The Japan Labor Flash No.15
Email Journal May 17, 2004

Statistical Reports
Recent Statistical Survey Reports
Current Topics
75th Central May Day rally held
Public Policies
The Ministry of Health, Labour and Welfare supports programs to
reinvigorate regional areas in an attempt to create more jobs …etc
News Clippings
Major supermarkets allow part-time workers to become union members
…etc
Special Issue
Debate over reexamination of the social security system


Statistical Reports

-Recent Statistical Survey Reports April 2004-

Features
Survey on Corporate Activities (FY2003)
Report on Employment Service (March and FY2003) …etc

http://www.jil.go.jp/english/estatis/esaikin/2004/e2004-04.htm


Current Topics

-75th Central May Day rally held-

The pension reform bill, the central and most hotly-contested bill
in the current session of the Diet, was passed on April 28 at a
meeting of the House of Representatives' Committee on Health, Welfare
and Labour, despite the strong resistance voiced by the opposition
parties.
On the following day, the Japanese Trade Union Confederation (Rengo)
held its 75th Central May Day rally at Yoyogi Park in Tokyo. This
year's slogan was "Workers unite to address issues related to peace,
human rights, the environment, labor and a harmonious coexistence,
create a labor-centered welfare society, and build a free and peaceful
world." A special slogan, "Prevent the worsening of the pension program
and create a secure and reliable system through fundamental reform" was
also adopted.

Continued on;
http://www.jil.go.jp/english/archives/emm/2004/no.15/75th_cm.htm


Public Policies

-The Ministry of Health, Labour and Welfare supports programs to
reinvigorate regional areas in an attempt to create more jobs-

Starting in FY2004, the Ministry of Health, Labour and Welfare will
implement a project to assist in the promotion of expanding regional
employment opportunities. Its aims are to step up regional development
by establishing resource-recycling communities, promoting tourism in
cities, expanding channels for selling local produce, and encouraging
companies to set up business in various localities. At the same time,
the Ministry will provide full financial assistance to business
projects that aim to use unique ideas to create jobs in local areas.
The Ministry plans to receive applications and proposals through local
municipalities, and then sponsor selected programs.

Seventy municipalities launched eighteen programs in May in the
initial launch of projects for FY2004, through which municipalities
aim to heighten their job creation effects. The following programs
were selected for assistance: creation of a resource-recycling community
in Yatsushiro City, Kumamoto Prefecture; transforming Noboribetsu,
Hokkaido into a tourist city; expanding sales channels for local
industries in West Tosa Village, Kochi Prefecture; and promoting
regional development by inviting companies to set up business in
Nakatsu City, Oita Prefecture.

Many business projects feature unique ideas and are participatory
in nature, incorporating various training/study meetings, seminars
and other events.


-Proportion of female applicants to the first-class national public
service personnel examination the highest ever-

The National Personnel Authority recently disclosed the number of
applicants to the first-class national public service personnel
employment examination for FY2004, for which the application
deadline fell in April. A total of 33,385 people signed up to take
the test, which was 1,474 more than the previous year, showing a 4.6%
increase. Of these, 9,600 were women, accounting for 28.8% of the
total applicants--an all-time high.


News Clippings

-Major supermarkets allow part-time workers to become union members-

Three major supermarket chains (Aeon, Ito-Yokado, and Seiyu) are
moving to allow a maximum of 140,000 part-time employees to join the
same labor unions as their full-time employees. Part-time employees
now account for over 70% of all employee numbers at all three chains,
with part-time employees even assuming managerial positions at some
stores. By allowing part-timers to become members of the same unions
as full-time employees, the chains aim to respond to workers' demands
for improvements in the workplace, as well as to boost worker morale,
and heighten their stores' competitiveness. Other retailers are expected
to follow suit.

At Daiei, approximately 30% of all its part-time workers (about
14,500 people) are already union members.

With competition intensifying within the industry, companies have
decided to allow unionization among part-time workers due to the fact
that the quality of part-timers has a vital influence on their
competitive edge. Part-timers also stand to gain as members of unions,
because they can demand improvements in working conditions and make
use of various corporate welfare programs.
(Nihon Keizai Shimbun, April)


-Securing a job more important than its likeability-

A survey conducted by the Japan Management Association revealed
that new graduates entering companies in FY2004 prioritized securing
a job over looking for jobs or companies they liked, and that they
strongly hoped to achieve personal advancement within the company.

The survey targeted new corporate employees who took part in a
seminar organized by the association, and had a total of 728 respondents.

Of the respondents, 64.4% said that they prioritized securing a job
even if the company was not exactly the one they had in mind or even
liked. This rate greatly surpassed the 31.6% who said that they were
willing to risk becoming job-hopping, part-time workers ("freeters")
if they could not find employment at companies of their choice, or do
work that they liked.

It appears that, with the tough employment situation of late,
jobseekers' first option is to join any company that will hire them
as a regular employee, rather than becoming "freeters."

Meanwhile, 69.3% of the respondents considered switching jobs or
starting up their own business in the future. This rate has consistently
remained around 70% since FY2001, and the Association concludes that
starting up businesses or switching jobs has become quite a common
phenomenon in Japan.
(Yomiuri Shimbun, April)


Special Issue

-Debate over reexamination of the social security system-

With the continuous and rapid aging of the Japanese population,
hikes in pension, medical, nursing and other benefit payments are
expected in the coming years. According to the Ministry of Health,
Labour and Welfare estimates, the taxes and premium payments used to
pay for these social security benefits will account for 29.5% of
national income by FY2025 (versus 23.5% in FY2004). The burden on the
public purse is set to amount to 155 trillion yen, which is almost
twice the current amount, sharply surpassing the 1.4-fold growth rate
in national income expected during the same period. If this holds true,
the current generation of workers who pay taxes and pension premiums
will inevitably have to bear a greater financial burden. This is likely
to add to the discontent already being felt by the younger generations.
To compound these effects, the number of children is set to fall further
due to the declining birth rate.

US$=\113 (May 17, 2004)

Continued on;
http://www.jil.go.jp/english/archives/emm/2004/no.15/scs.html