right of workers to organize

Japanese Labor Laws and Efforts
of Labor Unions
Yoshiko Ichikawa
Director
Employment and Labor Legislation Division
Department of Working Conditions
Japanese Trade Union Confederation (JTUC-RENGO)
Contents
I.
II.
III.
IV.
V.
Roles of labor laws
Overview of Japanese labor laws
Legislation of labor laws in Japan
Efforts of labor unions
Current issues related to
employment and labor
I. Roles of labor laws
Principle of freedom of contract by voluntary will
of equal citizens
Gap in bargaining power between employees and
employers (Substantially unequal transaction)
Acquiesce in poor working conditions, destruction of
health, non-compensation for industrial accidents, free
dismissal, intermediary exploitation, forced labor, etc.
Protection by labor laws
Definition of minimum working conditions,
establishment of Industrial accident/unemployment
compensation scheme, protection of labor union
rights
Effects by legislative control
Change in the number of deaths by industrial accidents
(people)
1972 Industrial Safety and
Health Law enacted
(Up to 1972: Reports of Workers’ Death, Illness and Injuries,
In/After 1973: Industrial Accident Insurance Benefits Data)
4
II. Summary of Japanese labor laws
Constitution of Japan
Article 27 (Right and Obligation to Right, Standards for
Working Conditions, and Prohibition of Exploited Child
Work)
1. All people shall have the right and the obligation to
work.
2. Standards for wages, hours, rest and other working
conditions shall be determined by law.
3. Children shall not be exploited.
Article 28 (Right of Workers to Organize)
The right of workers to organize and to bargain and
act collectively is guaranteed.
System of Japanese labor laws
Article
27
Constitution
Article
28
Para. 1 (Right to work)
Employment Measures Act,
Employment Security Act,
Human Resources
Development Promotion Act,
Temporary Staffing Law, etc.
Para. 2 (Determination of
standards for working
conditions)
Labor Standards Act, Minimum
Wages Act, Industrial Safety
and Health Act, etc.
Para. 3 (Protection of
Children)
Child Welfare Act, Protection of
minors under the Labor
Standards Act
Guarantee of three labor
rights (right to organize,
right to bargain collectively
and right to act collectively
Labor Union Act, Labor
Relations Adjustment Act,
Regulations of labor relations
commissions
Labor Standards Act
Article 1 (Principles of Working Conditions)
1. Working conditions shall be those which should meet the needs of workers who
live lives worthy of human beings.
2. The standards for working conditions fixed by this Law are minimum standards.
Accordingly, parties to labor relationship shall not reduce working conditions with
these standards as an excuse and, instead, should endeavor to raise the working
conditions.
Article 2 (Determination of Working Conditions)
1. Working conditions should be determined by workers and employers on an equal
basis.
2. Workers and employers shall abide by collective agreements, working rules and
labor contracts, and shall fulfill their respective duties faithfully.
Article 13 (Contract Violating this Law)
A labor contract which provides for working conditions which do not meet the
standards of this Law shall be invalid with respect to such portions. In such a case
the portions which have become invalid shall be governed by the standards set
forth in this Law.
Summary of the Labor Standards Act
• Principles
– Equal treatment, prohibition of forced labor, prohibition of
intermediate exploitation, guarantee of exercise of civil
rights
• Wages and hours
– Wage amount, payment method, working hours,
requirements for overtime/holiday work, increased wages,
exemption of working hours
• Rest, holidays and leave
– Rest hours, holidays, annual paid leave
• Working rules
– Requirement to prepare/change working rules
Labor Union Act
Article 1 (Purpose)
1. This Law are to elevate the status of workers by promoting their being on equal
standing with their employer in their bargaining with the employer; to defend the
exercise by workers of voluntary organization and association in labor unions so
that they may carry out collective action, including the designation of
representatives of their own choosing to bargaining working conditions; and to
promote the practice of collective bargaining, and procedures therefore, for the
purpose of concluding collective agreements regulating relations between
employers and workers.
2. Article 35 of the Criminal Code (Law No. 45 of 1907) shall apply to collective
bargaining and other acts of labor unions which are justifiable and have been
performed for the attainment of the purposes of the preceding paragraph,
provided, however, that in no case shall exercises of violence be construed as
justifiable acts of labor unions.
Summary of the Labor Union Act
1.
Right to organize labor unions
•
2.
Organizations of workers or federation thereof organized for the main
purposes of improving working conditions and raising the economic status
of workers.
Protection of labor union
•
3.
Requirements for democratic administration of labor unions (e.g. election of
officers, collective actions such as strike), incorporation, claim for remedies
against unfair labor practices to the Labor Relations Commission)
Indemnification of civil/criminal responsibilities to collective actions by
labor unions
Prohibition of unfair labor practices
Effectiveness of collective agreements, etc.
