Legislation sets a cap on overtime, ensures equal pay for equal work, and exempts skilled professional workers with high wages from working-hour regulations
Japan’s Diet on Friday enacted into law a bill aimed at reforming the country’s working styles despite opposition concern that the legislation would encourage long hours.
Prime Minister Shinzo Abe’s government has pushed for the reform in an attempt to change Japan’s notorious overwork culture, viewing the legislation as the most important agenda item during the ongoing Diet session through July 22.
“The legislation has been enacted to allow people to have different work styles, including while raising children or caring for [the elderly],” Abe told reporters at his office following the enactment.
The prime minister also pledged to push forward with more reforms “from the viewpoint of workers”.
Following its passage by the lower house last month, the bill revising eight labour-related laws cleared the upper house plenary session by a majority vote of the ruling bloc and some opposition lawmakers.
The legislation consists of three key pillars – setting a legal cap on overtime work, ensuring “equal pay for equal work” for regular and non-regular workers, and exempting skilled professional workers with high wages from working-hour regulations.
The last item, known as the “white collar overtime exemption”, has been a major source of contention between the ruling and opposition parties.
It targets professional employees, including dealers at financial institutions and researchers whose annual wages ar more than 10.
