FAQ

February 23, 2016

What is the best way to hire employees in Japan?

Japan has a national work placement agency called “Hello Work.” Hello Work provides free help to job seekers as well as employers looking to fill positions and provides an essential service in matching these two needs.
February 23, 2016

Is it difficult to fire people in Japan?

Japanese labor law is very protective of employees’ rights. While it isn’t impossible to fire an employee on a contract without a fixed term (a lifetime employee), it is very difficult.
February 23, 2016

Non-Compete Clauses in Japan

The Japanese Constitution protects the freedom of choice of employment. Therefore, within limits, people should be able to work for whatever company they want. However, Non-compete clauses in Japan are very common in contracts.
February 23, 2016

What are the options for establishing a partnership in Japan?

A Gomei Kaisha is the Japanese equivalent of a general partnership. The partners represent the company and therefore any transfers of equity are subject to unanimous approval by all partners. Unlike general partnerships in other countries, Gomei Kaisha are incorporated, rather than contracted into. Hence, “pass‐through taxation” is unavailable, and partners cannot escape double taxation via profits and dividends.