On November 20, 2007, the revised Immigration Control and Refugee Recognition Law came into effect in Japan. The revised measure, already a controversial one, is to strengthen the screening process of foreign visitors entering Japan as part of an anti-terrorist policy.

The law, similar to the U.S.-Visit Program, now requires all foreign citizens entering the country to have their fingerprints and facial photographs taken at immigration. Then, foreigners are interviewed by immigration inspectors. They must comply with this regulation each time they enter Japan. The new process is also expected to affect even the 2.1 million foreigners already living in Japan, including those married to Japanese nationals. However, foreigners aged under 16, diplomats, government guests, and special permanent residents, including Koreans and other Asians brought to Japan during World War II, are exempt from the new ordinance.

The potential impacts of the revised law could be enormous for foreign companies based in Japan. Not only would the law create long waits at airports, but it would also make Japan a less appealing business place in comparison with Hong Kong or Singapore. Many business groups have already expressed their concerns and many foreign companies have already begun to focus their strongest attention on other Asian markets. The new law is controversial, but it is too soon to see its full impact on business in Japan. Therefore, foreign companies and their HR managers should closely monitor future developments.