4.
5.
•
6.
Invalidity of any portions of a labor contract violating the working conditions
prescribed in collective agreements (Priority of collective agreements)
Setup of the Labor Relations Commission, etc.
•
•
Tripartism (public interest, workers and employer)
Mediation, settlement and arbitration of labor disputes, remedies against
unfair labor practices
Unfair labor practices prohibited by the
Labor Union Act
•
•
•
•
Discharge or otherwise treat in a disadvantageous
manner a worker by reason of such worker's being a
member of a labor union, having tried to join or organize
a labor union, or having performed justifiable acts of a
labor union
Make it a condition of employment that the worker shall
not join or shall withdraw from a labor union
Refuse collective bargaining without justifiable reasons
Control or interfere with the formation or management
of a labor union, or give financial assistance to a labor
union
III. Legislation of labor laws in Japan
Principles of tripartism
• ILO Convention No. 144 (ratified by Japan)
“Convention concerning tripartite consultation for promoting
implementation of international labor standards”
→ Each member country shall ensure effective consultations
with representative organizations enjoying the right of
association.
• In Japan, consultations shall be made by the Council
formed based on the principles of tripartism (public
members, labor members and employer members)
• A bill prepared based on agreement (conclusion) of the
Labor Relations Commission will, upon approval by the
Cabinet, be submitted to the Diet as a cabinet bill, and if
passed, it will come into effect.
Council related to labor laws
Working Conditions
Committee
Industrial Accidents Insurance
Subcommittee
Minimum Wages
Subcommittee
Safety and Health
Committee
Pneumoconiosis
Subcommittee
Workers’ Life Committee
Small and Medium Enterprise
Retirement Allowance Mutual
Aid Subcommittee
Labor Policy
Council
Employment Policy Basic
Issues Subcommittee
Employment Security
Committee
Employment Insurance
Subcommittee
Employment of Persons
with Disabilities
Committee
Labor Force Supply and
Demand System
Subcommittee
Human Resources
Development Committee
Young Labor Subcommittee
Equal Employment
Committee
Industrial Homework
Subcommittee
From the Council to the Diet
Minister of Health,
Labor and Welfare
Proposition/
Recommendation Submission of bill
Labor Policy Council
Committee/
Subcommittee
Committee/
Subcommittee
Committee/
Subcommittee
Diet
House of
Representatives
Committee of Health,
Labor and Welfare
House of
Councillors
Committee of Health,
Labor and Welfare
Approval/
Enactment
Consultation
Cabinet
IV. Efforts of labor unions
Efforts of RENGO
• Before enactment (revision) of laws
 Hear opinions of subsidiary organizations (industrial labor
unions) and regional associations (prefecture-level
organizations), and discuss laws to be enacted (revised) for
“policy” making.
 Express opinions at the Council based on the policy to
ensure that a bill is consistent with the policy.
 Approach to the government and political parties, and
liaise with and get cooperation from Diet members who
agree with the RENGO’s views.
• After enactment (revision) of laws
 Prepare easy-to-understand materials for publicizing
new/revised laws.
 Present the guideline of efforts of each enterprise-based
labor union.
Efforts of industrial labor unions
• Upon enactment (revision) of laws
 Collect the information about working situation from member
company labor union, and prepare its “action policy” to be
reflected to the RENGO “policy”
 Participate/cooperate in efforts for enactment/revision of laws
by RENGO
• After enactment (revision) of laws
 Prepare easy-to-understand materials and provide learning
sessions to member company labor unions for publicizing
new/revised laws.
 Prepare its “collective agreement revision policy” for making a
collective agreement better than new/revised laws.
 Prepare a model collective agreement, and support/lead each
member company labor union to bargain with the employer and
to include the provisions of new/revised laws in their collective
agreement.
Efforts of enterprise-based unions
• Upon enactment (revision) of laws
 Collect opinions from members to reflect them to the policy
of its concerned industrial labor union.
 Participate/cooperate in efforts by RENGO and industrial
labor unions.
• After enactment (revision) of laws
 Based on the policy of its concerned industrial labor union,
bargain with the employer to conclude a collective
agreement consisting with new/revised laws.
 Monitor if the new collective agreement is complied with. If
not, propose bargaining to the employer to correct such
noncompliance.
For compliance of labor laws
• Strict supervisory function by public agencies
• Efforts by labor unions
 Power to bargaining with the employer on equal standing
 Collective power
• Enhancement of organizations solving labor disputes
• Education for workers/employers
 Workers to be familiar with labor laws to be aware of their
rights.
