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Contracts
Berlitz prides itself as
being 'the leader in language instruction for more than a century',
while closer to home Berlitz Japan boasts it has the most flexible
workforce in the industry. That's a lot to live up to! While the
Berlitz Union is in no position to comment on the first claim, we are in
a very strong position to comment on the second. The
Berlitz Union has held consultations with the Labor Standards Office and
the Ministry of Labor regarding this flexible workforce. We were seeking
clarification on how Berlitz Japan could operate so efficiently without
offering illegal contracts. The answer was a resounding. It can't.
In
latter days, Berlitz Japan could offer instructors a full-time contract
with a range of schedules to choose from. These days, the only full-time
contracts offered to foreign national staff are management and the odd
specialist positions. Apart from a scattering of our well regarded
Senior Instructors, full-time contracts are but a distant memory.
Schedules are now based on the needs of the company. Expect to work on
Saturday and Sunday.
Berlitz is gradually cutting salaries and increasing working hours.
Full-time contracts are no longer offered to instructors. Minimum
Guarantee 30/30
contracts
(30 lessons with a 30 lesson availability) were replaced in 1992 and
1993 with 35/40 contracts and 35/40 contracts have as of 2005 been
replaced by 40/40 and 45/45 contracts.
All
Berlitz offer these days are part-time contracts that are designed
to fit within the needs and requirements of each Language Center.
Contracts Available
Minimum Guarantee 40/40 Instructor Contract
Minimum Guarantee 45/45
Lead Instructor Contract
Minimum Guarantee 20/20
Instructor Contract
No Guarantee Pay Per
Lesson Instructor Contract (Some English Instructors and all Non
English Language Instructors)
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Minimum Guarantee 40/40 'Pay Cut Contract'
This
contract replaced the MG 35/40 contract from February 18th, 2005.
The
instructor would be available and teach for a schedule of 40 units
per week. The starting salary would be the same as for current
Minimum Guarantee instructors who are available for 40 units but
only teach 35 units per week.
Work
Hours
A 26.6 hour, 5 day, workweek that can include work on Saturday
and Sunday. The schedule will be determined on the needs of the
Language Center and may be changed with the employees consent.
Compensation
Package
1. Starting salary of 230,000 yen per month
increasing to 250,000 yen per month after a three month
probationary period (60,000 yen payment after completing the
probationary period).
2. Extra
lessons taught outside of contract schedule will be paid at 1,900
yen per lesson (drops from 1,920 yen per
lesson as per 35/40 contract).
3.
Actual commutation cost (maximum 25,000 yen per month).
4. All
Japanese holidays and Christmas Day that fall in contract off, or
days in-lieu will be offered.
5.
Vacation after six months (10 days to start but increasing as per
Labour Standards Law).
6.
Completion bonus of 90,000 yen for each successive year of
employment (as long as employee completes 1 year contract and
provides 2 months notice of resignation should the employee wish
to resign).
7.
Contract extension bonus of 30,000 yen for employees whose
contracts are extended and payable 3 months into the new contract
year.
Annual Salary of 3,120,000 yen (including all extra bonus
payments)
Additional
Fringe Benefits
1. Overseas Holiday Insurance
2. Use of Izumigo and RCI resorts at reduced rates.
Let's do the math
on this contract.
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Basic MG40/40 Contract |
Basic MG35/40 Contract
plus 5 out of contract lessons per week
(approx 48 weeks x5
lessons @1,920 yen per lesson) |
Pay 3,120,000 yen
(including all bonus payments) |
Pay 3,000,000 yen
Out of Contract 460,800 yen |
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Total 3,120,000 yen |
Total 3,460,800 |
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3,120,000 yen -
3,460,800 yen = -340,800
340,800 / 3,460,800 rounds
up to
An Enormous 9.85%
Pay Cut
(and
even more if you calculate MG35/40 holiday pay revision
payments)
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Minimum Guarantee 45/45 'Pay Cut Management
Contract'
This
contract replaced the MG 35/40 contract from February 18th, 2005.
The
instructor would like to take on a greater role in the Language
Center with an aim to pursue a career in Berlitz and become an
Instructional Supervisor. The instructor would be available and
teach for a schedule of 45 units per week.
Work
Hours
A 33.75 hour, 5 day, workweek that can include work on Saturday
and Sunday. The schedule will be determined on the needs of the
Language Center and may be changed with the employees consent.
Compensation
Package
1. Starting salary of 275,000 yen per month.
2. Extra
lessons taught outside of contract schedule will be paid at 1,900
yen per lesson (drops from 1,920 yen per
lesson as per 35/40 contract).
3. Actual
commutation cost (maximum 25,000 yen per month).
4. All
Japanese holidays and Christmas Day that fall in contract off, or
days in-lieu will be offered.
5.
Vacation after six months (10 days to start but increasing as per
Labour Standards Law).
