What changes
Article 73-2 of the Immigration Control Act punishes anyone who has a foreign national work illegally, places them under their control for that purpose, or arranges such work as a business. The 2024 amendment (Act No. 60 of 2024, promulgated 21 June 2024) raises the maximum penalty from three years' imprisonment or a 3 million yen fine to five years or 5 million yen, with both possible together. The change sits in the main body of the Act and so takes effect on its general date, 1 April 2027, set by cabinet order.
Some commentary says the higher penalty has applied since June 2025. That is not correct: June 2025 is when imprisonment with and without labour were merged into a single sentence of imprisonment under the Penal Code reform. The new maximums apply only to conduct from 1 April 2027.
The knowledge rule is unchanged. An employer cannot escape liability by saying it did not know the person was not permitted to work, unless it was not negligent, and failing to check the residence card is negligence. The company can be fined alongside the individual manager.
Who it applies to
Every employer in Japan, foreign subsidiaries included, and agencies that place or dispatch foreign workers. It covers work outside a person's status, work after the period of stay has expired, and students working beyond their permitted hours.
Action for employers
- Check the original residence card before day one. Confirm the status covers the job, the period of stay is current and the card is genuine, using the agency's online number check or reader app.
- Track expiry dates. Remind employees three months ahead and record when a renewal is filed.
- File the Hello Work notification. Report every foreign hire and leaver; failure carries a fine of up to 300,000 yen.
- Control role changes. Moving a professional visa holder into warehouse or shop-floor work, even briefly, can be illegal work.
- Check agencies and contractors. Ask how dispatched workers' status is verified.
Sources
- Immigration Control and Refugee Recognition Act, Article 73-2, as amended by Act No. 60 of 2024 (Article 1); Supplementary Provisions, Article 1; Cabinet Order No. 340 of 2025 setting the effective date.
- Immigration Services Agency, overview of the 2024 amendments (penalty increase for facilitating illegal employment).
- Act on Comprehensive Promotion of Labour Policies, Articles 28 and 40.