LABOR AND SOCIAL SECURITY LEGISLATION

HEIJI NOMURA AKIO SATO

CONTENTS Source of Law. . . . . . . . . . . . . . . . . .

Legal Provisions concern,ing Right to Organize and to

Bargain and Act Collectively under Article 28 ........ 2 of the Constitution . . . . . . . . . . . . . . . . . . . . .

Legal Provisions concerning Right to Work and Labor Standards under Article 27 of the Constitution 9

Legal Provisions concerning Social Security under Article 25 of the Constitution . . . . .

~ Characteristics of the Japanese Labor Legislation before the End of World War 11 . . . . . . . .

Post-war Labor Legislation and its Development . . . 22

Outline of the Legal System . . . . .

Right to Organize . . . . . . . . . . . . . . . . . . . . . . . .

Right to Bargain Collectively . . . . . . . . . .

Right to Dispute . . . . . . . . . . . . . . . . . . . . . .

Labor Relations Adjustment . . . . . . . . . . . . . . .

Labor Standards . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...... 34 Social Sesurity System . . . . . . . . . . . . .

Statistics

I. Source of Law

In understanding the existing law, it is not sufficient to regard

only the statutes as its source. Customary law and judicial precedents

must also be studied. This is also true in case of the labor law.

In addition, by-1aws and rulings of trade unions, various agreements

between workers and employers, and workshop rules provided by

employers must be studied as sources of law governing relationship

between workers and employers. However, in this paper, these

cannot be discussed because of lack of space, so that only major

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written laws and ordinances will be explained.

The primary source of the labor law, including tl~Le social

security system, are the three provisions, Articles 25, 27 and 28 of

the Constitution of Japan to guarantee the fundamental labor rights.

The provision to guarantee the right to live provided in Article 25

directly accompanies the laws and ordinances related to the social

security system. Guarantees of the right to work provided in Article

27 and of the right to organize and _to bargain and act collectively

provided in Article 28 constitutes the indispensable means of realizing

the right to live provided in Article 25.

In connection with Article 27, there are the Employment Security

Law, the Labor Standards Law and other laws and ordinances, and

in connection with Article 28, the Trade Union Law, the Labor

Relations Adjustment Law and other laws and ordinances. However,

there are many provisions in the law_ s and ordinances in connection

with Article 28 which restrict or prohibit the fundamental labor

rights, and the unconstitutionality of these provisions is being

discussed.

The major laws and ordinances concerned will be explained in

the following order : concerning Article 28, Article 27 and Article 25.

1. Legal Provisions concern-ing Right to Organize and to

Bargain and Act Collectively under Article 28 of the

Constitution

(1) Trade Union Law (Law No. 174 of 1949)

Article 28 of the Constitution guarantees "the right of workers to

organize and to bargain and act collectively" as a fundamental legal

principle concerning movement of trade unions. In accordance with

this provision, the Trade Union Law was devised to protect

organization of workers and to assist their collective bargaining-

Article 1, para. 1.

The present law amended completely the Trade Union Law of

1945, which provided fpr all workers to come under its jurisdiction.

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Since 1948, two million and several hundred thousands of laborers,

about one third of the organized laborers, have been exempt from

the effect of the Trade Union Law by the enforcement of special

laws such as the Public Corporations and National Enterprises Labor

Relations Law, the Local Public Enterprises Labor Relations Law, the

National Public Service Law and the Local Public Service Law.

According to the present Trade Union Law, the trade union is

an organization or federation thereof formed autonomously by the

workers for the main purpose of maintaining and improving working

conditions and for raising the economic status of the workers-

Article 2. The so-called GOYO KUMIAI*-an organization which is

more or less controlled by management-is not a trade union. The

present law defines such organizations as follows : They are ones

which admit membership to those who represent the interests of the

employer and which receive the employer's financial support in

defraying the organization's operational expenditures-Article 2, paras.

1 and 2. Any trade union which has a by-law in compliance with

the fixed conditions (Article 5) can acquire the status of a juridical

person by registering-Article 11. A union also must have such a by

law to participate in the formal procedures provided in this law for

remedies for an unfair labor practice and for the recommendation of

members of the Labor Relations Boards-Article 5.

The Trade Union Law provides that collective bargaining, acts

of dispute and other acts of trade unions which are fair and appropri-

ate do not become the object of punishment and indemnity for

damages-Article 1, para. 2 and Article 8. Furthermore, it prohibits

unfavorable treatment of workers for their having perfomed proper

trade union acts, the refusal to do collective bargaining and control

of and interference with trade union, as unifair labor practices

(Article 7), and provides the system of the labor relations board as

an organ for administrative remedies for unfair labor practices and

for adjustment of labor disputes.

*, It may be called company union.

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The law nullifies any provision of an individual labor contract

contravening the standards concerning working conditions and other

treatment of workers provided in a collective agreement, and stipu-

lates that the provisions of the standards must be followed-Article

16. It also provides the general binding power and regional binding

power which extend the compulsory application of the collective

agreement to other workers of the same kind when it fulfills the

necessary conditions-Article 17 and 18.

As attached ordinances, there are the Enforcement Order of the

Trade Union Law (Cabinet Order No. 231 of 1949) and the regulations

of the Central Labor Relations Board set forth by the said board as

procedures for central and local labor relations boards.

(2) Labor Relations Adjustment Law (Law No. 25 of 1946)

The Labor Relations Adjustment Law is the general law relating

to the adjustment of the labor dispute. As in the case of the Trade

Union Law, however, there are many cases which are excluded from

the application of the Labor Relations Adjustment Law.

This law provides for conciliation, mediation and arbitration by

the Labor Relations Board and emergency adjustment decided by the

Prime Minister. In addition to this, it also provides for the restric-

tion of labor disputes.

When the parties concerned in public utilities resort to any act

of dispute, they must notify it to the Labor Relations Board and the

Minister of Labor or the prefectural governor at least 10 days prior

to the day on which the act of dispute is to be commenced-Article

37. When an emergency adjustment has been declared, the parties

concerned mu~*t not resort to any act of dispute for 50 days from

the day of its declaration-Article 38. In case there is a contra-

vention, those who are responsible for such contravention are

subjected to a fine-Article 39 and 40. Moreover, no act which

hampers or causes the stoppage of maintenace or normal operation

of safety precautions at factories and other places of employment

can be resorted to as an act of dispute-Article 36. Any contraven-

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tion shall lead to the lessening of the protection provided by Article

1, para. 2 and Article 8 of the Trade Union Law.

(3) PLiblic Corporations and National Enterprises Labor Relations

Law (Law No. 257 of 1948)

The Public Corporations and National Enterprises Labor Relations

Law of 1948 provided, as a special law of the Trade Union Law and

the Labor Relations Adjustment Law, Iabor relations for the

employees of the Japanese National Railways and Japan Monopoly

Corporation, which became public corporations in 1948. By the

amendment of 1952, the Japan Telegraph and Telephone Public

Corporation and public enterprises undertaking the postal services,

administration of national forests, the printing of bank note for the

Bank of Japan, postage stamps, official gazettes etc., coinage and

services belonging to th_e alchohol monopoly were included in this

law. Those are called Three Corporations and Five Enterprises.

Unlike the Trade Union Law, this law restricts the fundamental ,

labor rights.

Subsequently, this law was amended to a considerable extent

upon the ratification of ILO Convention No. 87. But enforcement of

certain parts of this law was suspended as a result of a compromise

made at the Diet with the opposition party, which insisted that

such an amendment was unreasonable. Thus an advisory committee

was established in the Prime Minister's Office in order to "investigate

and discuss basic problems of labor relations of national and local

public service employees and employees of public corporations. The

provisions the enforcement of which was postponed are expected to

be subject to further amendment, and therefore are not discussed

here .

