Japan pushes four-day workweek amid labour shortage, faces cultural hurdles

Despite the Japanese govt's support for a shorter workweek since 2021, the concept has been slow to catch on, with few companies offering this flexibility

In a country where at least 50 people reportedly die due to overwork annually -- a phenomenon which they describe as ‘karoshi’, meaning “death from overwork” -- a wind of change is slowly blowing through. Japan’s government is now pushing harder for a shorter workweek, that of four days. It is also aimed at addressing a critical labour shortage.

Japan's efforts to promote work-life balance

The Japanese government first signalled its support for a shorter workweek in 2021, following endorsements from lawmakers. Despite this, the concept has been slow to gain traction. According to the Ministry of Health, Labor and Welfare, only about 8 per cent of companies in Japan currently allow employees to take three or more days off each week, while 7 per cent only offer the legally mandated single day off.

 

To further promote this initiative, especially among small and medium-sized enterprises, the government has launched a "work style reform" campaign. This initiative encourages shorter hours, flexible work arrangements, and sets limits on overtime while ensuring paid annual leave. The Ministry of Health, Labor and Welfare is also offering free consulting, financial grants, and a growing collection of success stories to motivate more companies to adopt these practices.

"By creating a society where workers can choose from various work styles based on their circumstances, we aim to foster a virtuous cycle of growth and distribution, enabling each worker to have a better outlook for the future," reads a statement from the ministry’s ‘hatarakikata kaikaku’ campaign, which translates to "innovating how we work".

Challenges and cultural resistance to change

However, the response has been tepid. The department overseeing these support services for businesses reports that only three companies have sought advice on making changes, relevant regulations, and available subsidies. 

The reticence is further highlighted by Panasonic Holdings Corp., where out of 63,000 eligible employees across its group companies in Japan, only 150 have opted for the four-day workweek, according to Yohei Mori, who oversees the initiative at one of Panasonic’s subsidiaries.

The government’s endorsement of a better work-life balance marks a significant shift in a country where the culture of workaholism has often been credited with fuelling Japan's post-war recovery and economic boom. The societal pressure to conform and sacrifice for one’s company is intense, with many employees synchronising their vacations to avoid appearing neglectful or uncaring.

Long hours are still the norm, even though 85 per cent of employers report offering two days off each week, and there are legal restrictions on overtime, negotiated with labour unions. However, the practice of "service overtime"—unpaid and unreported extra hours—remains widespread.

A recent government white paper on ‘karoshi’ reported at least 54 such fatalities annually, typically due to heart attacks or strokes induced by overwork.

The deep-rooted work ethic in Japan is often linked to a strong sense of loyalty and camaraderie within companies, as reflected in popular Japanese television shows and manga, which frequently focus on the workplace.

"Work is not just a means to earn a living in Japan; it’s a significant part of one’s identity," said Tim Craig, author of "Cool Japan: Case Studies from Japan’s Cultural and Creative Industries". Craig, who previously taught at Doshisha Business School, points out that the bond between workers and their companies is a cultural norm.

Changing this mindset is seen as crucial for maintaining a viable workforce, especially given Japan’s declining birth rate. The working-age population is projected to shrink from 74 million to 45 million by 2065, a decline partly attributed to the nation’s job-focused culture.

Advocates of the three-day-off model argue that it could help retain workers who need flexibility, such as those raising children, caring for elderly relatives, or seeking additional income during retirement.

Akiko Yokohama, an employee at Spelldata, a small Tokyo-based tech firm, is among the few who have embraced the four-day workweek. She takes Wednesdays off, along with Saturdays and Sundays, allowing her time for personal appointments and errands. "It’s emotionally less stressful and helps me recover better," she told newas agency Associated Press.

Her husband, a real estate broker, also benefits from a midweek day off, enabling the couple to enjoy family outings with their child during the less crowded weekdays.

Several major companies, including Fast Retailing Co. (owner of Uniqlo), pharmaceutical firm Shionogi & Co., and electronics giants Ricoh Co. and Hitachi, have also begun offering four-day workweeks in recent years. Even the finance industry, known for its demanding schedules, is seeing change, with firms like SMBC Nikko Securities Inc. and Mizuho Financial Group introducing more flexible work options.

Shifting attitudes and emerging trends in Japanese work culture

Critics of the government’s push argue that employees on four-day schedules often work just as hard for reduced pay. Nonetheless, there are signs of a shift in attitudes. 

An annual Gallup survey found that Japan ranks among the lowest in the world for employee engagement, with only 6 per cent of workers feeling enthusiastic about their jobs, compared to the global average of 23 per cent.

Kanako Ogino, president of Tokyo-based NS Group, which operates karaoke venues and hotels, believes flexible hours are essential for attracting talent, especially in industries dominated by women. Her company offers 30 different scheduling patterns, including four-day workweeks and extended breaks between work periods.

Ogino emphasises the importance of accommodating individual needs in the workplace, a concept often at odds with Japan’s collectivist culture.  "The old view in Japan was that you were cool if you worked long hours and put in free overtime. But there is no dream in such a life," she added.

(With inputs from AP)