FAQ

October 23, 2017

How is overtime calculated in Japan?

The rate of overtime pay in Japan varies by the type of overtime the employee is performing.  For example, working in excess of statutory working hours will result in overtime pay of 125% of an employee’s salary, while hours worked late at night in excess of statutory working hours exceeding 60 hours in a month should be paid at 175% of an employee’s base hourly salary.  In addition to these two types of overtime there are a variety of other situations that result in different pay scales being applied.
September 29, 2017

What are the rules for paying employees?

Employees in Japan must be paid at least once per month and on a specified date.  The wage must also be at least the minimum wage guaranteed by the prefecture where the employee works.  Employers are allowed to deducted social insurance premiums, taxes and other expenses from an employee’s wages.  Wages may be deposited directly into an employee’s bank account with the employee’s approval.
September 8, 2017

Are there any specific subsidies for business moving to Osaka?

In addition to the subsidies, tax breaks and other incentive programs offered by the national Japanese government, the local Osaka prefectural government also offers programs to encourage foreign businesses to establish a presence in the prefecture.  For example, foreign businesses expanding into Osaka can get subsidies of up to 5% off purchases of land for a headquarters building or up to 1/3 off of their rent when renting.  Renovating an old factory or R&D facility can also results in a subsidy.
August 14, 2017

Are there any government incentives to set up a business in Japan?

In order to attract foreign businesses to Japan, the Japanese government has enacted laws specifically designed to provide an incentive for parties who wish to expand their business into Japan.  One such law is the Act for Promotion of Japan as an Asian Business Center, which was put into effect in November of 2012.