Introduction
When employing foreign nationals in Japan, legal responsibility lies not only with the company but also with its business owner or manager.
Simply saying, “I didn’t know,” may not be accepted. In some cases, failing to properly verify a person’s residence status can result in the offense of facilitating illegal employment.
Main Cases of Illegal Employment
According to the Immigration Services Agency of Japan (ISA), illegal employment mainly falls into the following three categories:
- Employing individuals who are illegally staying in Japan
- Employing individuals who do not have a residence status that permits work
- Employing individuals beyond the scope of activities permitted under their residence status
Employers May Also Face Penalties
Legal responsibility is not limited to the foreign worker. Employers may also be subject to penalties.
Examples include:
- Allowing illegal employment
- Failing to verify a Residence Card before hiring
- Failing to submit employment or separation notifications to ”Hello Work”
These situations may result in administrative or criminal penalties.
A person who employs or brokers illegal workers
→ Imprisonment for up to 3 years or a fine of up to JPY 3 million
A foreign business owner who employs or brokers illegal workers
→ May become subject to deportation procedures
A person who fails to submit employment/separation notifications to Hello Work or submits false notifications
→ A fine of up to JPY 300,000
Preventing Illegal Employment
To prevent illegal employment, we recommend first studying the official materials published by the Ministry of Health, Labour and Welfare (MHLW) and the Immigration Services Agency (ISA).
The Working Conditions Handbook (For Foreign Workers) is available in multiple languages and provides useful guidance for both employers and employees.
Another Option: Ongoing Support from an Administrative Scrivener
For companies that continuously employ foreign nationals, the following matters arise on a regular basis:
- Verifying residence status before hiring
- Managing visa renewal deadlines
- Consulting on changes of residence status
- Filing notifications with the Immigration Services Agency
Rather than relying only on one-time consultations, entering into a retainer agreement with an Administrative Scrivener specializing in immigration procedures can help prevent legal compliance risks before they occur.
