The Japan Labor Flash No.50
Email Journal November 15, 2005
JILPT Information
Information on JILPT Foreign Researcher Invitation Program for FY 2006
Statistical Reports
Recent Statistical Survey Reports
Current Topics
Winter Bonuses Up for Two Consecutive Years
RENGO-RIALS Forecasts Economic Situation in FY 2006
Public Policies
The Ministry of Health, Labour and Welfare Tackles Problems of
Unpaid Overtime
Public Policies
Educational Expenses from Enrolment in High School to Graduation
from University Total 9 Million Yen
The Number of Employees in Banking Institutions Down to 40% of
its Peak
Public Policies
Sense of Stagnation among Labor Unions
JILPT Information
Information on JILPT Foreign Researcher Invitation Program for FY 2006
1. Purpose
This program invites foreign researchers to Japan and provides
them with opportunities for conducting research on labor policy
and labor issues in Japan, with the ultimate goal of improving
the quality of labor policy research in Japan.
2. Programs
Program types:
1) Long-term invitation program: 1-12 months
2) Short-term invitation program: Less than 1 month
Expenses
Travel, living and other expenses will be covered.
Requirements:
1) Must conduct research on Japanese labor policies or other
labor issues.
2) Must submit a research report to the JILPT at the end of
their stay.
3) Must possess adequate command of Japanese or English
4) Must conduct research and remain with the JILPT
5) Must be in good enough health to carry out and complete
intended studies
3. Application deadline
Applications are accepted annually. We are currently accepting
applications for FY 2006 (April 2006 to March 2007). If you would
like to apply for this fiscal year, please submit your application
documents by December 10, 2005.
For more details, please refer to:
Application Process for the Foreign Researcher Invitation Program
http://www.jil.go.jp/english/Invitation.htm
International Affairs Department (Invitation)
Statistical Reports
-Recent Statistical Survey Reports September 2005-
Features
Survey on Labor-Management Communication (2005)
Monthly Labor Survey (Preliminary Report in September, Summer Bonus)
http://www.jil.go.jp/english/estatis/esaikin/2005/e2005-10.htm
Current Topics
-Winter Bonuses Up for Two Consecutive Years-
On October 26, Nippon Keidanren (the Japan Business Federation)
announced an interim report on the results of 2005 year-end bonus
payments (weighted average) by industry of large firms with 500
or more employees. According to the report, some 70 percent
(205 firms) of 288 large enterprises in the 22 major industries
covered by the survey have reached agreements on the amount of
winter bonuses; the average winter bonus among 136 enterprises
- those having reached agreements, minus 69 enterprises for which
the average payment is unknown - was 863,577 yen, an increase of
5.08 percent compared to the previous year. A large increase is
conspicuous, particularly among firms in the manufacturing sector,
where 12 firms in the iron and steel industry recorded an increase
of 35.65 percent.
In the meantime, on October 31, the Dai-ichi Life Research Institute,
Inc. released its estimates of the average winter bonus payment by
private firms with five or more employees - 437,291 yen - an increase
of 1.6 percent from the previous year. It also estimated that payments
to civil servants would average 654,716 yen, an increase of 0.5 percent
over the same period.
US$=\118 (November 15, 2005）
-RENGO-RIALS Forecasts Economic Situation in FY 2006-
At the end of October, the Research Institute for Advancement of
Living Standards (RIALS) - an incorporated foundation established as
a Rengo think tank in December 1987 - published an FY 2005-06 Economic
Situation Report. This forecasts that, in fiscal 2006, provided a wage
revision (around 3%) reflecting an improvement in labor productivity
is made, the economy will achieve at least a two percent real growth
rate, exceeding the potential rate, and the unemployment rate will
be below four percent. It also states that if wage revision fails to
go ahead, the actual growth rate will be lower than the level marked
in fiscal year 2005.
Around the same time, Rengo (the Japanese Trade Union Confederation)
held its Central Executive Committee Meeting, at which it confirmed
its basic proposal for the 2006 Spring Struggle for a Better Life,
and resolved that it would pursue wage improvement via improvement
in monthly wages.
