Tokyo Foundation Launches New Financial Assistance to Combat Gender Pay Gap

Tokyo Work Foundation's New Initiative

The Tokyo Work Foundation has recently established a new incentive program known as the “2021 Gender Wage Gap Improvement Incentive,” aimed at enhancing the treatment and salaries of female employees within small and medium-sized enterprises (SMEs) in Tokyo. Under this initiative, companies can receive financial assistance of up to 1 million yen to address gender wage disparities.

Background of the Initiative

The Japanese Ministry of Health, Labour and Welfare has decided to extend the enforcement of the Act on Promotion of Women's Participation and Advancement in the Workplace, originally set to expire in March 2026, by another 10 years. Alongside this extension, the government plans to broaden the scope of mandatory reporting for companies on the percentage of women in managerial positions and the gender wage gap, lowering the threshold from companies with 301 employees or more to those with 101 employees and above. These legislative revisions are critical steps in promoting women's participation in society and ensuring equality within the workplace.

Despite the government’s proactive measures, many SMEs face challenges, including a lack of human resources and expertise to comply with these new regulations. In response to this, the Tokyo Work Foundation will provide support through the “2021 Gender Wage Gap Improvement Incentive,” aimed specifically at SMEs in Tokyo. The foundation will also deploy specialists, such as labor and social security attorneys and small business consultants, to assist these companies in their efforts.

Details of the Incentive Program

1. Overview of the Incentive

The incentive program is designed to fund initiatives aimed at improving the treatment and salaries of female employees, thereby working to reduce gender wage disparities.

2. Eligible Businesses

To qualify for the financial support, businesses must meet the following criteria:
1. The company’s headquarters or main business location must be in Tokyo.
2. As of the application date, the company must employ 300 or fewer people on a permanent basis.
3. The proportion of women in the employment management category targeted by the initiative must be below 40% as of the application date.

3. Application Process

Receiving funding requires completing three specific steps outlined by the foundation. Additionally, there are further conditions that must be met.

For more details regarding the requirements and application process, interested parties can consult the official website or review the recruitment guidelines available for download.
Official Website
Recruitment Guidelines (PDF)

4. Application Schedule and Available Funding

- Round 1: First 100 companies, application deadline: June 30, 2021
- Round 2: First 80 companies, application deadline: August 31, 2021
- Round 3: First 80 companies, application deadline: October 31, 2021
- Round 4: First 80 companies, application deadline: December 31, 2021
- Round 5: First 80 companies, application deadline: February 28, 2022
- Round 6: First 80 companies, application deadline: April 30, 2022

5. How to Apply

To start the application process, interested businesses are encouraged to register for a free online seminar. This can be done by visiting the link or scanning the QR code provided on the official website.
Official Website