Japan Sets Equal Pay for Equal Work Guidelines for Engaging Temporary Workers

Last year, the Japanese government issued labor law revisions that addressed equal pay for equal work between traditional permanent employees and flexible workers. New guidelines include consideration of location, skills, and length of employment by the temporary worker. Notably, the rules call for a 16 percent pay raise for flexible workers after one year and 31.9 percent in the third year.

Takeaway: New regulations go into effect in April 2020. For employers engaging talent in Japan, a transparent view of the flexible workforce will be important. As in many other locations around the world, the challenge of resource management influences the ability to address flexible worker regulations in Japan. The organization that can apply solutions to identify all workers and view them in a centralized manner can enjoy an advantage in meeting these changing demands.

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