Personnel-Related Development

Personnel Systems

Toyota's personnel and labor systems are built on comprehensive human resources development and efforts to maximize the benefits of solid teamwork, based on the principles of mutual trust and responsibility embodying respect for other people. Toyota reviews its methods in conjunction with changes in the management environment, but the underlying approaches remain the same.

Year
Month
Systems and organizations
1937
September
First management organization instituted;
- Administration Division, Sales Division, Work Division, Engineering Division, Design Division, Inspection and Improvement Division, and Research and Development Division established at three business offices located in Tokyo, Osaka, and Nagoya
1938
August
Toyota Department Store established;
- Daily necessities for employees sold at the store
October
Toyota Motor Co., Ltd. Health Insurance Society (now the Toyota Motor Health Insurance Society) established
November
Employment Regulations instituted
1939

Large-scale hiring of female plant workers commenced;
- Toyota Motor becomes a pioneer in the hiring of women in heavy industry (Records indicate that in 1943 there were 6,104 men and 1,519 women employed at the Koromo Plant (now the Honsha Plant)
1941

Personnel Sub-Section established in a corner of the plant building (office in the plant) and use of plant personnel system in on-site management commenced
1943
December
Gihan Kohan and Koshi title system instituted
1945
October
Welfare Section established;
- Benefits programs focused on providing employees with daily commodities to enhance their personal autonomy
December
Gojokai consumer co-operative established
1946
January
Toyota Motor Koromo Workers' Union (now Toyota Motor Workers' Union) established
April
First Executive Conference held
Age-based minimum wage system introduced;
November
Benefits Division established;
- Benefits Division comprised of Benefits Section (responsible for company housing), Culture Section (responsible for cultural and physical education activities), and Welfare Section
1947
April
Company's portion of health insurance premiums changed from one half to two thirds
May
Toyota Kindergarten opened and Toyota Branch of Minami; Elementary School established
June
Toyota Company Housing Association established
July
Management Research Committee formed
1948
July
Production allowances (productivity bonuses) introduced
October
Management Research Committee reorganized and Management Rationalization Committee, also dealing with matters related to the workers' union, established
1949
February
Employee and worker wages unified under daily wage and monthly wage system
July
Toyota Consumers' Co-operative Society established
July
Administrative assistant managers posted at all plant's shops
1950
April
Company reorganization plan presented to union; Labor strike starts in association with personnel adjustments;
- Strike resolved on June 1 (The main terms of the agreement were a voluntary reduction of 2,146 employees (from 8,140 to 5,994), and closure of the Kamata and Shibaura Plants);
November
Transition made to performance-based wage system that takes into account completion rates and the number of regular personnel
1952
October
Home purchase loan program commenced
1953

Group leader system launched;
- group leader approved as a formal work organization system
1954
November
Operations curtailed (five day working week system) in response to deflationary recession;
November
Team leaders system launched
- Team leaders approved as a formal leadership system

Shift made from wage increases to promotion system
1955
November
Toyota Motor Sales Co. Ltd. posts first overseas representatives to S?o Paulo, Brazil
1956
July
Hiring of non-full time employees commenced
October
Managers become non-union employees
October
Qualification system for Shuji , Gishi , Shujiho, and Gishiho instituted
1959
May
Worker registration system (temporary workers selection system) implemented;
- 45 persons registered (hired) in initial phase;
November
Management Council renamed Labor Management Council
1960
October
Supply of gasoline commenced
1961
October
Probationary employee system implemented
November
Direct hiring of former Self-Defense Force members commenced
1962
January
New vehicle brokering for employees commenced;
February
Joint Declaration of Labor and Management signed as the basis of labor-management relations founded on mutual trust between labor and management, and announced within and outside the company
April
Hiring of high school graduates commenced
September
Operation of two-shift system (day and night) commenced
1963

Trial hiring of fixed-term contract employees (seasonal workers) commenced
1964
September
Home purchase savings program established
1965
January
Employee registration system overhauled including renaming of temporary employees to probationary employees
1966
March
Personal Touch Campaign commenced
1967
June
Toyota Motor Co. Ltd. Pension Fund (now the Toyota Motor Pension Fund) established;
System for rehiring employees after retirement at age 55 instituted
1969
April
Employee ranking system established;
- Adoption of system for all employees other than professional personnel at the assistant manager level and above and shop floor personnel at the team leader level and above to be referred to and treated as general employees, and for employees to set and work towards their own goals
August
Self-assessment system introduced (professional personnel)
1972
February
Overseas travel system commenced for employees who retire at retirement age
August
First Toyota Seminar at Sea (conducted through 2008)
1973
April
System granting two full days off per week launched
May
Toyota Sports Center completed in Toyota city, Aichi Profecture, Japan
November
Mandatory retirement age system modified;
- Mandatory retirement age extended from 55 to 60 years old

