How to Write an Employment Contract in Japan: 2024 Reform Guide

When hiring in Japan, the most critical document is the Labor Conditions Notification (労働条件通知書). Article 15 of the Labor Standards Act requires employers to disclose working conditions in writing to all employees.

The April 2024 reform added a significant new requirement: employers must now specify the "scope of change" (変更の範囲) for work location and job duties — meaning they must disclose not just where and what an employee will work initially, but the potential range of future changes. Penalties for non-compliance can reach 300,000 yen.

Labor Conditions Notification vs Employment Contract

Item	Labor Conditions Notification	Employment Contract
Legal basis	Labor Standards Act Art. 15 (mandatory)	Civil Code (voluntary)
Format	Unilateral from employer	Signed by both parties
Legal obligation	Yes (mandatory delivery)	No (recommended)

In practice, most companies create a single document that serves as both.

Mandatory Disclosure Items

1. Contract Period

Type	Details
Indefinite	Regular employees (permanent)
Fixed-term	Contract workers (max 3 years; 5 for specialists)
Renewal criteria	Must be stated for fixed-term contracts

2. Work Location & Job Duties (2024 Reform)

The April 2024 reform now requires two elements:

• Initial work location and duties (at time of hiring)
• Scope of change (potential range of future reassignment)

Example:

Work location: (Initial) Tokyo Head Office
               (Scope of change) All company offices nationwide
Job duties:    (Initial) Sales operations
               (Scope of change) All duties as determined by the company

3. Working Hours

Item	Example
Start time	9:00 AM
End time	6:00 PM
Break	12:00–1:00 PM (60 min)
Scheduled hours	8 hours/day
Overtime	Yes/No

Flex time and discretionary labor systems require additional detail.

4. Days Off & Leave

• Scheduled days off (e.g., weekends and holidays, 120 days/year)
• Annual paid leave (10 days after 6 months of continuous employment)
• Other leave (bereavement, parental leave, etc.)

5. Wages

Item	Example
Base salary	¥300,000/month
Allowances	Commuting, housing, etc.
Pay period closing	Last day of month
Pay date	25th of following month
Payment method	Bank transfer
Raises	Once annually (April)
Bonuses	Twice annually (June, December)

6. Resignation & Termination

• Mandatory retirement age (if applicable, typically 60)
• Continued employment system availability
• Voluntary resignation procedures
• Grounds and procedures for dismissal

Electronic Delivery Requirements

Since the 2019 amendment, electronic delivery is permitted if:

Requirement	Details
Employee consent	Employee must request or agree to electronic delivery
Printable format	Must be in a format that can be printed
Confirmed receipt	Must ensure the employee actually received it

Email, messaging apps, and chat tools are all acceptable — as long as the format is printable and delivery is confirmed.

Probationary Period

Item	Typical Practice
Duration	3–6 months
Extension	Possible if based on work rules
Refusal to confirm	Requires objective, reasonable grounds

The employment contract is legally in effect during probation, so termination still requires just cause.

Penalties for Non-Compliance

Failure to disclose mandatory labor conditions can result in:

• Fine up to ¥300,000 (Labor Standards Act Art. 120)
• Employee can immediately terminate the contract (Art. 15, Para. 2)
• Employer may be required to cover the employee's return travel costs

Securely Sharing Employment Offers

When sharing employment terms with candidates, simply emailing documents containing salary information and personal details raises security concerns.

LOCK.PUB's password-protected memo feature lets you share key employment terms behind a password. Send the candidate the link and communicate the password separately via iMessage or phone — ensuring only the intended recipient can access the offer details.

Contract Creation Checklist

• Contract period (fixed or indefinite)
• Work location and duties (including scope of change)
• Start/end times and breaks
• Days off and leave entitlements
• Wages (base, allowances, pay schedule)
• Resignation and termination procedures
• Probationary period terms
• Social insurance coverage
• For fixed-term: renewal criteria, total contract duration

Conclusion

A properly drafted employment contract protects both employer and employee. The 2024 reform's "scope of change" requirement is particularly important — failing to include it exposes employers to penalties and potential disputes.

For securely sharing offer details with candidates, consider LOCK.PUB's password-protected memos to keep salary and personal information safe.