywhere and at any time.

Development of Human Resources with Digital Technology and IT Skills

Mazda is investing in the development of human resources with digital technology skills that support proficiency with AI to improve its overall level of digital literacy. The Company is currently advancing a campaign aimed at having all back-office employees achieve a certain degree of proficiency in AI and IT technologies by 2025 and fostering human resources with advanced AI skills. In this campaign, Mazda is utilizing programs from Aidemy Inc. and working with other partners to press forward with reforms. We are also utilizing tools while reevaluating and redefining work processes to promote digital transformation in an attempt to double productivity and shift human resources to higher-value work processes.

Evolution of Conventional Education and Training Programs

Mazda is deemphasizing its previously mainstay conventional group education and training approach to focus more on autonomous learning centered on e-learning programs. Nevertheless, we intend to continue to implement important group education and training programs while promoting the ongoing evolution of these programs.

Mazda is promoting culture reform initiatives aimed at achieving its Purpose. These initiatives include organizational culture reform programs, employee awareness surveys, and measures for ensuring respect for diversity and facilitating the success of diverse human resources. From a global perspective, we recognize that Japan is an area where the Company faces particular issues with regard to providing opportunities for the empowerment of female employees. Accordingly, targets have been set for indicators related to this area in Japan to guide ongoing measures.

Blueprint is a term that refers to our various programs for promoting the values we emphasize in organizational culture reforms and for introducing, disseminating, and entrenching these values. Through these programs, we seek to establish a culture in which both individuals and organizations view it as a matter of course for employees and management to unite to advance actions based on the experiences we desire to deliver to customers and colleagues.

The Blueprint program has been generating results at bases in Europe and North America, where the program was introduced ahead of other regions, and we have since begun implementing this program in a third region: Japan. Initially launched in 2023, the Blueprint program now applies to all frontline and back-office employees of Mazda (approximately 23,000 individuals on a non-consolidated basis), and the program has entered the phase during which we will be spreading awareness and entrenching the benefits of this program. The type of communication made possible by a workplace offering peace of mind has begun generating diverse ideas unbound by preconceptions, which in turn is helping employees exercise and improve their skills. In conjunction with the Blueprint program, we also organize regular forums for discussion between members of middle management and senior management. Such forums were made available to general employees in FY March 2026 through the introduction of Blueprint President Sessions in which the president personally moderates direct discussions with employees. These forums provide an opportunity for frank discussion on topics such as the conditions facing the Company and the direction we should take going forward. We intend to use these forums to foster an organizational culture in which everyone at Mazda is united in our pursuit of ongoing business growth.

Mazda conducts Global Employee Surveys to track employee sentiment regarding the workplace environment and culture as well as their motivation toward work. The feedback gained through these surveys is used to guide improvements in organizational capabilities and productivity. The survey results are disclosed to employees, and detailed reports on the results are submitted to the senior management of Mazda Motor Corporation and of Group companies in Japan and overseas. Organization-level results are communicated to the management of the respective organizations and Group companies, who are thereby encouraged to develop improvement plans as part of the plan-do-check-act (PDCA) cycle. The results of these surveys are also used as one of the non-financial indicators for the revised executive remuneration systems introduced in June 2024.

Social data (Global Employee Survey)

Twice a year, Mazda conducts competency evaluations that look at how each employee is exercising their thinking, skills, abilities, values, and personalities through these works as well as the influence they have on those around them. These evaluations are used to identify any discrepancies between an employee's expected actions and their actual behavior and to clearly identify one's strengths and challenges so that this understanding can be utilized in pursuit of improvements. In FY March 2025, these competency evaluations were updated to incorporate elements of the Blueprint program as well as other new evaluation items. The updated evaluations are better encouraging the use of language and behavior that matches the feelings we wish to inspire in others while also respecting the diversity of individual employees.

