When working as a full time employee, there are many benefits a company provides.

In Japan, regardless of the size of the company, they provide mandatory employee benefits and additionally, few non-mandatory benefits as well. When job hunting, understanding and knowing about the mandatory benefit and non-mandatory benefit provided by the company is very important; particularly when signing the contract. Non-mandatory benefits differ from company to company and it becomes one of the factors when choosing a company.

Let’s see the type of employee benefits and its merits while comparing the differences between companies and countries. 

Residence Benefit in Japan

Residence Benefit is an example of a non-mandatory employee benefits in Japan. 

There are few ways a company can help an employee with their rent or housing. 

Rent Subsidy or 家賃補助 may be the most common residence benefit provided by Japanese companies. A certain percentage of the employee’s rent is subsidized by the company; given that the employee has met the terms and conditions set by the company. For example, “〇〇 yen will be subsidized to an employee who lives within X area,” or “after X number of years of service with the company, “〇〇 percentage of rent will be subsidized to the employee.”

Company rented houses

In this system, the employee lives in the house which is rented by the company. The percentage of the rent is paid by the employee and the rest is subsidized by the company; therefore, the overall living cost is minimised. Furthermore, the hassle of looking for a new apartment can be avoided. 

Employee dorms

In Japan, there are dormitories which are owned by the companies. The rent is relatively cheaper compared to other apartments and dormitories. Usually, these dormitory rooms are furnished, so furniture such as a bed, chair and a table is provided. Additionally, some dormitories have meals provided as well which can be either free or charged at a low cost. 

Merits

As mentioned earlier, by having residence benefits, the living cost can be significantly reduced. Additionally, finding an apartment in a foreign country can be difficult, especially if it is for the first time. Having these benefits provided can be helpful as you do not have to go to a real estate and/or find a guarantee (usually someone who lives in Japan or is Japanese national), therefore, finding an apartment is done smoothly. 

Summary

With the increase in remote work, there has been an increase in rent subsidy. However, since the procedures for renting a house in Japan may be quite overwhelming, many companies have houses which provide the necessities. Different companies have different residence benefits; sometimes they may not have one. Regardless, you can check the benefits when receiving the employment contract. Therefore, it is important to carefully check the employee benefits, both mandatory and supplemental employee benefits. 

How can we help you!

There are different types of benefits provided by the company. As mentioned earlier, it is important to read and understand the benefits when signing the contract. In jimomin, if you receive a job offer through us, we will thoroughly explain the employment contract. 

We aim to spread awareness and give tips and information which are not taught in school or universities. Changing residence card, what is an Entry sheet, how to reserve a moving company; we cover all sorts of topics.

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