Expatriates in Japanese Firms: Experiences and Expectations of Workers from China and Vietnam

This book examines the experiences of foreign employees working in Japanese firms and identifies the trends and realities facing both expatriates and firms in the Japanese labor market. It reveals that self-initiated expatriates often leave due to difficulty adjusting to Japan's lifetime employment system, seniority-based pay, and unpaid overtime. Japanese firms are adjusting to improve retention, but there is an expectation gap. The book offers potential adjustments to reduce turnover and create a more harmonious workplace.

Format: Paperback / softback
Length: 124 pages
Publication date: 29 January 2024
Publisher: Taylor & Francis Ltd

Focusing on the experiences of foreign employees working in Japanese firms, this comprehensive book delves into the trends and realities that both expatriates and firms face in the dynamic Japanese labor market. Through a robust analysis of interview data collected from both expatriates and Japanese HR staff, the study uncovers compelling insights into the factors that drive expatriates to leave Japanese firms, including the challenges of adapting to Japan's lifetime employment system, the prevalence of seniority-based pay, and the prevalence of unpaid overtime. The book also reveals a significant expectation gap between Japanese firms and foreign employees, highlighting the need for further adjustments to improve retention and foster a more harmonious workplace for expatriates and local employees. Given Japan's ongoing labor shortages, this book serves as a timely and valuable resource for academics, students, and professionals in the fields of Japanese studies, human resource management, and organization studies.

Introduction:
The Japanese labor market has undergone significant changes in recent years, with an increasing number of foreign employees joining Japanese firms. However, the experiences of these expatriates are not without their challenges. This book aims to shed light on the trends and realities facing both expatriates and firms in the current landscape of the Japanese labor market.

Trends and Realities:
Self-Initiated Expatriates:
One of the key trends observed in the Japanese labor market is the increasing number of self-initiated expatriates. These individuals are motivated by career growth opportunities, cultural exchange, or personal aspirations. However, it is worth noting that self-initiated expatriates often do not remain in Japanese firms for long. The study reveals that the main factors that influence their decisions to leave include difficulty adjusting to Japan's lifetime employment system, seniority-based pay, and the prevalence of unpaid overtime.

Lifetime Employment System:
Japan's lifetime employment system is a cultural phenomenon that emphasizes long-term commitment and loyalty to the firm. However, this system can be challenging for foreign employees who may not be accustomed to the concept of lifelong employment. The study highlights that expatriates often struggle to advance their careers within Japanese firms due to the emphasis on seniority and experience. This can lead to feelings of frustration and dissatisfaction, ultimately leading to their decision to leave.

Seniority-Based Pay:
Another factor that contributes to the turnover rate of expatriates is seniority-based pay. In Japan, employees are typically paid based on their years of service and seniority within the firm. This system can create a significant pay gap between new hires and senior employees, which can be a source of frustration for expatriates who expect to be paid based on their skills and qualifications.

Unpaid Overtime:
Unpaid overtime is another issue that expatriates face in Japanese firms. While it is common in many industries, the prevalence of unpaid overtime in Japanese firms can be particularly burdensome for foreign employees who may not be accustomed to working long hours. The study reveals that expatriates often work excessive hours without receiving proper compensation, leading to burnout and decreased job satisfaction.

Potential Adjustments:
Despite these challenges, Japanese firms are taking steps. steps to improve the retention of foreign employees. One potential adjustment is to focus on developing a more inclusive and diverse workplace culture that values the contributions of all employees, regardless of their background or nationality. This can include initiatives such as diversity training, cross-cultural communication programs, and flexible work arrangements that accommodate the needs of foreign employees.

Another potential adjustment is to address the issue of seniority-based pay by implementing a more merit-based compensation system. This can include performance-based bonuses, skill-based promotions, and training programs that help employees develop their skills and advance their careers.

Furthermore, Japanese firms can also consider implementing policies that limit the prevalence of unpaid overtime. This can include setting a maximum number of overtime hours per week, providing proper compensation for overtime work, and ensuring that employees have adequate time off to rest and recharge.

Conclusion:
In conclusion, the experiences of foreign employees working in Japanese firms are complex and multifaceted. While Japanese firms are taking steps to improve the retention of foreign employees, there remains a clear expectation gap between the two sides. By focusing on developing a more inclusive and diverse workplace culture, implementing a more merit-based compensation system, and limiting the prevalence of unpaid overtime, Japanese firms can create a more harmonious workplace for expatriates and local employees. This is an urgent challenge for Japan as it faces labor shortages.

Weight: 249g
Dimension: 234 x 156 (mm)
ISBN-13: 9781032018645