Japan Calls 100,000 Workers From Labor-Rich Indonesia
Japan is facing a significant challenge due to its aging population and is taking a major step to address its labor shortages.
In a strategic move, Japan plans to welcome an additional 100,000 workers from Indonesia over the next five years. This decision marks a fourfold increase in the number of Indonesian migrant workers in Japan.
You see, Japan’s population is getting older, with around 28% of its people over 65 years old. This situation has led to a shortage of workers in various sectors.
To tackle this, Japan started the Specified Skilled Workers (SSW) program in 2019, along with the Technical Intern Training Program (TITP).
These initiatives aim to attract foreign workers to fill the gaps in Japan’s labor market. A report suggests that Japan might need up to 6.7 million foreign workers by 2040 to keep its economy growing.
On the other hand, Indonesia has a much younger population, with 70% of its people between 17 and 64 years old. This young workforce is seen as a “demographic dividend” that the country wants to use effectively.
Indonesia currently faces an unemployment rate of 5.32%, which translates to about 7.86 million adults without jobs. By sending workers to Japan, Indonesia hopes to reduce this unemployment issue.
However, it’s not all smooth sailing. Indonesian workers in Japan have faced some challenges, including issues with employment agencies.
Some agencies have been reported for malpractice, like wage siphoning. As a result, Indonesia’s Ministry of Manpower has had to suspend the licenses of several agencies.
To make the process easier, Indonesia is implementing “app-based application systems” to help job seekers find suitable roles in Japan.
This is important because Indonesians often have to pay a significant amount for training before they can work in Japan. These training programs prepare them in language and work skills to meet Japanese standards.
This collaboration between Japan and Indonesia may bring a significant change in international labor dynamics. For Japan, this means getting the workforce it desperately needs, while for Indonesia, it’s an opportunity to reduce unemployment and fix the issue of a labor-rich population.