Mazda believes that diversity contributes to increased creativity and is thus an important part of the foundation supporting the ongoing growth of companies and of society itself. Based on this belief, we aspire to foster a workplace environment in which everyone is able to exhibit their full potential, regardless of their gender, age, nationality, disability, or sexual orientation. We also recognize that promoting diversity, equity, and inclusion (DE&I) is not just about accommodating women, people with disabilities, non-Japanese individuals, members of the LGBTQ+ community, and other minorities. Everyone is at risk of falling victim to an illness or injury, and the aging of society means it will become increasingly common for people to find themselves in the position of caring for a parent or other family member. In this way, there are a variety of reasons why one might face difficulty in working, and these reasons can affect everyone. We therefore believe that the most fundamental goal of DE&I activities is to make a company a place where anyone can work with peace of mind, even when they are affected by such circumstances. In this way, DE&I activities are advanced for the benefit of all Mazda employees and are a central pillar of our efforts to build an environment in which everyone can work with peace of mind and look forward to a brighter future. We aspire to generate a cycle in which diversity drives creation, and the resulting growth of employees contributes to the ongoing development of the Company and society as a whole. By transforming diversity into a strength, Mazda seeks to help shape a more creative future.

Empowerment of Female Employees

Mazda seeks to create an environment in which women are able to realize their full potential and grow as leaders or as specialists. To this end, the diversification of management is being pursued through the cultivation of female managers and female candidates for managerial positions. As a specific measure, Mazda formulates and implements individual development plans for female managerial candidates and also arranges career development training for female employees and their supervisors. In addition, the Company organizes forums for exchanges with women active in management outside of the Mazda Group. Through these initiatives, Mazda is developing an organization with a healthy gender balance that is more conducive to the new value creation and innovation that is imperative to the growth and success of the Company.

【Statistics from FY March 2025】
・Ratio of female managers of 7.5%
・Number of female managers of 87

Work-Life Balance Support

Mazda offers a variety of work-life support measures to enable employees at various stages of their lives to maintain a healthy work–life balance and feel empowered at work. With respect for the diverse values and lifestyles of employees, we are expanding such systems and encouraging their use to accomplish these objectives. For example, since 2007 Mazda Motor Corporation has implemented various measures targeting back-office divisions, including the designation of no-overtime days and mandatory lights-out times, with the goal of reducing overtime by streamlining operations and preventing excessive work hours.

Empowerment of People with Disabilities

Mazda recognizes that a workplace environment that empowers individuals with various disabilities to work with peace of mind and succeed will contribute to the overall impartiality and creativity of the organization. To foster such an inclusive environment, we are designing work processes that are matched to the specific characteristics and strengths of individuals in order to build the foundation needed for people with disabilities to work with confidence. The Company also provides education for promoting a better understanding of people with disabilities among all employees. Mazda thereby seeks to foster a culture of mutual respect and an environment in which everyone is able to practice career autonomy and grow. Furthermore, Mazda has established a support desk*1 for people with physical disabilities that offers consultations on various workplace environment and other matters. In addition, the Company has employed two certified sign-language interpreters to better provide information to people with hearing impairments (as of March 31, 2025). Several of Mazda's employees with disabilities have been recognized as Excellent Workers with Disabilities by the Japan Organization for Employment of the Elderly, Persons with Disabilities and Job Seekers.

FY March 2014: Certification as an Ai Support Company/Organization*2
FY March 2016: Registration with the special support school employment support unit Hiroshima*3
FY March 2022: Joining of The Valuable 500

*1 These activities are only conducted at Mazda Motor Corporation.
*2 "Ai" translates to "love" in English. The Ai Support campaign is intended to certify companies and organizations that recommend that their employees read the Let's Learn about and Live with People with Disabilities textbook and participate in Ai Supporter training programs.
*3 Special support school employment support unit Hiroshima is a program for promoting the employment of special support school students through collaboration between local companies and Hiroshima Prefecture.

