The Labor Standards Act is a piece of legislation whose purpose is to protect the rights of all employed working persons, including full-time employees, dispatched staff, and part-time workers. The Dispatched Workers
Act is distinguished from the Labor Standards Act in that it focuses on the
“rights of dispatched workers” who are not entirely covered by existing
legislation.
(3)Confidentiality agreement
A “confidentiality agreement” is an agreement in which a party who may
be exposed to confidential information agrees not to use information obtained through the course of duties for other than the specified purposes,
and agrees not to leak the information to a third party. This type of agreement is also called an “NDA (Non-Disclosure Agreement).”
It is common to exchange a confidentiality agreement when dispatching a
worker or outsourcing work.
The main elements of a confidentiality agreement are summarized below.
• Specific information covered
• Method of management
• Terms for disclosure to third parties when outsourcing
• Permissibility or prohibition of reproduction
• Purpose of use
• Obligation to return or destroy materials
Dispatching and Contracting
“Dispatching” refers to engaging a
worker who is employed by the dispatching company to perform labor for
the client under the instructions of the
client.
Dispatching
company
Employment
relationship
Dispatch
contract
Worker
Client
Instruction
relationship
“Contracting” refers to engaging a
worker who is employed by the contractor to perform labor for the client under
the instructions of the contractor.
Contractor
Employment
relationship
Instruction
relationship
Service
contract
Corporate and legal affairs
• Re-examination of limitation for dispatching period
• Re-examination of employment system for dispatched workers by client
company
• Expansion of dispatch work
• Re-examination of the work of the person responsible from the dispatching
company
• Re-examination of the duties of the person responsible from the client
Reference
Chapter 1
(2) Dispatched Workers Act ( Act for Securing the Proper
Operation of Worker Dispatching Undertakings and
Improved Working Conditions for Dispatched Workers.)
The “Dispatched Workers Act” is officially known as the “Act for Securing the Proper Operation of Worker Dispatching Undertakings
and Improved Working Conditions for Dispatched Workers.”
The purpose of this legislation is to set forth the rules to observe for dispatching companies and client companies in order to protect the working
rights of dispatched staff. The Dispatched Workers Act was revised in June
2003.
The content of the revisions are summarized below.
Client
Worker
Reference
Temporary Transfer
A “temporary transfer” occurs when a
person is temporarily transferred to a
subsidiary or other affiliated company,
or a business partner while remaining a
registered employee of the original
company. There are two types of temporary transfers. One is a “retention of
employment” method in which the person has an employment contract with
both the transferring company and the
company being transferred to. The other is a “transfer of employment” method
in which the person only has an employment contract with the company
being transferred to.
Reference
NDA
Abbreviation for “Non-Disclosure Agreement.”
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