December 26, 2012

Zensho Holdings Co., Japan’s leading fast-food chain, which operates the beef bowl restaurant chain “Sukiya” throughout the country, has made an apology to a labor union for refusing to bargain collectively, promising to sincerely negotiate with the union.

Members of the Tokyo Metropolitan Youth Union which has organized many contingent workers held a press conference on December 25 at the labor ministry building, announcing that they achieved a victorious reconciliation with the company which was mediated by the top court.

The food chain in June 2006 abruptly fired some part-timers at two restaurants in Tokyo’s Shibuya Ward because it planned to close the shops for a week for remodeling the following month. Six workers in their 20s joined the union and requested the company to conduct collective negotiations over the issue. At first, the company responded to the negotiations. Through bargaining sessions, the six won the withdrawal of their dismissals in September 2006 and returned to work.

Learning about the news, many part-time employees at the company’s chain shops around the country became members of the union one after another. They negotiated with Zensho repeatedly and in February 2007 made it pay the unpaid overtime allowance to about 6,000 part-timers. Just after that, the corporation began rejecting to engage in collective bargaining talks with union members.

The union lodged a complaint against the chain with a labor standards inspection office and labor relations commissions. The Tokyo and the Central Labor Relations commissions recognized Zensho’s refusal as an unfair labor practice, ordering the company to sit at the negotiating table with the union. Though the corporation filed a lawsuit against the state seeking the nullification of the order, both the district and high courts ruled against the company. Zensho then appealed to the Supreme Court.

At the news conference, union chair Takeda Atsushi said, “We will work to increase the union membership as well as to change the chain into one which takes good care of its employees.” Union’s lawyer Sasayama Naoto stated, “This reconciliation will encourage contingent workers nationwide.”

Related past article
> Court accuses major fast-food chain of an unfair labor practice [August 1, 2012]