The same is true with respect to (4) the Local Public Enterprises

Labor Relations Law as well as (5) the National Public Service Law,

and the Local Public Service Law.

With regard to the right to or*"anize trade unions and the right

to join in such unions are recognized. - But the system of open shop

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is provided, under which employees may refrain from joining in

trade unions. In addition, the right to determine the scope of

employees who are in positions to represent the interest of employers

to be excluded from union membership, is not vested in the union

concerned, but the power to determine and to give notice of the

matter is given to the Public Corporations and National Enterprises

Labor Relations Board-Article 4, paras. I and 2.

This law guarantees the right to bargain collectively and the

right to conclude a collective agreement, but matters affecting the

management and operation of the public corporations and enterprises

are excluded from collective bargaining-Article 8.

Acts of dispute are prohibited under this law and any employee

engaged in conduct of violation is subjected to dismissal-Article 17

and 18. This law establishes the Public Corporations and National

Enterprises Labor Relations Board which undertakes conciliation,

mediation and arbitration with respect to a dispute between the

public corporation and the employees thereof. An award of the

Aabitration Commission is final and binding upon both parties, but

when it involves the expenditure of funds not available from the

appropriate corporation budget nor corporation funds, it must be

approved by the Diet-Article 35. If the award is not approved by '

the Diet, it will not be binding upon the Government.

(4) Local Public Enterprises Labor Relations Law (Law No. 289

of 1952)

This law provides labor relations for employees of the enterprises

which undertake the local railway services, tramway services, auto-

mobile transportation services, electricity services, gas services and

water supply services and so on which are operated by the local

public entity. Contents of the law are almost the same as those of

the Public Corporations and National Enterprises Labor Relations Law.

(5) Provisions concerning Labor Relations under the National

Public Service Law (Law No. 5 of 1947) and the Local Public

Service Law (Law, No. 261 of 1950)

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The national public service employees were separated from the

general workers and their fundamental labor right were severely

restricted by the amendment of the National Public Service Law in

1948.

Regarding the right to organize, the National Public Service Law

provides for the open shop system-Article 98, para. 2. Moreover~,

no organization is allowed for employees of the police, fire services,

the Maritime Safety Agency, or prisons, and any employee engaged

in conduct of violation is subjected to punishment-Article 98, para.

4 and Article 110. This is also true in case of the employees of the

Defence Agency-the Self-Defence Forces Law, Article 64, para. 1

and Article 119.

Unions of the employees may bergain with the authorities in

conformity with the procedures established by the National Personnel

Authority, but cannot conclude any collective agreement with the

Government-Article 98, para. 2.

Acts of disputes are prohibited-Article 98, para 5. Any

employee engaged in conduct of violation is subjected to less than

three years' imprison ment with hard labor or a fine of less than

100,000 yen-Article 110. No employee engaged in conduct of

violation can stand against the State with the rights of appointment

or employment which he possesses according to laws and ordinances

-Article 98, para. 6.

Basic matters concerned to wages, working hours and other

working conditions can be changed, in order to meet with the social

conditions in general, by the Diet. The National Personnel Authority

must not neglect to recommend changes should they seelrL necessary.

At least once a year this authority must report to the National Diet

and the Cabinet simultaneously whether or not the list of wages

is appropriate. When the National Personnel Authority finds it

necessary to increase or decrease the amount of wages listed in the

list of wages by 5 per cent or more due to a change of conditions

upon which the amount of wages is^ decided, it must give proper

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advice to the Diet and the 'Cabinet-Article 28. However, there are

no provisions to guarantee what kind of report or advice the National

Personnel Authority shonld give, or what to do when the National

Diet and the Cabinet reject the advice.

Unfair discriminatory treatment to an employee is remedied

through investigations of the National Personnel Authority-Article

89 to Article 92-2.

There are many National Personnel Authority regulations such

as attached ordinances which provide procedures for bargaining and

other matters.

Regarding the local public service employees, the Local Public

Service Law contains provisions similar to those of the National

Public Service Law. Major differences consist in that unions of

employees can conclude a written agreement with a local public

entity unless it violates the laws, ordinances, and regulations

of the local public entity and rules established by organizations

of the local public entity (Article 55, para. 2), and that a Personnel

Affairs Committee or an Impartiality Committee are organized in

each local public entity instead of the National Personnel Authority.

(6) Law concerning Control of Methods of Acts of Dispute in

Electric Enterprises and the Coal Mining Industry (Law

No. 171 of 1953)

This is an independent legislation which prohibits acts of dispute

in private industries to which the Trade Union Law applies.

Those who are employed in the electric enterprises shall not

perform, as an act of dispute, an act of suspending the normal

supply of electricity or any other acts of interrupting directly the

nomal supply of electricty-Article 2.

Those who are employed in the coal minin_g industry shall not

perform, as an act of dispute, such act of suspending the normal

operation of mine safety maintenance activities, provided for in the

Mine Safety Law, which might endanger human lives in mines,

inflict iuinous or serious damage on mineral resources, destroy vital

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facilities in mines, or cause damage by mining-Article 3.

2. Legal Provisions concerning Right to Work and Labor

Standards under Article 27 of the Constitution

Article 27 of the Constitution of Japan provides the basic legal

priciple of protection of workers. Para. I of Article 27 provides all

people shall have the right and the'obligation to work. However, as

detailed .statutes to guarantee the right toiwork, only the Employment

Security Law and the Unemploymet Insurance Law provide, to

a limited extent, the people with opportunities to get suitable jobs

and work and grant benefits to the insured person when he is

unemployed. From the basic legal principle of the standards for

working conditions provided in para. 2 of Article 27, the Labor

Standards Law and other related statutes have been derived.

(1) Employment Security Law (Law No. 141 of 1947)

This law provides for employment exchanges and hiring arran*"e-

ments, Iabor recruitment and vocational guidance. (a) Employment

exchanges and hiring arrangements are performed as a rule by a state

or*~an which has the Public Employment Security Ofiices as its

branches. (b) Private employment exchanges and hiring arrangements

are recognized exceptionally under conditions which are laid down.

A fee-charging employment exchange service can only be recognized

when fee-charging agencies are licensed by the Minister of Labor

and provides services- for artists, musicians, entertainers, and other

highly specialized vocations. However, in any case, no agency

can recommend applicants for jobs at any place of employment

where there is a strike or lock-out. (c) Commissioning of labor

recruitment requires permission of the Minister of Labor. (d) No

one is allowed to conduct a labor supply project except that a trade

union may conduct such a project , for which no compensation is

made, provided it obtains permission of the Minister of Labor.

<e) Vocational guidance is also performed by the Public Employment

Security Office.

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Other laws which fall under this system are the Emergency

Unernployment Countermeasures Law (Law No. 89 of 1949). Law

concerning Temporary Measures for Unemployed Coalmine Workers

(Law No. 199 of 1959), Law of Employment Promotion for Disabled

Persons (Law No. 123 of 1960), Vocational Training Law (Law No.

133 Gf 1958), Law concerning Special Corporation for the Promotion

of Employment (Law No. 116 of 1961), Seamen's Employment Security

Law (Law No. 130 of 1948) and Law concerning Harbor Workers

(Law No. 120 of 1965).

(2) Unemployment Insurance Law (Law No. 146 of 1947)

The purpose of this law is to grant an unemployment insurance

benefit to a worker by the Government as the insurer when he is

out of a job. It is applied compulsorily to enterprises which employ

five or more workers, voluntarily in case of less than five workers.

