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IMPACT – HIGH
What is the immigration news? Japan’s legislature has passed an immigration bill that represents the most significant changes in decades as the country adapts its immigration system to an economy that is experiencing severe labor shortages. Among other changes, the law will introduce new types of residence status to attract foreign workers to fill labor shortages in designated industries, as well as impose new compliance measures.
Two-tiered visa system. A two-tiered visa system will be introduced for foreign workers demonstrating skills in industries designated by the government as suffering from labor shortages.
Analysis & Comments: The measures, which are expected to be introduced in April, will broaden the availability of visas and residency for certain foreign workers in the designated industries. The bill provides a framework for the scheme, and the government is expected to release further details within the next two months. Employers applying for renewals or changes of immigration status should ensure that they have paid all tax and social security payments. Employers should be aware that along with providing new routes for foreign workers, the law will focus on employer compliance in designing and implementing schemes to support foreign workers. The Cabinet will announce the basic scheme, but each government authority will issue details on implementation.
Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom.
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