COVID-19

Quick Guidance for Employment Adjustment Subsidy

Source : Miyuki Tsuboi - Certified Social Insurance & Labor Specialist at HR Advisory Services

An Employment Adjustment Subsidy ("Koyouchousei-jyoseikin") is provided for an employer, who has been forced to reduce business activities due to the effects of Covid-19 and temporarily suspended work, or who has trained or dispatched employees in order to maintain their employment, for some of the leave allowance paid to employees.

The term “to reduce business activities" means that the production index for the latest month has decreased by more than 5% compared to the same period last year.  Details can be obtained through consultation via the Subsidy window at a local office of Ministry of Health, Labor, and Welfare (MHLW).