Material Topic 5

Unleashing the Potential in Diverse Talent Worldwide

この取り組みを通じて目指すゴール: Goal:

We aim to be a company that can continue to grow sustainably by creating an environment in which people from diverse backgrounds all around the world can reach their full potential.

Material Topic 5
CHRO Message

The One Thing Mercari Has Focused on More Than Anything Else Is Investment in People

In order to achieve our mission, the one thing Mercari has focused on more than anything else is investment in people. My commitment as the company’s CHRO is to maximize the impact of that investment.

In our material topics we’ve stated that our overall policy is “Unleashing the Potential in Diverse Talent Worldwide.” This is because when it comes to hiring diverse talent from around the world, we like to think of the diversity of our members as a well source of creativity. Mercari’s policy is to hire professionals from around the world by providing market-competitive compensation and to train our people by providing continuous learning opportunities. We now employ talented members from more than 50 countries and territories, and our engineering organization in Japan is especially diverse, with no less than 50% of our engineering-related jobs being filled by members of foreign nationalities.

And, in order to be an organization that can bring out the best from this diverse talent, there are mechanisms that encourage our members to take on bold challenges on an ongoing basis. In any number of situations, all of our members are rigorous in asking themselves, based on our values, “am I taking on bold challenges to achieve our mission?” and “am I quick to learn from failure and success?” You could say that the results of this can be seen in the sections of this report that examine what Mercari has accomplished over the past ten years.

We have put together mechanisms to increase opportunities for bold selection and promotion based on the extent to which members demonstrate our values and to provide competitive compensation regardless of our members’ attributes. Eliminating the gender pay gap is a commitment in line with this policy.

Going forward, Mercari will make further efforts to balance investment judgement that maximizes the aggregate results of members demonstrating the company’s values over the long term. Therefore, as part of our culture, we will continue to clarify and constantly update the expectations we hold for our members based on our values. At Mercari, this is our concrete judgement criteria for investing in our people.

Chief Human Resources Officer
Tatsuo Kinoshita

Focus Areas

  • Recruit and train professionals from around the globe
  • Embrace diversity & inclusion
  • Build a culture that makes it possible for our members to take on bold challenges to achieve our mission

Summary of FY2023.6

To coincide with our tenth anniversary, we established a new Mercari Group mission to “circulate all forms of value to unleash the potential in all people.” We reaffirmed our commitment to promoting D&I, which is essential to achieving our mission, and became the first company in Japan to obtain “EDGE Assess” level certification, a globally recognized standard that evaluates initiatives regarding gender equality in the workplace. We implemented corrective measures to address the gender pay gap. We opened up our new office, Mercari Base Tokyo, and established Mercari India to continue building our development capacity with more diverse talent and locations.

Plan for FY2024.6

  • Strengthen new graduate hiring for a more diverse team of talent
  • Establish the necessary working environment and compensation system to expand our India office
  • Update our D&I policies and develop new initiatives for a more inclusive workplace
  • Update our culture and communicate it across the organization to make it easier for members to demonstrate our values

Results: Human Capital Highlights

    Embracing Diversity & Inclusion

    The diversity of our members is a well source of creativity. Mercari provides equal opportunity for all members to be able to embody our three values to the fullest. We do not stand for discrimination or unfair treatment stemming from someone’s background and continue using relevant data in order to improve the environment we share.
  • Initiatives for a fair workplace

    • Formulating a Basic Human Rights Policy
    • Implementing a process to assess, correct, and communicate on the gender pay gap, and conducting salary adjustments
    • Improving the transparency of the promotion and appointment process, and communicating it to all employees
    • Implementing a mechanism to ensure equal opportunities to access career-critical assignments ("Bold Choice" system)

  • Initiatives for a diverse workplace

    • Monitoring the KPIs defined for our hiring and appointment candidate pools (“Process KPIs”)
    • Identifying issues and creating a cross-organizational action plan
    • Strengthening hiring initiatives
    • Holding Build@Mercari 2023, our training program for software engineers
    • Continuing our partnership for education with Kamiyama Marugoto College of Design, Technology, and Entrepreneurship to promote diversity & inclusion
    • Running the Mercari Restart Program to help people restart their careers

  • Initiatives for an inclusive workplace

    Building a Work Environment for Diverse Members to Go Bold

    Mercari has an HR policy that rewards members through their compensation during positive times. During difficult times, we provide additional support through a benefits system called “Merci Box.” In addition to these systems, we recently established the “Your Choice” system to provide an environment that allows members of all backgrounds to thrive, and redesigned our office—now called “Mercari Base Tokyo”—with the intention to foster communication between members.
  • Merci Box

    Mercari’s Merci Box benefit system was introduced in 2016 to provide an environment where employees can Go Bold and give 100% at work by providing them with as much support as possible during difficult times1. In providing this support, our goal is to mitigate people’s uneasiness about being able to continue working.

    1. Difficult times: Negative circumstances that we all face at some point in our lives. Situations in which, regardless of individual efforts, the psychological or economic load that a person must overcome is substantial while any potential solutions are limited, eventually affecting the work performance of the individual.

  • Your Choice

    The Your Choice system was introduced in 2021 to provide an environment that allows members of all backgrounds to thrive, maximizing individual and organizational performance.

  • Mercari Base Tokyo

    In September 2022, we completely renovated our office into what is now called “Mercari Base Tokyo.” Every corner of Mercari Base Tokyo has been designed with the intention of bringing the entire organization together and fostering communication and collaboration to achieve our Group mission, whether online, offline, or anywhere in between. The new office is filled with spaces for members to do work on their own or as a team, such as a project area that teams can reserve to work together offline, several lounge spaces with big tables and sofas for casual chats, a spacious shoes-free zone to sit back and relax, and individual booths for focus work.

    Taking Action to Close the Gender Pay Gap

    Our investigation revealed that the portion of the raw gender pay gap known as "unexplained" was 7%, so we conducted individual salary adjustments to reduce it. This is part of the mechanisms that we have in place to provide competitive compensation regardless of our members’ attributes.

    Gender pay gap analysis results

    The raw gender pay gap was calculated to be 37.5%. Additionally, upon using regression analysis, we learned that the unexplained gap was roughly 7%.
    • The explainable portion of the gap was mainly caused by the difference in the distribution of grades among men and women.
    • The results of analyzing the causes of the pay gap revealed that the factor that had the most impact on it was the differences in the salaries of men and women upon entering the company (at the time of joining the company, there existed an unexplained pay gap of roughly 9%).

    Implemented measures and future initiatives

    • Implemented periodic pay gap monitoring using regression analysis
    • At all-hands meetings in July 2023, the leadership team communicated on the company's plan to proactively ensure gender pay equity
    • In August 2023, reduced the unexplained pay gap found at Mercari from 7.0% to 2.5%
    • Revised our hiring practices to break the chain of pay gaps being carried over from outside our organization at the time of hiring