Public Policies
-The Ministry of Health, Labour and Welfare Tackles Problems of
Unpaid Overtime-
On September 30, the Ministry of Health, Labour and Welfare published
its findings on corporate efforts in fiscal 2004 to rectify non-payment
of overtime. The overtime premiums paid in accordance with instructions
given by Labor Standards Inspection Offices across the country totaled
22,613,140,000 yen. The number of firms instructed to rectify their
attitudes towards overtime payment totaled 1,437, covering 169,111
workers. The amount of payment averaged 15.74 million yen per enterprise,
with an average worker receiving 130,000 yen. The numbers of firms
and workers affected were largest in the commercial sector, and the
amount of payments largest in the manufacturing sector.
So far, not a few well-known companies have been targeted on account
of unpaid overtime. The problem got into the news when a labor standards
inspection office reportedly pointed out that McDonald's Holdings Co.,
Japan, did not calculate overtime wages properly; unpaid overtime was
owed totally to 100,000 regular employees and part-time workers and
reached some 2.2 billion yen.
The Ministry of Health, Labour and Welfare, based on criteria laid
down four years ago concerning steps to be taken by employers, has
supervised and given instructions to firms which are not properly
calculating overtime. Currently, however, the Ministry, setting this
November as a month for tackling the problem intensively, is campaigning
to encourage labor and management to resolve matters themselves.
On November 23, "labor thanksgiving day" in Japan, it will open
telephone counseling services on the issues of appropriate management
of working hours and unpaid overtime. The service will be toll-free,
available from 9 am to 5 pm across the country, and personnel of
Prefectural Labour Bureaus will be in charge of consultations.
Public Policies
-Educational Expenses from Enrolment in High School to Graduation
from University Total 9 Million Yen-
A survey of household educational expenses conducted by the Research
Institute of the National Life Insurance Corporation revealed that to
give a child high school and university education involves a large
burden of nine million yen on average.
The survey shows that educational expenses for high school,
including enrolment fees, tuition and monthly payments to cram schools,
totals 2,982,000 yen, and those for university education 6,017,000 yen.
While total expenses for high school and university education average
7,168,000 yen if the child goes to a national university, they amount
to 10,234,000 yen on average if the child goes to a private university
and takes a natural science or engineering course. The amount of money
an average student receives from parents for expenses is 1,044,000 yen
per year (or 87,000 yen per month).
The survey was conducted in June and targeted approximately 3,000
households which were taking advantage of a public educational loan.
Of the households, some 60 percent have also taken out housing loans
and have to return an average of 1.11 million yen per year. It also
states that some 40 - 60 percent of the households make ends meet by
cutting other expenses, or by withdrawing savings or canceling insurance.
(Tokyo Shimbun, October)
-The Number of Employees in Banking Institutions Down to 40% of its
Peak-
The number of employees in 129 city, regional, trust and other
banking institutions across the country totaled some 288,000 as of
the end of March 2005, a drop of 5 percent compared to the same
period the previous year. This was the eleventh consecutive annual
drop, according to a survey by Zenkoku Ginko Kyokai (the Japanese
Bankers Association). The figure is roughly 40 percent of the peak
marked in 1994. Banks, which were saddled with non-performing loans,
still continue to shed labor in order to secure profits, but some
major banks have swung back to profitability in the first half of
this fiscal year, and are now beginning to expand new hiring.
(Nihon Keizai Shimbun, October)
Public Policies
-Sense of Stagnation among Labor Unions-
The current situation of labor unions in Japan is that, though fully
aware of their own failure to sufficiently adjust themselves to changes,
they are struggling to find any decisive steps to take. These changes
include the ongoing diversification of employment and job patterns and
"individualization" of labor, which are beginning to make it
impossible
to work out labor-related issues within the framework of traditional,
collective labor-management relations.
Continued on;
http://www.jil.go.jp/english/archives/emm/2005/no.50/50_si.html
