July 14, 2026: Minutes of the 210th Working Conditions Subcommittee
Overview
The 210th Working Conditions Subcommittee discussed the wage payment system into accounts held by fund transfer service providers, including the mandatory designation of an alternative account, third-party certification for personal information protection, and the requirement to enable cash conversion in one-yen increments. Reports were also provided on the Labor Market Reform Subcommittee’s conclusions, the draft Basic Policy on Economic and Fiscal Management and Reform 2026, the draft Japan Growth Strategy, the draft Regulatory Reform Implementation Plan, and the status of electronic applications for notifications under the Labor Standards Act and related laws.
Key points
- Opinions were presented that requirements supporting the safety and reliability of digital wage payments should be maintained.
- A direction was indicated to continue deliberations on working-hours legislation, premised on safeguarding health and work-life balance.
- The electronic application utilization rate reached 45.9% in 2025, an increase of 7.8% from 2024.
- Opinions were presented by both labor and management on designated alternative accounts, the discretionary work system, and the variable working-hours system, among other matters.
Overview
At the 210th Working Conditions Subcommittee of the Labor Policy Council on July 14, 2026, the wage payment system into accounts held by fund transfer service providers and reports from the Labor Market Reform Subcommittee and other bodies were addressed.
The reports covered flexible and diverse work styles, minimum wages, annual paid leave, online clarification of working conditions, and electronic applications.
Impact
Regarding upper-limit regulations on overtime work, impacts on orders, sales, and personnel development emerged in transportation, construction, lodging, and food services, while concerns were expressed about logistics disruptions, rising construction costs, and reduced tourism reception capacity.
Regarding the discretionary work system, opinions were expressed about concerns over long working hours, health damage, and failure to ensure discretion or appropriate treatment, as well as views that the system could support compatibility with private life and improve operational efficiency.
Details
For digital wage payments, a requirement to register a designated alternative account was considered in preparation for transfers of amounts exceeding the maximum balance and repayment in the event of failure. Third-party certification for personal information protection and a requirement enabling cash conversion of at least one yen in one-yen increments were also points of discussion.
For labor market reform, a direction was indicated to consider working-hours legislation, the discretionary work system, the variable working-hours system, consecutive-work regulations, work-interval requirements, the right to disconnect, side jobs and multiple jobs, and telework, with improved treatment, smooth labor mobility, and labor force participation by diverse personnel as the pillars.
It was reported that efforts would advance awareness-raising and institutional consideration regarding annual paid leave for shift workers, online clarification of working conditions, and electronic applications for notifications under the Labor Standards Act and related laws, along with the development of a new website.
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