【Targets】
・Ratio of employees with disabilities of 2.7% in FY March 2027 (legally mandated level)

Understanding of Sexual Minorities

Mazda envisions a workplace environment in which everyone is able to feel comfortable working as their authentic selves, regardless of sexual orientation or gender. We therefore conduct education and awareness-raising activities to foster understanding regarding members of the LGBTQ+ community and other sexual minorities. The Company is also implementing frameworks for preventing harassment and enhancing its employee benefit systems and other internal systems to better aid such individuals. Furthermore, we seek to cultivate allies of sexual minorities within the organization. Through these efforts, Mazda is endeavoring to cultivate a workplace environment in which employees of various backgrounds are able to develop their careers with peace of mind. For more than a decade, Mazda's internal Human Rights Counseling Desk has been addressing consultations from employees who are members of sexual minorities and providing support through coordination with workplaces. Moreover, Mazda is engaged in an ongoing crusade to prevent harassment on the basis of sexual orientation and gender. Initiatives to this end include regular human rights meetings and e-learning programs for employees. As a result of these efforts, Mazda received Gold certification in the 2024 PRIDE Index organized by work with Pride, an organization the supports the promotion and entrenchment of diversity management activities targeting members of the LGBTQ+ community and other sexual minorities.

【Related Information (Sustainability Website)】

Human Rights Training and Education

Basic Approach

The Mazda Group recognizes that its people are its most important management resource and thus aspires to be a place where all employees can work while feeling empowered and maintaining good physical and mental health. Good health is the foundation supporting every aspect of our lives. Based on this understanding, we believe that voluntary activities to help employees maintain and improve their health will contribute to more fulfilling work and private lives and, ultimately to the growth of the organization. Mazda is therefore promoting lifestyle disease prevention, mental health disorder prevention, and safe and secure workplace development initiatives to ensure that every employee can continue to succeed.

In the past, Mazda has endeavored to create safe workplaces and support employee health improvement under its occupational health and safety management system. We have since built upon this system, and today we have in place a framework for practicing health and productivity management based on the recognition that the physical and mental health of employees is an important factor behind the improvement of corporate value. Moreover, we have assigned responsibility for health and productivity management to the officer in charge of safety and established a secretariat centered on the Safety, Health and Disaster Prevention Promotion Department to facilitate efforts to tackle increasingly complicated health challenges. Through this framework, we promote coordination among the Mazda Health Insurance Society, Mazda Workers' Union, and Group companies as we advance ongoing efforts to identify health challenges and formulate, implement, and verify response measures.

Companywide and global health and productivity management policies are formulated primarily by the officer in charge of health and productivity management and the secretariat, and then reported to the Executive Committee Meeting. The approved policies are communicated to workplace leaders and department general managers. Moreover, occupational health and safety leaders are assigned for each department to decide policies for their respective department and promote health and productivity management awareness among all employees.

To quantitatively track and assess the challenges that need to be overcome in promoting health and productivity management, Mazda has defined end targets pertaining to absenteeism,*1 presenteeism,*2 and work engagement.*3 In addition, we have set numerical targets related to the results of health checkups and stress checks to help us build a workplace in which all employees can work while feeling empowered and maintaining good physical and mental health.

Mazda has mapped the relationships between its health and productivity management initiatives and the anticipated benefits in order to track these connections and better promote management for addressing the identified challenges.

Mazda is promoting lifestyle disease prevention, mental health disorder prevention, and safe and secure workplace development initiatives to support employees in improving their health.

Lifestyle Disease Prevention

Mazda advances activities to help people quit smoking, encourage walking, and promote dietary improvements to address and prevent lifestyle-related diseases, such as metabolic syndrome.*1

• Health Checkups
  In addition to providing regular health checkups*2 for all employees, Mazda carries out comprehensive medical checkups*3 covering a variety of areas for employees aged 40 or above. Furthermore, the Company conducts complete physical checkups, including gastroscopy and abdominal ultrasonography, for employees when they reach the ages of 50, 54, and 58. Based on the results of these health checkups, occupational health doctors and advisors offer personal health guidance to support employees in improving their health.

