When you have to part ways with an employee, do you ask a shakai hoken roumushi or an attorney?
Joji Uramatsu
Shakai Hoken Roumushi (Certified Social Insurance and Labor Consultant), Gyoseishoshi (Certified Administrative Procedures Legal Specialist), Registered Real Estate Transaction Specialist — 四葉社会保険労務士事務所/四葉行政書士事務所
We tell our clients: "Unless there is a very good reason, we do not recommend dismissal." Still, there are cases where dismissal becomes unavoidable, and cases that general principles alone cannot settle do happen in practice. This page explains the framework for judging dismissal, the procedures that remain afterwards, and where a shakai hoken roumushi's work ends and an attorney's begins.
In short: This office tells people who consult us: "Unless there is a very good reason, we do not recommend dismissal." Dismissal is a choice whose "objectively reasonable grounds" and "social acceptability" are easily contested after the fact. Even so, there are cases where you have no choice but to dismiss, because cases that general principles alone cannot settle do happen in practice. This page explains what to keep in mind before and after deciding to dismiss, and where a shakai hoken roumushi's work ends and an attorney's begins. Judging whether a particular dismissal is valid is outside the scope of this article.
A request to "get rid of an employee" rarely comes down to a single answer. There are several points that have to be separated: the difference between encouraging voluntary resignation and dismissal, the types of dismissal, the deadlines for the procedures, and the legal risk. This page is for the owners and general-affairs staff of small and medium-sized companies considering dismissal. We set out the framework for judging, the procedures that remain, and whom to ask for what.
Why do we not recommend dismissal?
Dismissal is a choice whose reasonableness and proportionality are contested after the fact, looking back. Article 16 of the Labor Contract Act provides: "A dismissal shall, if it lacks objectively reasonable grounds and is not considered to be appropriate in general societal terms, be treated as an abuse of right and be invalid."
If a dismissal is found invalid, the employment relationship is treated as having continued. The company then has to pay the wages for that period retroactively, and the burden can be larger than expected. "Just getting them to leave" is not the end of it — once a dismissal is invalid, it is hard to undo. That is why this office says: "Unless there is a very good reason, we do not recommend dismissal."
If you still choose to dismiss, what becomes the deciding point?
First, there are different types of dismissal.
| Type | What kind of dismissal | Framework to keep in mind |
|---|---|---|
| Ordinary dismissal | A normal dismissal that ends the contract, not a disciplinary one | Objectively reasonable grounds + appropriate in general societal terms (Labor Contract Act, Article 16) |
| Dismissal for economic reasons | A reduction in workforce for business reasons | The necessity of the reduction, efforts to avoid dismissal, the reasonableness of the selection, and the fairness of the procedure (general principles emphasized in case law) |
| Disciplinary dismissal | Dismissal based on disciplinary grounds in the work rules | Whether the conduct falls under the disciplinary grounds and whether it is proportionate. Exemption from the notice allowance requires an "authorization to dispense with advance notice" (Labor Standards Act, Article 20, paragraph 3) |
What they have in common is that each is judged by "objectively reasonable grounds" and "appropriateness in general societal terms." That is the framework to keep in mind when considering dismissal. Applying it to a particular case (whether this case is valid or invalid) is a matter for a qualified professional or an attorney.
What does "cannot be settled by general principles" mean?
In practice, there are cases that a textbook framework alone cannot settle. Here are the representative points.
- Lack of ability, or poor attitude — saying "they are useless" alone is often not enough for objective reasonableness. Whether you gave guidance and a chance to improve, and whether evaluations and records back it up, become the points at issue.
- Personal illness or injury, and long-term leave — the prospects for returning to work, how to treat the expiry of the leave period, and the relationship with the restrictions on dismissal during medical treatment (Labor Standards Act, Article 19) all overlap.
- Fixed-term contracts and probationary periods — dismissal before the term ends requires "unavoidable grounds" (Labor Contract Act, Article 17). During a probationary period, there is some room for broader judgment as the exercise of a reserved right to terminate, but it is not without limit.
- Where an older worker, or child care or family care, overlaps — the restrictions on dismissal and the angle of detrimental treatment come in, and a simple "reduction in workforce" may not settle the matter.
In this way, there really are cases that "generally speaking X" or "as a general principle Y" cannot settle. That is why you need a process of laying out the facts carefully, separating the points at issue, and, where necessary, putting it before an attorney for a decision.
Once you have decided to dismiss, what procedures remain?
Separate from whether the dismissal is valid, the procedures remain. These cannot be avoided.
| Procedure | What it involves | Basis / deadline |
|---|---|---|
| Advance notice of dismissal | Give notice at least 30 days in advance. If notice is not given, pay at least 30 days' worth of average wages (the dismissal notice allowance) | Labor Standards Act, Article 20 |
| Checking the restrictions on dismissal | Dismissal is prohibited during leave for medical treatment for a work-related injury or illness and for 30 days after, and during pre- and post-natal leave and for 30 days after | Labor Standards Act, Article 19 |
| Certificate of employment | If the worker requests one, deliver it without delay (including the reason, in the case of dismissal) | Labor Standards Act, Article 22 |
| Settlement of wages | Unpaid wages and the like must be paid within 7 days of a request | Labor Standards Act, Article 23 |
| Report of loss of employment insurance status | Report to Hello Work within 10 days of the day after separation | Employment Insurance Act |
| Report of loss of health insurance / employees' pension status | Report within 5 days of the event | Health Insurance Act / Employees' Pension Insurance Act |
To omit the dismissal notice allowance in a disciplinary dismissal, you need an "authorization to dispense with advance notice" from the head of the Labor Standards Inspection Office (Labor Standards Act, Article 20, paragraph 3). Without that authorization, advance notice or the allowance is required.
