<<

country statistical country statistical profile no. 1 profile no.1 japan august 2008 august 2008 japan

Statistical Profile

Compiled by Masa Higo

introduction to japan

Japan is an island nation comprised of over 3,000 islands in East Asia. It is bordered by the Pacific Ocean on the north and east, by the Philippine Sea and East China Sea to the south, and by the Sea of Japan on the west. Japan occupies an area of 377,835 square kilometers (145, 882 square miles), which makes it slightly smaller than the state of California.1 With its capital in Tokyo, the modern structure of Japan’s government is based on a parliamentary representative democratic monarchy.

Linguistically and ethnically, Japanese society is homogeneous with small populations of foreign workers mainly from East and Southeast Asia. As of 2007, Japan’s population was estimated at around 127.4 million, and is projected to age rapidly due mainly to Japan hav- ing the world’s lowest birth rate (1.34) and highest life expectancy rate in the world (85.52 years for women and 78.56 for men).2 In 2007, the oldest of the baby boom generation About this Statistical Profile - – the largest cohort group in Japan’s history – had reached age 60. About 21.4 percent of Organizations striving to be employ- the population was over age 65 that same year, making Japan the most aged country in the ers-of-choice in different countries world.3 around the world need access to cur- rent information about the econom- With its nominal GDP at around 4.6 trillion, Japan is the world’s second largest economy ic, social, political, and demographic after the United States. As a world leader in technology and machinery, Japan is a member characteristics of the countries where of G8, G4, OECD, the United Nations, and APEC; Japan is also the world’s fourth-ranked their employees live and work. exporter (chief exports: motor vehicles, semiconductors, and office machinery) and sixth largest importer (chief importers: fuels, chemicals, and textiles). Since the end of WWII, in The Country Profile Series focuses close alliance with business sectors, the government has directly influenced the economy on that can guide decision- through a variety of policies mainly through indirect control over the Bank of Japan.4 The making at the workplace: workforce impacts of the “bubble economy” burst during the 1990s seemed to be over by 2005; real highlights, economic highlights, and GDP in Japan grew at an average of roughly 1.5 percent yearly between 1991 and 1999, and population highlights. This Country the GDP growth for 2005 was 2.8 percent with primarily domestic consumption as the Profile is part of a set of resources dominant factor of growth.5 about Japan available on the website of the Global Perspectives Institute: www.bc.edu/agingandwork.

Sponsored by: In collaboration with:

[email protected] 1 workforce highlights

àà 50 percent of the total Japanese population is in the labor force.6

àà The labor force is projected to decrease from 66 million in 2007 to 48.6 million in 2050.6

àà The August 2007 unemployment rate was 3.8 percent.6

àà In 2007, the average hours worked by Japanese employees was 154.9 hours per month. This was a 0.8 percent decrease from the previous year.7

àà By 2013, employers maintaining a mandatory retirement will have set it at 65 or older. Between the years of 2002 and 2007, the acutal average retirement age for men is 69.5 and for women is 66.5.8

àà In 2007, about 19.7 percent of the total labor force was working part-time.9

àà About 14.7 percent of the total civilian employed labor force reported being self- employed in 2005.9

àà As noted in figure 1b, 50 percent of the Japanese population is in the labor force, compared to 58 percent in China and 32 percent in Laos (two of the selected Asian countries included in figure 1a).

àà Fgure 2 compares the rate of employment as a percent of the total population in Japan with other countries with high gross national incomes. The employment rates of the countries included in figure 1b range from 42 percent in Italy to 53 percent in Germany.

àà The employment rates among persons aged 15-64 years are presented in figure 3. Japan has the highest rate of employment for this age group compared to other OECD countries.

àà The information presented in figure 4 compares the employment rates for each age group with China and South Korea. In 2007, the employment rates for people age 55-59 was lowest in China (60.2 percent) and highest in Japan (76.9 percent).