Employers to be aware of their obligations.
V. Current issues related to
employment and labor
Deregulation trend in labor laws
• Japan Federation of Employers’ Association
“Employment Portfolio”
– 1995, the Japan Federation of Employers’ Association
(currently, Keidanren) proposed the employment
portfolio.
• Three categories of future employment proposed
(1) Flexible employment group
(2) Highly-skilled professional group
(3) Long-term skill-building group
• Combine these groups with temporary staffing,
contracting, outsourcing and independent
contractors properly
Government initiative for
deregulation
• April 2001, inauguration of the first Koizumi Cabinet
• April 2001, establishment of the Council for Regulatory
Reform
• Specific measures in the three-year plan “Major matters in
employment/labor area”
(1) Review regulations related to private employment placement
business (revision of the Employment Security Law)
(2) Review regulations related to temporary staffing business
(revision of the Temporary Staffing Law)
(3) Review the employment insurance system (revision of the
Employment Insurance Law)
(4) Review the discretionary labor scheme (revision of the Labor
Standards Law)
Increase of non-regular workers and
organization ratio of labor unions
40.0
Number of employed workers (10,000 persons)
4,000
34.3
3,805
3,500
3,000
3,355
24.4
35.0
30.0
25.0
2,500
18.5
20.0
1,755
15.0
2,000
1,500
971
1,000
10.0
500
5.0
0
0.0
Ratio of non-regular
非正規比率
workers
年
2010
年
2008
年
2006
Non-regular
workers
非正規労働者
年
2004
年
2002
年
2000
Regular employees
正規労働者
年
1998
年
1996
1994
1992
年
Organization ratio of labor unions (%)
4,500
年
Organization ratio of
労組組織率
labor unions
(Source) Up to 2000: Ministry of Internal Affairs and Communications “Labor Force Survey (Special Survey)” (as of February), In/After 2002: Ministry of Internal Affairs and Communications
“Labor Force Survey (Detailed Tabulation)” (annual average data)
Normal salary amount by age group (2009)
450.0
400.0
350.0
(JPY 10,000)
300.0
Regular employees
正社員
Non-regular employees
正社員以外、有期
250.0
(definite term)
正社員以外・短時間
Non-regular employees
200.0
150.0
(short term)
正社員2005
Regular employees (2005)
Non-regular employees
正社員以外、有期2005
(definite term) (2005)
100.0
50.0
Non-regular employees
正社員以外・短時間2005
(short term) (2005)
Wage gap (Regular employees = 100) (2009)
100
Male =66
Female =70
80
男性
Male
60
女性
Female
40
20~24
25~29
30~34
35~39
40~44
45~49
Age group
(Source) Ministry of Health, Labor and Welfare “Wage Structure Basic Statistic Survey” (2009)
50~54
55~59
60~64
65~69
What is the problem with non-regular workers?
Shift from regular employees to
non-regular workers to reduce
total labor cost
☆Increase allocation to
workers
☆Reduce gap among
workers
Intention of regular employment
but not post available
☆Promote recruitment
☆Promote shift to regular
employment
Step 1
Flexible working style causing
unreasonably unfair treatment
☆Promote equal treatment
Fair allocation
of value added
to workers
Not motivated due to occasional
employment and lack of skill
development opportunity
No recognition of skill
improvement and achievement
☆Enhance skill
development opportunity
☆Introduce evaluation
system
☆Introduce periodic wage
increase
☆Establish fair bargaining
○Labor bargaining, social talks
• Request to allocate 1%
• Non-regular workers’ request greater
than regular employees
• First “united front of non-regular
workers”
“Start with workplace” campaign
• Talks with Keidanren
• Consultation with temporary
employees associations
○Development of laws
• Revised part-time labor law
• Revised temporary staffing law
• Definite-term employment law
Step 2
Non-regular employment (shortterm employment) not covered
by social security
☆Expand scope of social
security
Non-regular employment isolated
from labor unions
☆Review collective
agreements
☆Support in organizing
unions
☆Support workers not
participating in unions
Reallocation
of income
Step 3
Mutual
support
○Review taxation system/
social security
○Establish a law supporting
job applicants
○Building collective employeeemployer relationship
• United front of part-time workers
• Labor consultation  Regional union
Principle of employment “Direct employment for indefinite term”
28
Current issues
• Rationalization of business operations due to
diversified labor and increasing international
competition expanding gap in working conditions
• Population decrease, declining birthrate and aging
population
• Vulnerable safety net
 Bankruptcy of Lehman Brothers (September 2008)
revealing these issues
 Democratic Party’s government (August 2009)
 Can meet expectations of workers/people?
 Great East Japan Earthquake (March 2011)