Friday, March 12, 2021

Consider a personnel system that anticipates longer tenure

 

The age of 100 years of life

The Survey on "Career Development and Employment Management Issues in the Era of 100 Years of Life" conducted by the Japan Institute for Labour Policy and Training (JILP) includes some points that can be helpful when taking action in anticipation of longer service periods.

Treatment when promotion to management positions is no longer expected

Regarding the treatment of full-time employees who are no longer expected to be promoted to managerial positions, the highest percentage of 77.9% said they would continue to work without promotion or advancement. This was followed by treating them as specialists equivalent to managers (34.4%) and rating them as employees equivalent to managers (30.5%). The above percentages are for small and medium-sized companies, but the trend is similar for large companies.

Personnel system for career development and its effects

Regarding human resource systems such as the goal management system and career interviews, the "mentor system" seems to be particularly effective for younger employees up to age 39.

It seems that the introduction of the system is generally less effective for older employees, and in particular, the self-reporting system is less effective or even counterproductive in some cases (60 years old and above) compared to younger employees, but the system for "participation in social contribution" seems to be effective.

The most common human resource development benefits of "social contribution participation" activities such as volunteering are the opportunity to come into contact with society's values (69.5%), the expansion of external networks (48.6%), and the acquisition of new perspectives (37.0%). The trend is similar for both large and small companies.

Handling of concurrent and side jobs

44.0% of SMEs prohibit concurrent or second jobs in their employment regulations. On the other hand, 32.3% of the respondents answered that they have no regulations. It is important to consider your company's policy so that you do not panic in case of emergency.

Enforcement of the Revised Law Concerning Stabilization of Employment of Older Persons

The revised Law Concerning Stabilization of Employment of Older Persons will come into effect on April 1. It includes a provision that makes it an effort obligation to secure employment for employees until the age of 70. Although it is an obligation to make efforts, we should prepare for it on a planned basis.

Monday, March 1, 2021

Support system for secondment by the Ministry of Health, Labor and Welfare


◆Support system for secondment

Companies that are temporarily downsizing their operations due to the effects of the new coronavirus infection are taking steps to use "secondment" (sometimes called "employment sharing" or "employee sharing") with companies that are short on labor in order to maintain employment for their employees.

The Ministry of Health, Labor and Welfare (MHLW) has also introduced measures to support the efforts of such secondment for the purpose of maintaining employment at Corona Damages, which are introduced below.

◆What is secondment?

The so-called secondment refers to the process by which a worker, while maintaining some kind of relationship with the company from which he or she is transferred, enters into a new employment contract relationship with the company to which he or she is transferred, and continues to work for a certain period of time. The term "enrolled secondment" refers to a worker who signs an employment contract with both the company from which he/she was seconded and the company to which he/she was seconded.

◆Subsidies for stable industrial employment

The Ministry of Health, Labor and Welfare (MHLW) provides support for both the company from which the employee is transferred and the company to which the employee is transferred.

This subsidy is for employers who have been forced to temporarily reduce their business activities due to the effects of the new coronavirus infection, and who wish to maintain the employment of their workers through secondment. This subsidy was newly established on February 5, 2021.

The program subsidizes a part of the expenses required during the secondment, such as wages, education and training, and labor management coordination expenses, to be borne by the secondment employers and destination employers (secondment operating expenses). In addition, subsidies are also provided for measures required for the establishment of the secondment, such as the cost of preparing work rules and secondment contracts, education and training conducted in advance of the secondment by the originating employer, and the maintenance of equipment and supplies for the acceptance of the secondment by the destination employer (initial expenses for secondment).

Please keep in mind that this is a subsidy to maintain employment, so it is assumed that the employee will return to work at the original place of business after the secondment period is over.

◆Matching system

Other support measures include a matching system by Industrial Employment Stabilization Center of Japan. The Center provides free matching services for companies that have temporarily over-employed due to the effects of the new coronavirus and wish to utilize on-the-job secondment with companies that are short on manpower in order to protect the employment of their employees. (The Center has offices in 47 prefectures throughout Japan and provides consultation services to companies.)