2 http://www.bc.edu/agingandwork country statistical figure 1a. Employed as a percent of total population, selected Asian countries, 2005-2007* profile no. 1 japan China 58 august 2008 Thailand 56 Myanmar 54 “(Gross national income is GDP less Vietnam 52 net taxes on production and imports, Japan 50 less compensation of employees and Cambodia 49 property income payable to the rest South Korea 48 of the world plus the correspond- North Korea 41 ing items receivable from the rest of Mongolia 37 the world (in other words, GDP less Laos primary incomes payable to non- 32 resident units plus primary incomes receivable from non-resident units).” 0.0% 10.o% 20.o% 30.o% 40.o% 50.o% 60.o% 10 OECD Factbook *Most recent available year Source: General Statistics Office of Vietnam,11 National Bureau of Statistics of China,12 United States Bureau of Labor Statistics,19 Mongolian National Statistics Office,15 and Ministry of Internal Affairs and Communi- cations, Japan.13

figure 1b. Employed as a percent of total population, selected high GNI countries, 2005-2007*

Germany 53 51 Japan 50 Austalia 50 United States 49 United Kingdom 48 France 44 Netherlands 43 Italy 42

0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0%

*Most recent available year Source: Australian Bureau of Statistics,16 Statistics Canada,17 United Kingdom Office of National Statistics,18 United States Bureau of Labor Statistics,19 Central Intelligence Agency, United States of America,23 and Ministry of Internal Affairs and Communications, Japan.13

[email protected] 3 figure 2. Employment Rates, Ages 15-64 by Gender: Japan and comparable OECD nations, 2005 77 77 78 79 79 80 80.0% 70 71 70.0% 68 68 65 66 65 67 57 60 58 60.0% 50.0% 45 40.0% 30.0% 20.0% 10.0% 0.0%

Italy rance anada Japan F C Germany Australia NetherlandsUnited States Men Women United Kingdom

Source: Organization for Economic-Corporation and Development.10 figure 3. Employment Rates in Japan, within age group, 2007 100.0% 84.8 84.6 80.9 80.2 83.9 82.1 76.9 80.0% 68.8

60.0% 53.5

40.0% 18.7 20.0%

0.0% 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65+

Source: Ministry of Health, Labor, and Welfare, Japan.7 figure 4. Employment Rates in Japan compared to selected Asian countries, within age group, 2007 100.0%

80.0%

60.0%

40.0%

20.0%

0.0% 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65+ China Japan South Korea

Source: International Labor Organization.20

4 http://www.bc.edu/agingandwork country statistical figure 5a. Current and Projected Employment Rates in Japan, within age group, profile no. 1 2007 and 2020 japan 100.0% august 2008 85 86 85 85 85 81 84 84 82 82 80.0% 80 80 77 78 69 68 Figure 5a compares the 2007 60.0% 54 employments rates for the differ- 47 ent age groups in Japan with the 40.0% projected rates for 2020. As noted, 19 14 the employment rates among people 20.0% aged 55 and older are anticipated to 0.0% 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65+ decrease over the next 13 years. 2007 2020

Source: Ministry of Health, Labor and Welfare, Japan.4

figure 5b. Current and Projected Percentage of Population in Japanese Labor Force, 2007 and 2020

2020 Female 1 19 20

2020 Male 1 26 28

2007 Female 1 22 22

2007 Male 1 32 29 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% Under 20 20 - 44 45 and up

Source: Ministry of Health, Labor and Welfare, Japan.4

[email protected] 5 economic highlights

àà The 2006 estimate of the gross national product per capita in Japan was the equivalent of $33,100. This compares to $43,500 in the United States.10

àà According to McKinsey, “By 2004… retired households will outnumber householder in their prime savings years, so savings rates will fall dramatically. Equally important but less noticed is the fact that younger Japanese people are saving much less than their elders did.” 23

àà The gross domestic product of Japan shrunk by 1.8 percent in 1998 and 0.2 percent in 1999. Gross domestic product growth, with did not exceed 2 percent from 1992 to 2003, was 2.3 percent in 2005.4

àà The Japanese national debt has increased steeply, from 68.6 percent of their gross domestic product in 1990 to 173.1 percent of their gross domestic product in 2005.10 figure 6. GDP Growth. Japan and the United States, 1990-2005

6 5 4 3 2 1 0 -1 -2 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Japan United States

Source: Organization for Economic-Corporation and Development.10 figure 7. National debt as a percentage of GDP, selected high GNI countries, 1990-2005

200.0%

150.0%

100.0%

50.0%

0.0% 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Australia Canada France Germany Japan Netherlands United Kingdom United States

Source: Organization for Economic-Corporation and Development.10

6 http://www.bc.edu/agingandwork country statistical demographic highlights profile no. 1 japan àà In 2007, the Japanese population was 127,433,494 compared to 301,139,947 for the august 2008 United States and 49,044,790 for South Korea.13

àà The median age of the Japanese population in 2007 was 43.5 years, or 41.7 years for men and 45.3 years for women.13