Whom should you ask, for what?
| What you want done | Whose work it is |
|---|---|
| Taking stock of how to proceed with the dismissal, organizing the facts and history, and the procedures such as advance notice, the certificate of employment, the certificate of separation, and the report of loss of social insurance status | A Shakai Hoken Roumushi (Certified Social Insurance and Labor Consultant) (this office) |
| Drawing up the disciplinary grounds and service rules in the work rules | A Shakai Hoken Roumushi (Certified Social Insurance and Labor Consultant) (this office) |
| Judging whether "this dismissal is valid", negotiating, and handling labor tribunal proceedings or litigation | An attorney |
| The tax treatment of retirement allowances and the withholding certificate | A tax accountant |
Applying the law to decide whether a dismissal is valid is an attorney's work. This office takes care of organizing the facts and the points at issue and putting the procedures in order, and where a judgment on validity is needed, we will guide you to engage an attorney directly. For the work rules that are the premise of a disciplinary dismissal, see How many employees make work rules mandatory.
What can 四葉社会保険労務士事務所 do for you?
四葉社会保険労務士事務所 in Kohinata, Bunkyo Ward, works with you from the stage where you are considering dismissal. We take stock of the alternatives to "getting them to leave" (transfer, changing the form of employment, and organizing voluntary resignation or a mutual agreement to leave), and then, if you proceed to dismissal, we handle the procedures — advance notice, the certificate of employment, the certificate of separation, the loss of social insurance status, and consistency with the work rules. The initial consultation is free. Fees are set out in the fee schedule.
Please note that we do not judge whether "this dismissal is valid." Where such a judgment is needed, we will guide you to engage an attorney directly. This office does not accept referral fees.
Frequently asked questions
Q. We are considering dismissal. Where should we consult first?
A. The realistic first step is to have a shakai hoken roumushi help you organize "what the problem is and what you want to achieve." We take stock of the alternatives to dismissal as well, and where the risk is high, we will guide you to engage an attorney directly. Judging the validity of the dismissal itself is an attorney's work.
Q. Is it true that "if I give 30 days' notice, I can dismiss"?
A. No. Advance notice of dismissal (Labor Standards Act, Article 20) is a procedural requirement, and is separate from the validity of the dismissal (Labor Contract Act, Article 16). Even if notice is given, the dismissal can still be invalid if it lacks objectively reasonable grounds or appropriateness in general societal terms.
Q. In a disciplinary dismissal, is the dismissal notice allowance not required?
A. It is not necessarily waived. To omit the notice allowance, you need an "authorization to dispense with advance notice" from the head of the Labor Standards Inspection Office (Labor Standards Act, Article 20, paragraph 3). Without that authorization, advance notice or the allowance is required.
Q. Is it easier to dismiss someone during a probationary period?
A. Dismissal during a probationary period can be given some room for broader judgment as the exercise of a reserved right to terminate, but it is not without limit. Applying it to a particular case is an attorney's judgment.
Sources for this article
- Labor Contract Act (労働契約法, Act No. 128 of 2007), Article 16 and Article 17
- Labor Standards Act (労働基準法, Act No. 49 of 1947), Article 19, Article 20, paragraph 1 and paragraph 3, Article 22, and Article 23
- The report of loss of employment insurance status (within 10 days of the day after separation) under the Employment Insurance Act, and the report of loss of health insurance / employees' pension insurance status (within 5 days of the event) under the Health Insurance Act and the Employees' Pension Insurance Act
- The factors considered in a dismissal for economic reasons are a general organization shown in case law, not a statutory provision (we refrain from citing a specific case name)
- The provisions have been checked against materials published by the Ministry of Health, Labour and Welfare and prefectural labour bureaus (as of 15 August 2026)
This article does not go so far as to decide whom you should consult or how you should decide. Organizing the facts around a dismissal and the procedures (advance notice, the certificate of employment, the certificate of separation, and the report of loss of social insurance status) and drawing up the work rules are the work of a Shakai Hoken Roumushi (Certified Social Insurance and Labor Consultant). Judging whether "this dismissal is valid", negotiating, and handling labor tribunal proceedings or litigation are the work of an attorney. The tax treatment of a retirement allowance and withholding is the work of a tax accountant. This office does not accept referral fees. The cost of consulting 四葉社会保険労務士事務所 is set out in the fee schedule, and the questions we are asked most often are collected on the FAQ page.
This article is general information. Judgments that fit your particular circumstances are made by a qualified professional after a meeting. Written by Joji Uramatsu (Shakai Hoken Roumushi (Certified Social Insurance and Labor Consultant), Gyoseishoshi (Certified Administrative Procedures Legal Specialist), Registered Real Estate Transaction Specialist).
Let’s start by sorting out where things stand.
四葉社会保険労務士事務所 (Kohinata, Bunkyo-ku; a 5-minute walk from Myogadani Station on the Tokyo Metro Marunouchi Line) helps you, starting with a review of your current labour practices.
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