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Presentation
Changes and Continuity in Non-Regular Employment in Japan

TAKAHASHI Koji (JILPT) joined a poster session at the 20th East Asian Social Policy Network and the 30th Foundation for International Studies of Social Security Joint International Conference, held in Kyoto, Japan, on July 13-14, 2024. The following was presented as output from JILPT’s research project in a series of four posters.

*Both abstracts (reproduced from the conference program) and posters are published on the website with the permission of the presenters.

Main title: Changes and Continuity in Non-Regular Employment in Japan

Poster (1) Re-regulation, Labor Shortage, and Positive Signs for an Equal Labor Market?

Presenter: TAKAHASHI Koji (JILPT)

Abstract:
A series of four posters examines how Japan’s non-regular employment changed during the 2010s. The concept of Japan’s non-regular employment partly overlaps with "part-time," "fixed-term contract," and "temporary agency work," but is ultimately shaped by corporate human resource management policies. Scholars argue that the dichotomy between regular and non-regular employment has given rise to a new form of dual labor market at the beginning of the 21st century. They highlight three main points: 1) significant disparities in wage and employment protection between regular and non-regular workers; 2) limited upward mobility for non-regular workers and difficulty in transitioning from non-regular to regular positions; and 3) the association of non-regular employment with the male breadwinner model and gender inequality in society. Against this backdrop, the Japanese government implemented several laws and policies to bolster job security, wage levels, and other working conditions for non-regular workers. Additionally, a labor shortage or tight labor market emerged owing to the retirement of baby boomers and the decreasing number of young workers from the mid-2010s onward. This poster provides an overview of our joint research by reviewing the severity of the regular/non-regular dual labor market, explaining the details of the re-regulation of labor laws and policies, demonstrating the ongoing labor shortage, and presenting a few statistics that might be interpreted as positive signs. The subsequent three posters will address specific aspects of the aforementioned dual structure, scrutinize large-scale questionnaire data, and explore the changes and continuity of non-regular employment in Japan.

Re-regulation, Labor Shortage, and Positive Signs for an Equal Labor Market? (PDF:159KB)

Poster (2) Wage Disparities Between Regular and Non-regular Employment in Japan in the 2010s

Presenter: FUKUI Yasutaka (Nagoya University)

Abstract:
In this presentation, we focus on wage distribution to clarify whether the wage disparity between regular and non-regular employment in Japan decreased in the 2010s. Our analysis focused on the impact of minimum wage on wage distribution. We sampled workers aged 20–59 years from the "General Survey on Diversified Types of Employment" conducted by the Ministry of Health, Labor, and Welfare in 2010 and 2019, and applied unconditional quantile regression analysis (RIF regression analysis) to the data. The analysis shows that the wage penalty for non-regular employment decreased slightly between 2010 and 2019. The results also indicate that the wage penalty is not uniform, depending on the location of the wage distribution. For male workers, the wage disparity between regular and non-regular employment is large at the bottom of the wage distribution curve, whereas it is small at the top of the distribution. In contrast, the wage disparity for female workers is small for workers receiving lower wages, whereas it is large for workers with higher remuneration. This pattern remained stable from 2010 to 2019. The minimum wage has the effect of raising workers’ wages. This effect is greater at the bottom of the wage distribution for men and at the top of the distribution for women. Furthermore, the minimum wage was found to increase wages in non-regular employment more than in regular employment among low-wage workers.

Wage Disparities Between Regular and Non-regular Employment in Japan in the 2010s (PDF:331KB)

Poster (3) Current Situation of Transition from Non-regular to Regular Positions

Presenter: NISHINO Fumiko (Hitotsubashi University)

Abstract:
It has been theorized that the Japanese labor market is dualistic, characterized by strong protection for regular employees and minimal regulation for non-regular employees. There has been limited upward mobility for non-regular employees and difficulties in transitioning from non-regular to regular positions. However, since the policy changes in the 2010s, the number of non-regular employees becoming regular employees increased because the government encouraged this transition. It also recommends "diverse forms of regular employment" as an intermediate category, which is a regular employee who, unlike traditional regular employees, is subject to restrictions in terms of work area, job type, and working hours. This presentation sheds light on the actual situation of the transition to regular workers and "diverse forms of regular employment" and ascertains whether the previous disparity in the labor market has changed and became ladder shaped. The data used were from a questionnaire survey of companies and workers conducted by the Japan Institute for Labour Policy and Training (JILPT) in 2021. The analysis includes people who used to be non-regular workers and those in regular positions. What points do they feel dissatisfied with? The analysis found that men and young people had better chances of transitioning to full-time employment than women and older people, respectively, but there was still dissatisfaction with promotions. For women, even if indefinitely employed, it only changes the length of employment and wages remain low. Furthermore, the wages of non-regular employees have not improved, and many are dissatisfied.

Current Situation of Transition from Non-regular to Regular Positions (PDF:539KB)

Poster (4) Why Is the "Male Breadwinner Model" Still Predominant in Japan Today?

OKAMOTO Takeshi (Hitotsubashi University)

Abstract:
In Western countries, the sharing of responsibilities for work and childcare between men and women has progressed since the late 20th century. However, in Japan, as of 2010, the "male breadwinner model" remained dominant. In addition to the increasing labor demand due to the aging population in Japan, policies implemented since 2010 have targeted work-life balance, women’s participation, and workstyle reforms. Has this situation triggered a transformation in Japan’s male breadwinner model? This report analyzes individual survey data from the "General Survey on Diversified Types of Employment," conducted by the Ministry of Health, Labour, and Welfare. The survey included questions about the primary breadwinners. The comparison was made at three time periods: 2010, 2014, and 2019. The analysis of the data revealed the ongoing prevalence of the traditional situation, in which the percentage of men in regular employment as primary earners and women in non-regular employment as secondary earners remains high. Furthermore, through an analysis of the differences in working hours and wages based on combinations of employment status and the presence of spouses and children, this study examined the possibility that the existing patterns of working hours, wages, and employment status combinations may limit realistic earning options for those having both partner and child-rearing responsibilities. This report points out that there is a potential difficulty in achieving a balance between work and childcare in Japan, unless couples adopt a combination of regular primary earners and non-regular secondary earners.

Why Is the "Male Breadwinner Model" Still Predominant in Japan Today? (PDF:262KB)

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