Employment Security Act

The Employment Security Act is a law mainly stipulating recruitment and mediation of workers. It aims that every citizen will be able to find a job that suits him/her. Mediation refers to matching job seekers with companies recruiting employees and leading to employment.

Job seekers tend to be at a disadvantage to companies. In order to reduce or eliminate this disadvantage, this law defines rules that must be followed, such as information that must be made public when companies offer job openings or employment agencies provide job placement services.

There are six main rules:

(1) Employment agencies must receive a license

Employment agencies must obtain a license from the Minister of Health, Labour and Welfare.

(2) Clear indication of working conditions

Employees who wish to find or change jobs must be clearly informed of their work, the length of their contract, and their working conditions, including wages.

(3) Minimum amount of personal information

Personal information of job seeker who wish to work or change their jobs is only allowed to be collected, stored, and used in the course of their work.

(4) Prohibition of collection of fees

Except for specific occupations, it is prohibited to collect fees from those who want to find or change jobs.

(5) Occupations where referrals are prohibited

Employment agencies for profit are prohibited from introducing jobs in port transport and construction.

(6) Accept all applications

As a general rule, employment agencies must accept all applications, including job offers from companies and job hunting to find or change jobs.

Summary

The Employment Security Law stipulates rules that employment agencies must follow.