The 28th Central Executive Committee Meeting
Boost Economy with ¥11 trillion Supplementary Budget
RENGO's Policy for the 146th Extraordinary Diet Session
(17 September 1999)

At the 28th Central Executive Committee Meeting on September 10, RENGO endorsed its "Fall 1999 Policy with Special Emphasis on the 146th Extraordinary Diet Session." RENGO will fight for the implementation of the 2nd supplementary budget of ¥11 trillion at the diet session, the creation of 1.4 million jobs, the realization of unemployment measures, increased dependant allowances, higher government burden on basic pensions, and reinforcement measures to protect small to mid-sized businesses.


Lineup of Fall Issues: Demands for Policy/System and Prioritization

1.Target Issues to be Approved at the Extraordinary Diet Session

  (1) Economic recovery through passing the ¥ 11 trillion second supplementary budget
    To breakthrough the current conditions that seem to offer no prospect for recovery and are continuing the employment/living standard crisis, more aggressive economic measures are necessary. RENGO has demanded a total of ¥ 11 trillion yen in the second supplementary budget which will be decided upon at the extraordinary Diet's fall session. The demands are as follows:
¥ 5 trillion for the creation of 1.4 million jobs and unemployment measures, ¥ 2.5 trillion for increases in dependant allowances, slightly more than ¥ 2 trillion to increase the government burden on basic pensions, ¥ 1 trillion for measures regarding the credit crunch, etc.
  (2) Implement 1.4 million job creating measures
    a) Early implementation of projects creating 1.4 million jobs pending the government's decision on the supplementary budget. 
    b) Present a "Job Creation Plan" in regional communities and work with municipalities and employers' organizations.
  (3) Worker Protection Law Against Changes in Business Organization Law (tentative)
    At the next extraordinary Diet session, RENGO will actively back the Worker Protection Law (tentative) which ensures that employment relationships/labor agreements/worker representatives continue as defined, secures labor conditions, and abolishes dismissals during restructures in business organization.
  (4) Radical Improvement of the Safe and Reliable Pension System and the Medical System
    The government's Pension System Revision Bill was introduced at the end of the agenda in the 145th ordinary Diet session and successively carried over to the next session without explanation.
The government's bill would decrease benefits and avoid radical improvement on issues including the raising of government share of basic pensions. RENGO will not condone this "regressive" bill and will work to actualize the following demands:
    a) Maintain benefit levels (55% of take-home annual income)
    b) Immediately raise the government share on basic pensions to one half. Transfer to taxation by the end of the year 2004. 
    c) Maintain wage indexation
    d)  Maintain junctures between pensions and employment 
    Medical Care System reform is progressing slowly. From its position of "No Reform-No Increase," RENGO strongly demands radical reforms in four major areas by the 2000 fiscal year: a compensation system for medical examinations, a drag tariff system, a health service system for the elderly, and a framework for medical service provision.
  (5) Small to Mid-sized Business-Related Bill that Generates Robust Business
    On August 20, the Small to Medium Enterprise Policy Council of the Ministry of Trade and Industry compiled a mid-term report entitled, "The Small and Medium Enterprise Policy's Basic Direction" and plans to submit the final report on September 23. Based on those findings, MITI plans to submit the Small to Mid-sized Businesses Basic Law Amendment at the extraordinary Diet session. The following are some of the many deficiencies in this report.
    a) Create supporting policies only for small to mid-sized and solid businesses expected to survive the struggle for existence. 
    b) Introduce market competition despite the lack of fair business conditions. 
    c) Lack of corrective measures for differentials in labor conditions in small to mid-sized businesses. 
    RENGO, takes the position that small to mid-sized businesses employ 70% of all Japanese workers and sustain the regional economy. RENGO will work for an amendment that will generate robust small to mid-sized businesses through improving employment/labor conditions in small to mid-sized businesses and the creation of employment by revitalizing them.
  (6) Secure Labor Credit and Revise the "Civil Procedure Revitalization Bill" for Labor Union Agreement
    On August 26, the Legislative Council of the Ministry of Justice endorsed its problematic "Outline of the Bill." The outline postpones the setting of credit ranks as a wage-credit security measure and does not prioritize wage credits for businesses going bankrupt. Labor unions' agreements are not clearly defined when businesses are being transferred.
RENGO will work for the revision of the bill to raise the priority level of wage credits and to define the necessity of labor union agreements in business transfers.
  (7) Improve Administrative Reform-Related Bills
    It is expected that the revised "Administrative Function Law" bill, the "Independent Administrative Corporation Separate Law" and others will be introduced in the next extraordinary Diet session to respond to new jurisdictional duties that each ministry and agency will be appointed to manage.
RENGO will discuss the Independent Administrative Corporation Separate Law and whether or not to reduce set numbers of public officials with related unions and take decisive action. Further, RENGO will seek to create an evaluatory operation open to public participation and a tripartite council.
  (8) Revision of the Civil Law such as Marriage Law
    Parliament members from the Democratic Party, the Social Democratic Party, and the Communist Party are planning to submit this revised law in the next extraordinary Diet session. RENGO seeks the passage of the law which was initiated by the Diet members.
  (9) The National Personnel Authority's Advice regarding Wage of Workers in Public Sectors
    The advice is very severe given the record-low "base wage raise" and the large bonus cuts. Although some sectors are likely to cut even more, RENGO is seeking early implementation of this advice.

