A Japanese power company is facing a massive public backlash after being accused of humiliating employees who failed to meet sales targets — including forcing them to take nude photos and subjecting them to painful physical abuse by their superiors.
According to the South China Morning Post on July 3, Neo Corporation, a power equipment company based in Osaka, is accused of imposing degrading punishments on underperforming staff, such as compelling them to take nude photos and endure testicle-grabbing by managers.
The scandal came to light after five former employees filed a lawsuit in March 2025, accusing the company of power harassment, verbal abuse, and physical violence.
Neo Corporation, founded in 1999, sells energy-saving equipment and provides installation services. The company operates nine branches across Japan.
Previously, the firm drew attention with bold recruitment ads, boasting that its sales staff earned an average of 14.27 million yen (around USD 97,000) in 2024, with over 57% earning more than 10 million yen per year.
However, according to the lawsuit, employees who failed to meet daily sales quotas were forced by their managers to take nude photos of themselves. These images were then shared with colleagues along with messages like, “The photo has been shared.”
One employee revealed that he was regularly subjected to the “testicle-grabbing punishment,” which left him in such pain he couldn’t speak. When he reported the abuse to management, he was met with laughter and the dismissive remark: “Everyone goes through this.”
The employee was later diagnosed with adjustment disorder and depression.
The company also allegedly forced employees to work overtime and subjected them to constant verbal abuse. In one instance, a branch manager was reportedly slapped by the company’s director for refusing to join a company dinner.
Disturbingly, Neo Corporation is also accused of illegally withholding commissions, requiring staff to transfer portions of their salaries back to the company on payday under the pretext of “penalties.” In one case, an employee was fined as much as 6 million yen (USD 42,000) for a traffic violation.
The five former employees are seeking 19 million yen (USD 132,000) in compensation for illegal wage deductions and workplace harassment.
Neo Corporation has denied all allegations, claiming the complaints are “inaccurate and one-sided” and insisting that “harassment has no place in our corporate culture.”
The case has shocked the Japanese public and sparked outrage on social media, with many calling the company’s conduct a “crime” that goes far beyond ordinary workplace harassment. Some were stunned by the severity of the alleged abuse, remarking, “Not even TV dramas would dare write such a script.”
According to the Women’s Studies International Forum, Japan currently lacks clear criminal penalties for workplace harassment, making it difficult for victims to pursue legal redress or seek compensation.
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Source: Vietnam Insider