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Japan – Employment Terms and Conditions

Working Hours in Japan

The standard working hours in Japan are 8 hours per day and 40 hours per week. Any work beyond this must be compensated as overtime. However, many employees work longer hours due to collective agreements or individual contracts.

Employment Rights and Benefits in Japan

Paid Vacation and Sick Leave

Employees in Japan are entitled to a minimum of 10 days of paid vacation per year. In addition, workers are entitled to a varying amount of sick leave depending on the duration of their employment. For example, employees are entitled to up to 20 days of paid sick leave per year after a certain period of employment.

Social Security Benefits

All employees in Japan must be enrolled in the Employees’ Pension Insurance system. Employers must contribute to the system on behalf of their employees, while employees must also make contributions. This contribution provides employees with a range of benefits, including healthcare, maternity leave, and a pension.

Maternity and Paternity Leave


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Expectant mothers in Japan are entitled to 14 weeks of maternity leave, paid at their full salary. Fathers are entitled to up to 5 days of paternity leave, paid at their full salary.

Severance Pay

If an employee is terminated without just cause, they are entitled to receive severance pay. The amount of severance pay depends on the length of service with the employer. For example, employees with less than 1 year of service are entitled to 1/6 of their monthly salary, while those with more than 20 years of service are entitled to 20 months pay.

Pensions

All employees in Japan are entitled to a pension through the Employees’ Pension Insurance system. Both employers and employees must make contributions to the system, which is managed by the government. The pension is calculated based on the number of years of service and the average salary earned during the last 10 years of service.

Types of Pensions for Expats in Japan

Expats who are working in Japan may be eligible for a pension through the Employees’ Pension Insurance system. However, they must meet certain requirements. Firstly, they must be enrolled in the system and have made contributions for at least 10 years. Secondly, they must be residing in Japan and have a valid visa.

Expats who do not meet these requirements may still be able to receive a pension through a private pension plan. These plans are not regulated by the government and are offered by a range of private companies.

Retirement Age in Japan

The retirement age in Japan is currently 65 years old. However, the government is considering raising the retirement age to 70 in the coming years.

In conclusion, workers in Japan are entitled to a range of employment rights and benefits, including paid vacation and sick leave, social security benefits, and severance pay. All employees must be enrolled in the Employees’ Pension Insurance system, which provides a pension. Expats may be eligible for this pension if they meet certain requirements, or they may be able to receive a private pension plan. The retirement age in Japan is set to increase in the coming years. It is important for both employers and employees to understand these employment terms and conditions to ensure that workers are being treated fairly and in accordance with the law.