2. Highly Prioritized Policies in the Fall Plans

  At the next extraordinary Diet session planned for this fall, the government is expected to approve the 2nd supplementary budget and to enforce counter-measures for small to mid-sized businesses. Among the pending issues, RENGO will strive in particular to realize the following six highly prioritized demands through mass action and other measures.
  (1) Boost the economy with a ¥ 11 trillion 2nd supplementary budget
  (2) Implement a 1.4 million job creation plan
  (3) Establish the Worker Protection Law (tentative)
  (4) Radically reform the Pension/Medical Care system
  (5) Implement robust measures for small to mid-sized businesses
  (6) Enforce the National Personnel Authorities' advice

Plans for Employment/Labor Measures

1.Plans for Stabilizing Employment and its Security

  (1) Understand Actual Conditions through Questionnaires
   

There is apprehension that the employment climate will not improve and that down-sizing will increase as a result of enforcing the Industry Revitalization Law. To ascertain the actual situation, RENGO will conduct urgent surveys in the form of postcard-questionnaires and oral interviews to help formulate more concrete countermeasures. RENGO headquarters will prepare manuals regarding counter-rationalization measures for distribution to unions.

  • After the RENGO Convention, RENGO will conduct surveys at each unit union. 
  •   (2) A Encourage Continued Employment in view of the government's extension of the Pension Eligibility Age
       

    To avoid any break between the end of employment and eligibility age to receive pensions RENGO will begin working for the conclusion of labor agreements from the fall of 1999 until the fall of 2000.

  • Each constituent organization and unit union will conclude agreements.
  •   (3) Promote a "Joint Declaration by Labor/Management to Secure Employment"
       

    Help establish joint declarations by industry/labor-management within companies to make polices such as down-sizing personnel less easy to enact.
    Similar efforts will also be encouraged in local labor/management organizations as much as possible.

  • Promote the joint declaration in each labor-management in businesses.
  • Carry out the joint declaration at local labor-management organizations as possible.
  • RENGO will also consider joint declarations with employers' organizations.
  • 2. Plans for Generating Employment

      (1) Raising Employment Generating Measures through the Government-Labor-Management's Employment Promotion Council.
       

    RENGO will continue to request measures for the creation of 1.4 million jobs in addition to the compilation of a supplementary budget at the Employment Promotion Council and every other available chance. At the same time, RENGO will follow-up on measures executed by the government.

  • RENGO will work on government and employers' organizations to realize the above measures.
  •   (2) Employment Generating Plan in Regional Areas
       

    RENGO will seek to have Government-Labor-Management Employment Promotion Councils held in local areas immediately, as mentioned in the Emergency Employment Remedy announced in June. RENGO will also work to see that the Emergency Regional Employment Promotion Grant is implemented effectively.

  • Local RENGO will work on each local government, employers' organizations, and others to see that these measures are implemented.
  • 3. Plans to Shorten Working Hours and Secure Employment

      (1) Improve Agreements on Overtime Work
       

    Article 36 of the Labor Standard Law defines that agreement is necessary between labor and management regarding overtime work or work on holidays. When labor and management conclude negotiations as stipulated in Article 36, according to RENGO's principle total annual overtime hours should never exceed 150 hours. Unions compelled to conclude agreements with overtime definitions longer than that should report to constituent organizations (industrial federations) and RENGO.

  • Check, improve, and conclude agreements at every constituent and unit union.
  •   (2) Plans to Reduce Overtime Work and Increase Holidays
       

    RENGO will put forth a plan to reduce overtime and shorten actual working hours through obtaining annual leaves and will demand that personnel be increased as needed.

  • Carry on at each constituent and unit union.


  • HOME
    Current Domestic
    Actions