More companies operating in Japan are forced to move out to cheap-labour countries for maintaining their profits given the increasing value of yen in world market. This paper aims to discuss foreign dispatch issues form labor law's perspective. According to statistics, two-thirds of Japanese companies have sent or have the intention to send their employees overseas. Companies that did not do this took other measures instead to reduce their cost such as scaling down the company size by way of laying off employees. In face of this phenomenon, only a couple of regulations touch upon this issue. They are in the Constitution, art. 29, sec.1&2; the Workers' compensation Insurance Act, art. 27, sec. 6. The legal issues derived from foreign dispatch include: 1) Do Labor laws that apply to domestic employees also apply to those dispatch workers? 2) How to solve labor disputes resulting form the moving out? 3) How to define the status of those dispatch workers? This paper tries to answer the above questions form the following legal orders: Workers' Compensation Insurance Act, The Penal Provision of individual Employment Labor Law, Administrative Guiding Measures, Employment Contract, Civil Code (Public Order and Good Moral Clause), Collective Bargaining Agreement Clause, and Unfair Labor Practices Prohibition.