(a) In case an insured person is unemployed after he has been

insured for more than six months in total during the one year

preceeding the date of separation, and has received the recognition

of unemployment made by the Public Employment Security Office,

he is eligible to receive the daily amount of unemployment insurance

benefit of 60 per cent of his daily amount of wages. The payment

of the unemployment insurance benefit is limited to 180 days as

a rule and minimum 90 days and maximum 270 days according to the

period which a qualified recipient has been insured. (b) The National

Treasury bears a maximum one-third of the amount of the expenses

necessary for insurance benefits, one-fourth as a rule. The monthly

premium rate is 1.4 per cent of the total wages of the insured person,

and the amount of premiums is shared equally by the insured person

and the employer. (c) Special measures are provided for day

workers-Chapter V.

(3) Labor Standards Law (Law No. 49 of 1947)

Article 27, paras. 2 and 3 of the Constitution provides that

"standards for wages, hour;s, rest and other working conditions shall

be fixed by law. Children not be exploited. " The Labor Standards

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Law is in a central position among labor laws which have been

derived from this Article, and provides the minimum standards of

working conditions.

(a) In its general provisions, prohibition of discrimination by

reason of nationality, creed or social status, equal wages for men

and women, pro:hibition of forced labor and of intermediate exploita-

tion, and guarantee for the exercise of civil rights are provided.

(b) Regarding labor contracts, any contract violating this law is

invalid, all contracts must clarify working conditions. The following

are forbidden ; contracts of indemnity ; deductions for advanced

payments ; compulsory deposits ; the dismissal of workers injured or

taken ill on duty and of women before and after childbirth ; black

lists. Dismissal notices or advanced notice allowances (more than

30 days average wages) must be provided. (c) Wages must be paid

in cash and in full directly to the workers at least once a month at

a definite date, the Minimum Wages Law provides the method and

procedure of determining minimum wages. (d) Working hours are

principally 8 hours a day and 48 hours a week with one day of rest

a week, and an annual vacation with pay from 6 to 20 days must be

granted. (e) Detailed provisions for safety and hygiene are provided

in the Ordinance on Industrial Safety ahd Hygiene. As for silicosis,

there is the Silicosis Law (Law No. 30 of 1960). With regard to

industrial safety and hygiene, the Law concerning Organizations for

the Prevention of Work Accidents (Law No. 118 of 1964) was enacted.

(f) As for protection of women and minors, restriction of employment

of minors under 15 years of age and a ban on night labor are

provided. (g) Regarding injury, illness and death in the course of

employment, the employer is liable for compensation thereof. Com-

pensation in given for medical treatment, sick leave, permanent

physical injury, an injury or illness that has caused incapacitation.

In connection with these matters, there is a special law called the

Accident Compensation Law for National Public Service Employees (Law No. 191 of 1951). (h) Responsibility for drawing up and sub-

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mitting workshop rules, the right of the workers to run their

dormitories, and the establishment of labor standards ins~p ection

offices to supervise labor conditions are provided. The persons who

violate this law can be punished with penal servitude not exceedin*"

10 years or with a fine not exceeding 30,000 yen.

(4) Minimum Wages Law (Law No. 137 of 1959)

This law provides that the labor administrative ofiice may fix

the amount of minimum wages according to the categories of

enterprises or occupations or regions. The amount of the minim~Im

wage is determined by the following four procedures : (a) In the

case of an inter-enterprise agreement concerning the minimum wage

(an agreement among employers or employers' organizations) being

concluded and when an application has been made to the labor office

by mutual consent of all the parties concerned, minimum wages

applicable to the employers concerned and to the workers employed

by them are decided, by the labor ofiice and are based on the

provision of the inter-enterprise agreement-Article 9 ; (b) In the

case of the greater part of workers of the same kind in a specified

region and of employers employing them being covered by the same

or substantially the same minimum wages based on an inter-enterprise

agreement, and when an application has been made by mutual

consent of the gteater part of the employers covered by the minimum

wages, their effect may be extended to all the workers and employers

in the specified region-Article 10; (c) In the case of the greater

part of workers of the same kind employed in establishments in

a specified region and of employers employing them being covered

by one collective agreement containing a provision concerning the

minimum wage or in the case of their being covered by two or ~

more collective agreements containing provisions of which - contents

are substantially the same in respect to the minimum wage,

and when an application has been made by mutual consent of all

the trade unions or employers concerned, regional minimum, wages

are decided, based on these provisions of e~)llective agreements-

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Article 11; (d) The decisions of the amount of the minimum wage

is made, after consultation with the Minimum Wage Council whose

opinion must be respected. This law also provides for minimum

wages for piece-work conducted at workers' homes. Persons who

violated this are liable to a fine not exceeding 10,000 yen.

(5) Seamen's Labor Law (Law No. 100 of 1947)

The provisions of the Labor Standards Law, with the exception

of the general provisions, are not applied to seamen. The Seamen's

Labor Law provides the minimum standards of working conditions

for seamen and is a special law of the Labor Standards Law.

3. Legal Provisions concerning Social Security under Article

25 of the Constitution

Article 25 of the Constitution provides that all the people shall

have the right to maintain a minimum standard of wholesome and

cultured living, and that in all spheres of life, the State shall use

its~ endeavors for the promotion and extension of social welfare and

security, and of public health. Laws concerned with the social

security system are based on the above provision. These are divided

into two groups. One comes under the social insurance la~vs of

which the Health Insurance Law is a branch, and the other group

comes under the other national assistance laws which includes the

Livelihood Protection Law.

(1) Health Insurance Law (Law No. 70 of 1922)

Various insurance laws designed to protect wokers are the most

important among the laws concerning social insurance. The Health

Insurance Law, as one of the labor insurance laws, aims to grant an

insurance benefit to an insured person for injury, illness or death off-

duty, or childbirth and to grant an insurance benefit to his or her

dependents for injury, illness or childbirth-Article 1. The Govern-

ment or health insurance associations become insurers and collect

premiums acoording to the income of the insured (the premium rate

is 6.5 per cent for these under the Government insurance scheme,

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and bet･~veen 3 ;~*_nd 8 per cent for the~~e under a health insurance

association scheme ; the cost of the premiums is shared equally by the

insured person and the employer), and when an insured person has an

accider*t, expenses for medical treatment are covered (half the amount

of medical treatment for dependents). The medical treatment and

dispensin*' of medicines have to be performed according to regulations

(these regulations cover the organization for medical treatment of the

insured and those persons in charge of such medical treatment and

for medicines for the insured and those persons in charge of providing

medicines for the insured)-Article 43-6. The law is compulsory

for enterprises which employ five or more workers, and is voluntary

for those which employ less than five workers.

For day workers, there is the Health Insurance Law for Day

Workers (Law No. 207 of 1953).

(2) Workmen's Accident Compensation Insurance Law (Law

No. 50 of 1947)

This is ' a I abor insurance law to provide workers with accident

compensation against injury, disease, incapacitation or death from

employment. For accidents on-duty, the Labor Standards Law

stipulates that the employers are responsible for compensation. On

the oth_er h_and, that law also provides that permiums are collected

from the employers, and that the Government pays compensation

when there occurs an accident which is covered by insurance. In

enterprises in which accidents are likely to occur the payment of

premiums is compulsory, in other enterprises it is voluntary.

(3) Public Welfare and Pension Insurance Law (Law No. 115

of 1954)

The presen+* law is an ov~er-all amendment of the law of 1941.

It is a labor ins'u:rance law to grant a pension and a lump sum to an

insured person when he becomes old, disabled, dead or dismissed.

