Japan has long been a global economic power. It is 3rd largest economy in the world and is known for its success in various industries, including automotive and electronics among others. Japan is also often ranked as one of the world’s most innovative countries, with its pioneering technologies and developments in the fields of robotics and AI. In addition, according to the Japanese Cabinet Office, the manufacturing and service sectors are also among the dominant industries driving Japan’s economy, representing 20.5% of GDP respectively.
Employers need to follow the strict employment guidelines set forth by the local authorities before they could employ in Japan. This process can be time-consuming as the company first needs a legal entity in the country and it needs to manage payroll, tax, benefits and compliance.
Globelise payroll solutions make it easy to find and hire top talent in Singapore. With one seamless integration and local legal entity, we take care of the compliance matters so that you can start your globelizing plan immediately.
Japan’s worker classification labour and tax laws distinguish between contractors and full timers. If the individual meets the legal definition of an employee but is classified as a contractor, your company will face penalties.
The main statutes regulating employment relationships of workers in Japan are the Labour Standards Act and Minimum Wage Act, Labour Contract Act, Labour Union Act and Labour Relations Adjustment Act, and the Industrial Safety and Health Act.
Globelise will be able to help you navigate through the employment process and so that you’ll be able to offer a competitive and compliance offer to attract and retain your employees in Japan.
Japan’s National Union of General Workers are designed to help Japan stay competitive and workers remain employable. They work with the local authorities to tackle issues such as promotion of fair and progressive employment practices among other labour-related issues. Employees may seek their union for help when they feel that they are unfairly treated or have been non-compliant with their employment terms.
There are no minimum and maximum probation periods as required by the labour law, though the common practice usually ranges from 3 to 6 months.
Company or Individuals who are looking to hire talents and run payroll globally
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