Urged by looming demographic challenges – namely an aging population
coupled with a declining birthrate – the Japanese Government recently
responded with a foreign labor policy revision. While this promising shift
toward a more relaxed immigration policy deserves praise, successful next steps
necessitate domestic and international policy coordination.
The domestic economic benefits of allowing unskilled
laborers to enter the Japanese market, especially for jobs unwanted
by the Japanese, will likely appear most clearly at the micro level,
as struggling companies find relief from labor constraints. Embodied
by Nippon Keidanren, the corporate voice behind the policy change
comes from Japanese companies employing foreign labor through programs
such as special “internships,” as well as firms that
would hire foreign workers if the law permitted them to do so more
easily.
Concurrently, angst over the implications of this
new policy also abounds, ranging from culture clash concerns to
Japanese job insecurity due to an influx of workers willing to
accept lower wages. Some critics have voiced apprehension over
possible crime increases incited by foreign workers, especially
if they lose or leave their jobs once in Japan. Others worry that
solutions to the foreign labor problem could interfere with efforts
to resolve low birth rate and work-life balance issues. Namely,
foreign workers could replace women who want to work fewer hours,
thus further displacing working mothers and discouraging women
from having children.
The United States can identify with Japan`s immigration
policy struggle, as we continue to face similar challenges in integrating
Hispanic and other communities. Our experience has taught us at
least two lessons: the benefits of foreign labor can outweigh the
difficulties, and effective policies can facilitate this result.
Japan`s domestic concerns do not exist in a vacuum.
The reality is that immigration policy will increasingly affect
Japan’s foreign policy as talk of regional agreements progresses.
The United States encountered this lesson during NAFTA negotiations,
and we are still learning.
Asian perceptions of Japan’s closed borders
must change if Japan truly expects to play a leading role in a
substantive East Asian Community at best, and negotiate workable
FTAs with Asia`s developing nations at the least.
Though discussions currently center on the broader
aspects of such a community, the closer economic ties touted as
a principal goal of any Asian regional cooperation agreement will
inevitably involve measures on cross-border labor flows. In the
nearer term, as Japan negotiates FTAs with other Asian nations,
it faces pressure for more lenient policies on foreign workers,
particularly unskilled labor and healthcare workers from nations
such as Thailand and the Philippines.
Despite Japan`s aging society, Japanese employment
in geriatric care is waning. Given this dearth of Japanese workers
in this growing field, Thai and Filipino workers could serve as
short- or long-term substitutes. Japan has an opportunity to accommodate
its changing labor market while demonstrating willingness to cooperate
with Asia`s developing countries. This opportunity could be lost
to the view that domestic labor problems require domestic solutions,
that the answer lies solely in incentives to encourage greater
Japanese participation in these professions.
The Japanese Government`s efforts to balance foreign
labor policy with measures to improve Japan`s work environment
do not have to result in a zero sum game. Well-designed policies
can benefit employers and employees alike, preventing discriminatory
behavior while improving bottom lines and efficiency. If Japan
sincerely wishes to smoothly integrate foreign workers into the
Japanese community, such policies should include measures on education,
healthcare and other benefits afforded to Japanese nationals. Refusal
to grant these benefits could contribute to crime and cultural
conflict -- the very problems Japan aims to avoid.
These domestic concerns have international implications.
The home countries sending their citizens to work in Japan ideally
have as great an interest in their resolution, founded in ensuring
the smooth export of labor. Foreign labor challenges may differ
by country, and input from these foreign governments could facilitate
Japan`s efforts to resolve them.
Japan does not need to face the challenges associated
with foreign labor policy changes unilaterally. Working with nations
that hope to export laborers to Japan could provide an opportunity
for healthy debate and concrete measures that benefit all parties.
(Currently assigned to the Government of Japan as a Mike
Mansfield Fellow, Jennifer Sklarew is an International Trade
Specialist in the U.S. Department of Commerce`s Office of Japan.)
The Maureen and Mike Mansfield Foundation
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Telephone: (202) 347-1994
Fax: (202) 347-3941 matwater@mansfieldfdn.org