Hiring Foreign Agricultural Interns in Japan: What Are the Rules for "Gaikokujin Gino Jisshusei"?

Japanese Attorney at Law - Bengoshi L.L.

• 7 min read

For agricultural businesses in Japan facing labor shortages or seeking to engage in international skills transfer, the Foreign Technical Intern Training Program (TITP), known in Japanese as Gaikokujin Gino Jisshusei Seido (外国人技能実習制度), has long been a significant avenue for bringing foreign nationals to work on farms and in other agricultural enterprises. While the stated aim of this program is to contribute to developing countries by transferring skills, technologies, and knowledge acquired in Japan, it also serves as a vital source of labor for many sectors, including agriculture.

However, agricultural employers engaging technical intern trainees must be acutely aware that the labor law framework governing these interns differs markedly from that applicable to domestic agricultural workers. Specifically, many of the exemptions from the Labor Standards Act (LSA) that traditionally apply to agriculture in Japan are not extended to technical intern trainees. This article provides an overview of the TITP in agriculture and highlights the key legal and labor management obligations for employers.

Overview of the Technical Intern Training Program in Agriculture

The TITP has evolved from earlier foreign trainee systems and is primarily governed by Japan's Immigration Control and Refugee Recognition Act, along with specific laws and ministerial guidelines related to the program. Its official philosophy centers on international cooperation through human resource development. Trainees are expected to learn practical skills and knowledge through on-the-job training at Japanese production sites.

The program typically involves three main parties:

  1. Sending Organizations: Entities in the intern's home country responsible for initial recruitment and preparation.
  2. Supervising Organizations (Kanri Dantai, 監理団体): Japanese non-profit organizations, such as agricultural cooperatives, chambers of commerce, or other approved associations, that take overall responsibility for the interns. They act as intermediaries, provide oversight and support to both interns and employers, conduct audits, and assist with administrative procedures.
  3. Implementing Organizations (Jisshu Jisshi Kikan, 実習実施機関): These are the actual farms, agricultural corporations, or other businesses where the interns undertake their training and work.

Prospective interns usually undergo a period of pre-dispatch training in their home country or Japan, covering Japanese language, culture, and basic knowledge relevant to their training field. The duration of the program can vary, typically from one to three years, with possibilities for extension up to five years for those who demonstrate excellence and pass specific evaluations (though rules for extensions have evolved over time).

Critical Labor Law Obligations for Employers (Implementing Organizations)

The most significant aspect for agricultural employers to understand is that technical intern trainees are generally entitled to the full protections of Japan's Labor Standards Act and other labor-related laws, without the agricultural exemptions that apply to domestic farm workers. This principle is consistently emphasized in governmental guidelines and by support organizations. All parties involved in the TITP are required to strictly comply with these Japanese labor laws.

1. Full Application of Labor Standards Act (LSA) Principles

Unlike domestic agricultural workers who are exempt from LSA rules on statutory working hours, mandatory breaks, and weekly holidays (under LSA Article 41), these exemptions do not apply to technical intern trainees in agriculture. This means employers of agricultural interns must adhere to:

  • Standard Working Hours: The LSA principles of a maximum of 8 hours per day and 40 hours per week are applicable.
  • Mandatory Rest Breaks: Interns must be provided with rest breaks as stipulated by the LSA (e.g., at least 45 minutes for workdays exceeding 6 hours, and at least 1 hour for workdays exceeding 8 hours).
  • Statutory Weekly Holidays: Interns are entitled to at least one day off per week, or four days off in a four-week period.

This requirement to basically conform to LSA provisions regarding working hours, breaks, and holidays, even in agriculture, is a specific point of guidance for the TITP.

2. Written Employment Contract (Koyo Keiyakusho)

A legally binding written employment contract must be concluded with each technical intern trainee. This contract must clearly state all essential labor conditions, including:

  • Wages (amount, calculation method, payment method, payroll closing and payment dates).
  • Working hours (start and end times, breaks, holidays).
  • Job duties and scope of work.
  • Contract duration.
  • Other conditions as required by law.

To ensure full comprehension by the intern, it is mandated that these labor conditions and the employment contract itself be provided and explained not only in Japanese but also in a language the intern understands, typically their native language.

3. Wages and Remuneration

  • Wages paid to technical intern trainees must be equal to or greater than the applicable regional minimum wage in Japan.
  • The principle of equal pay for equal work applies. Interns performing the same work as Japanese employees with comparable skills and experience should receive equivalent remuneration. Discrepancies based solely on nationality or intern status are illegal.
  • Wages must be paid directly to the intern in full, on the agreed payday, usually via bank transfer. Deductions from wages (e.g., for accommodation, utilities, food) are strictly regulated by the LSA. Any such deductions must be fair, reasonable, based on a written labor-management agreement, and must not infringe upon the minimum wage requirements after deduction.