6.
Completion bonus of 120,000 yen for each successive year of
employment (as long as employee follows instructor agreement
conditions, completes 1 year contract and provides 2 months notice
of resignation should the employee wish to resign).
7.
Performance based incentives based on Language Center, Berlitz Japan
and personal performance.
Annual
Salary of 3,420,000 yen (including completion bonus)
Additional
Fringe Benefits
1. Overseas Holiday Insurance
2. Use of Izumigo and RCI resorts at reduced rates.
Let's do the math
on this contract.
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Basic MG45/45 Contract |
Basic MG35/40 Contract
plus 10 out of contract lessons per week
(approx 48 weeks x10
lessons @1,920 yen per lesson) |
Pay 3,420,000 yen
(including all bonus payments) |
Pay 3,000,000 yen
Out of Contract 921,600 yen |
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Total 3,420,000 yen |
Total 3,921,600 |
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3,420,000
yen - 3,921,600 yen = -501,600
501,600 /
3,921,600 rounds up to
An
Incredible 12.8% Pay Cut
(and
even more if you calculate MG35/40 holiday pay revision
payments)
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PAY PER
LESSON CONTRACT (1 YEAR)
Starting at 1,920 yen per 40 minute unit.
With the Pay Per Lesson contract the employee is available for agreed upon
schedule during which Berlitz will schedule lessons (if lessons are
available). Click
here to view in pdf format.
This contract is best
defined as:
a one year agreement between two parties that offers the possibility of
something at a set rate but with no guarantees.
Under Labor Standards Law
the vagueness of the Pay Per Lesson Contract brings it into a more than gray
area. It is therefore regarded as illegal.
At
best, this contract provides
Instructors with a high earning potential over busy periods and the
possibility of more flexibility (explains why some members are reluctant to stamp it out).
With these potential benefits come the horrors. It's not
unusual for an Instructor to be scheduled to start work at 7.00am and
finish at 10.00pm. Imagine
working 2 lessons in the morning, maybe a couple more in the afternoon
and then 3 or 4 in the evening week in week out and then being obliged
to work at the weekend too. At the larger Language Centers the Pay Per
Lesson Contract can be a viable option all year round but if you visit
one of the smaller Language Centers then you'll see the real damage the
Per Lesson Contract inflicts on the well-being of Berlitz Instructors. If
the contract is so bad then why
don't Instructors just close off part of their availability?
An
Instructor tried just that and had their request refused. The
Berlitz Union filed a grievance with Berlitz and received an
intimidating and predatory response. Berlitz advised the Berlitz Union
that if our member was prepared to sit with staff while they
explained to the students that their lessons would be cancelled because
the Instructor wouldn't be available then they would consider the
request. Talk about a touchy response! Berlitz want Instructor
availability and loyalty but can't provide a clear working schedule or
minimum guarantee of lessons. Sorry Berlitz, this response just doesn't
make sense. Why should you have to cancel lessons for a teacher with no
set schedule or guarantees. When
the quiet periods come to the Language Centers and the Per Lesson
Instructors are scrimping for the odd lesson here and there you won't be
making any allowances. You can't have the best of both worlds on
this one...more to follow!
UPDATE
This case caused no end of bad feeling
throughout the Kansai region. Instructors are well aware of how the Per
Lesson Contract works and were not amused by the further deterioration
and misuse of an already illegal system.
Berlitz Lock-up
Berlitz have agreed that Pay Per Lesson Instructors do not have
to lock up Berlitz language Centers. Berlitz will restrict the locking
up to Contract Instructors and Per Lesson Instructors who 'volunteer'.
Berlitz understands that asking Pay Per Lesson Instructors to lock up
puts them in an unpaid work situation. Contact the Berlitz Union if your
rights are being abused.
MINIMUM
GUARANTEE CONTRACT (MG 35/40) No
longer offered
250,000 yen minimum per month.
Click
here to view in pdf format.
(Other
Language Department Instructors have their own special MG Contracts.
They exist in the imagination but not on paper.)
With
an MG 35/40 contract the employee must be available for 40 x 40 minute
units per week and must work for 35 units of the 40 available (23.5
hours within 26.6 hours).
Numerous varieties of this contract exist throughout Language Centers in
Japan. Some Language Centers have merged the Per Lesson flexibility into
the MG 35/40 contract requiring Instructors to be on call from 7.00am -
10.00pm. This is how Berlitz maintains its profits and remains the most
cost efficient company in the language industry. Example hybrid
contracts include:
FUKUOKA
MG 35/75 contract but hired as an MG35/40 (An MG35/40 on paper with a horrendous
floating schedule and weekend availability).
