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Japan drops key labor reform proposal after survey furor

Businesses frustrated by Abe's retreat on key legislation

Japanese Prime Minister Shinzo Abe on Wednesday scrapped plans to have the Diet consider a proposal to expand a system allowing flexible work hours for some employees.   © Kyodo

TOKYO -- Japan's legislature will not consider a proposal on broadening a system for flexible work hours this session amid growing criticism of flawed data used by the government to support the measure.

Under the discretionary labor system, employees are paid based on a predetermined number of hours regardless of how long they actually work. Such arrangements are not widely used and are limited to a narrow range of workers. The government planned to expand the range of eligible employees as part of a package of labor reforms to be submitted in the current parliamentary session.

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