Are there any Benefits to working at a company with no bonuses ??

日本語Verは👉こちら

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Thank you for reading 🌸
I work as a HR member at a startup company with about 100 employees.
My goal is to assist people who would like to expand their business in society.
For this goal, I'd like to provide useful information in this Note :)

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Purpose of This Article

In Japan, it's common for office workers to receive bonuses in the  summer and at the end of year.
However, it's also true that small and medium-sized companies with low profits,  find it difficult to provide bonuses to their employees.

Of course, when we hear bonuses, it seems like they are all about positive aspects for employees, but there are also negative aspects.

Recently, some companies have started to eliminate bonuses, keeping the annual salary. they divide it into 1/12 to pay the same amount of salary every month.

I put together this article for people who are considering changing jobs or joining a company because of the lack of bonuses.

The advantage is  receiving by monthly salary instead of bonus.

1.You can receive a stable salary
Labor laws restrict companies from making disadvantageous change to working conditions without consent of employees.
if this change is made, there must be reasonable reasons.
Therefore, your monthly salary will not change easily, but companies are allowed to  change bonuses within a certain range. So your salary may be reduced if the company's profits are not sufficient.

2.You can receive more benefits for injury and unemployment from public institutions.
social insurance benefits during sick leave are defined by your average monthly salary before your injury.
For example, if your annual income is 4.8 million yen:
Pattern A: 300,000 yen per month, 1.2million yen a bonus,
Pattern B:400,000 yen per month, 0 yen a bonus,
The amount of allowance you receive per a day is:
Pattern A. (30*12/12) /30 = 10,000 *2/3 = 6,667 yen ( per a day )
Pattern B. (40*12/12) /30 = 13,333 *2/3 = 8,889 yen ( per a day )
you will receive more in B, which is a monthly salary than in A, which includes a bonus.
It is also same for unemployment benefits. The amount paid is calculated from the salary 6 month before quitting your job, excludes the bonuses.

3.You can avoid the busy season for changing jobs
Just like there is a season for entering and graduating from school, there is also a busy seasons for changing jobs.

At publicly traded companies, the fiscal year ends in March, and some people move this time.
In private companies, some people move after receiving bonuses,  especially in July and January.
Therefore, it' may be difficult for applicants to get good job offer during the season because there is a lot of competition.

Summary

Of course, it's best to receive a good monthly salary and bonus, but I hope that you will be satisfied with your work and consider the advantages and disadvantages of bonuses !

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Thank you for reading to the end !
Please share your comments :)

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