The Japan Labor Flash No.67
Email Journal August 15, 2006

Statistical Reports
Recent Statistical Survey Reports
Current Topics
Working Hours Still Continue to Increase
LDP Special Committee Decides Policy on Expanded Acceptance of
Foreign Workers
Public Policies
Recommendations Given to Increase Regional Minimum Wage by 2-4 Yen
The Council for the Promotion of Regulatory Reform Publishes Interim
Report on Foreigners, etc.
News Clippings
Cybozu to Offer Child-Care Leave as Many Times in Six Years as
Employees Need
2006 Survey on Firms Offering a Comfortable Working Environment
Special Issue
Widening Disparity among Young People


Statistical Reports

-Recent Statistical Survey Reports 2006-

Features
Survey on Labor Union Activities (2005)
The Average Life Expectancy of Japanese People (2005)

http://www.jil.go.jp/english/estatis/esaikin/2006/e2006-07.htm


Current Topics

-Working Hours Still Continue to Increase-

A survey conducted by the Japan Institute for Labor Policy and
Training revealed that the average monthly working hours of regular
employees, as of June 2005, reached 196.7 hours, exceeding the
average monthly scheduled working hours by 33 hours. The figures for
males and females are 204.5 hours and 178.3 hours, respectively.
By age, the average monthly working hours among those in their 40s
were the longest, 199.3 hours, followed by 198.8 hours among those
in their 30s. The longest hours were seen in the transport industry,
224.6 hours, followed by the wholesale and retail trade industry,
207.4 hours. Since the industrial sector is complaining about a
labor shortage, the figure is most likely much larger at the moment.


-LDP Special Committee Decides Policy on Expanded Acceptance of
Foreign Workers-

A Special Committee on Foreign Workers of the ruling Liberal
Democratic Party decided, at a meeting held in mid-July, to call on
the government to establish a new system to encourage the acceptance
of foreign workers with a certain proficiency in Japanese language
and other skills by, for example, granting them residence status.
The Committee specifically stated that it would ask the government
to grant work permits to foreigners who have acquired Japanese
certification as care workers.

Apart from promoting the acceptance of highly skilled workers, the
Committee decided to ask the government to give detailed consideration
to: (1) financial assistance to local authorities where the number of
foreign residents is increasing; (2) the provision of Japanese language
education to foreign children at public schools; (3) the establishment
of a council comprising ministries and agencies involved in issues
related to foreign workers; and to make the necessary revisions to
laws and ordinances.

The Committee also called for extension of the term of the Industrial
Training and Technical Internship Program from the current 3 years to
5 years, while emphasizing, in response to criticism that the program
encourages inflows of unskilled workers from abroad, the necessity of
preventing the permanent settlement of trainees and interns.


Public Policies

-Recommendations Given to Increase Regional Minimum Wage by 2 - 4 Yen-

In late July, the Central Minimum Wage Council of the Ministry of
Health, Labour and Welfare submitted to the Minister its recommendations
for revisions to regional minimum wages for fiscal year 2006 (the national
average wage per hour for fiscal year 2005 was 668 yen). The Council
could not reach an agreement among members from labor and management,
presenting views of members representing public interest to the individual
local Minimum Wage Councils. The recommendations state that individual
prefectures are classified into four ranks (from A to D), and that the
minimum wage should be increased in each rank by 4 yen, 4 yen, 3 yen,
and 2 yen, respectively. The Council has recommended increases in the
minimum wage for two consecutive years. It said that serious thought
had been given to the recommendations, with attention to substantial
differences in the economic conditions among the four ranks, and taking
into account that the minimum wage in each rank should increase evenly
by 0.5 percent (0.4 for the previous fiscal year).

US$=116yen (August 15, 2006)


-The Council for the Promotion of Regulatory Reform Publishes Interim
Report on Foreigners, etc-

On July 31, the Council for the Promotion of Regulatory Reform
published an interim report in which it seriously examined six major
areas: broadcasting and communications, education, childcare, foreigners,
financing, and basic rules. With respect to foreigners, the Council
recommends that the system for checking on the status of foreigners
residing in Japan, particularly after they have entered the country,
should be reinforced, and that the definition of and requirements for
foreign workers in specialized and technical fields should be revised.
More specifically, in the report the Council recommends that the
requirements for foreign social and care workers to work in Japan
should be relaxed, and that the requirements for issuing residence
status (for example, those affecting foreign workers transferred within
their own companies) should be revised.


News Clippings

-Cybozu to Offer Child-Care Leave as Many Times in Six Years as
Employees Need-

Cybozu, Inc., a corporate-oriented software developer, is to upgrade
its child- and family-care policy this month. Under the new system,
employees can take temporary retirement for a maximum of six years until
their children enter primary school, and can take leave as many times
as they require. Maternity leave is also available once female employees
have found that they are pregnant. The company aims to secure able
workers by adopting this system, which is far more generous than
required by the Law Concerning the Welfare of Workers Who Take Care
of Children or Other Family Members Including Child Care and Family
Care Leave.

The new system will be open to both male and female employees.
The maximum of six years of leave is reportedly the longest among
companies listed on the stock market, and is offered only by a limited
number of firms, such as Nishi-Nippon Railroad Co., Ltd. At the moment,
Cybozu has offered similar leave only once and at a maximum of 18 months.
(Nihon Keizai Shimbun, July)


-2006 Survey on Firms Offering a Comfortable Working Environment-

In a 2006 Survey on Firms Offering a Comfortable Working Environment
conducted by the Nihon Keizai Shimbun Inc., ranked high were firms
which strived to support employees through various systems and programs
aimed at balancing work and family life - for example, creating a work
environment which pays attention to employees' childcare needs and
improving the holiday and leave system - and which produced positive
results. Firms surveyed totaled 632 (effective replies totaled 252).

In the overall ranking, Matsushita Electric Industrial Co., Ltd.
attained first place, followed by Japan Hewlett-Packard Development
Company, LP and Dai Nippon Printing Co., Ltd.

Where individual evaluation items are concerned, in the category of
"consideration of childcare," Matsushita Electric Industrial Co., which
offers paid leave to employees wishing to receive fertility treatment,
among other things, ranked the first, and Toyota Motor Corp. came in
second for its shortest working hours (four hours), provided under the
shorter working-hour system. In the category of "holidays and leave,"
highly ranked firms offer, in general, various kinds of leave and
holidays, including family-care leave, volunteer holidays, and holidays
for self-enlightenment. Fuji Xerox Co., Ltd., which won fourth place
in this category, offers family-care leave up to a maximum of 730 days,
much more than the statutorily required figure. As for the category
"extension of mandatory retirement age and re-employment," Sumitomo 3M
and Fuji Electric Holdings Co., Ltd. share the top place with the same
number of points: the latter gained high scores for its retirement
system whereby employees choose to retire at either age 60 or 65.
(Nikkei Sangyo Shimbun, July)


Special Issue

-Widening Disparity among Young People-

The 2006 White Paper on the Economy and Public Finance, published
in mid-July, comprehensively analyzes one of the most controversial
issues in the Diet: economic disparity among households. In particular,
the paper warns that neglect of the widening economic disparities among
young people would produce a massive number of "middle-aged freeters"
in the future, and calls on the government to launch appropriate measures.

Continued on;
http://www.jil.go.jp/english/archives/emm/2003/no.67/67_si.html