A large part of India’s demographic dividend lies in countries like Taiwan and South Korea, where the working age is declining and the elderly population is increasing. But to capitalise on this, we need to invest in these countries. We need companies like Tomlich to not only build bridges between Japanese companies and Indian workers, but also provide crash courses to workers to perform better in these countries. On the other hand, they should also convince those countries that they have the right to work in these countries.
Demographic experts refer to the economic benefits a country gets from its young population. India has the largest youth population in the world, but far from taking advantage of it, we are worried about its unemployment. Many people dream of going to Western countries for good income and better jobs, but there are also large-scale opportunities in the East, which have not yet been fully explored.
Between 1990 and 2022, Japan’s working-age population has decreased by 15%. This trend will continue in the future. Japan’s ability to manage its economy with labor force is declining. But local leaders have now started openly saying that they need workers from other countries. A survey by Kyodo News in 2023 found that 86% of municipalities want more foreign workers.
By the way, the presence of highly-skilled Indians such as engineers and technical experts in Japan is not a new thing. On a recent visit to Fujikawa Guchiko, I met two Indian engineers who told me they were from Suzuki in their district. But apart from these high-end professionals who have 400 Indians working at the plant, Japan needs many other skilled workers – drivers, construction workers, etc. – and India can provide them in large numbers.
Japan has handled this problem of declining society with remarkable grace. It has also taken several measures to increase women’s participation in the Congo, which rose from 59% in 1991 to 75% by 2020. It has also billed retirement age and increased overtime. Japan’s male workforce is also one of the youngest in the world. 87% of Japanese people continue to voluntarily work within their communities even after they retire.
But Japan has done as much as it can to deal with the problem of a declining labor force. Consider this: The average age of a taxi driver in Japan is 59 years. In the construction industry, a quarter of the skilled workforce is made up of people over 50. There are few new sources of labor for this sector. The workforce has also decreased by 27% since 2000. Japan’s industries today are labor-saving:
Many people dream of moving to Western countries for better income and better jobs. But there are also many opportunities in the countries of the East – especially Japan and South Korea – that have not yet been fully explored.
They are investing heavily in equipment, but it is yielding only marginal benefits. There is such a shortage of workers that in 2022, about 40% of business groups hired people aged 70 or older and allowed their older workers to continue working.
Our society has been reluctant to foreign workers. But now change is happening. In 2019, the Japanese government announced two programs for foreign workers. Under the Type I program, workers with certain skills and experience were allowed to work permanently after working for five years. Under Type 2, those with higher skills could. But language is a major barrier. Japanese is one of the most difficult languages ​​in the world. Yet its basic knowledge and competent use of translation tools are important for our young population to progress in such countries.