Skip to content
RetailNews Asia
General

7-Eleven Japan has been underpaying staff for up to 50 years

By Mei Ling Tan
1 min read
7-Eleven Japan has been underpaying staff for up to 50 years
7-Eleven Japan has been underpaying staff for up to 50 years

Investigators have discovered 7-Eleven Japan to have been underpaying staff since the 1970s, according to a Nikkei report.

The review uncovered inaccuracies in the formula used by the retailer to calculate overtime wages for part-time staff since the business was established. The error resulted in staff earning less than mandated by Japan’s Labour Standards Act. All staff payment calculations are performed by the 7-Eleven Japan’s head office, which guides payment levels for franchise operators.

The company, which was first alerted to the problem in October, has responded by promising to compensate around 30,000 affected staff for underpayments going back as far as the company has kept its archives since March 2012. Staff seeking compensation for underpayments dating from before that time can be paid if they have preserved records.

7-Eleven Japan could face a bill for compensatory payments of ¥490 million (US$4.51 million).

Weekly Briefing

Asia's retail intelligence, in your inbox

We respect your inbox as much as we value your time. That's why we only send carefully curated weekly updates, packed with the most relevant news, trends, and insights from the retail industry across Asia and beyond.

Protected by a quick human check. No spam, ever.