Japan to Mull Employment Insurance Premium Hike

Politics

Tokyo, July 28 (Jiji Press)--Japan's labor ministry will begin considering raising employment insurance premiums from fiscal 2022 at the earliest, it was learned Wednesday.

The move is due to financial strains caused by a surge in employment adjustment subsidy payment amid the novel coronavirus crisis, informed sources said.

The Labor Policy Council, which advises the labor minister, is expected to enter discussions on specific premium rates.

The Japanese employment insurance program consists of unemployment insurance for people who have lost their jobs and arrangements for stabilizing employment and developing talent, which includes the employment adjustment subsidy.

Under the employment adjustment subsidy system, the state shoulders part of the leave allowances that companies pay to furloughed workers.

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Jiji Press