+ 44 20 8144 3706Introduction
‘Karoshi’ can be defined as “overwork death” in Japanese. This was emerged in year 1990 when major deaths in such case were caused due to heart attack, starvation etc. which are caused due to stress. This caused increase in deaths because of which Japanese Government has to take strict actions in order to reduce such deaths (Kawashima, 2018). Japanese Government took out the way for such deaths and made it mandatory for every company to give workers at least five days vacation time in a year. It was observed that in year 2013 52% of paid leaves were unused by labor. PM Shinzo Abe said that he will bring down to 30% by year 2020 and preparing to give such proposal to legislation. It has also been observed that Japan is having worst developed country which provides mandatory paid vacation to their workers. When this will be mandatory by legislature in every company, then it will be definitely impacting company’s culture. This report consists of identifying and evaluating the impacts of such changes in legislation on organizational culture and proposed activities in order to ensure compliance at corporate level.
Recommendations:
There are various recommendations which HR managers should implement in their company so that mandatory paid leaves positively impacts organizational culture which are as follows:
• Companies should try to give limited compulsory paid leaves to employees so that they can productively work for company. Also, employees will not be getting enough time to work for promoting their business;
• HR managers should make it clearly too all employee that whoever working for their own business out of employment or working for any other company should leave the company. As this is against the law to work for other company even when you are under one employment;
• Company can even go for paying less for vacations as compared to normal wages which they give to employees when they are at work;
• Move taken by Japanese Government is quite good because numerous deaths took place because of stress caused by employees due to overtime for longer period of time.
References:
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Callison, K. and Pesko, M.F., 2016. The effect of mandatory paid sick leave laws on labor market outcomes, health care utilization, and health behaviors (No. 16-265). Upjohn Institute Working Paper.
Eguchi, H., Wada, K. and Smith, D.R., 2016. Recognition, compensation, and prevention of karoshi, or death due to overwork.
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Kawashima, Y., 2018. Karoshi and Japan’s Work Style Reform. Kennedy School Review. 18. pp.169-173.
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