Payment of old age pensions starts from 60 years of age for men

and 55 for women, as a rule. The amount of the pension is the

amount obtained by multiplying 250 yen by the number of months

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for the period the insured person has been insured plus the amount

obtained by multiplyin*' I per cent of the average monthly wage by

the n_umber of months for the period the insured person has been

insured. In the case of an insured person having a dependent

sD. ouse or children (1ess than 18 years of a*"e), 4,800 yen per person

is addecl to the amount of the pension. The Government is the

in*~urer in this law. The enterprises to which this law applies are

the s*-me as those to which the Health Insurance Law applies to.

The monthly amount of pfemium is between 3.9 and 6.7 per cent of

the average monthly wages and is shared equally by the insured

pers_on and the employer.

However, where majority of the insured person in a given

enterprise and a trade union organized by more than one third of the

insured person, where such union exists, give consent, the employer

may establish a welfare pension fund in order to apply it for the

payment of the amount of provision fixed in according to the average

monthly wage of the insured.

(4) Smaller Enterprise Retirement A110wance Mutual Aid Law

(Law No. 160 of 1959)

Regarding unemployment, there is the Unemployment Insurance

Law above mentioned. Besides, this law provides a system of the

retirement allowance mutual aid for the employees of the smaller

enterprises those that (ordinarily employers less than 300 workers),

under which the employ~ers pay the contribution to the Smaller

Enterprise Retirement A110wance Mutual Aid Projects Corporation,

which pays the retirement allowance to the employees in case of

their ~1~etirement.

(5) Seamen's Insurance Law (Law No. 73 of 1939)

This is a special labor insurance law for seamen. It aims to

grant an insurance benefit to an insured person for illness, injury,

childbirth, unemployment, old age, disablement, incapacitation or

death and to grant a_n insurance benefit to the insured person's

dependents for illness, injury, childbirth or death.

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(6) People's Health Insurance Law (Law No. 192 of 1958)

The present law is an over-all amendment of the law of 1938.

A11 the previously mentioned social insurance laws are so-called labor

insurance laws for workers, but this law is a social insurance law

for the people. It defines the accidents to be insured as illness,

injury, childbirth or death of the insured person. In this respect, it

corresponds with the Health Insurance Law. The insurers are cities,

towns, and the special wards. The people's health insurance associa-

tion can also become an insurer. *

(7) People's Pension Law (Law No. 141 of 1959)

The purpose of this law is to grant a pension to the people, wh_o

are not guaranteed by the public pension system for workers, wllen

they become old or disabled and to their dependents when they die.

It is compulsory for people of more then 20 years and less tll._an

60 years to be insured. The premiums are 100 yen a month for

persons les-e than 35 years of age and 150 yen a month for persons

of and over 35 years of age. Payment of the old age pension *_tarts

frowL = 65 years of age, and the amounts are 2,000 yen a month for

the insured who have paid premiums for 25 ye"*rs and 3,500 yen

a month for the insured who have paid premiums for 40 years.

(8) Livelihood Protection Law (Law No. 144 of 1950)

The previously mentioned legal system for social insurance

constitutes one phase of the social security system. Another phase

is the legal system concerning allowances by the State which provides

for a fixed standard of living. This law, as its central statute,

provides that the State shall render necessary protection to all people

who are in needy circumstances due to poverty and guarantee tllern

a minimum standard of living, following the principle prescribed

under Article 25 of the Constitution. The ways, by which protection

is given, are : Iiving allowances, educational allowances, housing

allowances, medical treatment allowances, childbirth allowances,

business allowances, and funeral grants. The amount of the allow-

ance is decided by the Minister of Welfare-Article 8. According

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to the revised standard of allowances in April 1963, the amount of

the allowance for a family of five persons living in an a_rea, where

co-st of living is at the highest level, is 18,204 yen a month (an

average of the standards for summer and winter and includes living

allowance, housing allowance and educational allowance)-this is

bas-ed on a survey made by the Social Affairs Bureau of the Ministry

of Welfare, p. 138 of the Japan's Social Security Reader edited by

Hitoshl Matsuo.

Besides, there are the Child Welfare Law (Law No. 164 of 1947),

the Mother and Infant Welfare Law (Law No. 129 of 1964), the Old

Age Welfare Law (Law No. 133 of 1963), the Disabled Persons Welfare

Law (Law No. 283 of 1949) and the Mentally Weak Persons Welfare

Law (Law No. 37 of 1960), which provide allowances by the State for

children and other persons requiring assistance. In case of a disaster,

the Accident Relief Law (Law No. 118 of 1947) provides for emergency

relief.

(9) Social Welfare Undertaking Law (Law No. 45 of 1951)

This law provides for the basic regulations in all spheres of social

welfare undertakings and, with the Livelihood Protection Law and

other laws for social welfare, ensures such undertakings are carried

out fairly and properly in order to promote the sound development

of social welfare-Article 1. This Law provides for the Social

Welfare Conucil, welfare ofiices, social welfare superintendents, Iegal

person of social welfare, social welfare conferences, and community

chests.

II. History

It was after the end of World War 11 that the legal system for

labor and social security, imperfect though they are, were completed

in Japan. The development of these systems was due to the

leadership of the A1lied Nations after Japan surrendered in 1945 and

also to the influence such new movements as the Japanese trade

unlo Is. Generally speaking, the orgamzation of these systems can

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be said to have been on an international level. However, restrictions

on workers' rights have gradually been accumulated as can be seen

in various laws regulating trade unions. Therefore, to get a clear

understanding, the history of the labor law should be divided into

two parts-characteristics of the legal system before the end of World

War 11 and postwar development.

1. Characteristics of the Legal System before the End of

World War II

The following four points stand out :

(1) First of all, Japan had an extremely poor system of legal

protection of workers, which was far below the prewar international

level. Of course, there was the Factory Law enacted in 1911 and

enforced finally in 1916. In addition, there were the provisions of

the Mining Law of 1905 and provisions in the Commercial Law for

seamen of 1899, and the Shop Act of 1938. However their contents

were poor and not sufiicient to regulate workin*' conditions.

For this reason, Japan was famous for its extremely low level

legal protection of workers. The Factory Law provided working

conditions for women and minor workers, - but did not have any

protective provision for adult men. It allowed two rest days a Inonth

and 11 working hours a day for women and minors, while the

international level was an eight hour working day. Furthermore,

the working hours could be extended by two hours when approved

by the government. The minimum wa*'es law in the field of sweating

labor did not exist. Indeed, it could be said that the legal system

in these days was of a colonial grade below the Indian level.

Moreover, th_e Factory Law was applied to only those undertak-

in*"s where more than 10 persons were employed all the time. Petty

undertakings with less than 10 employees, which constituted the

vast majority of the undertakings in Japan,were excluded from the

application of this law. It cannot be forgotten that application of this

law was a result of an amendment after a resolution of the Inter-

- 18 -

national Labor Conference established as a result of World War 1.

It was in 1929 when night labor of women and minors was

banned legally and regulations on industrial safety and hygiene and

for dormitories attached to enterprises were provided. In the field

of mining, it was in 1938 when night labor at, coal selecting places

was abolished, and it was in 1937 when a law to achieve this end

was enacted.

Regarding the accident compensation system, a very small

allowance was provided in the Factory Law and the Regulation for

Coalminers' A110wance of 1916. For employees of the government,

an allowance was provided in the Employees' A110wance Order.

In the engineering and construction industry, an allowance was not

provided until 1931 when the Labor Accident A110wance La~w was

enacted. However, when these protective laws be*'an to shape, even

though they were imperfect, Japan being on the brink of war in

a difficult position. Consequently, an attempt to protect labor forces,

and such an attempt had to be performed rationally in accord-

ance with the capitalistic order, was neglected for a long time, and

soon labor was m_obilized into working round the clock on seven

days a week. Therefore, it may fairly be said that no protective

laws in a substantial sense existed when Japan surrendered.