àà The life expectancy at birth for the Japanese population was 82.02 years in 2007, 78.67 years for men and 85.56 years for women.13

àà 99.0 percent of the population was of Japanese descent, with the remaining being Korean, Chinese, Brazilian, and “other.” 13

àà The fertility rate in Japan was 1.23 children per woman as of 2007.13 Assuming that current demographic trends continue, Japan’s population is expected to reach a high of approximately 127 million in 2007 and decrease steadily to about 100 million by 2050.14

figure 8. Median Age, selected countries, 2007

37.9 Female 45.3 44.3

35.3 United States Male 41.7 Japan 41.8 Germany 36.6 Total 43.5 43 0.0% 10.0% 20.0% 30.o% 40.o% 50.o%

Source: Organization for Economic-Corporation and Development.10

figure 9. Life expectancy at birth, selected countries, 2007

80.97 Female 85.56 80.93

75.15 United States Male 78.67 Japan 73.81 Germany 78 Total 82.02 77.23 0.0% 20.0% 40.0% 60.0% 80.0% 100.0%

Source: World Health Organization.14

[email protected] 7 àà In Japan, 18.2 percent of the male population and 23.7 percent of the female population is 65 or older. In comparison: In France, 13.7 percent of the male population and 18.5 percent of the female population is 65 or older. In Germany, 16.7 percent of the male population and 22.8 percent of the female population is 65 or older. In the United States, 10.7 percent of the male population and 14.3 percent of the female population is 65 or older.10

àà In Japan, there is a bulge in the population for those age 55-59 years. In comparison, there is a population constriction in the United States for those aged.10 figure 10a. Population Distribution by age, Japan, 2007

Male 100+ Female 95-99 90-94 85-89 80-84 75-79 70-74 65-69 60-64 55-59 50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 10-14 5-9 0-4 10.0 8.0 6.0 4.0 2.0 0.0 0.0 2.0 4.0 6.0 8.0 10.0 % of Population

Source: United States Bureau21 figure 10b. Population Distribution by age, United States, 2007

Male 100+ Female 95-99 90-94 85-89 80-84 75-79 70-74 65-69 60-64 55-59 50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 10-14 5-9 0-4 8.0 7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 % of Population

Source: United States Census Bureau21

8 http://www.bc.edu/agingandwork country statistical figure 10c. Population Distribution by age, Germany, 2007 profile no. 1 japan Male 100+ Female 95-99 august 2008 90-94 85-89 80-84 75-79 70-74 65-69 60-64 55-59 50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 10-14 5-9 0-4 10.0 8.0 6.0 4.0 2.0 0.0 0.0 2.0 4.0 6.0 8.0 10.0 % of Population

Source: United States Census Bureau21

figure 10d. Population Distribution by age, France, 2007

Male 100+ Female 95-99 90-94 85-89 80-84 75-79 70-74 65-69 60-64 55-59 50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 10-14 5-9 0-4 8.0 7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 % of Population

Source: United States Census Bureau21

[email protected] 9 about the institute Global Research Team & Research Affiliates Established in 2007 by the Center on Aging & Work, the Global Perspectives Institute is an international collaboration of scholars and employers committed to the expansion of the Armenia: Shoghik Hovhannisyan quality of employment available to the 21st century multi-generational workforce in coun- Australia: Libby Brooke, Phil Taylor tries around the world. China: Ce Shen, Qingwen Xu France: Emilie Bargues, Étienne The Global Perspectives Institute focuses on innovative and promising practices that might Campens, Mélanie Burlet, Ariane Ollier- be adopted by employers and policy-makers. Malaterre, Julien Pelletier, Phillippe Trouvé

The Institute’s research, publications, and international forums contribute to: Israel: Michelle Mor Barak Italy: Louisa Diana Brunner, Simona Cuomo, Chiara Paolina àà a deeper understanding of the employment experiences and career aspirations of Japan: Masa Higo, Noriko Kameda, employees of different ages who work in countries around the world; Atsuhiro Yamada àà informed decision making by employers who want to be employers-of-choice in S. Korea: Min Jung, Jungui Lee, Othelia different countries; and Lee, Patricia Yu Pakistan: Farooq Pasha àà innovative thinking about private-public partnerships that promote sustainable, Russia/US: Natasha Sarkasian quality employment. Uruguay: Celina Pagani-Tousignant UK: Richard Croucher, Matt Flynn, Suzan Lewis, Emma Parry US: Janet Gornick, Ariane Hegewisch, Kathy Lynch, Tay McNamara, Marcie Pitt- Catsouphes, Chantel Sheaks, Martin Tracy

