SHIKI-NO-KAZE LAW GROUP

EMPLOYMENT

■　Ban on Discrimination

Labor standard law prohibits discrimination based on nationality, belief, social status.

■　Unlawful Termination

Employer cannot terminate employment contract at will. He/she needs cause such as the employee’s wrong doing or inappropriate conduct that is grave enough for dismissal.

Traditionally, termination of employment contract by the employer for the purpose of reducing costs was considered abuse of power unless:

1. There is need to reduce number of employees;

2. The employer has tried other measures to reduce costs so that reduction of employees would be unnecessary;

3. Selection of employees to dismiss is based on appropriate criteria; and

4. The employer has adequately negotiated with the labor union or the employee.

Today, the court does not render termination of employment contract null and void just because it does not fulfill all four conditions. It takes into consideration these four conditions to determine whether the termination constitutes abuse of power.

■　Overtime Pay

Employer must pay increased wages for overtime:

1.25 time or more the usual pay for overtime work up to 60 hours a month and work between 10:00 p.m. and 5:00 a.m.
1.5 times or more the usual pay for overtime work in addition to 60 hours a month.
1.35 times or more the usual pay for overtime work during weekends and holidays.

■　Foreign Workers

Governing Law
Even if your employment contract is governed by a foreign law, if your work place in Japan and you tell your employer that you want the mandatory provision of the Japanese labor laws to be applied to your employment contract, such mandatory provisions will be applied to your employment contract.
Illegal Aliens
Japanese labor laws are applicable to illegal aliens. The employer must comply with Japanese labor laws with regard to working hours, minimum wage, overtime pay, work place safety and compensation insurance for accident at work.

■　Useful Information

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