My fiance’s company is laying off most of its employees as they are closing most of its operations in Japan. He’s been working on this company for 4 and half years. Is severance money usually paÃd in those cases? Everything is procedding as if there is no severnce at all. Is there any law or just a negotiation? It’s an IT company by the way.
6 comments
It depends on her status. Seishain, haken, keiyakushain and so on
Companies arent required to pay severance. If it isnt in his contract he isnt getting any. (And by the sound of it,thats the case).
He will be eligible for unemployment claims though, dependant on if his company has properly been paying premiums.
No, there’s no legal obligation for companies in Japan to pay out any severance unless agreed in contract.
Severance is very rare in IT. Usually only very traditional Japanese companies pays it.
Go talk to a lawyer.
If the company can show that it’s broke, they can dismiss legally.
If it can’t, dismissal is likely to be considered unfair by the courts and thus they would offer employees to quit in exchange for some cash.
These details matter.
Unfortunately no, severance is not mandatory in this case. If the company is closing its Japan operations then that’s a valid reason for laying people off and not be on the hook to pay severance.