News Forced labour transfers slowly turn into a thing of the past

[thomas]

A significant share of Japanese workers, especially younger ones, prefer changing jobs to accepting unwanted transfers. Yet most companies, particularly smaller ones, have been slow to reform their relocation policies.

The rise of remote work and growing employee resistance to relocations have led some companies to adopt new personnel systems that give workers greater say in where they live and work, including the option to decline transfers. While surveys suggest Japanese firms have generally been slow to embrace such flexibility, the attitudes of younger employees are expected to hasten the shift. One notable case is AIG General Insurance Co., which now allows staff to state their preferred work locations and clarify whether they are willing—or unwilling—to relocate.

AIG General was established in 2018 through the merger of AIU General Insurance Co. and Fuji Fire and Marine Insurance Co.. This move required the integration of their respective personnel policies. At that time, frequent nationwide transfers for career-track employees were still the norm across the financial industry, but an increasing number of workers began refusing to comply with relocation orders.

"An increasing number of employees were leaving the company due to such reasons as their children's schooling, caring for parents or personal health issues," said Mariko Hayashibara, executive officer responsible for the PR and marketing department at AIG General. The new system at the merged company categorized more than 100 offices nationwide into 11 areas, and all employees have been instructed to choose "area" and "prefecture" where they want to work. They are also asked to show whether they are open to "transfers involving relocations." Preferences regarding such transfers can be changed at any time. Currently, 68 percent of the company's 7,000 or so employees choose "unable to transfer." The trend of working from home, which started amid the COVID-19 pandemic, has reduced the need for unwanted relocations. AIG General employees at administration departments, such as accounting or human resources, had generally lived and worked in Tokyo. However, the company allowed them to work from home anywhere in Japan, and about 50 employees took advantage of the new system.

Forced transfers gradually fade away as workers quit instead | The Asahi Shimbun: Breaking News, Japan News and Analysis