800,000 firms likely dodged pension scheme

Mar 13, 2015

The ministry identified the companies that have likely not joined the pension scheme by examining data provided by the tax agency.

The ministry and the Japan Pension Service (JPS) will begin strict guidance of such companies starting in April, the beginning of the next fiscal year, and intend to conduct on-the-spot inspections if the companies disobey their instructions. Through these actions, the ministry and the JPS aim to compel them to join the public pension scheme for company employees.

Millions of people may not be covered by the employees’ pension scheme because of their employers’ failure to join. To prevent workers from falling into poverty after retirement, the ministry aims to implement measures to fundamentally resolve the problem.

The Yomiuri Shimbun
February 21