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Kota Ikeda

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Kota Ikeda

Consultant / Certified Administrative Procedures Legal Specialist

Remote Work Dynamics in Japan: Insights for Foreign Enterprises

December 27, 2023

The aftermath of the global pandemic has prompted businesses worldwide to reconsider their work structures. In Japan, a nation steeped in traditional work culture, remote work is undergoing an intriguing transformation.

A survey by the Japan Times reveals a split among Japanese companies regarding the continuation of remote working post-pandemic. While many have scaled back telecommuting despite employee demand, over 60% of workers still maintain a five-day office routine.

Surprisingly, research suggests successful outcomes from remote work in Japan, particularly benefiting overburdened mothers. However, about 14% of capable remote workers choose not to leverage this option.

Notwithstanding these varied patterns, it’s evident that remote work has become a prevalent concept in Japan. This marks a substantial shift, considering that merely 4.8% of the workforce engaged in remote work for at least three days a week in 2019.

Advantages for New Businesses Embracing Remote Work

For foreign enterprises establishing a presence in Japan, remote work presents multiple advantages. It allows flexibility, enabling access to a broader talent pool beyond geographical limitations. Additionally, it reduces costs associated with office rentals and commuting.

Moreover, remote work can enhance employee contentment and efficiency. Offering telecommuting options helps strike a better work-life balance, potentially reducing stress—a pertinent issue in Japan, known for its long working hours.

However, certain industries, notably traditional ones, encounter challenges with remote work. Sectors requiring in-person interaction or tasks unsuitable for remote execution face difficulties.

A Sales Role as an Example

Consider the role of a salesperson. While digital marketing dominates sales in many countries, Japan emphasizes in-person relationship building. This approach demands consistent, face-to-face interaction, making it challenging for startups seeking immediate impact. Nevertheless, once these relationships solidify, they establish robust bonds that deter competitors—a testament to the enduring value of relationship investment.

The Role of Physical Offices

Despite the benefits of remote work, maintaining physical office spaces in Japan holds significance.

An office signifies stability and credibility in Japanese business culture. It offers a space for team collaboration, client meetings, and reflects a company’s brand and ethos.

Furthermore, some employees favor the structure and social aspect of an office. Hybrid work, blending remote and office setups, has begun gaining traction in Japan and might be a practical choice for many businesses.

Balancing Both Realms

Implementing a hybrid work model could hold the key for businesses aiming to balance preferences. This model allows remote work part-time while allocating the rest to office premises.

Successful execution demands investment in technology facilitating seamless communication and clear remote work guidelines. Ensuring equitable opportunities and promotions for remote workers is crucial.

In conclusion, while remote work’s future in Japan is evolving, foreign businesses can leverage its potential while respecting traditional work culture. Adaptability will be pivotal in navigating this evolving landscape.

At RSM Shiodome Partners, we’ve embraced a successful hybrid work system. Contact us directly or explore our insights on labor consulting to learn more:

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