The JNR dismissal lawsuit is a lawsuit that resulted from the privatization of Japanese National Railways (JNR) in 1987, and its breakup into the seven Japan Railways Group companies. In March 1990, 1,047 mostly union workers were laid off, 966 of whom were from the National Railway Workers' Union (Kokuro),The Japan Times Court nullifies JR rehiring order May 28, 1998 Retrieved on July 26, 2012 and two decades of lawsuits followed. The dispute was eventually settled in June 2010 for 20 billion yen (approximately US$225,155,500), or about 22 million yen (approximately US$250,000) per worker for 904 plaintiffs.The Japan Times Top court settles 23-year JNR unionist suit June 29, 2010 Retrieved on July 26, 2012
Background Plans for privatization JNR, organized as a public corporation in 1949, had become unprofitable over subsequent decades.Japan Railway and Transport Review Privatization and Beyond: The JR Case Retrieved on July 25, 2012 In the 1980s the Liberal Democratic Party government of prime minister Yasuhiro Nakasone decided to privatize the organization.Zenroren website Statement on the legal settlement of 23 year lawsuit over Japan Railway Company’s discrimination in employment against members of particular unions June 29, 2010 Retrieved on July 25, 2012 Around this time other government bodies were also either wholly or partially privatized, such as Japan TobaccoJapan Tobacco website History of JT Retrieved on July 25, 2012 and NTT in 1985.NTT website History Retrieved on July 25, 2012
Unionization of JNR workers The 326,000 workforce of JNR was highly unionized, with workers represented by a number of unions. By far the largest union was the National Railway Workers' Union (Kokuro), with 200,000 members. National Railway Motive Power Union (Doro), which had split off from Kokuro in 1951, had 38,000 members. Zendoro, which had been expelled from Doro in 1974, had 3,000 members. Doro-Chiba, which broke off from Doro in 1979, had 1,100 members.Time magazine Japan: Paralysis on the Tracks Retrieved August 15, 2012.
November 28, 1985 strike Doro-Chiba staged a 24-hour strike on November 28, 1985, to protest against the plans to privatize JNR and lay off workers. The government strongly condemned the strike, as government workers in Japan are forbidden to strike. In addition there were a number of acts of sabotage and vandalism that stranded 10 million commuters in Tokyo and 200,000 in Osaka. The 24-hour strike caused 135 trains between Tokyo and Chiba prefecture to be cancelled, and JNR's management decided to fire more than 100 workers for staging the illegal walkout.Associated Press website Two Railway Employees Among 48 Arrested on Sabotage Charges December 5, 1985 Retrieved on August 15, 2012
Middle Core Faction November 28, 1985 sabotage In addition to the Doro-Chiba strike, a substantial amount of sabotage was done by the then-1,300 member strong radical leftist group Middle Core Faction, who claimed responsibility and said their actions were to support Doro-Chiba's strike.Associated Press website Two Railway Employees Among 48 Arrested on Sabotage Charges December 5, 1985 Retrieved on August 15, 2012 Communications lines were cut, fires were set at 27 locations in seven prefectures, and heavy damage was done to Asakusabashi Station in Tokyo around 7 a.m. by masked figures wearing helmets and throwing firebombs. No injuries were reported. Police raided offices of the Middle Core Faction and Doro-Chiba, and damage to bullet trail lines near Hiroshima that delayed trains between Tokyo and Kyushu appeared to have been caused by a time bombAssociated Press website Paralyzes Tokyo Rail Network. November 29 1985 Retrieved on August 14, 2012 and by noon 48 people were arrested, including leaders of the Middle Core Faction. Representatives of the larger Kokuro and Zendoro unions representing JNR workers condemned the "anti-social" attacks and apologized to commuters.The LA Times Millions Stalled as Japanese Radicals Sabotage Government-Owned Rail Lines Retrieved on August 8, 2012 According to sources inside the labor movement, Doro-Chiba was controlled by the Middle Core Faction.Christian Science Monitor Rail attack shakes Japan unions. Sabotage by extremists within ranks puts unions on the spot December 2, 1985 Retrieved on August 15, 2012
Doro-Chiba Union Chairman Hiroshi Nakano later issued a statementAssociated Press websites November 30, 1985 Retrieved on August 14, 2012 saying that: "The attacks have nothing to do with the union."Associated Press website Paralyzes Tokyo Rail Network. November 29, 1985 Retrieved on August 14, 2012 Of the 48 suspects arrested, 46 were from the Middle Core Faction and two were from the National Railway Workers' Union.Associated Press website Two Railway Employees Among 48 Arrested on Sabotage Charges December 5, 1985 Retrieved on August 15, 2012 Two of the suspects were later released.The Houston Chronicle Japan radicals jam radios in rail attack December 2 1985 Retrieved on August 16, 2012
Layoffs JNR unions were opposed to the privatization,The Japan Times Kokuro threatens lawsuit over JNR privatization row November 30, 2006 Retrieved on July 31, 2012 and when it occurred, around 7,600 workers were not rehired by the privatized companies.The Japan Times Top court rules against ex-JNR workers December 23, 2003 Retrieved on August 6, 2012 Many of these were members of the National Railway Workers' Union (Kokuro), now affiliated to the National Trade Union Council (Zenrokyo), and the National Railway Locomotive Engineers' Union (Zendoro), now affiliated to the National Confederation of Trade Unions (Zenroren) as part of the All Japan Construction, Transport and General Workers' Union (Kenkoro-Tetsudo Honbu). There was substantial pressure on union members to leave their unions, and within a year, Kokuro's membership fell from 200,000 to 44,000. Workers who had supported the privatization, or those who left Kokuro, were hired at substantially higher rates than Kokuro members.The Japan Times 'Unfair' '87 dismissal of JNR unionists slammed March 4, 2010 Retrieved on August 2, 2012
