Japanese employers retain older workers amid labour shortage: reports

The top five industries where at least half of employees are 45 or older are:

Transportation (82%)
Financial or Insurance (75%)
Real Estate (71%)
Construction (70%)
Agriculture/Forestry/Fishing/Mining (70%)
Kosuke Honma, who led the survey, said the ageing trend is “notable” especially among small and midsize companies, where 65% of them said at least half of their employees are 45 or older.

“At local real estate agencies, for example, it’s rare to see young employees. The transportation industry also suffers from chronic labour shortages,” Honma told The Asahi Shimbun.

Reliance on older workforce

The reliance on Japan’s older workforce comes amid reports that the country’s labour shortage could reach 3.84 million workers by 2035.

Persol Research and Consulting Co. and Chuo University revealed that 59% of Japanese companies are extending retirement ages and re-hiring retired staff to mitigate the labour shortage.

Other measures that they’re taking include ramping up recruitment activities for new graduates (69%).