The JIL Labor Flash Vol.24
Email Journal 01.08.2002

   Statistical Reports
     Main Labor Economic Indicators
   Current Topics
     The 2002 Edition of the White Paper on the Labour Economy
   Public Policies
     The Ministry of Health, Labour and Welfare announces results of
     an Industry Labor Situation Survey
   News Clippings
     A plaintiff demanding that her employer pay accumulated "unpaid
     overtime work" wins her case ...etc
   Special Issue
     Raising of employment insurance premiums again and their problems


Statistical Reports

   -Main Labor Economic Indicators July 2002-
  
    http://www.jil.go.jp/estatis/eshuyo/200207/econtents.htm
   


   Current Topics
  
   -The 2002 Edition of the White Paper on the Labour Economy-

    The Ministry of Health, Labour and Welfare has published the 2002
  Edition of the White Paper on the Labour Economy. It features "Recent
  trends in employment and unemployment, and their backgrounds" as its
  sub-theme.
 
    The White Paper first described how the Japanese economy had
  regressed after October 2000, and showed that, while the employment
  rates in the Western countries continued to drop, Japan saw its
  overall unemployment rate rise sharply to 5.5% in December 2001.
  At the same time, although Japan's unemployment rate is still low by
  international standards, the White Paper suggested the possibility
  that, should the unemployment rate continue to rise, Japan may slip
  from "Economic Superpower" status to become just "an ordinary country".
 
   Continued on;
     http://www.jil.go.jp/english/archives/emm/2001-2003/2002b/vol.24/wp2002.html
   


   Public Policies

   -The Ministry of Health, Labour and Welfare announces results of an
    Industry Labor Situation Survey-
   
    The Ministry of Health, Labour and Welfare announced the results of
  their Industry Labor Situation Survey for 2001, in which it investigated
  corporate initiatives and labor practices brought about by the
  globalization of the economy. The Ministry conducted the survey in
  September 2001 by visiting about 4,000 private-sector companies
  throughout Japan that consistently employed 30 or more employees.
  Answers were sent in by 3,153 companies (77.1%).
 
    The survey found that 7.6% of the subject companies overall conducted
  business in other countries, and that 47.9% of companies with around
  1,000 employees were conducting business operations overseas.

    In terms of country/region, a total of 60.2% of the surveyed companies
  were operating in Asia (not including China). This was followed by China
  (54.4%), North America (27.3%), and Europe (17.4%).
   
    A high percentage of large-scale companies answered that they planned
  to make inroads into overseas markets, or expand their existing overseas
  businesses. By business category, 16.9% of the companies in the
  manufacturing sector replied positively, followed by finance/insurance
  companies (12.6%), and wholesale and retail sectors as well as food
  and beverage companies (8.8%). When asked about their reasons for
  advancing into overseas markets, 55% cited "to expand or develop their
  markets," followed by "to secure cheap labor" (42.5%), and "to procure
  cheap raw materials and parts" (32.5%).
 
    The survey also studied the employment status of foreign workers
  in Japan. When asked to cite the channel through which the companies
  hired these foreign nationals, 47.2% of the companies apparently did
  so "through personal connections," followed by "through private job
  placement offices in Japan" (19.5%), and "through public employment
  security offices in Japan" (13.8%).


   News Clippings

   -A plaintiff demanding that her employer pay accumulated "unpaid
    overtime work" wins her case-
  
    An Osaka woman filed a lawsuit against Sunmark Education System,
  her employer, who allegedly failed to pay for her overtime work which
  was not recorded and regarded as service work (amounting to as much as
  700 hours a year), demanding payment of about 2.2 million yen to cover
  unpaid overtime and other work. The court’s decision was made completely
  in favor of the plaintiff, with the company agreeing to issue an apology
  and paying a sum of 2.47 million yen by way of amicable settlement.
                                          (Nihon Keizai Shimbun, July)

 
   -The Yomiuri Shimbun survey reveals that 41% of Japanese people find
    day-to-day living "tougher" than a year ago-
   
    The Yomiuri Shimbun conducted in late June a nationwide opinion poll
  on people's livelihoods. The survey targeted 3,000 eligible voters
  throughout Japan, and responses were sent in by 65.4% of those surveyed.
 
    The survey found that, despite the government's announcement that
  "business had hit bottom," many Japanese people felt that the poor
  state of the economy made their day-to-day living a hard grind. For
  example, 41% of the respondents felt that living was tougher now than
  a year ago, 6 percentage points more than the previous year. This was
  the highest figure since 1991, immediately after the collapse of the
  bubble economy.
 
    When asked about the effects of the current reduction in commodity
  prices on their current lives, 42% of the respondents said that they
  had "a fairly good effect", while 43%--about the same percentage--said
  that they had a "somewhat bad effect." However, the percentage of those
  who answered "an entirely bad effect" increased by 7 percentage points
  over the previous year.
   
    Moreover, when asked whether or not they found the government's
  business forecasts and analyses to be accurate descriptions of their
  actual living conditions, a high 76% dismissed such reports, saying
  that they "had no relation to their actual living situations."
  Similarly, 84% of the respondents doubted that business would show an
  upturn within a year.
                                               (Yomiuri Shimbun, July)
                                           


   Special Issue

   -Raising of employment insurance premiums again and their problems-
   
    The overall unemployment rate, which was 2.2% in FY1992, has since
  increased each year, and exceeded 5% in FY2001. The number of
  unemployment insurance recipients also increased year by year, from an
  average 570,000 people per month in 1992 to over 1 million people in
  FY1998, and has continued to increase steadily. On the other hand,
  growth in premium revenue has continued to stagnate because of the
  lingering recession. Ever since FY1994, deficit between income and
  expenditure has been dealt with by using reserves accumulated from
  employment insurance. These reserves, however, are expected to run
  out in FY2003.
  
   Continued on;
     http://www.jil.go.jp/english/archives/emm/2001-2003/2002b/vol.24/employmentinsurance.html