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The Particular Features Of The Employment System In Japan

Term Paper Title The Particular Features Of The Employment System In Japan
# of Words 473
# of Pages (250 words per page double spaced) 1.89

The Particular Features Of The Employment System In Japan


         One of the unique and well known features of the Japanese employment
system is permanent employment for workers. Japanese corporations responses to
recessionary periods provide an opportunity to sort out the myths from the
realities of the Japanese permanent employment system.
         During recessions Japanese companies forced to reduce their costs
achieve reductions in several ways. First, they reduce the number of women and
temporary workers they employ. During the recession that followed the 1973 oil
shocks female employment dropped by eleven percent; more then five times the
drop in male employment. It was easy to reduce female employment because women
even if they hold permanent positions are thought of as transitory workers who
will leave the workforce when they get married. Female and temporary workers are
a safety valve for Japanese companies that allow them to reduce costs in the
short-term without firing permanent male workers. The second way Japanese
companies reduce costs is by giving early retirement to senior workers at the
company. Many of these workers forced into early retirement then take up farming
as is the custom in Japan for retires. Getting rid of senior workers is one the
most effective tools companies have of reducing costs because these workers have
more seniority and thus make more money then the average worker. Japanese
companies also are able to cut costs during recessions by reducing or
eliminating bonuses paid to workers, cutting down on hiring of new workers,
eliminating the farming out of ...

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