Japan: NOVA unable to pay its employees
Japan
James at Japan Probe reports the news that NOVA, Japan's largest chain of English schools suffering from a deepening financial crisis, has postponed paying its English teachers this month.
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James at Japan Probe reports the news that NOVA, Japan's largest chain of English schools suffering from a deepening financial crisis, has postponed paying its English teachers this month.
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Sorry, I’ve mistakenly stated 10 billion Yen is owed to students, I’m confusing my numbers with dollars as I’ve only recently come back to Japan. The figures are at 100 million Yen owed to students which is a much nicer figure. There are however more bills outstanding with Nova with which I do not have the figures at hand, such as unpaid advertising expenses and so forth.
Well, it seems I hadn’t mistaken with my figures. 10 billion Yen, or 100 million dollars, was reported on Tokyo Web as being monies currently outstanding as of Sept 27, 2007. The link is now defunct but here is a google search link showing part of the page. http://news.google.co.jp/news?hl=ja&ned=jp&q=%EF%BC%AE%EF%BD%8F%EF%BD%96%EF%BD%81%E3%80%80%E7%94%9F%E5%BE%92100%E5%84%84%E5%86%86&btnG=%E3%83%8B%E3%83%A5%E3%83%BC%E3%82%B9%E6%A4%9C%E7%B4%A2
I’m sorry for my confusion, the amounts are just so outlandish that it’s easy to get confused.
I had applied to NOVA a few months ago (already quite aware of their situation – I rang up to check the visa is valid to work elsewhew last week and they were pretty helpful (or perhaps worried overseas staff wouldn’t be paid either)). Today they sent us all this letter:
I am writing to bring you up to date with the current situation regarding Nova Group in Japan. You may be aware of the recent financial problems that Nova Group has been facing. One result is a serious cash flow problem that in September resulted in some of our instructors’ salaries being delayed, some for as long as 12 days. While there has been some positive news from Japan at the end of last week, the situation in Japan is still very unclear.
The company has been acting to address the situation, with quite dramatic restructuring involving the merger of a number of branches and a review of the company’s procedures. Instructors working in branches that have been merged have been transferred to nearby branches and, in some cases, instructors have been assisted in moving to alternative accommodation closer to their new workplaces.
The situation in Japan remains very uncertain and the Australian recruiting offices have suggested to all recruits who are due to arrive in Japan this year that they delay their departure until early 2008. At this stage, we still expect a need for new instructors in 2008 and the position that has been offered to you is still available.
We believe we will have a much clearer picture by the middle of the month and will keep you updated on any developments. There is no action required from you at this time, we would simply like to inform you of the situation so you can consider the situation and plan accordingly.
It seems they’ve finally realised they can’t keep sending in new staff. I wasn’t going to leave until next year anyway, and will still go to Japan for a holiday at least, but maybe not to work for Nova.
I’m ex nova. Multimedia. Friends of mine have been getting eviction notices for nova apartments from their landlords. They have been (compulsarily) paying rent via deductions from their salarise however it turns out nova hasn’t been passing the money onto land lords. Theres also doubt about nova paying JMA – the group that provides compulsary medical insurance to thousands of nova teachers. With all this up in the air. Tomorrow will be a very interesting day indeed. Drink up nova teachers – tomorrow (Oct5) may be your last day!
As a new instructor at NOVA I am shocked to know that we just got a new instructor at our branch. I know that new instructors are still arriving and that 15 OCT is d-day for NOVA. Apparently, if instructors are not paid many of them will call in “sick,” find new jobs, quit or simply go back home.
Anyways, my advice to new instructors is to spend wisely, start finding a new job and tell your folks about the situation in Japan. As for people thinking about coming, DON’T!!!!!!!!!!!!!!!!! Everyday the only thing that NOVA teachers talk about is evictions and their pay. Believe me you do not want to be in this situation. Remain home and wait until later next year. And don’t forget to bring at least 3000000 yen.
Today I tried to contact NOVA Personnel, to find out if our JMA Insurance has been paid. They shuffled me around a couple of times, until someone finally told me that I should contact JMA. They didn’t know if our JMA Insurance had been paid, which leaves me felling a little worried about a NOVA Instructor’s well-being. Anyway, I will try to contact JMA on Tuesday and find out what is going on. They were closed this weekend and Monday, because it’s a National Holiday.
Hope for the best, but plan for the worst.
The Nova medical insurance is one of the subjects that was under investigation.
http://search.japantimes.co.jp/cgi-bin/fl20050412zg.html
we recently left Nova and Japan and are still waiting on our Aug 15th payment into our home accounts. Would be interested in hearing from anyone in a similar situation, as to whether they have been paid. I heard that teachers in Japan got paid for that month already?
WOW…I am an ex-nova teacher and I am shocked but not really surprised by the news… what will happen if we do not recieve our last payment on the 15th? What are the steps and what action can we take?
I really just have no idea!
any help or guidance here would be greatly appreciated!