Working Together with Employees
Business growth requires that each employee, as the core of the company, be creative and have a positive
attitude, flexibility, enthusiasm and a sense of responsibility. The TEL Group believes that each individual
employee is the source of value creation, and we strive to respect and understand differences in values
arising from one’s character, individuality, or daring spirit by making the work environment a place where each
employee can work to their full potential.

Easy-to-work environment
Personnel system
In order to achieve our goal of creating a visionary and innovative company
full of energy, we adopted a personnel system that promotes each individual
employee’s growth and organizational stimulation. For example, with anevaluation system, not only results, but also the initiatives for achieving theresults are important. We provide opportunities for personal growth to ouremployees and engage in fair evaluation of skills and treatment so that talented
employees who make significant achievements are well rewarded.

Initiatives for work-life balance
The TEL Group has enhanced its childcare support system and nursing careleave system to help employees continue to pursue their careers throughvarious life events. According to Japanese law, companies must take measures
such as reducing hours worked for parents raising children under the age ofthree. Tokyo Electron goes beyond this minimum, giving parents of children ofelementary school age or younger the option to work shorter hours, and offering
additional assistance in balancing work and home life. As a result of thesemeasures, we saw 53 employees return to work after taking childcare leave andanother 70 take childcare leave in fiscal 2014.

Improving the workplace environment and employee health
The TEL Group places the highest priority on the safety and health of its
employees, and in February 2012 issued a health declaration to provide services
such as walking events for promotion of health, healthy meals at company
cafeterias, and health counseling with doctors. In addition, we are working tocontinually ensure that TEL is a safe and productive workplace environment byrequiring harassment prevention education for upper level management, as wellas providing professional counseling services.

I n Fo c u s Fulfilling work and childcare

Last year, I returned to work after taking childcare leave for a second time. I
currently handle administration work such as sales and accepting orders inthe sales division. I have been called to the day care center when my childdeveloped a sudden fever, but with the understanding and cooperation of myworkplace, I have taken advantage of this system and been able to balance
work while raising my children. At the same time, I have switched from regular
office work to more comprehensive work with greater responsibility, and I wasable to place importance on improving my own career. By balancing work whileraising children like this, I am thankful that I am able to continue working while
growing and feeling challenged.

12

Number of Group employees

12,304

12,201

10,068

10,343

10,684

7,820

7,908

8,004

8,205

8,186

1,633
1,017

1,084

1,150

310

305

313
1,217

1,046

921
2010

2011

2012

Japan
USA
Worldwide

888

888

1,494

1,559

2013

Europe

1,652

2014

(FY)

Asia

Users of shorter working hour system
109for childcare
8575
65

61
48

47

50

50

2012

2013

2014 (FY)3420102011

Children under the age of threeChildren over three years old but not finishedelementary school

People taking childcare leave andpeople returning to the workforce*76

70
59

55
47

2012

2013

532014(FY)

Number of people taking childcare leave
Number of people returning to the workforce* Excluding Tokyo Electron Device Ltd.
Refers to Group company employees in Japan

Mari Kurahashi

Clean Track Sales Dept.
Tokyo Electron Limited

Employee retention rate three years after
joining the company

94.2%

The Tokyo Electron Group has adopted an OJT System* for newly hiredemployees in Japan to enable them to quickly transition and work in a

productive and nurturing environment. In addition, we hold regular meetings
to keep up with and discuss the state of the workplace and employee
relations to create a pleasant work environment for all employees.

Work location of Group employees
23.5%

25.1%

32.9%

33.3%

76.5%

74.9%

67.1%

66.7%

End ofMarch 2011

End ofMarch 2012

End ofMarch 2013

End ofMarch 2014

Employees working outside Japan
Employees working in Japan

Parking space forthe disabled

Washroom for the disabled

Initiatives for globalization and diversification
The TEL Group does business around the world, and as of March 2014,
overseas sales account for 84% of the Group’s total sales. Additionally, about
33% of TEL Group employees work outside Japan. In line with this shift toward
globalization, even TEL Group companies within Japan are aggressively
expanding overseas hiring to develop diverse workforces, with 11% (as of March2014) of new hires being recruited from among foreign nationals.
Furthermore, along with working to create an excellent work environment theTEL Group recognizes that every person is entitled to basic human rights, andwe strive to be a corporation where a diverse range of employees can work
to their full potential. One of those efforts is establishing a work environment
where employees with disabilities can work without any inconveniences. All ofour business sites and company recreation facilities are equipped with parking
spaces, washrooms, slopes, and handrails for the disabled.

Human resource development
TEL UNIVERSITYThe TEL Group has established TEL UNIVERSITY, an internal education
institution with the goal of enhancing its human resources and improving theoverall capabilities of the organization. TEL UNIVERSITY courses include aprogram that provides individual employees with world-class knowledge andskills, a leadership development program for next-generation leaders and amanagement and organizational training program.

English interview participation rate

92.0%
Fiscal 2014 results (Japan)(6,560 people)

TEL UNIVERSITY-hosted program examples
Number of participants by program for fiscal 2014
English conversation class 24 classes 129 persons
Communication andfacilitation seminar
Global communication
program

5 classes 100 persons
4 times

32 persons

Career design seminar

18 times 500 persons

Life design seminar

10 times 339 persons

Next-generation leadersdevelopment program

27 times

43 persons

Management

8 times

85 persons| Glossary |Main initiatives for fiscal 2014
Our main goal for 2014 is to establish TEL as a truly global organization, one
aspect of which is to allow TEL employees to further develop their English
ability. All employees of the TEL Group in Japan were interviewed in English todetermine the appropriate English level for them to begin studying at, and allow
them to experience the fun and the difficulties of learning English firsthand.
Based on its results, we developed and provided appropriate programs such as
self-learning assistance and English conversation courses.
Another initiative aimed at increasing diversity is our employee training
program for understanding differences in communication style between foreigncultures, and deepen mutual understanding so foreign employees are able todo their jobs smoothly in the workplace. In addition, seminars are held at TELGroup companies in Japan with the goal of improving Japanese communicationand facilitation skills.
Furthermore, we hold career design seminars for individual employees
to reflect and grow together with the TEL Group to improve and enrich theirpersonal careers. Also, we offer life design seminars and consultation services
to explain and discuss work and life plans before and after retirement, as well as
reemployment systems after retirement.

* OJT system: On-the-Job Training system. This is a teaching method whereby an employee takes on actual work and cultivates their skills to gradually increase
the difficulty level of their job.

13