Recruiting in a labor shortage crisis
Japan is on the brink of a labor shortage crisis, with the nation facing a shortfall of millions of workers.
According to research by Recruit Work Institute, by 2040 Japan’s labor force is forecasted to shrink by 12% leaving a shortage of 11 million workers.
One of the industries expected to face heavy impacts is the life sciences industry. Nursing care workers will face a shortage of 25.3% and healthcare professionals a shortage of 17.5%.
A snapshot of the Japanese labor market:
- 50.1% of businesses surveyed by Teikoko Databank said they felt a labor crunch
- 10.65% of the workforce is over 65
- 40% of companies have hired someone over the age of 70 in the past year
- 17% shortage in healthcare professionals by 2040
The Japanese government has taken a number of steps to address this issue. They are encouraging increased participation in the workforce from people over 65+ by raising the retirement age. There have also been initiatives to raise the participation rate of women in the workforce, with mixed results.
Prime Minister Fumio Kishida has committed approximately 1 trillion yen (equivalent to $7.6 billion) to the training of workers for higher-skilled positions over the upcoming five years.
Ultimately, Japan’s current competitive labor market is not going to get easier any time soon. Pharmaceutical companies looking to recruit in Japan have their work cut out for them.
How do you stand out in the crowded marketplace and attract top talent?
- Create a strong employer brand: Position your company as an employer of choice by communicating the value and benefit of working for your organization
- Always be in recruiting mode: More than ever before you will need to always be on the lookout for talent and building relationships with industry leaders so that when a position needs to be filled you’ll have already established trust.
- Be clear on career advancement opportunities: Make sure candidates know that their future is in safe hands. Changing jobs can feel risky, so address that risk and articulate what the next 5+ years would look like at your company.
While the labor shortage might seem like doom and gloom for recruiters, with the right strategies you can tap into leading healthcare professionals and fuel your organizational growth.
For personalized advice on attracting top talent, book a discovery session with Morunda. On average we help our clients get 4 qualified candidates in 4 weeks.