The Sloan Center on Aging & Work at Boston College was founded in 2005 with a multi-million dollar grant from the Alfred P. Sloan Foundation. The Center partners with workplace decision-makers in evi- dence-based research on employer and employee responses to the increasingly global multi-generational workforce. These collaborations focus on quality of employment with the aim to inform employers with research data to attract, engage and retain high quality industry talent. As of 2008, the Center has three research streams – the Workplace Flexibility Initiatives, the State Initiatives and the Global Initiatives. Their collective mission is to gather information and collaborate with leaders in the public, non-profit and busi- ness sectors in an effort to leverage today’s multi-generational workforce and globalization as competitive advantages in the 21st century economy.

10 http://www.bc.edu/agingandwork country statistical references profile no. 1 japan 1 Ministry of Land, Infrastructure and Transport, and Tourism, Japan (2007). Whitepaper on Land and Real august 2008 Property, 2007 Edition. Toyo: Office of Government Public Relations.

2 Ministry of Internal Affairs and Communications (2007a). Monthly Population Estimate Report, April, 2007. Tokyo: Office of Government Public Relations.

3 United Nations (2007). World Population Aging 2007. New York: United Nations, Department of Economic and Social Affairs.

4 Ministry of Internal Affairs and Communications (2007b). The World Statistics, 2007 Edition. Tokyo: Office of Government Public Relations

5 Ministry of Health, Labor and Welfare (2007). Analysis of Labor Economy, 2007 Edition. Tokyo: Office of Gov- ernment Public Relations.

6 Ministry of Health, Labor and Welfare, Japan (2008a). Whitepaper on Labor Economy, 2007 Edition. Tokyo: Government Public Relations.

7 Ministry of Health, Labour, and Welfare, Japan. (2007). Labour Statistics. Retrieved June 13, 2007 from http://www.mhlw.go.jp/english/database/db-l/index.html

8 Organization for Economic-Corporation and Development (2008). Ageing and Employment Policies - Average Effective Rate of Retirement in 1970-2007. Paris: Organization for Economic-Corpreration and Develop- ment.

9 Ministry of Internal Affairs and Communications, Japan (2008a). Labor Force Survey. Retrieved October 2, 2008, http://www.stat.go.jp/data/roudou/longtime/03roudou.htm

10 Organization for Economic-Corporation and Development (2007) OECD Factbook 2007 – Economic, Environ- mental, and Social Statistics. Retrieved June 12, 2007, from http://stats.oecd.org/

11 General Statistics Office of Vietnam. (n.d.). Retrieved October 14, 2007 from http://www.gso.gov.vn/

12 National Bureau of Statistics of China. (n.d.) China Statistical Yearbook—2006. Retrieved October 14, 2007 from http://www.stats.gov.cn/tjsj/ndsj/2006/indexeh.htm

13 Ministry of Internal Affairs and Communications, Japan (2008b). Japan Statistical Yearbook, 2008 Edition. Tokyo: Office of Government Public Relations

14 World Health Organization (2008). World Health Statistics 2007. Retrieved July 20, 2008. http://www.who. int/whosis/whostat/2007/en/index.html

15 Mongolian National Statistics Office. (n.d.) Retrieved October 14, 2007 from http://www.nso.mn/eng/index. php

16 Australian Bureau of Statistics. (n.d.) Retrieved October 14, 2007 from http://www.abs.gov.au/ausstats/

17 Statistics Canada. (n.d.) Retrieved October 14, 2007 from http://www.statcan.ca/

18 United Kingdom Office of National Statistics. Retrieved October 14, 2007 from http://www.statistics.gov.uk/

19 United States Bureau of Labor Statistics. Retrieved October 14, 2007 from http://www.bls.gov/

20 International Labor Organization. Retrieved October 14, 2007 from http://www.ilo.org/

21 United States Census Bureau. Retrieved October 14, 2007 from http://www.census.gov

22 Central Intelligence Agency, United States of America. (n.d.) The World Factbook 2007. Retrieved June 12, 2007, from www.cia.gov/library/publications/the-world-factbook/index.html

23 Farrell, D., & Greenberg, E. (2005). The economic impact of aging in Japan. The McKinsey Quarterly, May: 1-7.

[email protected] 11