There was a government pledge that no one would be "Thrown out onto the street",The Japan Times Top court rules against ex-JNR workers December 23, 2003 Retrieved on August 6, 2012 so unhired workers were classified as "needing to be employed" and were transferred to the JNR Settlement Corporation, where they could be assigned for up to three years.The Japan Times JNR unionists' suit over lost jobs foiled by statute March 14, 2008 Retrieved on August 6, 2012
Around 7,600 workers were transferred in this way, and around 2,000 of them were hired by JR firms, and 3,000 found work elsewhere. Mitomu Yamaguchi, a former JNR employee from Tosu in Saga prefecture who had been transferred to the JNR Settlement Corporation, later stated that their help in finding work consisted of giving him photocopies of recruitment ads from newspapers.The Japan Times Top court rules against ex-JNR workers December 23, 2003 Retrieved on August 6, 2012
This period ended in April 1990, and 1,047 were dismissed. This included 64 Zendoro members and 966 Kokuro members.The Japan Times Top court settles 23-year JNR unionist suit June 29, 2010 Retrieved on August 6, 2012Zenroren website Statement on the legal settlement of 23 year lawsuit over Japan Railway Company's discrimination in employment against members of particular unions June 29, 2010 Retrieved on July 25, 2012 There were also 12 Doro-Chiba members who were not hired by the new companies, the reason given being that they had participated in the November 1985 strike.Doro-Chiba website Japanese labor movement and Doro-Chiba's Struggle July 14, 2003 Retrieved on August 15, 2012
Legal, administrative, and political campaign for rehiring Labor Commission cases In 1987, the Central Labor Relations Commission in Tokyo ruled that the JR Group had to either rehire or compensate workers who were not hired when JNR was privatized. The Labor Commission ruled that it was an Unfair Labor Practice as the members of Kokuro had been targeted, and anti-union discrimination is illegal under article seven of Japan's Trade Union Act. It also ruled that the JR Group companies, not the defunct JNR, were responsible.The Japan Times Court nullifies JR rehiring order May 28, 1998 Retrieved on July 26, 2012
A group of 23 petitions filed after 1991 alleged that 1,800 union members in six prefectures had been discriminated against in violation of article seven of the Trade Union Act of 1949. Local labor relations commissions recognized discrimination in three prefectures, (Kanagawa, Tokyo, and Akita) and an order for redress was issued. The company appealed this to the Central Labour Relations Commission in Tokyo. The Central Labour Relations Commission brokered a deal, and in 2005, Kokuro withdrew the 23 cases claiming anti-union discrimination against its members. In return, the company paid compensation estimated at 360 million yen.The Japan Times JR East settles Kokuro wage discrimination row November 9, 2005 Retrieved on August 2, 2012
From 1987 to 2006, Kokuro filed 340 complaints with various labor relations commissions, mostly related to the dismissal of the 1,047 JNR workers. In November 2006 the union and JR East struck an agreement to settle 61 related to discrimination against union members employed by JR. Kokuro agreed to withdraw the labor commission cases, and JR East agreed to pay compensation. This was considered to be a major step forward in reconciling Kokuro to JR.The Japan Times JR East, Kokuro strike blanket deal October 30, 2006 Retrieved on August 2, 2012
Lawsuits The post-privatization dismissals resulted in a number of lawsuits. In 1994 and 1995, six JR Group companies brought lawsuits in the Tokyo District Court over the 1987 Labor Relations Commission ruling that the JR group was responsible for the non-hiring and that unfair labor practices had been committed. On May 28, 1998, rulings were handed down. In the case bought by the Honshu carriers, presiding Judge Saburo Takase said that while JR companies were responsible for selecting personnel to start up their new entities, they were not obligated to compensate unhired JNR workers. He said that if there were unfair labor practices were committed in choosing employees, the JR companies are responsible, but the labor commission should only order the firms to repeat their employment process, not to rehire the workers. He said an order to rehire unionists was illegal.
Presiding Judge Yasushige Hagio, ruling on the Hokkaido and Kyushu carriers' case, said that the JR Group companies were not responsible for personnel decisions following the JNR privatization, so he nullified the commission's order.The Japan Times Court nullifies JR rehiring order May 28, 1998 Retrieved on July 26, 2012
The Central Labor Relations Commission appealed and in December 2003, the Supreme Court rejected an appeal requesting that the former JNR employees in the labor unions that opposed the JNR privatization in 1987 be hired by the private Japan Railway companies that succeeded JNR.The Japan Times Kokuro threatens lawsuit over JNR privatization row November 30, 2006 Retrieved on July 31, 2012
The first petty bench of the Supreme Court gave a split decision. Presiding Justice Takehisa Fukazawa and Justice Niro Shimada said the JR firms bear this responsibility as employers and said the case should be sent back to the Tokyo High Court. However, the three other justices disagreed and stated that JR bore no responsibility for any unfair labor practices that may have been committed.The Japan Times Top court rules against ex-JNR workers December 23, 2003 Retrieved on August 6, 2012
In another case, of 283 plaintiffs in September 2005, the Tokyo District Court ruled that JNR had discriminated against union employees when recruiting for positions at the new JR companies.