Multi-Ability Appraisal Program (MAP) introduced
1974
February
Labor agreement signed with labor unions
1976
January
Orphan scholarship program established
1978
January
Middle and Advanced Age Project launched
1980
July
Continued employment of personnel who reach 55 years old, mainly applying to assistant managers, commenced
1981
March
Hiring of foreign employees commenced
April
Toyota Family Fund established
June
Suitable Occupation Development Project Team established;
- develops jobs that older workers can perform at the manufacturing site; Rotation among different positions introduced (shop-floor staff positions)
1982
July
Reorganization implemented and personnel management systems integrated in conjunction with the merger of Toyota Motor Co. Ltd. and Toyota Motor Sales Co. Ltd.
September
Toyota Motor Worker's Union and Toyota Motor Sales Co. Ltd. labor unions merge
1983
April
International human resources development system introduced
1985
April
Consultant Office on Child Education for Overseas Expatriates established
1986
April
Hiring of female shop-floor staff personnel commenced at Hirose Plant;
April
Administrative Reform Committee established and Challenge 50 Campaign launched
1987
November
Occupational qualification system introduced (proffesional positions);
- Ten qualifications including senior general manager, Sanji, and Jokyu Shidoshoku established
1988

Authorization by Three Management Layers Campaign launched
1989
August
Vertical decision-making structures reduced and new personnel systems (review of qualifications and ranks) introduced (proffesional positions);
- Challenge Rotation and Internal Recruiting introduced
October
Flex-time introduced for some positions (proffesional worksites)

Timecards eliminated
1990
March
Full scale flex-time system introduced (proffesional worksites)
April
New wage system introduced (proffesional and shop-floor staff positions)
April
New evaluation system introduced (proffesional and shop-floor staff positions)
1991
January
Three-team two-shift work system introduced (shop-floor staff worksites)
June
Specialized work discretionary labor system introduced (proffesional worksites)

Toyota Skill Development system introduced (shop-floor staffworksites)

Hiring of female shop-floor staffpersonnel expanded (shop-floor staffworksites)

Skilled Partner system introduced (shop-floor staff positions);
- Skilled Partner is the name for rehiring of employees who are older than 60 years of age as temporary employees
1992
July
Intra Company Transferee (ICT) system introduced;
- employees at overseas affiliates are assigned to TMC for periods of six months to three years to learn the Toyota Way and specialized skills through on-the-job training
1993
April
Wages system revised (proffesional positions)
June
Business Reform activities commenced;
- 20% of employees at proffesional worksites assigned to addressing new issues, with the remaining 80% continuing in their current positions
1994
January
Mandatory retirement age for managers who are college graduates introduced (proffesional positions)
June
Contract employee system introduced (proffesional positions), flattening and generalization of teams and sub-sections commenced (shop-floor staff work sites)
1995
January
Mandatory retirement age for managers who are college graduates introduced (proffesional positions)
May
Continuous two-shift system introduced (shop-floor staff positions in plant divisions);
- two-shift (day and night) system was changed at plants for first time in 33 years
August
Flattening and generalization of organizations commenced (proffesional work sites)
1996
January
Casual day introduced (proffesional positions)
April
U-time system introduced (proffesional positions)
July
Challenge Program introduced (proffesional positions)
July
Challenge Career Support system introduced
July
Self-improvement leave system introduced (proffesional positions);
- a system that allows senior grade 3 executives (formerly managers and nonunion members) who are promoted to spend one month engaged in personally planned self-improvement; Adopted in place of the former retiree travel program
July
PRO21 Comprehensive Personnel Reform Program implemented (proffesional positions)
1997
January
Qualification and rank titles changed (chief expert CX, chief leader CL, etc.) (shop-floor staff positions)
January
Team leader position eliminated
June
Stock option system introduced
1999
January
Grand expert (GX) system introduced (shop-floor staff positions)
March
New personnel system for shop-floor staff positions introduced
April
Hiring of college graduate general employees terminated (proffesional positions)
April
Professional Human Resources Development Program introduced (proffesional positions))
October
Qualification system reorganized (proffesional and shop-floor staff positions)
October
New wage system introduced (proffesional positions)
November
J-Net system introduced;
- operations computerized with switch from paper form completion to PC use

GLOBAL 21 implemented (proffesional positions)
2000
January
System for advancement from general positions to specialized positions introduced (proffesional positions)
2002
January
Toyota Institute founded with the primary task of spreading the Toyota Way 2001 globally; Toyota Institute organization also established internally
January
Diversity Project 2002 launched;
- Various programs conducted from women's perspectives including Balancing Work and Childcare, Women's Career Development, and Reforming Corporate Culture and Awareness
October
Toyota Personnel Support Co., Ltd. established
2003
March
Worksite daycare centers established (three centers by 2006)
2004
April
Shop-floor staff position wage system reviewed (shop-floor staff positions)
October
Points-based retirement pay system introduced
2005

Work Skill Improvement Program commenced (proffesional positions)
2006
April
System instituted for rehiring of employees after mandatory retirement at age 60
2007
January
Team leader system introduced; Team Leader (TL) made into a formal position (shop-floor staff worksites)
April
Planning operations discretionary labor system introduced (proffesional positions)
July
Personnel organizations reformed to create less vertical decision-making structures (proffesional worksites);
- Shift made from flat organizations to small-group organizations, master development and clerical new employee systems introduced
2008
April
Iki-Iki (work dynamically and vigorously) Action Program 2020 commenced (shop-floor staff positions)
May
Toyota Loops established to increase employment of people with disabilities,
- disabled persons appointed to carry out internal and external mailing operations, printing operations, etc.
2009
January
GATEP (Global Assignment at TMC Positions) commenced;
April
Grand Master certification system launched
2010
April
Our Attitude booklet published and distributed
2011
October
TMC introduces study-abroad program for job-offer recipients
October
System of overtime work revised