Compliance Systems

Changing the company name in April 2026 was an important milestone, and the Group took this opportunity to further promote compliance awareness by redistributing the Credo (Joshin Group Declaration on Actions and Joshin Group Code of Conduct) to all Group employees. The new Joshin Group Declaration on Actions includes a “Commitment to Society” to act honestly by observing laws and adhering to high ethical standards, and a “Commitment to Business Partners” to build relationships of trust through fair and sound transactions. We believe that deeply instilling in all employees the values underlying our corporate motto and the Joshin Group Declaration on Actions is the foundation of compliance management. Starting from this initiative, we will resolutely drive forward efforts to “Conduct compliance training at Group subsidiaries and cooperating companies [Continuing initiative],” which is one of the main goals within Joshin’s material issues, thereby strengthening compliance not only at our own Company, but throughout the entire supply chain.

Compliance Promotion System

To prevent and promptly correct illegal and inappropriate acts, and to improve the capability of the organization to take its own remedial action, the Group has established a highly effective internal whistleblowing system. In addition to an internal reporting contact (Risk Management Department), we also provide an external reporting contact (Umeda Sogo Law Office) to make the system available not only to the employees of the Group and franchisees, but also to business partners, the staff of contractors, and specific contracted work operators (freelancers), as well as former employees who fulfill the legal requirements.

     The system is operated to strictly protect whistleblowers by accepting anonymous reports, and taking measures to prevent disadvantage to whistleblowers, such as dismissal or contract cancellation. Furthermore, obstructions to reporting (such as agreements not to report) are explicitly prohibited.

     This fiscal year, we also revised our Whistleblower System Operating Standards in anticipation of the amended Whistleblower Protection Act, which takes effect in December 2026. In order to update the rules in alignment with the new law, revisions have been applied to the Code of Conduct, and regulations and procedures have been established and put into operation. The importance of confidentiality obligations to prevent information leaks and the prohibition of disadvantageous treatment of whistleblowers is thoroughly communicated and subjected to periodic training across the entire Group to further strengthen the transparency and trustworthiness of the whistleblowing system.

Joshin Group whistleblowing system