Compliance

Fundamental Approach

Daihatsu promotes compliance activities with the aim of becoming a corporate group that is trusted by customers and society as a whole. The GRC Committee deliberates, formulates, and implements compliance activity plans on an annual basis. We also request Daihatsu Group companies to use a self check sheet to check their legal compliance status and report to Daihatsu. Basically it is up to each company to take the initiative in compliance, but we are working to raise awareness of compliance of the Group as a whole by supporting Group companies to make improvements based on their circumstances and needs.

Promotion Structure

The GRC Committee is responsible for promoting company-wide activities. In order to study specialized issues in each legal field, the committee has formed committees such as the Security Trade Control Committee and Corporate Safety and Health Committee (the Corporate Safety and Health Labor-Management Council), and each meeting is held regularly by each functional department. The Affiliated Companies Compliance Meeting is one of the means by which Daihatsu Group companies share information on legal trends and other companies’ actual cases of compliance violation as well as exchange opinions with internal control managers at Daihatsu Group companies for mutual improvement.

Initiatives

Daihatsu designates priority areas in which each Daihatsu Group company must comply with relevant laws and regulations. Each functional department responsible for an area takes the lead in engaging in activities to prevent compliance problems across Group companies.

Prevention of Bribery

Daihatsu has established the Anti-Corruption Guidelines and deployed them throughout the company and to Daihatsu Group companies in Japan and overseas.
The Guidelines have also been posted on the company intranet to ensure employee awareness. The Guidelines prohibit bribery of both public and non-public officials as well as provide for cooperation in investigations by relevant authorities. The Guidelines also conform to the Toyota Global Anti-Bribery and Anti-Corruption Policy.

Prevention of Corruption

As efforts to prevent corruption, Daihatsu has specified in its work rules that employees must not abuse their occupational authorities and clarified the penalties for violators to ensure that all employees thoroughly adhere to anti-corruption measures. Business partners are requested to engage in anti-corruption activities under the Supplier Sustainability Guidelines.

Compliance Education

Daihatsu is working to provide comprehensive training for all operating officers and employees.
We also incorporate a variety of methods, such as training when joining the company and after getting promoted, and e-learning for the whole company. As part of our awareness-spreading activities, we have implemented a Daily Compliance Quiz that is displayed when PCs are started up each day. Furthermore, we have added training using materials shared with Toyota.

Whistle-Blowing System

Fundamental Approach

Daihatsu has established a whistle-blowing system that is available to everyone engaged in its operations. By maintaining and enhancing compliance awareness, we discover risks of misconduct early on and prevent them from manifesting, with the aim of mitigating the risks faced by the company and contributing to creating a better company and better workplaces.
In particular, as described in “Initiatives,” the certification misconduct issue prompted a fundamental review of the whistle-blowing system, resulting in a significant increase in the number of reports received. (140 cases in 2022 ⇒ 324 cases in 2025).
We will continue the whistle-blowing system in the future to foster a corporate culture that values a higher sense of ethics and thorough compliance.

Whistle-Blowing System

Initiatives

Raising Awareness of the System

Regularly communicating reporting trends, the nature of reported cases, and examples of improvements made through reporting. Strengthening awareness of the system by distributing wallet-sized cards listing reporting contact points.

Fair Investigation System

Revising the investigation framework to one led by the Audit Division in order to improve the objectivity of investigations and confidence in the system. Securing the necessary resources to ensure appropriate responses.

Ensuring Confidentiality and Protection Against Unfair Treatment

Restructuring our regulations to be consistent with the Whistleblower Protection Act. Company-wide regulations clearly stipulate the protection of whistle-blower anonymity, thorough information management, avoidance of conflicts of interest, and prevention of disadvantageous treatment.

Response to Anonymous Reports

Feedback is also provided for anonymous reports when contact with the reporter is possible.

Utilization of External Whistle-Blowing System

In addition to adding external reporting channels, including law firms, we have also enabled the use of Toyota Group reporting channels to create an environment where employees can raise concerns more easily.

Whistle-Blowing Consultation Desk

Tax Affairs

Fundamental Approach

Regarding the payment of taxes, Daihatsu follows its “Daihatsu Sustainability Basic Policy” in complying with the laws and regulations of each country where we conduct business as well as standards announced by international organizations. We see tax payment as an obligation, and also as the foundation of our social contribution, and we strive to pay appropriate taxes by keeping stable profits through cost reduction by SSC (simple, slim, and compact).

Tax Policies