Littler Global Guide - Japan - Q1 2020

Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

View all Q1 2020 Global Guide Quarterly updates   Download full Q1 2020 Global Guide Quarterly

Extension of Statute of Limitation for Claims on Unpaid Wages

New Legislation Enacted

Author: Aki Tanaka, Of Counsel – Littler United States

On March 31, 2020, the Labor Standards Act was revised to extend the statute of limitations for unpaid wages, including unpaid overtime, from two years to five years. For the time being, during the transition period, three years will be applied. The government will again review this in five years after effective date of April 1, 2020.

New Law to Keep Employment Until the Age of 70

New Legislation Enacted

Author: Aki Tanaka, Of Counsel – Littler United States

On March 31, 2020, a new law passed to endeavor to keep employment until the age of 70. The employer should endeavor to take one of five measures to keep employees employed until they reach age 70: (i) raise the retirement age to 70; (ii) abolish the retirement age; (iii) introduce a re-hiring system through age 70; (iv) implement a system to retain them as independent contractors until they reach age 70 or (v) implement a system to have them engaged in community service at an entity with which the employer has some investment or service agreement until the workers reach age 70. This will take effect on April 1, 2021.

COVID-19: Japan Declares State of Emergency

New Order or Decree

Author: Aki Tanaka, Of Counsel – Littler United States

Due to the COVID-19 outbreak, in early March, the Japanese government implemented various measures to protect the public and the economy. Given the continued rise of infections, on April 7, 2020, Japan declared a state of emergency and enacted a shutdown in Tokyo and other key areas. With such declaration, Japan introduced new laws and mandates to stimulate the economy, and provide relief to individuals and businesses affected by this pandemic. See Littler’s most recent updates covering Japan’s governmental measures and employers’ obligations.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.