- Japan will ease overtime regulation starting Tuesday in a move meant to help spur economic growth but criticised as a relapse into the country's ingrained workaholic culture.
- The move comes after the government led by Prime Minister Sanae Takaichi -- a self-proclaimed workaholic -- adopted a growth strategy in July calling for revisions to the current oversight of work hours.
- Under the new rule that took effect Tuesday, labour standards inspection offices will no longer pressure businesses over the 45-hour limit.
- A Japan Chamber of Commerce and Industry survey showed in May that this pressure was "restricting" activity of around 20 percent of Japan's small and mid-sized businesses, especially in short-staffed industries such as construction, transport and hospitality.
- The possible shift toward more work is on brand for Takaichi, who herself declared she "shall work, work, work, work and work" when elected as head of her conservative ruling party in October.
- Roughly 40 percent of businesses in Japan are operating under specific labour-management agreements that legally allow monthly overtime of up to 100 hours, according to the labour ministry.
- Critics, however, said the move reversed steps taken by Japan to modernise its corporate culture long centred around marathon work hours.
- Once a bastion for corporate warriors fiercely devoted to their jobs, the country has in recent years ratcheted up efforts toward a better work-life balance, especially after the 2015 suicide of an exhausted 24-year-old employee at advertising giant Dentsu.
- The National Confederation of Trade Unions in Tokyo, commonly known as Zenroren, said in a statement: "This is an unacceptable shift away from, and abolition of, the policy that urged companies to shorten work hours."
Japan is set to ease overtime regulations starting September 1, a decision aimed at stimulating economic growth but criticized for potentially reviving the nation’s notorious workaholic culture. Prime Minister Sanae Takaichi, who identifies as a workaholic, has been at the forefront of this policy shift.12
The government’s new strategy, adopted in July, allows businesses to operate without pressure regarding the 45-hour monthly overtime limit. This change comes despite the fact that 40% of Japanese businesses already have agreements permitting up to 100 hours of overtime monthly, as reported by the labour ministry.6
Critics, including the National Confederation of Trade Unions (Zenroren), have condemned the move, stating it represents an “unacceptable shift away” from efforts to reduce work hours. They argue that the policy undermines previous initiatives aimed at modernizing Japan's corporate culture, which has long been characterized by excessive work hours.9
A survey by the Japan Chamber of Commerce and Industry indicated that the previous pressure to limit overtime was “restricting” activities for about 20% of small and mid-sized businesses, particularly in sectors like construction and hospitality. Takaichi’s commitment to work is evident in her own statements, where she has expressed a relentless work ethic, claiming to sleep only “zero to three hours” as prime minister.4
Despite the backlash, the labour ministry insists it will monitor companies to ensure employee wellbeing is prioritized, although the new policy does not apply universally across all businesses in Japan.
“Roughly 40% of businesses operate under agreements allowing up to 100 hours of monthly overtime, with the 45-hour guidance now dropped. Zenroren calls the shift an 'unacceptable' abolition of policy urging shorter hours, while Takaichi has admitted sleeping just 'zero to three hours' as PM.”
