News Column

Japan firm illegally withheld funds from Filipino employees' salaries

July 13, 2014

A Japanese nursing-care service provider that obliged Filipino employees to waive its responsibility for death also illegally withheld reserves from its Filipino employees' monthly salaries, sources familiar with the matter said Sunday.

Juju Corp. appears to have set aside such reserves in case loans it had extended for the employees to come to Japan and for other purposes became uncollectible.

Japan's labor ministry ordered the company to return the money as such reserves violate the Labor Standards Law, which prohibits forced savings, according to the sources.

A former employee plans to file a civil complaint against the company in July, demanding compensation for harsh working conditions and overcharging loans.

The Osaka-based company said it cannot comment on the matter at present.

Juju also requires Filipino job applicants to sign statements absolving the company of any responsibility should they die in Japan, a copy of the statement obtained by Kyodo News showed Saturday.

The Ministry of Health, Labor and Welfare has started a probe into why the company had its employees sign such statements, written in both Japanese and English, as well as its working conditions.

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Source: Japan Economic Newswire

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