EXHIBIT 10.4 - Miyazawa Employment Contract
EMPLOYMENT AGREEMENT
This Agreement is made and entered into by and between AJOL ("Employer") and
Hiroko Miyazawa ("Employee") as follows.
1. Purpose
a. Employee engages in occupations which are set forth in Section
2 of this Agreement by direction of Employer and fulfills the
duties responsibly as ordered by Employer. Employer shall pay
a salary for the service.
2. Occupation
a. Employee will work as a director having duties in an
employee's capacity whose core duties include in-house and
external negotiations, procedure arrangements and supervision
and direction for staff. Employee will engage in general
business of AJOL such as sales, assisting sales, office
duties, counting, production, distribution, operations and
technology as directed by Employer.
3. Work location
a. Regular work location is in the Tokyo metropolitan and within
Kanto prefectures.
4. Work hours
a. Regular shift is from 8:00 am to 5:00 pm.
b. Late shift is from 10:00 am to 7:00 pm or from 11:00am to
8:00pm
c. Evening shift is from 1:00 pm to 10:00 pm.
d. Holiday shift hour is from 9:00 am to 5:00 pm.
e. Regular break is from 12:00 pm to 1:00 pm and from 3:00 pm to
3:20 pm in regular shift, from 6:00 to 6:40 in overtime work
past 8:00pm, and from 3:00 pm to 3:20 pm and from 6:00 pm and
7:00 pm in evening shift.
f. Break in late shift is from 1:00 pm to 2:00 pm
g. Break in night shift is from 4:00 pm to 5:00 pm and from 8:00
pm to 8:20pm.
h. Break in holiday shift is from 12:00 pm to 1:00 pm and from
3:00 pm to 3:20 pm.
i. Work hours and break time may change for overtime work as
needed.
j. Employer issues a request for extra duty at least the month
before.
5. Holidays
a. Regular holidays are Saturdays, Sundays, national holidays,
New Year holidays, and holidays which Employer sets forth.
b. However, Employer may request a holiday shift as needed.
c. Employer will issue a request for holiday work or holiday
shift at least 1 month before when Employer directs Employee
to work on holidays.
d. Employer assigns a substitute holiday in advance in case of
directing holiday shift.
6. Supervision of work hours
a. Sign in and out should be self-supervision for a scope which
doesn't affect business. Employee shall submit a designated
form only for the case of work absence, and tardiness and
leaving early more than half day. Arriving after 1:00 pm and
leaving before 12:00 pm are considered as tardiness and
leaving early of more than half day.
7. Annual paid holidays
a. Employee will receive 10 days paid vacation per year on the
1st day of the month after having worked at least 80% of the
business days for three months since joining. One vacation day
will be added after the 2nd year and two days will be added
each year after 3 years 3 months of continued work. The
maximum cumulative vacation accrual allowed is 20 days.
b. Employee shall submit the designated form to the department
manager and acquire an approval at least one day before
Employee uses paid vacation. Employee shall submit a request
to President by fax by 12:00 am of the day before in a case
where the manager is not available. If Employee doesn't have
access to fax machine, Employee must report to President by
emailing to his cellular phone or leaving a message in his
answering machine.
c. Failure to properly submit the vacation request form will
result in an absence day whereby Employee can't transfer such
absence days to annual paid vacations.
d. Annual paid vacations cannot be used during a week after
holiday work indicated in Article 5, Item c. Holiday work may
be changed to holiday shift and a substitute holiday will be
assigned as day-off if there are any unavoidable reasons to
get day-off.
8. Job grade, class and salary
a. Job grade and class is S-41.
b. Salary is paid monthly and the following amount will be paid
for 25 hours extra duty a month and 5 hours night shift.
salary 368,980 yen
+ extra duty 71,196 yen
+ night shift 2,824 yen
= montly salary 443,000 yen
c. Extra duty request form for an applicable time must be issued
at least the month before in order to receive extra duty and
night shift benefits. If extra duty request form is not
issued, the benefits above will not be paid
d. Payroll closing date is every 15th and payment of salary from
16th of the previous month to 15th of the current month is
made into the designated bank account every 25th of the month.
e. Commuting allowances to the work location which is calculated
by the shortest route AJOL approves will be paid to Employee,
who uses public transportation such as train and bus. However,
the maximum allowance amount should not exceed the nontaxable
amount.
f. For Employee's absence, the following amount per day will be
deducted by the half day. Monthly salary x12 / (365-120)
g. Holiday work benefit amount which is calculated by the
following method will be paid. Salary /annual predetermined
work hours (163.3 hours) x1.25 xactual holiday work hours
1) Holiday work request or holiday shift request form
must be issued to receive holiday work benefit or
substitute holiday. If the form is not issued,
Employee will not receive the holiday work benefits
or substitute holidays.
