The government is aiming to amend the patent law so that patents for inventions by corporate researchers can be credited to their employers — not the researchers as under current law — on condition that in-house rules are set in place to reward the inventors.

The question is how effective the rules will be in ensuring fair remuneration for the inventors, so that the planned change does not become a disincentive for company researchers and engineers. The stated purpose of the revision, which is to enhance Japan's industrial competitiveness, could be defeated if the change dampens employees' motivation to create new technologies and products, or if it causes an engineering brain drain as talented researchers feel compelled to look abroad for more lucrative opportunities.

The draft proposal submitted by the Japan Patent Office at its panel of experts this month follows a call for change from the business sectors, which have cited the continuing risk of lawsuits that may be filed by their employees seeking hefty compensation for handing over their right to patents for their inventions. Following further discussions on details at the panel, the government hopes to submit a bill to change the law to the current Diet session.