(2) The second point to be mentioned is tb_at tb_e social security

system was also extremely poor, Iacking its central them_e of an

unemployment insurance system.

In early 1920/s , only the Health Insurance Law of 1924 (also

served as an accident allowance insurance law) had been enacted

as social insurance. During the Sino-Japanese War, impoveris-hment

of farming families caused by panic in rural districts *"nd the res'Jltant

irnpairing of the health of young men came into question, and the

People's Health Insurance Law was legislated in 1938. This was

followed by legislation of the Seamen's Health Insurance Law and

the Employees' Health Insurance Law in 1939. It could be said that

the nature of the social security system in those days became simply

- 19 -

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a measure to promote the health of young men who would be needed

for the army.

The accident insurance system for workers of the engineering

and construction industry was established in 1931 with the legislation

of the Accident Allowance Responsible Insurance Law. The Seamen's

Insurance Law was enacted in 1939 and the Public Welfare Pension

Insurance Law which had the nat.ure of insurance for the old and

the disabled was established in 1941.

At this time capitalism in Japan had already entered into its

monopolistic stage and maintained a big industrial reserve force of

labor. For a large number of unemployed workers during the panic,

the Retirement Reserve and A110wance Law was enacted in 1936.

Due to lack of sufficient legal protection, the majority of such

unemployed workers were obliged to seek refuse in the countryside

with their families and were thus protected by the family system that

still prevailed among the poor farmers. However, many of the

unemployed were sent abr02Ld party as soldiers and party as settlers

and others during the war were drafted or mobilized. There was

no machinery to deal with the serious unemployment right after

the end of war.

(3) The third point is that in Japan autnomous organizations

and collective acts of workers were not expressly forbidden ; but,

actually legislation and social structure that existed served to suppress

such activities and to create a tendency to regard such activities

unlawf ul.

Japanese capitalism is said to have been established after the

Sino-Japanese War. Therefore, Iabor disputes and attempts to

organize trade unions also began at that time. For example : The

Association for the Realization of Trade Unions was founded, and

the lronworkers Trade Union was formed in 1897 ; there were strikes

at the Tenma Spinning Company and the Mie Spinning Company in

1894 and after, and a strike of the Nihon Railway Company in

1898. However, these union movements were frastrated by the Peace

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Police Law of 1900. Workers were thrown into prison for instignat-

ing a movement for h_igher wages under the charge of violating

Article 17 of the Peace Police Law. This article was repealed in 1926

and the union movements became legal, but the main purpose of this

law was included in the Law for Maintenance of the Public Peace

(1925), the Penal Law for Acts of Violence (1926) and the Labor

Disputes Mediation Law which allowed police mediation. Consequently,

any movements which could be labelled as socialistic and considered

to challenge the right to own private property could be suppressed

without reserve and labor disputes could be settled by police inter-

vention. Active unions movements were kept separate from those

unions who were inactive and cooperative. However, even the

collective bargainings of these mild unions were also suppressed by

the Police Regulations when a union member committed acts in

organizing a strike that were considered as violating such regulations,

such as following his fellow workers about or forcing his employer to

see him. Union organizers could be arrested under the excuse of

detention-for-protection based on the Administrative Execution Law

and could be tormented by being taken from one police station to

another. A draft of a trade union law to foster the harmless and

cooperative unions was considered after World War I. It was submit-

ted to the National Diet in 1926. However, even such bureaucratically

controlled trade union law was not established. Such high-handed

policies toward workers and the idea of creating an industrial family

exploiting the paternalis*tic consciousness of the workers become

intensified after the outbreak of war with China. At last, all labor

dispute were virtually restricted. The administrative authorities

encour*~ged the voluntary dissolution of trade unions and at the same

time reorganized them into industrial patriotic leagues to make them

cooperate in wartime production under the command of the employers.

Consequently, when Japan was defeated, a few veterans of the old

union movements survived and some tendency of sabotage was seen,

but the tradition and experience of union movements had disa~peared.

- 21 =

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Nothing but the idea and the framework of the industrial patriotic

leagues remained within the enterprises. Of course, there was no

legal tradition to promote union movements. The general weakness of

consciousness as workers helped school teachers and public employees

being unaware of their position as workers and strengthened their

feeling as in privileged position. Such tendency prevented them

from organizing trade unions. ,

(4) The fourth point is that the labor market, through public

employment exchange agencies, was poorly developed, and that labor,

similar to hard labor in prisons, was compulsory with labor recruitment

organized on slave-dealer lines. Public employent agencies were not

fully utilized. Workers were recruited on the spot or through

relatives or acquaintances, partly because most of the workers came

from agricultural districts. Not only women workers in the textile

industry and men in the engineering and construction industries, but

also workers in modern factories were employed through their relatives

or acquaintances. Such methods of recruitment brought about profit-

eering in selling jobs and thereby the exploitation of workers, a sy~stem

known as 'Pin Hane'. As a result, the 'octopus rooms' in mines,

prison rooms in the construction industries, and forced labor in the

crabfishing (Kanik6-sen) and textile industries appeard. The Employ-

ment Exchange Law of 1921 and the Fee Charging Employment Exchange Regulation of 1925 were in existence, but their effect ~were

nugatory. Employment agencies were renam_ed labor mobilization

offices during the war, and played an important role in the drafting

and mobilization of labor under the National Mobilization Law.

The , above mentioned chacteristics made the post-war labor

legilsation an epoch-making developmen,.

2. Post-war Labor Legislation and its Development

(1) The 'enforcement of the Trade Union, Law and the enactment

of the Labor Relations Adjustment Law in 1946, and the enactments

of the Labor Standards Law, the Employment Security Law and the

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Unemployment Insurance Law in 1947, together with the provisions

of the Constitution, which guaranteed the right to live, work,

Organize and act collectively, brougnt about a system in conformity

with the recognition of fundamental labor rights.

(2) During this time, however, the orders of the Occupation

Forces, which superseded those of the Constitution, were effective.

Consequently, regulations overriding those of the Constitution, as in

the cases of the prohibition order for the Strike of Feb. 1, 1947,

and the prohibition order for the public service employees strike in

July 1948, were put into force. The initial policy of the Occupation

Forces was to promote union movements, but soon it was changed

to one of suppressing such movements.

Since the prohibition order for the public service employees'

strike (Cabinet Order No. 201) was enforced, th_e labor legislation

has been reformed in confonnity with this order, even in this field

of the national laws under the Constitution. The present National

Public Service Law, Public Corporations and National Enterprises

Labor Relations Law, Lacol Public Service Law, and Local Public En-

terprises Labor Relations Law are concrete results of this reformation.

The_re are two major characters of this legislation. One is that

the application of the Trade Union Law to the public service em-

ployees and public enterprise employees was excluded and that the

application of the Labor Standards Law to the public service

employees was also excluded. The trade union of th_ese employees

was divided and organized according to the aD. plication of these laws.

The other is that these workers' right to strike was denied and the

ri**ht to bargain collectively was ,restricted. This brought an

intensifi**d movement for the ratification of the ,ILO Convention

No. 87, and became the cause of today's labor mov**m~nts to recover

the fundamental labor rights.

(3) Japan was liberated f_rom occupational status- with the

conclusion of the San Francisco Peace Treaty in 1952. In order to

conclude this treaty, efforts were made to convert various cabinet

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orders issued during the occupation days into national laws under the

leader-*,hip of General Ridgeway, supreme commander of the A1lied

Powers. As a part of this step laws and regulations concerning labor

were re-examined and amended in 1952. But, it brought the change

only to the form, Ieaving the substance in fact. The exercise of the

right to organize and act collectively was still restricted to a certa_in

degree .

