March 30, 2000

Japanese Trade Union Confederation (JTUC-RENGO)

The Liberal Democratic Party's "subcommittee on the normalization of labor-management practices" has come up with a report calling for the banning of the check-off system for trade union dues (a system under which, with the agreement of labor and management, union dues are deducted from union members' paychecks). This attempt to prohibit the check-off system is an utterly thoughtless and reckless act which denies workers' right to organize. Moreover, it represents blatant political interference in the self-governance of labor-management relations. It is totally intolerable.

1. Banning the check-off system comprises interference with the self-governance of labor-management relations, and the denial of basic trade union rights
   The check-off of trade union dues is practiced based on agreements between labor and management, and is a totally legitimate system according to the provisions of the Constitution and the Labor Standards Law. This attempt to legally ban the system represents blatant interference with labor-management self-governance, and is tantamount to the denial of basic trade union rights. Such an act cannot be permitted under the Constitution.
2. The abolition of the check-off system would destroy labor-management relations
   In Japan, labor and management have built a sound relationship by overcoming the chaos of the postwar period, and achieving the modernization of corporate management and democratization of trade unions. It was upon this foundation that Japan achieved the development of corporations and industries, and economic growth. The check-off system has served as the basis for sound labor-management relations, and the system in turn has been maintained on the basis of these relations. Abolishing the system could have the consequence of shaking, or even destroying, Japan's sound labor-management relations.
3. The collection and use of trade union dues is decided in a democratic and completely transparent manner
   The amount, collection method and use of trade union dues are decided, under articles of constitution of trade union or at trade union convention, in a democratic manner. Political activities aimed at achieving policy initiatives are an inherent part of trade union activities. The funds allotted to these and other activities are audited by certified public accountants, and all union members have full access to information on dues. Trade unions are managed independently in accordance with the general will of their members. These members, in turn, will never permit political parties, managements or public authorities to meddle in their affairs.
4. Banning the check-off system would violate the withholding tax system
   Not only trade union dues, but also income taxes and social security premiums are deducted from monthly salaries. Opponents argue that the check-off of union dues leads to the irresponsible management of trade unions, by making the burden of union dues less noticeable. However, withholding taxes at the source has long been regarded as a root cause of political apathy among Japanese taxpayers. If opponents of the union dues check-off system stick to their logic, they should also call for an end to the withholding of taxes, social security premiums and all other deductions, from salaries. At a time when political indifference has assumed such serious proportions that it undermines the very foundation of democracy, politicians should be focusing their efforts on repealing the check-off system for public taxes, an issue that has been pending since the 1949-50 Sharp Mission Recommendation.
5. Banning the check-off system would invite international criticism as a violation of ILO Convention No. 87
   The deduction of union dues, under labor-management agreements, is an internationally accepted practice. The stance of the International Labor Organization's Freedom of Association Committee is that state bans of the check-off system constitute a violation of ILO Convention No. 87 of 1948 (Freedom of Association and Protection of the Right to Organize Convention). The international norm is that the implementation of the system should be left to independent decisions by trade unions and to the self-governance of labor-management relations. Denying this internationally accepted proposition would reveal to the entire world a lack of a respect for human rights within the LDP, and also invite international criticism of Japan.

Reportedly, the real purpose of the LDP's attempt to prohibit the check-off system is to thwart the activities by RENGO (Japanese Trade Union Confederation) to achieve its policy initiatives and to prevent its cooperation with political parties other than the LDP. If so, it is far, far off the mark. This attempt to ban the system is not only a direct challenge to basic trade union rights, but also a very serious matter with effects on the very foundations of Japan's democratic system. We find it difficult to believe that such recklessness represents the consensus of the LDP. Still, if legislation is presented to the Diet, we will do all we can to block its enactment. If it should become law, we are determined to take every possible countermeasure within our ability, including a shift from withholding income taxes to making all tax payments by self-assessment.