What is union shop in SAP (PY-JP - Japan)?

SAP Term: union shop

• Component: PY-JP

• Component Name: Japan

• Description: The system defining how union operates and the interaction among employee, employer and union. It includes the following guidelines: When employees enter the company, they become union members automatically. When employees leave the company, they must also leave the union. Employees holding managerial positions must not be union members. Union fee deduction is regulated in labor contract.

Smart SAP Assistant

• Key Concepts: 
  Union shop is a type of labor agreement in Japan that requires all employees to join a union and pay union dues. It is regulated by the Labor Union Law of Japan and is one of the most common labor agreements in the country. 
  
  How to use it: 
  In order to use a union shop agreement, employers must first register with the Ministry of Health, Labor and Welfare. Once registered, employers must then negotiate with the union to determine the terms of the agreement. This includes wages, working hours, and other conditions of employment. 
  
  Tips & Tricks: 
  When negotiating a union shop agreement, employers should be aware that unions may require higher wages than those set by the government. Employers should also be aware that unions may require additional benefits such as health insurance or vacation days. 
  
  Related Information: 
  The Labor Union Law of Japan also regulates other types of labor agreements such as collective bargaining agreements and enterprise agreements. Employers should familiarize themselves with these laws in order to ensure compliance with all applicable regulations.