(4) Since then, the restriction of the right of workers to

organize and to act collectively h8_s been strengthened through the

enactment of the Strike Regulation LavJ and various adrninistrative

controls. In order to cope with this trend, the Japanese trade unions

have actively engaged in movements for demanding legislation to

guarantee the exercise of the fundamental labor rights. It was as

a result of these movements that they presented their case to the

Committee on the Freedom of Association of the International Labor

Organization several times. The ILO Convention No. 87 was ratified

in 1965, but the movement for the attainrnent of fundamental rights

of laborers_ has still been in process.

III Outline of the Legal System

1 . Right to Organize

The right of workers to organize is guaranteed as one of the

fundamental human rights by Article 28 of the Constitution. Therefore,

any la"w~ or order which infringes upon the right to organize is uncon-

stitutional and invalid. There are, in fact, many laws and ordinances

which restrict or prohibit the right of workers to organize, and the

Japanese courts have not declared these laws and ordinances to be

unconstitutional and invalid. However, the Government was warned

by the ILO that some of these laws and ordinances were in conflict

with the main principles of the freedom of association. As a result,

the government has promised to ratify the ILO Convention No. 87

(a convention for the freedom of association and the protection of

- 24 ~

the right to organize, 1948) and to repeal Article 4, para*-raph 3 of

the Public Corporations and National Enterprises Labor Relotions

Law and other provisions which are contrary to the convention.

Ratification delayed several years and was finally accomplished after

the Governing Body of the International Labor Organization estab-

lished a fact-finding and conciliation commission on freedom of

association in order to investigate the situation in Japan and sent

the commission to Japan.

However, as mentioned earlier in the chapter on source of law,

the amendment of various laws made in the *"uise of following the

principles of the ILO Convention No. 87 was not satisfactory to elimi-

nate all of the existing restrictive provisions on right to organize etc.

Instead, further restrictions seem to have been added. After all, the

right to organize in Japan (~s well as the ri**ht to bargain and act

collectively) has a disagreeable character because it is restricted sub-

stantially by various statues disregarding the spirit of the Constitution.

These restrictive provisions are censured for their unconstitutionality.

Under the present labor legislation concerning the right to

organize, workers are divided into the following three principal

groups : (A) workers in private enterprises (the Trade Union Law

and the Labor Relations Adjustment Law) ; (B) employees of public

corporations and national public service personnels of national

enterprises (the Public Corporations and National Enterprises Labor

Relations Law) and local public service personnels employed in local

public enterprises (the Local Public Enterprises Labor Relations Law);

<O and other national and local public service personnels (the National

Public Service Law and the Local Public Service Law). The ri**ht to

organize is much more restricted in the latter two groups (previously

called B and C groups).

(1) Regarding the first group (A group), the closed shop

agreement is recognized by a written provision which state>- that

this shall not prevent an employer from concluding a collective

agreement with a trade union to require, as a condition of employ-

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ment, tlnat the workers must be members of the trade umon n

such trade union represents a majority of the workers in the particular'

plant or working place in which such workers are employed-provisa

to Article 7, item I of the Trade Union Law. Judicial precedents

also admit that the basis of this recognition of compulsory organiza-

tion are for strengthening solidarity and for the guarantee of the

right to organize. H:owever, the open shop system is compulsory in

case of B and C groups.

(2) Proviso to Article 4, paragraph I of the Public Corporations

and National Enterprises Labor Relations Law which prohibited

organization of those holding managerial or supervisory positions and

those employed in a confidential capacity in B group was deleted by

the amendment in 1965.

But the amendment did not give unions the right to determine

the scope of employees who had capacity to represent the interest

of their employers and therefore were to be excluded from union

membership, but it reserved this power for the Labor Relations

Board. In addition, the amendment maintains the scope of employees

holding managerial positions which has been enlarged to a consider-

able extent, as the scope of employees who are in a position to

represent the interest of employers. For this reason, approximately

ten per cent of the entire employees were excluded from union

membership, and employees of police, fire services, the Maritime

Safety Agency, pr~isons and the Defence Agency in C group are

prohibited to organize or affiliate with unions.

(3) Regarding B group, trade unions were compelled to be

organized in individual enterprises under provisions whiob_ provided

that only the employees of public corporations and national enterprises

sh_all be eligible for membership of the employees' unions of the said

public corporations and national enterprises or to b*_ elected as ofiicers

of such unions-Article 4, par~. 3 of the Public Corporations and

National Enterprises Labor Relations Law, etc. (a similar restriction

is imposed upon C group by the registration system based on the

- 26 -

N~~tional Personnel Authority regulations and local government regu-

lation_*). This restriction was criticized by the Governing Body of the

International Labor Organization as has been previously mentioned.

Article 4, paragraph 3 of the National Public Corporations and

National Enterprises Labor Relations Law and Article 5, paragraph 3

of the Local Public Enterprises Labor Relations Law were deleted

by the amendment of 1965. However, with tegard to C group, parts

of the amended law, the enforcement of which was postponed,

established further restriction.

Under these provisions, employees holding managerial andi

supervisory positions (the scope of which are determined by govern-

ment authorities such as the National Personnel Authority, the

Personnel Affairs Cornmittee etc.) and other employees cannot

organize a single union ; union membership is limited to employees,

and discharged employees are only eligible during one year after

their discharge or during the pendency of his case.

Furthermore, the amendment prohibits 'check off agreement of

10cal public service employees, and enlarges the power of the Cab~net

of Ministers over national public service employees by reducing the

power of the National Personnel Authority and establishing a bureau

of personnel in the Ofiice of the Prime Minister.

The part of the amendment, the enforcement of which was postponed, Iimits the employees' holding of full-time union office to

three years for B and C groups and limits the purpose of unions of

C group to the "maintenance and improvement of working conditions",

and thus strengthens the restrictions on employees' ,right to organize.

(4) In the case of the! Iocal public service employees of C group,

a trade union of the employees of a specific local public entity can

federate itself with other trade unions of 'employees engaged in other

10cal public entities, but such federations of the trade unions are not

treate~_ a*~s a trade v_nion under the local public service law (the right

to bargain collectively and acquisition of the juridical person etc.).

Under Article 28 of the Constitution, the right of workers to

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,organize is guaranteed against infringement by employers. The

unfair labor practices system provided in the Trade Union Law

supports this guarantee. That is, the employer is prohibited from

making the following practiceb* : (1) to discharge or give discrimina-

tory treatment to a worker by reason of his being a member of

a trade union ; for his having tried to join or organize a trade union

or for his having performed the normal union activities, or to make

it a condition of employment that the worker must not join or must

withdraw from a trade union ; (2) to control or interfere with the

formation or management of a trade union by workers or to give

financial support to it in defraying the trade union's operational

expenditure-Article 7, items I and 3. Protection from such unfair

labor practices are given by the Labor Relations Boards as administra-

tive bodies, and the courts.

The Labor Relations Boards have a dual-trial system consisting

of the Central Labor Relations Board and the Local Labor Relations

Boards (in addition to these there are the Mariners' Central Labor

Relations Board and Mariners' Local Labor Relations Boards). These

Boards are set up consisting of persons representing employers,

workers and public interest (the so-called three-party composition).

The workers' members and th_e employers' members can participate

in hearings on matters related to unfair labor practices, but cannot

participate in jud*･ement. Those who are discontented with the order

issued by the Labor Relations Board can file their petition with the

,courts. When the order of the Labor Relations Board becomes

final, those employers who violate the said order are liable to

imprisonment, not exceeding one year or to a fine not exceeding

one hundred thousand yeh (in case all or a part of the said order

has been sustained by the fixed judgement of the court), or to a fine

not exceeding one hundred thousand yen a day for the period of

non-compliance of the said order. In the event of the employer filing

his petition with the court, the court may issue an order requiring

the employer concerned to comply with the order of the Labor

- 28 -

Relations Board pending the final judgement by the court, on appeal

from the said Labor Relations Board. In the case of an employer

violating this court order, he is liable to a fine not exceeding one

hundred thousand yen a day for the period of non-compliance of the

said order.

