Explanation by Example: Pitfalls of Status of Residence that Companies Often Fall into When Hiring Foreign Nationals

Pitfalls of residency status that companies tend to fall into

When companies hire foreign nationals, there are many cases where they run the risk of unintentionally contributing to illegal employment or getting involved in troubles related to status of residence. In this column, we explain the "pitfalls of status of residence" that companies actually tend to fall into, with specific examples, and propose measures to avoid them.

By presenting our expert knowledge, we aim to ease the concerns of our readers, the human resources staff and managers of companies, and make them feel that they can consult with this office for peace of mind.

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Why fall into the pitfalls of residency?


Pitfall 1: Mismatch between status of residence and actual work

  • Common Examples:.
    • Case A (disallowed case):. A case in which a foreign employee hired under the status of residence "Engineer/Humanities/International Services" was given simple customer service or cleaning duties after joining the company.
    • Why it is disapproved:. This status of residence is limited to work requiring specialized knowledge and skills, and will be denied if the work is judged to be simple labor.
  • Workaround:.
    • Clarify the nature of the work before hiring and accurately determine which residency status applies.
    • If there is a possibility of spanning more than one status of residence, consult a specialist in advance.
    • When making a reassignment, be sure to confirm that it is possible within the scope of your status of residence.

Pitfall 2: Forgetting to renew the expiration date and poor management

  • Common Examples:.
    • Case B (illegal employment case):. A case in which a foreign employee was charged with encouraging illegal employment after being allowed to work without realizing that his/her period of stay had expired.
    • Why it happens:. This is due to the fact that the foreigners themselves are left to manage their own work, or that a system for managing deadlines has not been established within the company.
  • Workaround:.
    • In addition to copying the original residence card, introduce a system whereby the deadline is managed by multiple people using a shared internal calendar, etc.
    • Remind the individual several months before the expiration date and establish a system to support the renewal process.
    • Emphasize that hiring expired foreign employees can also lead to a loss of trust in the company.

3. pitfall 3: Failure to follow necessary procedures when changing jobs

  • Common Examples:.
    • Case C (illegal employment case):. A case in which a foreign employee who had a "highly specialized profession" or "specified skill" status of residence at another company was hired without following the necessary procedures.
    • Why is it illegal to work:. These residency statuses may be assigned to a place of employment, and may require another change of status when changing jobs.
  • Workaround:.
    • Always check the back of the residence card and the designation form during the employment interview to see if the place of work is designated.
    • Know in advance that you may need to apply for permission to change your status of residence as a result of a job change.

Pitfall 4: "Misconceptions" of foreign students working part-time

  • Common Examples:.
    • Case D (illegal employment case):. A case in which a foreign student part-time worker has continued to be employed after graduation because his/her residence card still has an expiration date.
    • Why is it illegal to work:. The status of residence "College Student" for international students is based on the premise that they are enrolled in school. After graduation or leaving school, they are not allowed to work in principle, even if their card is still valid.
  • Workaround:.
    • When employing foreign students, be sure to have them submit a certificate of enrollment and periodically check their enrollment status.
    • If you wish to continue working after graduation, we will assist you in the process of changing your status of residence to one that allows you to work.

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