Release
2023/07/10
OSAKA, Japan, July 10, 2023 - Shionogi & Co., Ltd. (Head Office: Osaka, Japan; Chief Executive Officer: Isao Teshirogi, Ph.D.; hereafter "Shionogi") announced that, at the meeting of its Board of Directors held today, the Directors decided to implement an early retirement program (hereafter “the Program”) as follows.
1. Background
In June 2020, Shionogi formulated its Medium-Term Business Plan, SHIONOGI Transformation Strategy 2030 (“STS2030”). Even as the environment surrounding companies and the demands of society change dramatically, we have strongly promoted business transformation and management foundation reform in order to fulfill our social mission of continuing to contribute to the realization of human health and a sustainable society as a pharmaceutical company. The efforts we have made and the lessons we have learned over the past three fiscal years have made the path toward achieving the SHIONOGI Group Vision1 (2030 Vision) even clearer. We therefore decided to revise STS2030 and to reformulate it into the STS2030 Revision in June 2023.2 In order to achieve the STS2030 Revision, we will need to achieve growth through further transformation, such as launching new products as growth drivers through aggressive investment and establishing new businesses such as the vaccine business, in addition to global top-line growth centered on the infectious disease area. We must achieve this with greater speed and momentum than ever before. In this way, in order to achieve the STS2030 Revision while transforming the business model, it is necessary to work greedily to acquire new capabilities in all works. At Shionogi, we have been working to strengthen various management foundations, such as development of strong individuals capable of emerging victorious amid global competition while boldly taking on unprecedented challenges and establishment of organizations that leverage the diversity of their human resources. As part of our efforts to accelerate the review of the personnel portfolio aimed at realizing "global growth" and "establishment and growth of new businesses," we will implement the Program with the aim of strengthening our business structure by optimizing personnel.
2. Overview of the Program
(1) Eligible employees
Employees* who are aged 50 or over as of March 31, 2024, with at least five years of service
*Excludes managers and some professional as of July 1, 2023
(2) Number of employees who can be accepted into the program
About 200 employees
(3) Application period
August 1, 2023 to September 20, 2023 (planned)
(4) Retirement date
October 31, 2023
(5) Preferential benefits
① Special additional allowance on top of regular retirement allowance
② Providing reemployment support services to applicants
3. Impact on financial performance
Shionogi plans to record the expenses, including the special retirement allowances, that are incurred in association with the implementation of the Program in its financial results for the second quarter of the fiscal year ending March 31, 2024. Regarding the impact on business performance, we will inform you after carefully examining the future application status.
References
1． SHIONOGI Group Vision (What we want to achieve by 2030)
Building Innovation Platforms to Shape the Future of Healthcare
2． Press release on June 1, 2023
Revision of the Medium-Term Business Plan STS2030
Forward-Looking Statements
This announcement contains forward-looking statements. These statements are based on expectations in light of the information currently available, assumptions that are subject to risks and uncertainties which could cause actual results to differ materially from these statements. Risks and uncertainties include general domestic and international economic conditions such as general industry and market conditions, and changes of interest rate and currency exchange rate. These risks and uncertainties particularly apply with respect to product-related forward-looking statements. Product risks and uncertainties include, but are not limited to, completion and discontinuation of clinical trials; obtaining regulatory approvals; claims and concerns about product safety and efficacy; technological advances; adverse outcome of important litigation; domestic and foreign healthcare reforms and changes of laws and regulations. Also for existing products, there are manufacturing and marketing risks, which include, but are not limited to, inability to build production capacity to meet demand, lack of availability of raw materials and entry of competitive products. The company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
For Further Information, Contact:
SHIONOGI Website Inquiry Form : https://www.shionogi.com/global/en/contact.html