Japanese energy company fires its president for inappropriate behaviour



The Japanese energy group Eneos Holdings which includes the large oil and gas company JX Nippon Oil & Gas has fired its president and forced out another senior executive over inappropriate behaviour with a woman.

Eneos said its president Saito Takeshi had “hugged a woman while drunk at a social gathering” that was also attended by his first assistant Yatabe Yasushi, the company’s executive vice president and Sunaga Kotaro, the senior vice president.

The incident was reported at the end of November by a whistleblower, and Eneos’ investigation found the incident was accurate.

As a result, Takeshi was dismissed and will forfeit a portion of his monthly compensation, bonus, and stock-based compensation.

Yasushi was forced to resign, and Kotaro will receive a 30% remuneration deduction for three months.

Yasushi was determined to be responsible for Takeshi’s inappropriate behaviour, while Kotaro was found to have made inappropriate comments to the woman “that perpetuated gender stereotypes.

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In addition, it was determined that Mr Sunaga (Kotaro) was responsible for causing excessive drinking and inappropriate behavior by Mr Saito (Takeshi), despite being in charge of the administrative office of the social gathering”.

Eneos said inappropriate behavior by top management had occurred two years in a row following on from a separate incident involving past chairman Sugimori Tsutomu.

Eneos said it had already implemented measures earlier this year “to ensure respect for human rights and compliance” which included training for directors and officers.

In addition, in response to the inappropriate conduct, Ota Katsuyuki, chairman of the board, who has been leading the management, will voluntarily return 30% of his monthly compensation for six months.

As well, executive vice presidents Miyata Tomohide, Shiina Hideki and Inoue Keitaro, who have been promoting the measures to prevent the recurrenceof of inappropriate behaviour, will voluntarily return 30% of their monthly compensation for three months.

“We will diligently consider drastic governance reforms, taking all options into consideration. In addition, we will consider more effective measures to prevent recurrence, based on the recognition that the management, which is in a position of promoting respect for human rights and thorough compliance, lacked such awareness,” said Eneos.