The above procedures are only applicable to workers of A group.

For employees of public corporations and national enterprises in B

group the Public Corporations and National Enterprises Labor Relations

Board is in charge of the remedy procedure. As for employ~ees ' of

C group, there is a provision which falls under item I of Article 7

of the Trade Union Law, but for remedy for unfair labor practices

the employees must file their petitions on treatment with the National

Personnel Authority or the Personnel Affairs Committee or Impartiality

Committee of the local public entity concerned. There is no

ptovision that corresponds with Article 7, item 3, which prohibits

control of and interference in the trade union.

2. Right to Bargain Collectively

By the constitutional guarantee of the right to bargain collective-

ly, proper collective bargaining does not constitute a criminal offence.

In addition, Article 7, item 2 of the Trade Union Law prohibits an

employer from refusing to bargain collectively with the representative

of the workers employed by the employer concerned without fair and

appropriate reasons. Procedures for ~emedy are the same as the

cases mentioned previously.

However, there are various restrictions to the B and C groups.

For the B group, matters concerned with working conditions may

be subjected to collective bargaining and may be provided for in

a collective agreement, but matters affecting the management and

operation of public corporations and national enterprises are excluded

from collective bargaining. Any agreement (also any award of the

Labor Relations Board), which involves the expenditure of funds,

neither available from the appropriate corporation budget nor from

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corporation funds, does not bind the Government nor local public

entity concerned, and does not become effective, unless it is approved

by the Diet or the assembly of the local public entity.

For C group, the employees' union may bargain collectively

with the authority concerned on matters related to working conditions

and other proper matters, including social and public welfare activi-

ties, but may not conclude any colletive agreement. Only the local

public service employees' union may conclude a written collective

agreement with the authority of the local public entity concerned,

provided that it is not in conflict with the laws, ordinances and

regulations of the said local public entity and rules of the organiza

tions of the said local public entity. The remedial provision for

refusal of collective bargaining is not provided. Moreover, the

amended law, the enforcement of which is postponed allows the

authority easily to find a pretext for refusing collective bargaining

by listing the detailed conditions of collective bargaining such as the

objects, the other party, procedure and method of bargaining which

permit the authority may break off negotiations if the employees'

union fails to meet these conditions.

3. Right to Dispute

The right of wokers to dispute is the key of the right to act

collectively guaranteed by Article 28 of the Constitution. In order

to realize the constitutional guarantee, the Trade Union Law provides

that proper acts of dispute are not subjected to criminal or civil

liability even thou*'h these acts fall under the Criminal Law and

other laws and regulations, and that the employer must not give

discriminatory treatment to a worker by reason of his having

performed proper acts of dispute.

The Supreme Court has expressed its opinion on acts of dispute

declaring that the essence of a strike is the nonfulfilment of the

obligation of workers to offer services imposed upon them by labor

contracts, and regards a sitting-down of union members to stop other

- 30 -

persons from working as a proper act under certain circumstances.

However, there are many laws and regulations which restrict or ban

acts of dispute. As for A group, these include : (1) restriction of

acts of dispute which hamper or cause the stoppage of normal

maintenance or operation of safety precautions ; (2) the notification

of acts of dispute in public utilities ; (3) the prohibition of acts of

dispute for 50 days in case of emergency adjustment (see p. 4 above) ;

(4) Article 30 of the Seamen's Labor Law, a special provision for

seamen, providing that acts of dispute are prohibited while a ship

is in a foreign port or when human lives or a ship are in danger by

th_e said act of dispute ; and (5) the restriction of acts of dispute in

electric enterprises and coal mining industries (see p. 8 above).

As to B and C groups (employees of the public corporations

and national enterprises and public service employees), acts of dispute

including conspiracy and instigation are fully prohibited. However,

the amendrb:ent of the Public Corporations and National Enterprises

Labor Relations Law and Local Public Enterprises Labor Relations

Law extends the prohibition of conspiracy and instigation to "members

and officers of unions" in addition to "employees" Under the gurse

of making necessary improvement and amendment to existing laws

in line with ILO Convention No. 87, restrictions on acts of dispute

were not eliminated. Efforts were made only to lessen the effect of

deleting Article 4, paragraph 3 of the Public Corporations and National

Enterprises Labor Relations Law, etc.

4. Labor Relations Adjustment

Since the right of workers to engage in acts of dispute is

guaranteed, interference of the State in its exercise must be withheld.

Accodingly, the present labor relations adjustment system aims to

adjust disputes between workers and employers through the establish-

ment of agencies for autonomous adjustment-Articles 2 and 4 of

the Labor Relations Adjustment Law. And, the Government is under

an obligation to assist the parties concerned to adjust labor relations

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and thereby prevent the occurrence of acts of dispute-Article 3.

Actually this is carried out by the conciliation, mediation and

arbitration of the Central and Local Labor Relations Boards.

Conciliation is a means of adjusting labor relations. In this case

the conciliator appointed by the chairr~an of the competent Labor

Relations Board endeavors to cont'~6t both parties, ascertains their

respective points of view and assists them in arrhring at a settlement.

Conciliation is begun upon the request of both or one of the parties

or on thairman's own initiative.

Mediation is carried out by a Mediation Committee consisting of

the committeemen representing the employers, workers and public

interest. The Mediation Committee has the power to draft a proposal

for settlement, present it to and recommend the parties concerned

to accept it and to publish the proposal for settlement together wi th

a statement of the reasons. The conditions under which mediation

may be started are stricter than those for conciliation. Mediation

is carried out usually when a request for mediation has been made

to the Labor Relations Board by both parties concerned, or one of

the parties in case where such request is made in accordance with

the collective agreement. However, when in a case involving public

utilities, mediation is carried out upon the request of either one of the

parties concerned, or at the Board's own initiative, or upon the

request for mediation by the Labor Minister or the prefectural

governor. Thi_F~ last condition includes cases that would have a wide

effect or would involve work of a special nature and would seriously

threaten public welfare.

Arbitration is carried out by an Arbitration Committee consisting

of three committeemen designated by the chairman of the Labor

Relations Board rrom among the members or the Special Adjustuent

Committeemen, representing public interest. The arbitration award

has the same effect as a collective agreement and binds both parties

concerned. Therefore, the conditions under which al~bitration may

be resorted to are much more strict than those for mediation.

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Arbitration is carried out only when a request for arbitration has been made by both parties concerned, ¥ or one of the parties when

the request is based on the provisions of the collective agreement.

Meanwhile, when the Prime Minister, deems that because a dispute affects the public utilities, or is of a large scale, or is

related to work of a special nature, and the suspension of operation

of the work, arising from an act of dispute, seriously threatens the

national economy or the daily life of the nation, he may decide on

an emergency adjustment only when there exists such a danger,

after cosulting the Central Labor Relations Board. In this case, the

Central Labor Relations Board may, to settle the dispute concerned,

take the measures for conciliation, mediation and, in c~ses coming

under the conditions mentioned above, arbitration. In addition, the

Board may investigate and publicize fact of the case, and recommend

measures deemed necessary for the settlement of the case. When

the emergency adjustment has been publicized, the parties concerned

are forbidden to resort to any act of dispute for 50 days from the

day of its publ'cation.

