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HOME  > Past issues  > 2011 April 27 - May 10  > Top court ruling increases possibility for protecting self-employed workers under the Trade Union Law
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2011 April 27 - May 10 [LABOR]

Top court ruling increases possibility for protecting self-employed workers under the Trade Union Law

April 27, 2011
The Supreme Court on April 12 acknowledged that workers providing services on a consignment basis also have the right to negotiate collectively with their employers. In an Akahata interview on April 27, Murata Koji, a lawyer, explains the significance of the top court ruling as follows:

“This ruling was made in a lawsuit filed by workers called ‘customer engineers (CE),’ who are assigned to maintenance and repair jobs as ‘sole traders’ under contracts with INAX Maintenance Co., a subsidiary of Japan’s major housing equipment maker INAX Co (current Lixil Co.). In the court battle, they argued that under the Trade Union Law, they have the right to form a union and to negotiate with INAX Maintenance collectively, although they are technically ‘self-employed’.

“With this top court decision, it is highly possible for any person with self-employed status or for independent contractors to be considered as possessing labor rights under the Trade Union Law.

“INAX Maintenance’s CEs are supposedly individual contractors, but they do not have the right to refuse repair and maintenance orders from the company or to choose their working hours and work sites. In order to change this situation, CEs formed their own union affiliated with the All Japan Construction, Transport and General Workers’ Union (Kenkoro) and called on INAX Maintenance to hold collective bargaining sessions with them. However, the company refused to recognize the union.

“Based on their working situation, the Supreme Court recognized that CEs are ‘workers protected by the Trade Union Law’ and thus able to exercise the right to negotiate with the company if they form their own union.

“On the same day, the Supreme Court also decided that a female opera singer under a contract with the New National Theater Foundation should also be protected by the law.

“At present, it is reported that 1.2 to 1.3 million people are working in the category of ‘self-employed’ in various industries including the publishing, broadcasting, and transportation industries. Even if such people don’t consider themselves as workers entitled to basic labor rights, I want to encourage them to utilize this ruling in order to improve their working conditions through collective bargaining by organizing a union.”
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