Let's Japan.org Debunking Eikaiwa and Ramblings in Japan

This overview was pulled directly from comments, and I am posting it here so that everyone can find it easily and comment on it.

Information Session Overview

Saturday, November 10th @ 10:00am

The primary speakers (apologies for spelling errors of names):

1) A trustee
2) Mr. Inayoshi
3) Mr. Ono
4) Government representatives

Where: MM Center in Osaka (two floors), Tokyo Head Office and 24 Branches Across Japan

Time: A little after 10am. There was a small delay since some people couldn't get into the buildings, but negotiations had been made with landlords to use those premises despite the rent not having been paid as of the meeting date.

Available Hand-Outs: Reimbursement for Travel Slip of Paper, Resignation Request, Questionnaire, Request for Employment, Reimbursement of Unpaid Wages Information (4-pages of information), Unemployment Insurance Information (9-pages of information)

1) Trustee's Information (via the translator and then summarized)

Everyone who wants to can continue working in Japan for the new company. The negotiations were handled by a team of six lawyers and about twenty staff members in Tokyo Head Office.

Why did they choose G-Education?

As of October 26th, 2007, there were no sponsors, so they invited sponsors and the result was 12 interested parties. There were three main criteria when evaluating the interested parties:

a) Employment should be offered to EVERY employee which included staff, instructors and supervisors

b) Students needed to be protected. Not one sponsor offered to refund students, however, there were offers that included the waiving of entrance fees, a ten percent discount, a fifty percent discount over a six month period, etc. G-Education, however, offered to provide Nova students the use of ALL their tickets at a cost of 25% of the value of those tickets.

c) They wanted to continue the operation of the company across the country and not split it up.

On November 6th, 2007, they reached an agreement and applied for court approval. As of the meeting date, negotiations were ongoing with regards to details and they are making every effort to continue business as smoothly as possible. This business includes branches, Multimedia Center and Nova Kids.

There have been some recent news stories regarding the Ginganet shares and the problems have been resolved. The basic result is that the Ginganet will continue to be used by the Multimedia Center to teach students.

Currently, all branches remain closed for a few reasons. First, there have been numerous complaints from landlords due to the unpaid rent and each landlord will need to be spoken to on an individual-basis. Initially, this will include thirty branches, but will gradually expand to two-hundred. As for the Multimedia Center, this will open as soon as possible. In addition, G-Education wants to re-open branches so that there will be no student complaints about being unable to book lessons, so they need to make sure staffing needs are met for each location.

The trustee mentioned receiving numerous phone calls from staff and students regarding the situation and it has prevented him from doing his job. He reiterated many times over that ALL people will be offered the opportunity to continue working and the conditions offered will be the SAME as they were with Nova. There are concerns about the expiry of instructor contracts and with social insurance benefits, but they hope to resolve these once people start working for the new company. (Note: The trustee mentioned shakai hoken specifically, but the translator generalized this as social insurance).

People who wish to be employed with G-Education must submit a Resignation Request form, Request for Employment Form and Questionnaire. G-Education will conduct short interviews with everyone, however, after spending a lot of time the previous day with staff it was deemed too long and there were too many people attending the morning meeting. Questions that need to be answered are basically where people currently are located (where they worked when Nova's operations ceased), what their responsibilities were at that time, where people are living (for example, Nova accommodation) and whether or not they are interested in working for G-Education. People will be hired unless they have another employer and each individual will be contacted by telephone. In addition, in order to work for G-Education, people must resign from Nova.

It is also very important to note that G-Education will evaluated "desperate situations" on an individual basis and during each telephone interview will evaluate each person's needs. This could include payment daily or weekly, etc. DISCUSS YOUR PERSONAL FINANCIAL SITUATION WITH THE G-EDUCATION REPRESENTATIVE THAT CONTACTS YOU AND INDICATE WHAT YOU NEED IF YOU ARE EXPERIENCING DIFFICULTIES AND PLAN TO WORK FOR THE COMPANY. As soon as people start to work for G-Education they will begin to earn their full salary (more to come below under "Question and Answer").

