Japan's lower house on May 31 approved controversial labour reforms that the government has defended as necessary to boost the economy. But, critics warn could result in more death by overwork. The legislation would scrap hourly overtime pay for some employees, while setting overtime caps for others at an annual limit of 360 hours for normal cases, and up to 720 hours for "temporary" and "special" cases.
The government says the measures will boost efficiency and equality, and they form a key plank of Prime Minister Shinzo Abe's "Abenomics" policy to kickstart the country's sluggish economy. The reform's key feature is letting Japan's corporate sector hire select highly paid professionals, such as currency traders and consultants, on contracts which include no overtime pay. The category only applies to those who earn at least 10.75 million yen ($100,000USD) annually, with employers required to seek the consent of professionals involved.
Abe's government argues the reforms are necessary to respond to the challenge of an ageing and shrinking population. But sceptics say they will endanger workers by allowing contracts that could include almost unlimited overtime with no extra pay, and setting overtime caps for other professions that are still too high to prevent overwork.
