Claiming an 11-month strike by unionized teachers to be illegal, Berlitz Japan had sued five teachers, two union executives and Begunto, the teachers’ union, for ¥110 million.

In addition to dropping its suit, the company agreed to pay current union members a base-up raise and a lump-sum bonus to the union. Current Begunto President Paul Kennedy said the “lump sum can be designated for use by the union membership,” and that the union has yet to come to a decision on what to do with the money.

By JAMES McCROSTIE

Keep reading on the Japan Times website.