Job Discussion Forums

Apsara · Joined: 20 Sep 2005 Posts: 2142 Location: Tokyo, Japan

Except the people who are supposed to be taking over have said that they will keep almost two-thirds of the schools open... Some people will definitely lose their jobs, but it doesn't look like they all will.

gaijinalways · Joined: 29 Nov 2005 Posts: 2279

I haven't read anything about rebates. Students can continue lessons at G com schools (if they took over a GEOS near them), but getting any money from a stone doesn't sound like a good proposition.

I also wonder how many GEOS schools will betaken over, as G com said they would take over 500 NOVA schools originally, and ended up taking over less than 200.

Bread · Joined: 24 May 2009 Posts: 318

cormac · Joined: 04 Nov 2008 Posts: 768 Location: Xi'an (XTU)

Rakis · Joined: 20 Sep 2009 Posts: 32

Part of the "mismanagement" excuse seems to be attributed to a incongruous idea of rapidly expanding in spite of a lowered demand.

"The Ministry of Economy, Trade and Industry said enrollment at foreign-language schools has plunged from 826,858 students in February 2006 to 335,604 this year."

"According to Tokyo-based Yano Research Institute Ltd., sales in the industry fell from �826 billion in fiscal 2005 to �767 billion in fiscal 2008."

This is a massive drop off, much of this can be attributed to the economic malaise Japan is still attempting to recover. This is not to dismiss the psychological affects of Nova's collapse, but it should not be discounted that people are going to be more cautious about purchasing this product in the future.

As for future teachers, or current GEOS teachers, not all will be absorbed into the G. Comm purchase.

"G.communication Co., which took over some Nova branches, will take over 230 Geos schools and close 99."

I could not find solid numbers on the amount of teachers affected by this, but it appears about 2,000 employees are affected* (this includes staff, part-time and teachers, et. al). Not all teachers will lose jobs, but many will. G.comm had this statement in regard to teachers,

"We will hold a briefing for those working at schools that we will take over and rehire them, and will try to provide the maximum employment opportunity for those working at schools we will not take over, in cooperation with shareholders and other involved companies,"

In spite of this, these teachers are either going to look elsewhere or try a different industry. Other English teaching companies say they will focus on internal restructuring and avoid expansions. Some say there is profit to be made still in this industry but not a whole lot.

http://search.japantimes.co.jp/cgi-bin/nn20100423a2.html

http://search.japantimes.co.jp/member/member.html?mode=getarticle&file=nn20100421x1.html

ShioriEigoKyoushi · Joined: 21 Aug 2009 Posts: 364 Location: Japan

Rakis · Joined: 20 Sep 2009 Posts: 32

"Whatever the reason, the resulting shock was nationwide, particularly for those still involved with the company. GEOS listed that they were currently employing around [b]2,100 people[/b], and SankeiBiz wrote that the company had approximately [b]36,800 students. [/b]

http://www.examiner.com/x-16352-Japan-Headlines-Examiner~y2010m4d22-GEOS-language-schools-go-bankrupt-reasons-and-responses

ShioriEigoKyoushi · Joined: 21 Aug 2009 Posts: 364 Location: Japan

Rakis · Joined: 20 Sep 2009 Posts: 32

I retract my statement then, ~2100 employees affected.

Apsara · Joined: 20 Sep 2005 Posts: 2142 Location: Tokyo, Japan

2,100 staff almost certainly includes the Japanese admin staff and Japanese teachers, so 2,000 foreigners flooding the job market is not accurate. A lot of the 99 schools they plan to close are likely to have had only one foreign teacher, like Bread's school, so that reduces the numbers of foreigners out of work quite drastically from 2,000.