cmrs presentation (japan)1

7/27/2019 CMRS Presentation (Japan)1

1/17

COMPENSATION MANAGEMENT IN

()

Presented B

Raveena K

Reema Gu

Richa Sriv

Rohit Pal

Rishabh B

Shikha Du

Srishti Ku

Swati Prak


2/17

Culture

In terms of professionalism Japanese portray an ideal picture.

Punctuality

Believe in rendering quality Service

Build a Supportive workplace environment.

Loyalty

Appreciate and render help when needed by colleagues.

Always Ready to Adapt and Innovate.


3/17

Philosophy

Japanese Begin any business process by exchanging business cards.

They emphasize on being dressed formally during a business meeting.

Low inter Company mobility in employees.

Employee welfare is very much emphasized.

A systematic work culture.

Consider experience reliable for better performance.

Compensation planned as per seniority and not on efficiency.


4/17

How Japan is different from the rest?

Effectiveness preferred over efficiency

Prefer being a quality producer than quantity.

Adapts changes

Always ready to innovate.

Loyalty high amongst employees for their organization.


5/17

Components of Presentation

Compensation System in Japan

Employment Policies

Wage system And Promotion System

Labor Unions

Conclusion


6/17

Compensation System

Employee Cost

Cash wage

Cash wage

Compensbesides

wage

Monthly wage

Annual bonus

unplanned

PlannedAllowances

Basic wage


7/17

Compensationbesides cash

wage

i.Legal welfare

expenses

ii.Non legal welfare

expenses

I.Employee

pension

II.Unemployme

insurance

III.Health

insurance

Housinga.housing

b.meals

c.Health Ins

d.Property f

iii.Retirement

payment

iv.Recruiting

expenses

v.Educational

training

expenses


8/17

e. Culture physical &

recreational

f. Private insurance

system

g. Employee accident

premium

h. Money gifts for

congratulations


9/17

Wage System

There are three elements linked in long-term mutual commitment

On the Job Training:- Through this training workers acquire their profess

Systematic Job Rotation:- In this every worker assigned to new job/loca

three or four years.

Career Plan:- Through this an organization encourage their workers fo

commitment towards the organization.

Seniority based wage system Nenko Jorestuis also an expression for the l

training. Wages rises automatically with age and seniority. Under this syst

given annual wages increases independent what they actually do on the job.


10/17

Wage Scale and Promotional Syste

In Japan, each company has its own wage scale and promotional system, however th

elements because they have to meet the workers expectations and customary practices.

The wage policies of each companies emphasize the importance of wage factors, or the

Some factors that determine the Wages In Japan are:

Bargaining power of Unions

Seniority and education

Prevailing Pay


11/17

Wage Scale and Promotional System

Promotional System:-

Japanese companies follow a system named NenkoJorestu, in this system job p

increases in accordance with age and length of the service.

Japanese companies have operated it in dependence upon personnel evaluati

competence, performance and affecting appraisal.

This system makes it possible to set a wage curve that keeps pace with outlays that inc


12/17

Wage Determination

Japanese Trade Union Federation, known as Rengo

The leaders of Rengo sit opposite the Japan Business Federation, every spring and n

wage hikes across the various fields of Japanese industry.

Unified Collective Bargaining of wages moved towards enterprise based unions(belong

federation) where joint consultation is preferred for solving most issues.

No direct participation of industrial unions or national federations in wage negotiation.


13/17

Labour unions are organised at the level of individual companies.

Collective bargaining can be classified as moderate and limited to some big companie

ORGANISATION LABOUR UNION

TOYOTA Toyota workers Union

NEC NEC workers Union

HITACHI HITACHI workers Union

Each firm has its own wage policy.

Its management discretion to decide the manner in which wages are distributed.

-Age

- Length of the service

- Ability


14/17

Wage Differentials

Enterprise size

Class of position

Education

Age group

Length of service

On the basis of skill


15/17

In Japanese companies the amounts of pay increases are determined by collective bargainin

The amount of bonuses is determined through negotiation between labour and employers

For companies without trade unions, the wage negotiation results from the industries and b

similar to them will be their benchmark.

Wage Negotiation


16/17

In Japan, white-collar and blue-collar worker, are managed under the same

regardless of job type;

Not much wage differences between both.

In Japan, wages are given on the basis of (age skill) rank system.

The amount of bonuses is also determined through negotiation between labour and em

are paid twice a year.


17/17

cmrs presentation (japan)1

Documents