Alternative dispute resolution in Japan: the rise of individualism

Japan has undergone considerable change over the past two decades. The collapse of the bubble economy, the decline of the manufacturing sector, the sustained economic downturn - represented most graphically by lower economic growth and higher unemployment - and the fall in trade union membership and coverage have led to changes in the nature of industrial disputes, the way industrial disputes are resolved, and the parties who become involved in disputes. This paper examines these changes with a particular focus on what may be called 'alternative' dispute resolution processes. Fewer mechanisms now exist for disputes to be resolved within the enterprise, and workers are now more willing to go beyond the enterprise to resolve their disputes with management. These external procedures are, in many cases, individual in nature and involve a more legalistic approach to the resolution of industrial disputes.