Fukuoka
Floaters
In April
2003, we reported on the flexible floating contracts being offered to
Instructors at Fukuoka L.C. Instructors were under the impression that
these contracts were a temporary measure and they would soon be put on
the standard MG35/40 contracts. Well, 5 months after hiring and not a
single MG35/40 contract in site. It's hardly surprising really! Why take
Instructors off contracts that are saving the L.C. money. Why should
Berlitz care that the 'flexible floaters' keep Instructors in 'lesson
limbo'. The new Instructors at Fukuoka were hired under their current
contracts in February 2003. The Fukuoka I.S. has kept them on these
contracts although paperwork officially registers these contracts as
MG35/40s. We can envisage the Labour Standards Office making a simple
request for rosters and all those floaters will be converted to out of
contract and rest date rate lessons. The Berlitz Union requests all
readers to submit details of any irregular contracts they are aware of.
We will display the results on the Berlitz Union website. http://berlitz.generalunion.org
HOKKAIDO
MG35/Indefinite. Hokkaido changes the teacher's contract schedule at
will to fit in with the timetable. This is a great way to make sure the
language center doesn't lose money. A typical day will provide an MG
teacher 3 lessons - 4 breaks - 1 lesson - 1 break, etc.
NAMBA,
Osaka
MG35/40 Contract Instructors are being
hired to work 6 days a week
including Sunday. Instructors are better off going to NOVA. This is a bad
sign of a Language Centers' performance when contracts stoop to this
level.
August 2003 UPDATE
Namba continues to hire MG floating contract Instructors. Instructors are given a
minimum guarantee of 35 forty minute unit lessons within a waiting
period of 77-85 units lessons (based on a 5 day schedule). In total this
amounts to an availability of between fifty seven hours and twenty
minutes: 57:20 to sixty three hours and twenty minutes: 63:20.
NAGOYA
MG 50/50 Contracts. (Burnout)
OTHER
LANGUAGE DEPARTMENT
The
Other Language Department at Berlitz beats them all. Instructors are
given a rest day but it means little when there are lessons to be
covered. Some Instructors are available for up to 111 units per week. This
amounts to eighty two hours and forty minutes: 82:40. A number of
Other Language Instructors are guaranteed a minimum of 120 units per
month. A unit is defined as a teaching unit (variable payment) or a
travel unit (1,400 yen). This contract therefore provides a guarantee
starting from 168,000 yen. As some Other Language Instructors have their
visa sponsored by Berlitz this puts instructors in an illegal working
environment as immigration law requires a guaranteed minimum of 250,000
yen per month.
SENRI
CHUO, Osaka
MG35/40 Instructors are required to work on Sundays as a regular
working day. Sunday is the official rest day at Berlitz as can be noted
in the Policy and Procedures manual under Wage and Salary
Administration.
UMEDA
Umeda Language Center has tried to request Per Lesson Instructors to
stick to their fixed
and open availability as if they were MG Instructors. All this
commitment to Berlitz while still only receiving the per lesson guarantee;
a one year agreement between two parties that offers the possibility of
something at a set rate but with no guarantees.
This was always a recipe for disaster.
Umeda LC has now decided to hire MG35/40 contract Instructors who are
required to work on Saturdays and Sundays as regular working days.
Again, you are better off going to NOVA.
MINIMUM
GUARANTEE CONTRACT (MG 20/20)
170,000 yen minimum per month.
With
an MG 20/20 contract the employee must work for and be available for 20 x 40 minute
units per week. These units are usually split between evening shifts
from 6.15pm - 9.10pm and weekends.
Even these very limited part-time contracts haven't gotten past the
floating schedule mentality that Berlitz is so keen to conserve. For
example;
ATSUGI
Atsugi
Language Center has a habit of randomly assigning contract lessons
outside of an MG20/20 Instructor's schedule. According to Berlitz Work
Rules, such scheduling should result in an automatic bonus payment as
teachers have neither been informed nor agreed to a change in working
conditions. Do teachers receive a bonus payment? You must be joking.
What does Berlitz feel about the current scheduling practices at Atsuji
Language Center?
"After
looking at the contracts in Atsugi we feel that the current situation
with regard to schedules is beneficial to both the employees and the
company, if this is unacceptable to the employees then we agree that
this flexible approach should be discontinued for all employees and
fixed contract for all employees in Atsugi should be the rule..."
Berlitz
was made aware that such practices are unacceptable
but the contract lessons continue to be moved around. It's a simple case
of one hand doesn't know what the other is doing! Human Resources issue
requests to its management who fail to make the necessary changes.
Berlitz admits that its management has communication difficulties but is
unable or unwilling to assert any real guidance.
Remember!
Berlitz has a set of Work Rules that it must legally abide by and this
includes the way it issues contracts. If you accept to work a hybrid
contract then you are making it worse for yourself and others. Berlitz
won't remember you for your flexibility at a later date as they may
initially promise. The bottom line is that Berlitz is just looking out
to cut costs and maximize profits.
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