Nonregular workers at big firms left out of virus-related benefits

Feb 04, 2021 | News On Japan

Feb 04, 2021 (Kyodo) - Many nonregular workers at large companies in Japan have not received compensation from their employers despite being forced to take leave amid the novel coronavirus pandemic, prompting Prime Minister Yoshihide Suga to vow Thursday to end such discriminatory treatment.

A survey conducted last summer showed that the proportion of nonregular workers in Japan who did not receive compensation despite being told by their employers to take time off due to the pandemic was more than double the figure for regular staff.

The country's labor law requires an employer to pay employees 60 percent or more of their salaries regardless of their working status in the event of leave ordered by the company.

Despite the state offering subsidies for virus-hit businesses to maintain employment, many companies did not apply for them, partly due to the complicated application process, and refused to compensate employees, claiming they were not responsible for leave necessitated by the pandemic.

To address the problem, the central government in June set up a scheme allowing workers at small or medium-sized businesses to directly apply for state financial assistance to cover lost earnings.

But nonregular workers at large companies are not eligible for the scheme as it is assumed their employers will apply for the subsidies to maintain employment.

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