Deutsche Securities, low performance

【Judgement】 lawful dismissal

【Company】 Deutsche Securities Inc.

【Category】 ordinary dismissal (low performance)

【Reference】 Rodo Hanrei Journal 54-39

【Position/Salary】Director / JPY 36M

【Summary】

The achievement rates for the plaintiff's revenue targets were continuously decreasing: 68% (evaluation 4, bonus of 10 million yen), 33% (evaluation 2, bonus of 5 million yen), and 16% (evaluation 1, no bonus). Given that there is no prospect of improvement, it can be concluded that this falls under the grounds for dismissal as stipulated in the work rules, which states "when the company recognizes that the employee has poor performance and no prospect for improvement, and is not suitable for employment."

Although no reassignment or Performance Improvement Plan (PIP) was attempted, it cannot be said that the dismissal in this case lacks appropriateness, as the employment contract is a job-specific contract. Specifically, since the defendant entered into the employment contract with salary and benefits appropriate for a specialized position after specifying the job type and department, there exists an agreement between the plaintiff and defendant that limits the scope of work to a specific job category.