4. Overtime Work and Premium Pay

  • If interns are required to work beyond the standard 8 hours per day or 40 hours per week, or on their designated holidays, this constitutes overtime or holiday work.
  • To legally authorize such work, the implementing organization (employer) must first conclude a Labor-Management Agreement (commonly known as a "36 Agreement" - Saburoku Kyotei, ３６協定) with a representative of the employees (or a union if one exists) and file this agreement with the local Labor Standards Inspection Office. This agreement specifies the conditions and limits for overtime and holiday work.
  • Premium pay (割増賃金, warimashi chingin) must be paid for all such overtime, holiday, and late-night work, at the rates stipulated by the LSA:
    • Overtime exceeding statutory hours: At least an additional 25%.
    • Work on statutory holidays: At least an additional 35%.
    • Late-night work (between 10:00 PM and 5:00 AM): At least an additional 25% (this applies even if it's not overtime).

5. Annual Paid Leave (Nenji Yukyu Kyuka)

Technical intern trainees are entitled to paid annual leave in accordance with LSA Article 39. This entitlement accrues based on their length of continuous service and attendance record (e.g., 10 days of paid leave after six months of employment with at least 80% attendance).

6. Safety and Health (Anzen Eisei)

Employers bear full responsibility for the occupational safety and health of technical intern trainees. This includes:

  • Providing a safe working environment and ensuring machinery and tools are safe to use.
  • Conducting necessary safety training and providing appropriate personal protective equipment (PPE).
  • Enrolling interns in Workers' Compensation Insurance (Rosai Hoken, 労災保険), which provides benefits in case of work-related injuries or illnesses.
  • Adhering to all other requirements under the Industrial Safety and Health Act.

Other Employer Responsibilities (Implementing Organization)

Beyond direct labor law compliance, employers of technical interns have several other responsibilities:

  • Accommodation: Providing or arranging suitable and safe accommodation for interns. The cost charged to interns for rent and utilities must be reasonable and clearly agreed upon in writing.
  • Living Support: Offering necessary support for the interns' daily lives in Japan, including assistance with opening bank accounts, understanding local customs, and accessing medical care if needed.
  • Return Travel Costs: Typically, the implementing organization is responsible for bearing the cost of the intern's round-trip airfare between their home country and Japan.
  • Enrollment in Social Insurance: Ensuring interns are enrolled in public health insurance and, depending on their contract duration and status, public pension schemes.
  • Fees to Supervising Organization: Implementing organizations pay management and oversight fees to their accredited Supervising Organization.
  • Maintaining Records: Keeping accurate records of working hours, wage payments, and other employment-related matters is essential.

The Role of Supervising Organizations (Kanri Dantai)

Supervising organizations play a critical oversight role in the TITP. Their responsibilities include:

  • Ensuring that implementing organizations are adhering to the approved training plans, immigration laws, and, crucially, all labor laws and regulations.
  • Providing guidance and counseling to both the interns and the implementing organizations.
  • Conducting regular on-site audits and inspections of the implementing organizations (at least quarterly for the first year of training, and at least annually thereafter, though specific frequencies may vary).
  • Assisting interns with any problems or grievances they may have.
  • Reporting to immigration authorities and the Organization for Technical Intern Training (OTIT) on the status of the training programs.

Consequences of Non-Compliance

Failure by implementing organizations (employers) to comply with labor laws or the specific regulations of the TITP can lead to serious consequences. These may include:

  • Orders for rectification and improvement from labor standards authorities or OTIT.
  • Administrative fines and penalties.
  • In severe cases, revocation of the organization's license to accept technical intern trainees.
  • Public naming of non-compliant organizations.
  • Potential criminal charges for serious labor law violations.

Evolution and Reforms of the TITP (Post-2014 Context)

It is important for businesses to be aware that the Technical Intern Training Program has been a subject of ongoing discussion and reform in Japan, largely due to concerns about instances of mistreatment of interns and deviations from the program's skills-transfer objectives. Significant reforms were implemented in 2017 with the enactment of the Technical Intern Training Act and the establishment of the Organization for Technical Intern Training (OTIT) to strengthen oversight and protection for interns.

Furthermore, as of the mid-2020s, Japan is in the process of a major overhaul of its foreign worker acceptance programs. Discussions are well underway to abolish the existing TITP and replace it with a new system. This new system is expected to place greater emphasis on genuine skill development and securing necessary labor, potentially with clearer pathways to longer-term residence for skilled individuals, while also aiming to enhance worker protections. Businesses considering utilizing foreign labor in agriculture should stay abreast of these significant legislative and policy changes.

Conclusion

Employing foreign technical intern trainees can offer Japanese agricultural businesses a means to secure labor while participating in an international skills transfer initiative. However, this engagement comes with a stringent set of legal and ethical responsibilities. Critically, employers must understand that the standard exemptions from certain Labor Standards Act provisions (regarding working hours, breaks, and holidays) that apply to domestic agricultural work do not apply to technical intern trainees. These interns are entitled to full LSA protections. Diligent adherence to all Japanese labor laws, robust support systems for the interns, and close cooperation with reputable Supervising Organizations are essential for a compliant, successful, and ethically sound technical intern training program in the agricultural sector. Given the evolving nature of Japan's foreign worker programs, ongoing attention to regulatory updates is also crucial.