- 1. Introduction: What is Ibaraki Prefecture’s New System?
- 2. Risks That Illegal Employment Poses to Companies
- 3. Key Points About Residence Status: What Employers Must Verify Before Hiring
- 4. Compliance Checklist for Proper Employment Practices
- 5. The Role of Administrative Scriveners: Experts in Visa Applications and Residence Status Management
- 6. Conclusion: Protecting Law-Abiding Foreign Workers and Employers
1. Introduction: What is Ibaraki Prefecture’s New System?
On February 18, 2026, Ibaraki Prefecture announced its fiscal year 2026 initial budget proposal, which includes a whistleblower reward system that compensates individuals who provide information about illegal employment of foreign workers.
The prefecture has allocated 37 million yen (approximately $250,000 USD) for the entire “Foreign Worker Proper Employment Promotion Program,” which aims to eradicate illegal employment through strengthened inspection patrols and other measures.
According to the Immigration Services Agency of Japan, 14,453 unauthorized workers were identified nationwide in 2024. Of these, Ibaraki Prefecture accounted for 3,452 cases—roughly 25% of the national total—marking for the third consecutive year, the highest figure nationwide.
At a press conference, Governor Kazuhiko Oigawa emphasized: “This will absolutely not become a heavy-handed enforcement measure that causes anxiety for foreign workers who are doing everything properly and legally.”
He made it clear that the prefecture will carefully verify all reported information before referring cases to the relevant authorities.
A similar reward system exists at the national level, where informants can receive up to 50,000 yen if their information leads to an administrative deportation order. However, Ibaraki Prefecture’s initiative is drawing attention as a local government implementing its own independent system.
▼ Reference article: https://news.yahoo.co.jp/articles/68322823b6b6ffe93d4faf037a2b1a99255ab3fa
2. Risks That Illegal Employment Poses to Companies
Illegal employment creates serious risks not only for foreign workers but also for the companies that hire them.
2-1. Offense of Illegal Employment Facilitation (Immigration Control and Refugee Recognition Act, Article 73-2)
Companies or business owners who employ illegal workers may be charged with the Offense of Illegal Employment Facilitation. This offense carries penalties of up to three years’ imprisonment or a fine of up to 3 million yen (approximately $20,000 USD). For corporations, both the company representative and the corporation itself can be subject to punishment.
2-2. Business Suspension Orders and License Revocation
In industries requiring licenses and permits—such as construction and nursing care—the discovery of illegal employment can result in license revocation or business suspension orders.
2-3. Reputational Damage
If illegal employment becomes public, a company’s brand image can be severely damaged. Loss of public trust from business partners and customers may make it difficult to continue operations.
2-4. Labor Standards Act Violations
If illegal workers have been employed under conditions involving low wages or excessive working hours, companies may also face charges for violating the Labor Standards Act.
3. Key Points About Residence Status: What Employers Must Verify Before Hiring
To properly employ foreign nationals, accurate knowledge of residence status is essential.
3-1. What is Residence Status?
Residence status is the legal qualification that allows foreign nationals to stay in Japan. Currently, there are over 30 categories of residence status in Japan, each with strictly defined permitted activities.
3-2. Types of Residence Status That Permit Employment
The main residence statuses that permit work include:
Engineer/Specialist in Humanities/International Services: Office workers, interpreters, engineers, etc.
Skilled Labor: Foreign cuisine chefs, etc.
Specified Skilled Worker: Currently covering 17 designated industries including nursing care, construction, and agriculture
Technical Intern Training: Agriculture, manufacturing, etc. (workplace is restricted)
Permanent Resident/Spouse of Japanese National, etc.: No employment restrictions
3-3. What is Permission to Engage in Activities Outside Qualification?
When international students or foreign nationals with other residence statuses wish to work outside their designated activities, they are required to obtain “Permission to Engage in Activities Outside the Status of Residence Qualification.” If they work without this permission, the employing company can also be subject to punishment.
3-4. How to Verify Residence Cards
Employers should always verify the residence card and check the following:
- Type of residence status
- Period of stay (expiration date)
- Whether employment restrictions are indicated
- Whether permission for activities outside qualification has been granted
You can also check for counterfeit cards using the Immigration Services Agency’s official “Residence Card Reader Application.”
4. Compliance Checklist for Proper Employment Practices
Companies employing foreign nationals should ensure proper employment management by following this checklist:
At the Time of Hiring: □ Verify the original residence card □ Confirm the type of residence status and permitted scope of employment □ Check the period of stay (expiration date) □ Verify whether permission for activities outside qualification exists □ Use the Immigration Services Agency app to check for counterfeits
During Employment: □ Maintain centralized tracking of expiration dates (prevent renewal oversights) □ Confirm the need for changes in residence status □ Periodically verify that employment conditions comply with residence status □ Submit foreign employee status reports to Public Employment Security Office (Hello Work)
At the Time of Separation: □ Submit separation notification to Public Employment Security Office (Hello Work) □ Advise whether a change in residence status is necessary
5. The Role of Administrative Scriveners: Experts in Visa Applications and Residence Status Management
Procedures related to foreign employment are complex and require specialized knowledge. Administrative scriveners (gyoseishoshi) serve as licensed specialists in visa applications and residence status changes who provide comprehensive support to both companies and foreign workers.
5-1. Visa Application Support
They handle complex procedures such as applications for Certificates of Eligibility, applications for permission to change residence status, and applications for extension of period of stay.
5-2. Residence Status Compliance Assessment
They assess whether prospective foreign employees hold the appropriate residence status for their job duties.
5-3. In-House Training and Consulting
They conduct training sessions for companies on the rules and important considerations regarding foreign employment.
5-4. Trouble Prevention and Response
In the event that residence status-related issues arise, they respond promptly and propose solutions.
6. Conclusion: Protecting Law-Abiding Foreign Workers and Employers
Ibaraki Prefecture’s introduction of the whistleblower reward system sends a strong message toward eradicating illegal employment. However, for this system to be truly effective, careful implementation is essential to ensure that law-abiding foreign workers and compliant employers do not suffer disadvantages.
What’s crucial for companies is to understand that lack of knowledge is not considered a valid defense, and to thoroughly implement proper employment management practices.
Key Takeaways:
- Proper understanding of residence status
- Verification and expiration management of residence cards
- Collaboration with specialists
By implementing these practices, companies can achieve legal compliance, and foreign workers can operate within a compliant employment environment with confidence and stability.
If you have any concerns whatsoever about residence status or visa applications, please consult with a certified administrative scrivener first. As immigration compliance and procedures specialists, we are committed to supporting the realization of a society where both companies and foreign workers can work together with confidence and security.
▼ Related article: https://news.yahoo.co.jp/articles/68322823b6b6ffe93d4faf037a2b1a99255ab3fa
[Contact Us] For inquiries regarding foreign employment or visa applications, please feel free to contact us. The first consultation is free of charge.
