What should I be careful about when reviewing contracts while drafting employment rules?

When drafting or amending employment rules, above all you must hear and reflect the opinion of a trade union organized by a majority of the workers at the relevant business or workplace.

If there is no trade union organized by a majority of the workers, you must hear the opinion of a majority of the workers and complete the rule-related documents and the contract review.

If the employment rules are to be amended unfavorably to the workers, you must obtain the consent of a majority of the workers.

You should also note that employment rules must not conflict with statutes or with the collective agreement applicable to the relevant business or workplace.

Furthermore, an employer who ordinarily employs 10 or more workers must draft employment rules and report them to the Minister of Employment and Labor.

An employment contract that sets working conditions below the standards prescribed in the employment rules may be void as to that part, so it is advisable to have a contract review conducted.

Representative examples of matters that must be included in employment rules

▶ Matters concerning the start and end times of work, rest periods, leave, and shift work

▶ Matters concerning the determination of wages, the method of payment, the wage calculation period, and the timing of payment and pay increases

▶ Matters concerning the calculation of family allowances, and the method of payment

▶ Matters concerning retirement

▶ Matters concerning the worker's bearing of meal costs, work supplies, and the like

▶ Matters concerning educational facilities for workers