2) Employee will receive holiday work benefit for 7
hours which is recognized as actual work hours by
Employer if Employee engages in in-house occupation
on holidays.
3) Employer will receive holiday work benefit for 5
hours which is recognized as actual work hours by
Employer if Employee attends agent training, works
for inventory taking, or collects news data.
4) Employee will receive holiday work benefit for 5
hours which is recognized as actual work hours by
Employer if Employee attends important events such as
an Acube event, business partner's event, and
memorial service of employees and business partners
as a representative of the company. Holiday work
benefit will not be paid if events attended are not
considered important.
5) Attending an in-house or outside training, business
trip to oversea, exclusive in-house event, events of
business partners, wedding reception of employees or
business partners, and other related events are not
considered important and not recognized as a holiday
work or a holiday shift.
6) If business trip departure or arrival day falls into
holiday, it is not considered important and not
recognized as a holiday work or a holiday shift even
if it is for traveling or preparation.
7) Even if M rank employees who should be responsible
for absolute liability work on holidays, their
primary work is directing and supervising, therefore
they don't receive holiday work or holiday shift
benefits.
h. Travel allowance will be paid as follows.
1) Employee shall submit a business trip request form at
least one day before business trip and be self-proven
to receive travel allowance unless the trip is an
accidental event.
2) Approved accommodation charge shall be 12,000 yen.
3) Daily allowance shall be 6,000 yen per day.
4) In a cases Employee stays at an accommodation whose
charge exceeds the approved accommodation charge,
actual expenses will be paid only if Employee stays
with President or the business partners.
5) Accommodation charges will be paid if Employee stays
the day before or after events for the convenience of
traveling or preparation.
6) Daily allowance is paid when Employee attends Acube
events or events held by business partners, memorial
services of employees and business partners, and
other important duties in Tokyo and the 3 neighboring
prefectures.
7) Travel allowance will be paid but not daily allowance
when Employee attends in-house and external training,
in-house events, events held by business partners,
wedding receptions of employees and business
partners, and the duties pursue these events.
8) Daily allowance will be paid for the departure and
arrival days if the duties on the business trip are
important, but will not be paid during traveling and
days for preparations.
9) However, daily allowance will be paid for the days if
a day before events or two days after events fall
into a holiday in Tokyo and 3 neighboring
prefectures.
i. Bonus which consists of one to three month of total monthly
salary amount will be distributed biannually depending on the
work ability rating, based on the company's results. However,
in case there are unavoidable reasons such as the company
results and other, Employer may change the payment day or stop
the payment.
1) From April to September and from October to March
will be subject to bonus payment term and bonus will
be paid in December and July as a general rule.
2) Employee must be employed on a payment day in order
to receive bonus.
3) If the employment term in the bonus subject term is
less than 6 months, a prorated amount will be
calculated.
9. Service Discipline
a. Employee shall work honestly according to Employer's direction
and strictly observe the company rules, the other regulations
and the service discipline on the pledge.
10. Approval items by Employee
a. Employee accepts the approval items on the pledge.
11. Indemnification for damage
a. If Employee causes damage or loss of credibility to Employer
by violating the company rules and the other regulations by a
serious mistake or deliberatively, Employee must bear the
responsibility for indemnifying the damage.
12. Term
a. Agreement term is from July 1, 2003 to June 30, 2004.
b. Employer will give a renewal or termination notice to Employee
at least 30 days before the termination date.
13. Termination
a. Employer can terminate this Agreement by giving a notice if
there are any significant reasons caused by Employee violating
the company rules and the other regulations.
b. Employer can terminate this Agreement by giving at least 30
days notice if there are particular unavoidable reasons.
c. Employee can terminate this Agreement by giving 14 days notice
to Employer based on 15th or the end of month being a
termination date.