For companies hiring in Japan — whether you’re a local enterprise or a global firm expanding into the Japanese market — conducting background checks is a necessary part of evaluating candidates. However, Japan’s legal system places a high priority on individual privacy, and background verification processes are governed by strict regulations.
There’s no single law that directly addresses employment background checks. Instead, various privacy, labor, and human rights regulations intersect to shape what is permitted, what is restricted, and what’s considered unethical or potentially unlawful. Employers who fail to understand this landscape risk non-compliance, reputational damage, and even legal penalties.
This blog outlines the key legislation, what it means in practice, and how HR teams can conduct compliant and respectful screening in Japan.
Is Background Verification Legal in Japan?
Yes — background checks are legal in Japan. However, they must be conducted within a well-defined legal and ethical framework, primarily governed by the Act on the Protection of Personal Information (APPI). Employers are required to follow strict rules about how data is collected, what information is relevant, and how it is used.
Inappropriate or overly intrusive background checks — especially those that touch on medical history, family background, or criminal records — can violate privacy laws or anti-discrimination standards. Simply put, background screening in Japan is legal only when it is limited, consent-driven, and job-related.
Key Legal Frameworks That Impact Background Checks in Japan
1. Act on the Protection of Personal Information (APPI)
The APPI, first enacted in 2003 and most recently amended in 2022, is the primary data protection law in Japan. It applies to all private businesses that handle personal data and is central to any form of pre-employment screening.
The APPI defines “personal information” broadly — covering names, addresses, educational records, work history, and any other data that can identify an individual. Employers must:
- Obtain informed and written consent before collecting any personal data from a candidate.
- Clearly state the purpose of data collection and ensure that information is used solely for that stated purpose.
- Limit data collection to what is necessary for hiring decisions. Collecting irrelevant or excessive data — even if the candidate agrees — can be considered unlawful.
Importantly, the APPI also mandates secure handling, proper storage, and timely disposal of data once it’s no longer needed. Any misuse or unauthorized sharing of personal data can result in penalties or sanctions from Japan’s Personal Information Protection Commission.
2. Labor Standards Act (1947)
While primarily focused on working conditions, wages, and employment rights, the Labor Standards Act also has significant implications for background checks. Article 3 of the Act prohibits discrimination based on nationality, creed, and social status, and is interpreted in line with broader principles of fair hiring.
In practice, this means employers should not collect or use background information that could lead to discriminatory hiring decisions — such as a candidate’s age, marital status, or family origin. Questions that touch on these areas may be considered a violation of labor rights, even if asked informally.
3. Guidelines on the Protection of Workers’ Personal Information (MHLW)
Issued by the Ministry of Health, Labour and Welfare, these guidelines provide practical advice for companies handling employee data during recruitment and employment.
Employers are encouraged to:
- Only collect personal information that is relevant to assessing a candidate’s suitability for a role.
- Inform candidates in advance about the types of checks being conducted and how the data will be used.
- Refrain from conducting checks or asking questions about sensitive topics such as health status, family background, religion, or political views — unless there is a clear and lawful reason.
Though these are technically guidelines and not enforceable laws, courts and regulators often refer to them when assessing whether a company’s data practices are appropriate.
4. Human Rights Protections via Oversight by the Ministry of Justice
Japan does not have a standalone “Human Rights Protection Act.” However, the Human Rights Bureau of the Ministry of Justice actively monitors and responds to claims of discrimination or privacy invasion in employment.
Employers that engage in intrusive investigations or discriminatory questioning — even unintentionally — may face administrative intervention, reputational harm, or even public naming. The Human Rights Bureau encourages employers to align hiring practices with the principle of respect for the individual, as outlined in Japan’s Constitution.
This reinforces the importance of conducting background checks that are fair, necessary, and non-discriminatory.
5. METI Guidelines for Human Resource Development (Particularly in IT Sectors)
The Ministry of Economy, Trade and Industry (METI) has issued specific hiring recommendations for companies in high-sensitivity industries like IT and cybersecurity. While not legally binding, these frameworks stress:
- Ethical use of candidate data during hiring
- Focus on skills-based assessments, rather than invasive personal screening
- Avoidance of blanket checks that are not relevant to the actual job role
This is especially relevant for firms in technology, finance, or logistics, where background screening can become overly broad without proper controls.
What Types of Checks Are Allowed — and Which Are Not?
In Japan, employers are allowed to verify certain elements of a candidate’s background — but with clear boundaries.
Allowed (with consent):
- Employment history and previous job roles
- Academic qualifications (degrees, certifications)
- Identity verification (e.g., legal working status, nationality)
- Reference checks, provided the candidate has given permission
- Publicly available information, such as from open online profiles
Restricted or discouraged:
- Criminal records: These are not publicly accessible and may only be requested with the candidate’s consent — typically only for roles involving vulnerable populations or financial responsibility.
- Credit history: Japanese credit bureaus do not release data to employers. Financial background checks are rare and only justified in select roles.
- Medical history: Cannot be requested unless directly related to the job — and only with the applicant’s consent.
- Family background, religion, or political affiliation: Collecting this data is considered intrusive and discriminatory.
How HR Teams Can Stay Compliant
If you’re hiring in Japan, especially across borders, keep in mind that background verification is not a one-size-fits-all process. It requires adapting to local regulations and cultural expectations.
Here are key tips:
- Always get written consent before performing any type of background check.
- Make sure every check is relevant to the job — if it isn’t, don’t ask.
- Be transparent with candidates: tell them what will be checked and why.
- Use a screening partner familiar with Japanese law and compliance.
- Avoid using global screening processes that don’t reflect local legal standards.
Final Takeaway: Compliance Builds Trust
Background checks are an important part of making informed hiring decisions — but in Japan, they come with unique responsibilities. The legal framework demands that employers handle personal data with care, ask only what is necessary, and always respect the privacy of the individual.
When done correctly, background screening can enhance trust between employers and candidates, improve hiring quality, and demonstrate your company’s commitment to ethical hiring.
Need support with compliant background checks in Japan?
Contact AMS Inform today to learn how we can help you streamline and localize your screening process while staying fully aligned with Japanese legal standards.