Are you aware that under Japanese law you are only supposed to be contracted via your dispatch agency for only one year? And that after that one year your BOE is supposed to hire you and pay you directly? All ALTs who work for the same dispatch company for over a year are being screwed. Your dispatch "agency" is taking about 1/3 of your money, and probably kicking back a little bit to the members of the BOE. Your annual contacts are worded in a way to them appear legal, but in substance, they are not.

This is ALT dispatch agency teacher-scamming scheme is another matter which is going to have to be resolved in the future.

Is there any problems on their teaching ways or the school rules, why the students reducing all the time?

I know all about inaku. I've investigated rocking the boat, I am a member of a union, and have discussed a plan of action quite thoroughly with the union and my coworkers. I am aware of the legalities, my rights, and what the BOE should be doing.

I make more than some of the JTEs. At the moment, given my good relationship with the BOE and the person through which the inaku is set up, and given the facts that my Japanese is still not where I want it to be to change over to a Japanese teaching license, and am quite comfortable financially... There just isn't a reason yet for me to lead the charge.

Trust me, I am quite informed as to the dubious system in place. Due to the tiny size of the company, I am not inclined to consider it a problem personally yet. If I stay in Japan much long, and I intend to, I will expect direct hire.

So this just another event that stems from the bad global economy.

Exactly. Countless businesses across Japan have closed down over the last 2 years, and many others have been downsized. Many factories have reduced their work weeks to 4 days, while salarymen at other companies have had their pay cut.

On the bright side, Japanese exports are up for the 4th straight month, but it'll take at least another year before the dust settles here and companies begin hiring/expanding again.

Interestingly enough, many well-known English language schools in China are also closing: Problems at Kaien language school

It does seem the system is being cleaned out; maybe for the better, maybe not.

A few weeks ago I sat through a recruiting presentation by one of the major companies still sending ESL teachers to the Pacific Rim from the U.S. since I am considering amping up my teaching cert. to do some ESL teaching in the U.S.

To say that I was stunned by the poor quality of presentation skills of one of their "exemplary .... experienced" teachers, is an understatement. If this was an example of who is teaching for them I would be embarrased to be associated with company. Had this person been one of my Speech 101 (Basic Public Speaking) students, they would be struggling for a passing grade.

I hate for economic to be the cause of restructuring an industry such as this, but when nothing else seems to be addressing the problems sufficiently this is frequently the result.

Actually it was obvious from about the middle of last year that Geos didn't have long to go- all the symptoms were there, and if you look at other Japan/ESL related sites you'll find that lots of people predicted it. Anybody who was surprised must have had their head in the sand for a long time.

I think people blaming the teaching quality for the collapse have it wrong though- just like Nova, it was largely poor management and a very flawed business model exacerbated by the economic downturn that caused Geos to go down, not the skills (or lack thereof) of the teachers. Just like with Nova though, you can be sure that the management will try to put as much of the blame for the failure as they possibly can with the teachers.