JAL Reveals Improper Labor Cost Claims for NEDO Project Subsidy

JAL Reveals Improper Labor Cost Claims for NEDO Project Subsidy

Japan Airlines (JAL) has revealed that it submitted inappropriate labor cost claims in a publicly funded project of the New Energy and Industrial Technology Development Organization (NEDO), a Japanese national research and development agency.

According to a report by the Asahi Shimbun, the company fraudulently received subsidies under the project titled “Project for the Realization of Social Implementation of Next-Generation Air Mobility” and plans to return more than 200 million yen to the Japanese government.

Based on an internal investigation, JAL found that when billing and applying to NEDO for labor costs, the calculation of employees’ working hours required for the claims differed from the actual situation. The company states that it will report the findings to NEDO today.

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