For those who do NOT wish to work for G-Education will receive ONE MONTH NOTICE and you will be eligible for unemployment insurance. It goes without saying that those who work for G-Education will NOT be eligible for unemployment insurance.

With regards to unpaid wages, these will be reimbursed through the government only. THE MINISTER OF HEALTH AND WELFARE HAS PLEDGED HIS FULL COOPERATION - ELIGIBLE EMPLOYEES WILL DEFINITELY RECEIVE THE 80% REIMBURSEMENT OF UNPAID WAGES. More information is detailed below.

2) Mr. Inayoshi

They intend to do all they can to help, but it is difficult for the company as well. They have to guarantee ALL salaries, but not one branch is open.

He mentioned the following in a joking manner - Who is he? He just buys companies? He confirmed that yes, the organization has purchased companies and their goals are simple - they want to rise to the challenge of rebuilding Nova.

He indicated that many things will need to change. It is impossible to open 900 branches and maintain a large head office. He referenced Toyota has a comparison to the head office maintained at Nova and said this will need to be reduced/eliminated. He did not indicate which specific jobs this impacted. In addition, the company can't open the thirty branches now because there are problems with the landlords, they don't have the keys for the branches and they are unaware of actual staff/instructor numbers. In the end, when they open branches it will be with a "strong financial basis".

The conditions at G-Education will NOT worsen per Mr. Inoyoshi, and they will remain the same as before, but there may be a slight increase in commuting time only. (There was a translation error here as the translator indicated that "work time" may increase, but this was clarified as an error. If you hear the work time will increase do NOT take this as fact as this was not confirmed by Mr. Inayoshi and corrected by the translator.)

Mr. Inayoshi (per translator): "Let's enjoy working together from now on"

3) Mr. Ono

G-Education has 880 juku schools and many of their teachers and students attend both their juku schools and Nova. In fact, Mr. Ono indicated that two of his three children attended Nova Kids and really liked their instructor there.

The company has received a lot of pressure from customers who indicated that the service levels were good, the teachers were good and that students wanted branches opened as soon as possible. Mr. Ono indicated that they do want to make things as they were before due to this feedback.

Mr. Ono indicated that they are expecting angry students at branches so they need to be thoroughly prepared for this when they re-open the branches and they need to better than they were before. In other words, they aim to make the new Nova better than the old Nova. To do this, they need employee support and cooperation. In exchange, they are offering the same work conditions employees currently have and will maintain positions of responsibility (ex. TI's or AT's, etc.).

Question and Answer Period

(Note: Not all questions are noted here. If you recall information that was mentioned at the information sessions please add the details.)

a) G-Education will pay 100% of employee salaries even if the branch is not yet open provided that the individuals are indeed employees.

b) People should get paid at the end of the month unless they have a job somewhere else.

c) ALL language instructors, regardless of language, are being re-employment.

d) G-Education will negotiate with landlords of buildings and apartments they wish to keep. For those they don't, instructors will be asked to move, but instructors can request assistance with moving costs. (If this is applicable to your situation, please discuss this with the G-Education representative who will be contacting you shortly if you were at the meeting and submitted the appropriate forms)

4) Government Representatives

(Note: This is where the translations became choppy and at times not understandable due to contradictions. This information is summarized via the paperwork provided.)

Unpaid Wages

Contact Information:
Japan Labour Health and Welfare Organization
Wages and Assistance Department
Consultation Office for Replacement Payment
Solid Square East Bldg.
580 Horikawa-cho, Saiwai-ku
Kawasaki-shi, Kanagawa 212-0013
Phone: 044-556-9881
URL: http://www.rofuku.go.jp

Summary: Until Nova applies for bankruptcy officially people can't receive reimbursement. Once the trustees file the appropriate documents all employees who resigned or continue to work for the company will receive 80% of their unpaid wages. IF WAGES ARE 20,000 YEN OR LESS, NO PAYMENT WILL BE ISSUED. All employees who resigned within a six month period prior to the bankruptcy and didn't receive payment will be eligible to a ceiling cap. In addition, they will need to complete paperwork that will be mailed to each person (so make sure they have your current address) and these people will continue to be eligible for a total of 1.5 years after bankruptcy, so be sure to apply before this point.

