Employees Abandoning Defined Contribution Pension Plan
According to research conducted by the Federation of National Pension Funds in January 2007, 74,600 or approximately 60 percent of Japanese employees switching jobs are neglecting to transfer their defined contribution pension plan to their new employers. The research reveals that not enough employees are taking advantage of the fund transferring system installed to reflect the changing employment environment in Japan. The Ministry of Health, Labour, and Welfare entered into discussing alternatives such as creating a fund to manage pension plans of employees switching jobs so they are automatically transferred to new employers.
Defined contribution pension plan was introduced in 2001 and 8,000 companies have adopted them as of January 2007. Approximately 2.18 million employees in Japan are enrolled as of June 2006. [NIKKEI NET]
Thinking about working in Japan? Preparing to move overseas almost becomes a full-time job in the final weeks of your departure. Many people quit their jobs weeks before so they can devote their time to preparation. But what about your health insurance? Short-term health insurance plans are a great solution. ↓
Below are links to Certified Social Insurance and Labor Consultants providing services in English. Also below are useful links related to working in Japan and links to women balancing career and personal happiness. WJA realizes and promotes women's increasing value in the labor market.