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Goodwill to shutter Japanese subsidiary

June 30 2008

The Goodwill Group Inc., a Tokyo-based firm, announced it was shutting down its Goodwill Inc. subsidiary in Japan.

The company had been under fire in Japan. Three internal employees were arrested and the company itself faces charges over the illegal dispatch of staff. Its operations in Japan had been suspended for several months earlier this year because of illegal worker referrals. News reports said the company sent staff to a transport company which, in turn, dispatched them to other firms, an illegal practice in Japan.

Tokyo-based Goodwill said it and the employees have also paid fines over the incidents.

The Daily Yomiuri said the decision to shutter the Goodwill subsidiary, which provide day laborers, comes as the Japanese Ministry of Health, Labor and Welfare made known its plan to revoke the company's license as a temporary staffing provider should the firm be found guilty by a court.

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