• Measures for Employees at High Health Risk
  Mazda has established unique standards for identifying employees at high risk of heart disease or cerebrovascular diseases based on health checkup results. Employees who are identified as being at high risk are required to meet with occupational health doctors to assess their ability to continue working, and they may face restrictions on working or be subject to confirmation of treatment status or instructions to undergo health inspections when deemed necessary. Support frameworks are in place to help reduce risks through the provision of health guidance from occupational health advisors thereafter.

• Support for Quitting Smoking
  Mazda has set a target of reducing the percentage of smokers at the Company to 25%. One of our measures toward accomplishing this goal is twice-annual marathon events for helping smokers give up the habit. Moreover, each month's payday has been defined as a Companywide smoke-free day, during which smoking is prohibited within all Company premises, to provide opportunities to quit smoking. Smoking areas have also been isolated to prevent passive smoking.

• Promotion of Walking
  To help employees improve their health, Mazda arranges twice-annual walking events using the PepUp*4 website. The Company has also introduced the Eco-Walk Commuting Program, which provides those who walk to work with allowance payments.

• Vege-Check® Diet Measurement Events
  As part of Collab Health,*5 a joint program advanced by Group companies together with the Mazda Health Insurance Society, we organize the Vege Up Challenge diet improvement event. Moreover, we have arranged diet measurement events in which Vege-Check® vegetable intake volume estimation stations, provided by Kagome Co., Ltd., are installed in Company cafeterias and shops to help encourage employees to address obesity and adopt healthier dietary habits.

*1 These activities are only conducted at Mazda Motor Corporation.
*2 Exhaustive workplace diagnoses are activities in which all members of a workplace participate to identify points needing improvements, make proposals for improvements, and assess their working environment from a broad perspective to drive improvements by using clear and simple procedures.

Mazda is advancing plans to renovate employee living and working environments to ensure that everyone is able to work safely, healthily, and with peace of mind. We are constructing dormitories that allow employees to grow together with their colleagues from the time they join the Company, parking lots located near workplaces, changing rooms, and rest areas as part of our efforts to provide employees with living essentials and offer them a safe and secure environment throughout their time at Mazda.

Examples of Facilities Under Construction

As part of the workstyle reforms implemented in response to the COVID-19 pandemic, Mazda introduced a teleworking system in October 2020. This system allows employees to choose the workstyle they prefer while contributing to maximization of the performance of their organization based on the details and characteristics of their specific work role. With this system, the Company aims to facilitate high-performance, high-engagement workstyles by skillfully combining workplace attendance and teleworking. We also offer flextime, reduced working hour, and other systems for supporting workstyles unbound by place or location, and have eliminated dress codes at Mazda R&D Center Tokyo and other back-office organizations. These provisions are part of Mazda's growing lineup of systems and initiatives for supporting diverse workstyles.

Mazda has a standing labor agreement with the Mazda Workers' Union.* Based on this agreement, the Company seeks to build relationships in which everyone thinks and works together to help Mazda contribute to all stakeholders. As the operating environment is always changing, Labor-Management Council meetings are arranged to facilitate prompt sharing of management-related information with the union. Moreover, changes to work processes that could have a significant impact on employees are first discussed thoroughly with the union, after which notification of the changes is provided to employees. These principles are enacted across the entirety of the Mazda Group in order to construct frameworks for labor-management discussion that support healthy labor-management relations.

Domestic Group Companies

Regular exchanges of information and engagement in active discussions with the Federation of All Mazda Workers' Unions

Overseas Group Companies

Measures for discussion with labor based on the labor practices of the respective countries and regions

【Statistics from FY March 2025】

* Membership is approximately 90% of Mazda employees.

Labor-Management Communication*

As part of the Blueprint program for fostering an open organizational culture, Mazda is actively offering opportunities for discussion between management and members of the Mazda Workers' Union. We believe that mutual understanding between employees and management and a consistent approach toward resolving shared issues contributes to a sense of psychological safety. Going forward, we will continue to promote such communication to increase levels of trust within the workplace and build a better organization.

* These activities are only conducted at Mazda Motor Corporation.