News On Japan

Japan to subsidize 100% of salaries at small companies

Apr 25, 2020 (Nikkei) - Japan is working on a subsidy to ensure that temporarily idled small-business employees receive 100% of their wages during the current state of emergency, Nikkei has learned.

The Ministry of Health, Labor and Welfare plans to use an existing employment adjustment subsidy, which helps enterprises seeing no choice but to temporarily lay off workers continue to pay them, at least in part.

As things stand, laid-off workers at companies that have halted operations are entitled to at least 60% of their regular pay. The government shoulders up to 90% of this to keep them from being dismissed outright, with the company chipping in the other 10%.

Many employers try to save money by sticking to the 60% minimum and asking the government to pay 90% of it.

The offer will be more generous going forward. If small companies -- those in the service sector with up to five workers and manufacturers with up to 20 -- are asked by the central or local government to temporarily shutter operations, and they apply for the employment adjustment subsidy, the government will shoulder the full cost as long as the businesses pay 100% of last year's wage levels.

With companies not having to pay anything out of pocket, most will choose the 100% option, the government figures.

The Tokyo Metropolitan Government and other localities across Japan have asked restaurants and other businesses to close or shorten hours during the health crisis. The central government's financial support aims to maintain the income levels of workers in these industries.

The subsidy program's parameters will cover 3 million companies and about 10 million employees.

News On Japan
POPULAR NEWS

Typhoon No. 30 (Champar) brought widespread transport disruption to Okinawa on October 23, forcing the cancellation of flights and ferry services, closing airports and bridges, and leaving travelers stranded as violent winds and heavy rain swept across the Sakishima Islands, with further disruption expected through October 24.

Large and powerful Typhoon No. 30 was approaching Okinawa's Sakishima Islands at 3 p.m. on October 23, bringing violent winds reaching 51.7 meters per second, rainfall exceeding 300 millimeters and waves forecast to rise above 10 meters, with the storm expected to slow as it changes direction and prolong dangerous conditions across the region.

A critical security flaw discovered in PHP, a programming language used by an estimated 70% of the world's web systems, has triggered widespread disruptions across Japan since October 21, forcing banks, restaurant chains, government agencies and other businesses to suspend online services as a precaution against potential cyberattacks.

A growing wave of cyberattacks across Japan has raised concerns over the possible use of Chinese-developed artificial intelligence in hacking operations, with personal information belonging to tens of thousands of police employees potentially exposed and major companies forced to suspend online services, while cybersecurity experts warn that slow decision-making within Japanese organizations is allowing damage to spread.

Japan's H3 rocket successfully launched the Martian Moons eXploration (MMX) spacecraft from the Tanegashima Space Center in Kagoshima Prefecture on the morning of October 20th, placing the probe into its planned orbit in the first stage of a mission to collect samples from one of Mars' moons and return them to Earth.

MEDIA CHANNELS
         

MORE Society NEWS

A wave of copper thefts has struck public facilities across Japan, with thieves stripping metal from bridges, park shelters and shrines, including a park known as a popular anime pilgrimage site, while police in Nagano Prefecture have made arrests following a series of similar incidents.

Police in Kochi Prefecture have released footage of a group of teenagers riding motorcycles recklessly through Kochi City on January 1st, 2026, in a New Year's Day incident known as a "first sunrise motorcycle rampage," with 18 people aged between 15 and 19 arrested or referred to prosecutors for suspected violations of the Road Traffic Act.

Empress Emerita Michiko celebrated her 92nd birthday on October 20th, receiving birthday greetings from Emperor Naruhito, Empress Masako and other members of Japan's imperial family at her residence in Tokyo, as concerns grow over her declining physical strength and signs of fatigue.

The deputy mayor of Saijo City in Ehime Prefecture died after being crushed beneath a festival float weighing approximately 3 tons while participating in a traditional autumn festival on October 17.

Princess Aiko, the only daughter of Emperor Naruhito and Empress Masako, arrived in Tottori Prefecture on October 19 for her first visit to the region, where she is scheduled to attend a national disaster prevention conference and a symposium on disaster preparedness.

Police in Gunma Prefecture rearrested a 30-year-old man on October 18 on suspicion of murdering his former mother-in-law at her home in Ota City last month, following an attack that also left the woman's eldest son injured.

A 22-year-old woman was killed late on October 17 after a truck rear-ended a car that had stopped following a collision with a deer on the Shin-Tomei Expressway in Shinshiro, Aichi Prefecture.

Three people, including a former chief priest, have been arrested over the alleged takeover of a historic Buddhist temple in central Kyoto, with investigators suspecting they sold temple-owned land and buildings without authorization for approximately 226 million yen, leaving the 300-year-old institution with almost none of its property beyond its main hall and grounds.