Meiji Yasuda Life Insurance Co. on Friday announced disciplinary actions against incoming top executives and other employees over the company's failure to pay insurance benefits to legitimate claimants, bringing the number of employees punished over the practice to 90.
Early this month, after the government imposed penalties against the life insurer for the second time this year over failure to pay claims, the company said its 11 senior managing directors and higher-ranking executives would resign to take responsibility for the scandal.
Meiji Yasuda also said it will cut the pay of 12 incoming executives by 10 percent to 30 percent for three months. Those affected include the new president, Kenji Matsuo, and Kenichi Sekiguchi, who has been named chairman.
Matsuo and Sekiguchi, who will take up their posts Dec. 1, will voluntarily return 30 percent of their pay for nine months after the initial three-month pay cut.
An additional 13 people who had served as executives or auditors during the time when the insurance benefits were being withheld will be forced to return 10 percent to 30 percent of their compensation during the period, the firm said.
Meiji Yasuda said it will impose pay cuts and reprimand rank-and-file employees who were directly involved in the failure to pay the claims.