Voluntary early retirement 希望退職

Restructuring by inviting people to leave, with enhanced severance. Also written kibo taishoku, soki taishoku boshu.

A kibo taishoku programme is an offer, open for a set period, to employees who meet certain criteria, typically age and grade, to resign in exchange for a package above the normal retirement allowance. Many programmes also offer outplacement support. Employees choose whether to apply, and companies can usually decline applications from people they want to keep.

It exists because the alternative is so difficult. A redundancy dismissal in Japan has to pass a demanding four-part test, and efforts to avoid dismissal, such as voluntary programmes, are one of the things courts look for. So restructuring in Japan usually starts with asking for volunteers.

The legal line is pressure. An invitation to apply is lawful. Repeated, coercive interviews designed to make an individual resign can turn a voluntary programme into an unlawful forced resignation.

What it means for a foreign employer

Sources

Spotted something wrong, or have an example from your own hiring in Japan? Suggest an edit.

General information for employers, not legal advice. Thresholds and dates are checked against the sources listed and dated above; confirm anything you act on with a Japanese employment lawyer or a licensed labour and social security attorney.