Training entity held strings for trainees visas

The Tokyo-based Japan International Training Cooperation Organization (JITCO), which profits from insurance policy commissions on foreign trainees, also has collected various other commissions from small and midsize firms in need of foreign trainees to cover labor shortages.
"We can't get permission for trainee visas from immigration unless we go through JITCO," said a company official preparing to accept foreign trainees.

Trainees must have a trainee visa status based on the Immigration Control and Refugee Recognition Law. When the company official asked the immigration authority about how to obtain the visas, he was told to ask JITCO about it.

One of JITCO's profit-making operations is its preparation of documents for submission to the immigration authority on behalf of such firms. JITCO receives 5,500 yen to 11,000 yen in commissions per case for the procedure.

In the event a foreign trainee is hired for the three-year maximum, the firm must prepare certain documents several times, including applications to renew trainee status. The firm must pay JITCO a commission on the paperwork every time.

Of the foreign trainees that came to work in the country last year, about 56,000, or more than 60 percent, acquired trainee visas with JITCO support.

JITCO only assists in immigration paperwork for foreign trainees of its supporting member firms. Based on their capital funds, firms hoping to hire foreign trainees must pay JITCO 50,000 yen to 300,000 yen in annual membership fees.

A company president in Okayama Prefecture said, "If you want to obtain trainee visa status smoothly, the only way is to become a supporting member of JITCO and pay the commission every time it's necessary."

According to JITCO, the firm took in 1.148 billion yen in income last fiscal year from its supporting members, more than triple the amount 10 years ago.
(Nov. 8, 2006)

http://www.yomiuri.co.jp/dy/national/20061108TDY03004.htm