The ceiling caps are as follows (based on age as of the date of "retirement" which could mean October 26th or the date of bankruptcy - if you changed brackets during this time contact the office directly).

a) Individuals aged 45+ have a ceiling of unpaid wages of 3,700,000yen and the replacement payment is capped at 2,960,000 yen

b) Individuals between 30 and 44 have a ceiling of unpaid wages of 2,200,000yen and the replacement payment is capped at 1,760,000yen

c) Individuals under 30 have a ceiling of unpaid wages of 1,100,000yen and the replacement payment is capped at 880,000yen

Please note that unpaid wages is limited to the periodic wages and the retirement allowance (if you received a retirement allowance from Nova, please contact the government agency directly for details). Company housing fees, purchase cost of goods from the company, repayment for a loan and "others" (including travel reimbursement) are EXCLUDED from unpaid wages. If you have any questions regarding the amount owing to you, contact the government agency directly.

Unemployment Insurance

Summary (Pages 3-4 of hand-out):

The objective is to support those seeking re-employment. Those who are unable to work immediately due to illness, injury, pregnancy, childbirth, childcare, etc. are NOT eligible. The person must be in a state of unemployment and available to take up a job at any time. In addition, because Nova went bankrupt, people must have worked for the company for a minimum of six months (of which one month has at least 11 days employed).

Payment of benefits: People under 45 are eligible for 90 days of payments unless they worked there for more than five years. People between 45 and 59 are eligible for unemployment for 90 days unless they worked there for more than a year, then they are eligible for 180 days. Payments range from between 50-80% and is limited to 7775yen per day. For more information locate your local Hello Work office.

Summary (Pages 6-7, 9):

To Those Who Have Left Nova...

Apply to Osaka Employment Service Center for Foreigners (below or to the one closest to you)

Address: Osaka-Ekimae Second Bldg, 15F, 1-2-2, Umeda, Kita-ku, Osaka-shi
Nearest Station: JR Kita-shinchi station, 1 minute on foot / JR Osaka Station, 12 minutes on foot
Business Hours: 10:00-17:00 Monday through Friday, except National Holidays
http://osaka-rodo-go.jp/hw/gaisen

Necessary Documents:

1. Separation Notice (two parts)
2. Certificate of the insured - employment insurance
3. Alien Registration Card
4. Recent photographs (2-copies): 3cm in lengthx2.5cm in width from the waist up photo with full face
5. Ordinary bank account book in your name. Internet bank and foreign financial institution accounts are NOT acceptable.

For those who have left their jobs following two or more months in succession when their wages have not been made on the payment due date, bring all the above AND...
6. Notice of Employment
7. The bank account book which the wages have been paid into.

Page 7 of the hand-out includes a map to the Osaka Employment Service Center for Foreigners. This includes the following contact information:

Address: 530-0001, 1-2-2 Umeda, Kita-ku, Osaka, OSaka Ekimae Daini-Bldg 15th Floor
Tel: 06-6344-1135
Fax: 06-6344-1134
Email:
URL: http://osaka-rodo.go.jp/hw/gaisen
Hours: 10:00-17:00 Monday to Friday excluding National Holidays
Access: Umeda (Midosuji Line), HigashiUmeda (Tanimachi Line), NishiUmeda (Yotsubashi Line), Osaka Station (JR), Kitashinchi (Tozai Line), Umeda (Hankyu/Hanshin)

Page 9 requested that you contact the Osaka Regional Immigration Bureau for "status of residence" and included a map. This would be important for those who are concerned about working visa limitations, etc.

The contact information:
Osaka Second Legal Affairs Joint Government Bldg. 5F, 2-1-17 Tani-machi, Chuo-ku, Osaka City, Osaka
Tel: 06-6941-0771

(Note: There were times when it was difficult to hear due to noise level and sound problems. If you were present at an Information Session and have information to add, please mention it. The author apologizes for any repetition and wishes it could be more brief, however, there are a lot of misconceptions out there and this should help clarify many of those.)