Construction workers union helps carpenter receive unpaid labor charge

A construction workers union in Saitama Prefecture succeeded in having a
developer pay costs and wages its contractor failed to pay to a subconractor
carpenter.

The construction company, which was the contractor of the developer,
failed to pay the carpenter because it went bankrupt. The developer said
that it had no responsibility for the payment to a subcontractor, but
finally agreed to pay, pushed by the union.

This is a rare successful case in the construction industry where
subcontractors usually can do nothing but to take the losses. The Saitama
Prefectural Construction Workers Union (Saitama Doken) achieved this through
negotiations with the developer, Sumitomo Realty & Development Co., Ltd.

The Saitama Doken secretary said that the Japanese Communist Party's
policy proposal was very helpful in urging the developer to accept its
responsibility as a contract orderer.

The JCP policy calls on major real estate companies to take full
responsibility in private construction works and make efforts to ensure that
subcontractors are paid the costs and wages.

After the union explained this JCP policy proposal, Sumitomo changed
their position and agreed to relieve the subcontractor and share the loss.

In the construction industry, job opportunities are decreasing due to the
economic recession. Many construction companies as principal contractors
have to accept a very low price offer by a developer, although it will only
mean a loss for them.

Even when a principal contractor goes bankrupt, an orderer can sell the
completed house or building as scheduled and make a profit. (end)