Japanese postal union works for more permanent jobs

During the period of the Koizumi led government in Japan, the government decided to that the postbank and post insurance would be separated from post office with this separation to take place by 2017.
Financially speaking, it was a disastrous decision with the Post office to be cut from its major income base. As a result Japan Postal management tried to cut personnel costs, which consists of more than 80% of the budget.The mail and retail companies were the prime target. Of course, personnel cuts were discussed with the union and social dialogue was implemented, but it was painful process for postal workers. The major policy that Japan Post implemented was that they didn't hire any replacements when full-time regular employees left. However, there is the universal service obligation, therefore Japan Post had to hire part-time employees to maintain the service.
After the election of the DPJ led coalition government there was a major policy change. The cabinet on March 30, decided that the government will raise the upper limit on postal savings per person to 20 million yen from the current 10 million yen, and on postal insurance to 25 million yen from 13 million yen. It also said the government will maintain its holdings of more than one third of the group’s shares. Japan Post Group will have one third of shares of Postal Corporation, which will be created as a result of the merger of mail and retail companies. At the same time a new personnel policy was announced that will transform 100,000 part-time staff into regular full time staff. The key mover of this policy change was Kamei, former Postal and finance minister. Kamei represents Kokumin shin (New Nation Party) in the Hatoyama coalition government.
UNI’s Japanese affiliate, the JPGU demanded that postal management transfer part-time staff to regular full time staff, if they want the change. Kamei’s policy follows this line. However, solving the problem was not so easy. Mail and retail companies are loss-making, but most part-time staff are concentrated in these two companies. If 100,000 workers transfer to full time employment then there will be the need to change the whole structure. Japan Post will start distributing a questionnaire asking part time workers whether they want to become full-time employee. At the same time, Japan Post and JPGU will start discussions on restructuring, how to increase the number of full time employees and how to accommodate them in the post office structure. It was decided that atypical workers, who have worked at the Post Office for more than three years, will be able to become full time employees. To do this though they will have to pass the entry the examination.
The current situation is that there are 65,000 full time employees, who worked at the post office more than three years. 34,000 atypical workers will take the examination this August. 28,585 out of the 34,000 are the employees of Mail company. There will be two examinations and the first batch will become full time employees in November this year. The Postal college will be reestablished and, if they fail in the examination, they will get an opportunity to study at the postal college. It shows also that with the union’s intervention, that atypical workers can have a hope - this is the most important thing for the future of postal services.