The above mentioned are for the general private industries

(A group). In the case of the employees of the public corporations

and national enterprises under the application of the Public Corpora-

tions and National Enterprises Labor Relations Law, conciliation,

mediation and arbitration are undertaken by the Public Corporations

and National Enterprises Labor Relations Board. The conditions

under which conciliation may be started are the same as those for

private industries, and the conditions to start mediation are approxi-

mately the same as those for public utilities. However, as to

arbitration, the so-called compulsory arbitration is authorized in

connection with the prohibition of the acts of dispute. In this case

the application for arbitration of the parties concerned is not neces-

sary. That is, arbitration may be commenced when either of the

parties concerned has applied for arbitration two months after the

conciliation or mediation has been started, when the Board has

- 33 -

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decided that it is necessary to undertake arbitration regarding a case

on which the Board has been undertaking conciliation or mediation,

and when the competent minister has requested the Board to under-

take arbitration. Arbitration is undertaken by the Arbitration

Committee established for the case concerned and composed of the

members of the Board representing public interest and appointed

without the consent of the parties concerned. For the effect of the

arbitration, see p. 6 above. These procedures are also applied to local

public service employees under the application of the Local Public

Enterprises Labor Relations Law, but as in case of private industries,

conciliation, mediation and arbitration are undertaken by the Labor

Relations Board.

In the case of public service employees of C group, the labor

relations adjustment system is not established.

5. Labor Standards

As to labor standards, the Trade Union Law recognizes the binding

force of collective agreements, and makes such agreements binding

upon other laborers of similar kind under certain conditions. The law

aims at maintaining and improving labor standards by the collective

power of laborers. On the other hand, the Labor Standards Law

provides a minimum standard of working conditions under the legal

principle provided by the Constitution. This Law applies to all

industries except for enterprises or offices employing only relatives

living with the employer as family members and domestic employees

in homes. However, only some of the provisions of the Labor

Standards Law are applicable to national public service employees by

analogy, and are partially applicable to local public service employees

and seamen under the Seamen's Labor Law.

The Labor Standards Law declares that working condition*_ must

enable a worker to live a life worthy of a human being. The

provisions concerning minimum standards of working conditions

aim to be the same level as the international minimum standards set

- 34 -

forth by ILO conventions and recommendations, these stipulate eight

working hours a day or 48 hours a week, one rest day per week,

annual vacations with pay. However, these principles are not strictly

enforceable since a number of exceptions are provided, as to working

hour for example, there is a provision which enables the employer

to extend working hour if he is sanctioned to do so by the adminis-

trative ordinance, and there are many enterprises in which 9 or

10 working hour have been authorized. Refer the Enforcement

Ordinance of Labor Standards Law. As to wages, the Minimum

Wages Law was established in 1959, but the amount of the minimum

wage is decided mainly by an inter-enterprise agreement, and the

workers concerned can not participate in the decision on the

minimum wage.

6. Social Security System

The Japanese social security system consists of a series of laws

that vary according to objects. As to social insurance : by the

amendment of the People's Health Insurance Law, cities, towns,

villages and certain city wards have become responsible for the

people's health insurance as the insurers since April 1961, and by

the establishment of the People's Pension Law, collection of the

premiums began in the same month, and thus the univers-al health

insurance and pension system have been established. However,

medical examination and treatment under the health insurance are

restricted in many ways by the Regulations for Medical Examination

and Treatment established by the Minister of Welfare from the

financial standpoint. There is much that can be criticized in this

restricted medical examination and treatment. As to the people's

pensions, an old age pension is only 3,500 yen a month for an insured

person who has paid primums for 40 years.

The Livelihood Protection Law aims to guarantee a minimum

standard of livelihood for perpole who are in needy circumstances, and

provides that the amount of the allowance decided by the Minister

- 35 -

of Welfare must be sufficient to them to maintain a_ minimum

standard of living. However, the standard of protection actually

providecl by the administrative agency is far lower than the legal

standard. For instance, according to a case litigated in court, to

persons who require aid and have been in hospital or an institution

for more than three months, a maximum of 600 yen only a month

was granted for essential articles. This amount was considered to be

ille*aal by the Tokyo District Court on October 19, 1960 because it is

not sufficient to maintain the minimum standards of wholesome and

cultured living. The Government appealed against this decision.

The Tokyo High Court decided that although the standard was

unreasonable, it was not illegal. By further appeal, the case is now

pending at the Supreme Court.

IV. Statistics

Tabl, e I Number of Single Unions and Union Members

(AS of the End of June)

year

1955

1956

1957

l 958

1959

1960

1961

1962

1963

1964

number of single unions

18,013

18 , 935

19 , 297

20 , 132

20 , 725

21 , 957

24 , 237

24 , 899

25 , 844

27 , 141

number of nuion members

6 , 285 , 878

6 , 463 , 1 18

6 , 762 , 601

6 , 984 , 032

7 , 211 , 401

7 , 661 , 568

8 , 359 , 876

8 , 971 , 156

9 , 357 , 179

9 , 799 , 653

number of increase over preceding year

210 , 132

177 , 240

299 , 483

221 , 431

227 , 369

450 , 167

698 , 308

611 , 280

386 , 023

442 , 474

estimated ratio of organization

37 . 8~

35 . 4

35 . 5

34 . 7

33 . 6

33 . 8

36 . 1

36 . 2

36 . 1

36 . 3

(Remarks)

2.

Based on the Report on Basic Survey of Trade Union Compiled by the Ministry of Labor.

Extracted from the Japanese Labor Year Book 1966, p. 202, edited by the Ohara Social Research Institute

of Hosei University.

~ 36 -

Table 2 Number of Trade under Each

Unions and of

Applicable Law Union Members

Laws A p plicable

Total

Trade Union Law

Public Corporations and National Enterprises Labor Relations Law

Local Public Enter-prises Labor Rela-tions Law

National Public Service

Law Local Public Service Law

June 1960

Number of Unions

21 , 957

(100 . O)

17 , 931

(81 . 7)

47 (O . 2)

377 (1 . 7)

281 (1 . 3)

3 , 321

(15 . 1)

Number of Union

Members 7 , 661 , 568

(100 . O)

5 , 061 , 601

(66 . 1)

929 , 666 (12 . 1)

130 , 104 (1 . 7)

278 , 872 (3 . 6)

1 , 261 , 325

(16 . 5)

June 1961

Number of Union

24 , 237

(100 . O)

20 . 043

(82 . 7)

77 (O . 3)

396 (1 . 6)

281 (1 . 2)

3 , 440

(14 . 2)

Number of Union

Members 8 , 359 , 876

(100 . O)

5 , 649 , 018

(67 . 6)

953 , 012 (11 . 4)

154 , 285 (1 . 8)

287 , 748 (3 . 4)

1 , 315 , 813

(15 . 7)

(Remarks) 1. 2.

( ) =per cent Figures obtained from statistics

unions. Labor Year Book 1963, concernmg p. 112

single trade

o

~ 37 -

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39一

Table 5 Number of Enterprises

was carried

where

out .

Labor

(1960)

Standards Ins pection

Periodic Ins pection

135 , 909

Ins pection

u pon Request

18 , 517

Ins pection re peated

30 , 746

Special Saf ety

Ins pection

42 , 575

Other Ins pection

41 , 106

Total

268 , 853

No. of Enter prises

1 , 541 , 769

(Remarks) Extracted f ro m the Japanese Labor Year Book 1963, p. 272.

Table 6 Rate of Violations

Inspection (By the

in Substance discovered by

Size of Enterprises) (1960)

Periodic

1-9 Persons

57 , 1~

10-99 Persons

59 . 1~

More than 100 Persons

48 . 3~

Total

57 . 2~

No. of Violating Entr prises

77 . 795

No. of Enterprises where Inspectionj was carried out:

135 , 909

(Remarks) Extracted f rom the Ja panese Labor Year Book 1963, p. 273 ,

~

- 40 -