Saturday, 2 February 2019

What Structures the Human Resources in Japan

Human Resources handle various tasks regarding proper management, disciplinary, compensation, wages and every other aspect related to the employee. Japan well known for its lifetime employment services with few amendments of new and old ethics. There have been certain evolutions witnessed by Japan citizens for the betterment of its workers and employers.

The system which lays the foundation of Human Resources are;
1. Longevity of Employment
2. Wages Distribution and Compensation
3. Decision-making Participation
4. Dealing with Unionism
5. Gender Inequality
6. Employee Loyalty

Longevity of Employment

As we have discussed earlier the lifetime employment. The Labor standard and the ROE in Japan are employed there to support the labor and the employees. However, the permanency doesn’t favor on part-timers, temporary workers, seasonal workers and all.

The main reason for longevity is because the employer can’t terminate the role of any employee ‘at will.’ Neither the employee is free to switch to another company until the dismissal of the contract occurs. Other reasons support termination can be either resignation and the worker’s inability to work.

Wages Distribution and Compensation

The wages are distributed as per the seniority level as nenko system states. In simpler terms, the senior employee of the industry will be paid more irrespective of the expertise they have. Due to this, young expertise couldn’t find a motivation to deliver the best of their potential. However, a few industries are paying attention and try to accept the system which sets the wages as per employee’s performance and skills. The system is known as the ‘annual salary system.’

Compensation: The compensation of Japanese employees varies on the basis of their termination or dismissal. Mostly, the notice period before a month or equivalent pay should be served by the employer. This happens only if the dismissal occurs when the employee bends the employment rules or lacks the ability to work. However, resignation implies three to six months of notice or equivalent pay.

To know more about the compensation system in Japan.
Read; What is the compensation system in Japan?

To read why compensating Japanese employees is necessary.
Read; Why Compensating Japanese Employee is Necessary?

Decision-making participation

The HR team tells every individual or staff to participate in decision making which helps to carry the enterprise forward. Once in a while, a meeting of all the staff members held together and each one of them puts their opinion forward. The objective of the firm is to find appropriate decisions without creating conflicts. The younger and new employee couldn’t disagree but neither serve straight comments towards other’s beliefs and logic.

Similarly, the elder and knowledgeable employees couldn’t decline the contribution of younger employees for no reasons.

Dealing with Unionism

The formation of a union in a firm is not a new thing, Japan has witnessed various labor strikes in the past years. The HR has to deal with the union problems, they act as a bridge between the two, employee and the management. They take care of employee's needs and requirement and convey the regulations, demands and firm's objective from the employer or the management.

The cure is always better than prevention.
See, What factors are responsible for union formation in Japan?

Gender Inequality

Japan society doesn’t believe for a woman to carry a career and family at the same time. Hence, female employees have to be dismissed after they get married or after having a child. This lacks an equal proportion of gender participation in any firm. However, there are revisions going on so that the gap can be fulfilled.

Employee Loyalty

The tradition and beliefs of Japan society are what makes them loyal towards their firm. The employees believe each other to be a part of a family and they serve their best by being loyal to staff and the firm too. Due to this, the statistics regarding the overtime working are high as compared to any other country even if the Japanese don’t get paid for it. 

However, the young employees feel to be flexible and diverse and they don’t feel to stay longer and loyal to the firm.

Conclusion

These are the factors which structure Human Resources in Japan. If you can think other than these, let us know in the comments below. 

TMT is a Human Resource Consultancy which serves a new perspective on staff problems, salary reduction, employee compensation, and union problems in Japan.



Our Other Articles

Reasons after Salary Reduction in Japan

What is the cost of firing employees in Japan?

Factors Responsible for Work Motivation in Japan

The employers, management, and the firm know the value of motivation but they are unaware of the ways to introduce it to the employees. A...