Thursday, 9th October 2025

Japan Tackles Labour Shortage by Adopting Four-Day Work Week

Japan is attempting to address its concerning labour shortage by encouraging more people and companies to adopt a four-day work week

The Japanese government first expressed its support for a shorter work week in 2021, following backing from lawmakers. However, the concept has been slow to take hold; currently, about 8% of companies in Japan allow employees to take three or more days off per week, while 7% offer their workers the legally required one day off, according to the Ministry of Health, Labour and Welfare.

In an effort to attract more workers, especially within small and medium-sized enterprises, the government has launched a “work style reform” campaign promoting shorter working hours and other flexible arrangements, alongside limits on overtime and paid annual leave. The Ministry of Labour has recently started offering free consultations and grants as part of this initiative.

“By realising a society where workers can choose from various work styles based on their circumstances, we aim to create a virtuous cycle of growth and distribution, and enable every worker to have a better outlook on the future,” stated the Japanese government.

Despite these efforts, the department overseeing new support services for businesses reported that only three companies have so far sought advice on implementing changes, relevant regulations, and available subsidies, highlighting the challenges faced by the initiative.

Moreover, out of 63,000 employees at Panasonic Holdings Corp. who are eligible for four-day schedules, only 150 have opted to take advantage of them.

The government’s official support for better work-life balance represents a significant shift in Japan, a country whose well-known culture of workaholic stoicism has often been credited with its post-World War II recovery and stellar economic growth.

A recent government white paper on “karoshi,” the Japanese term for “death from overwork,” indicates that Japan sees at least 54 such deaths annually, including heart attacks.

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