Japan Press Weekly

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2008 December 3 - 9 [LABOR]

Labor Minister promises to investigate Isuzu’s illegal dismissals

Japanese Communist Party member of the House of Councilors Koike Akira urged Labor Minister Masuzoe Yoichi to have Isuzu Motors Ltd. revoke the dismissal of 1,400 temporary workers and fixed-term contract workers before the completion of the term, which is in violation of the Labor Contract Law.

In answer to Koike’s questions at the House of Councilors Committee on Health, Labor, and Welfare meeting on December 2, Masuzoe said, “I will give necessary instructions, including the need for an investigation,” but he refused to state what the ministry will do for each case.

Koike pointed out that Article 17 of the Labor Contract Law prohibits companies from terminating temporary labor contracts before expiry unless companies provide ‘unavoidable reasons’ such as a danger of bankruptcy.

Citing the November issue of its in-house journal, in which the Isuzu chairman said, “Isuzu has increased its earnings each year and has been breaking records in sales,” Koike said, “Although the automaker has reported a decline in profits, it is still expected to earn 60 billion yen in business profits and to pay an additional 1.7 billion yen in dividends to shareholders.

Koike said, “This shows that Isuzu can’t say it has an ‘unavoidable reason’ for reducing its workforce. The ministry should order Isuzu to ‘stop the illegal dismissals’.”

Koike also urged Masuzoe to direct large corporations to fulfill their corporate social responsibility by arranging jobs for fired workers and extending financial support to ensure that they will not lose place to live.

Masuzoe said, “I will request companies to help fired workers find their next jobs. We are also considering ways to resolve the problem of a place to live.”