"Japan ranked 134th out of 144 countries on the ease of hiring and firing, a World Economic Forum report showed in 2012, a rigidity many economists and executives believe has stifled growth. Executives say vague wording in Japanese labor law gives judges broad discretion in settling cases and puts a relatively heavy burden on managers to prove they have made a concerted effort to avoid cutting staff."
Source: As Abe weighs labor reform, IBM emerges as test case for firing workers
By Nathan Layne
July 11th 2013