TOKYO — Japanese businesses face acute competition for employees as the workforce shrinks and the population ages. Yet workers in their 40s and 50s are increasingly excluded from hiring, a paradox that exposes deep structural barriers in Japan's labor market.
The term "ice-age" generation describes workers who entered the labor force during Japan's economic stagnation in the 1990s and 2000s. They experienced limited career growth, job security and wage advancement throughout their careers. Now, as companies desperately recruit younger talent, these experienced professionals remain marginalized.
Companies prefer younger candidates, citing perceived adaptability and lower salary expectations, according to labor analysts. This preference overlooks the accumulated expertise and stability that older employees bring.
The exclusion of middle-aged workers deepens Japan's economic challenges. Their inability to find work reduces consumer spending, wastes accumulated expertise and shrinks the tax base. The government has introduced initiatives promoting lifelong employment and retraining for older workers, but the trend suggests these measures have not reversed hiring discrimination.
Addressing the disparity requires fundamental shifts in corporate hiring practices and expanded government support for worker retraining programs.
