Japan’s Drive to Develop Global Human Resources: Why It Matters
Since 2010, Japan has made the development of “global human resources” a national priority. This initiative, driven by government policy and supported by industry and academia, aims to nurture workers who can thrive in international environments and help revitalize the Japanese economy. As Japan faces demographic challenges, economic competition, and rapid technological change, the push to foster globally competent talent has never been more urgent.
But what does “global human resources” mean in the Japanese context? How are policies being implemented, and what challenges remain? This article explores the evolution of Japan’s global human resources strategy, its impact on education and industry, and the broader implications for the country’s future.
What Are “Global Human Resources” in Japan?
The term “global human resources” (global jinzai) has become central to Japanese policy discussions on workforce development. According to the Ministry of Education, Culture, Sports, Science and Technology (MEXT), the goal is to foster individuals who possess:
- Strong communication skills, especially in English and other foreign languages
- Cross-cultural understanding and adaptability
- Problem-solving abilities and leadership in diverse teams
- Global perspectives and the ability to work internationally
This focus reflects Japan’s recognition that economic growth and competitiveness increasingly depend on the ability to operate across borders, collaborate with international partners, and innovate in a globalized world.
Policy Origins and Government Initiatives
The Japanese government’s push for global human resources began in earnest around 2010, when concerns about the “inward tendency” of young people and the country’s declining international competitiveness came to the fore. The Project for Promotion of Global Human Resource Development was launched to address these issues, with strong support for the internationalization of university education and the encouragement of overseas experiences for students.
Efforts include funding for universities to develop globally oriented curricula, scholarships for study abroad, and programs to improve English proficiency. The government also supports initiatives to attract foreign students and professionals to Japan, aiming to create a more diverse and internationally engaged workforce.
Why Is Global Talent So Important for Japan?
Japan’s demographic crisis is a key driver of the global human resources agenda. The country’s population is aging rapidly, and the birth rate remains low. As a result, the working-age population is shrinking, putting pressure on productivity and economic growth. At the same time, Japan faces fierce competition from other advanced economies and emerging markets, particularly in Asia.
To sustain economic vitality, Japan must:
- Increase workforce participation among women, older adults, and foreign workers
- Embrace digital transformation and innovation
- Expand international engagement and attract global talent
Developing global human resources is seen as essential to meeting these challenges. As one government official put it,
“To improve Japan’s global competitiveness and enhance ties between nations, we must foster human resources who can succeed in the global field.”
Corporate Perspectives: How Japanese Companies Are Adapting
Major Japanese companies have responded to the government’s call by reforming their own human resource policies. For example, Japan Airlines (JAL) has implemented a Global Human Resources Policy that emphasizes ability, leadership, and cross-cultural skills, regardless of nationality or location. JAL encourages both Japanese and overseas staff to participate in global training programs and international assignments, aiming to build a workforce that can lead multinational teams.
Similarly, Mitsui & Co. and Yamaha Motor have introduced systems to empower diverse employees and facilitate international personnel exchanges. Yamaha’s Assignment Policy (YAP), launched in 2020, enables employees to transfer across borders, gaining experience in different markets and sharing expertise globally. These programs reflect a broader shift toward valuing diversity, inclusion, and global mobility in Japanese corporate culture.
Education Reform: The Foundation of Global Human Resources
Education is at the heart of Japan’s global human resources strategy. Universities are under pressure to internationalize their curricula, offer more courses in English, and provide opportunities for students to study abroad. The government’s Project for Promotion of Global Human Resource Development provides funding and support for these efforts, with the goal of overcoming the “inward tendency” of Japanese youth.
Challenges in Higher Education
Despite these initiatives, progress has been slow. Japanese students are less likely than their peers in other countries to study abroad, and English proficiency remains a persistent weakness. According to a study of Japanese university educators, most approaches to global citizenship education (GCE) are oriented toward economic efficiency and English language skills, rather than fostering critical thinking or social justice. This reflects a neoliberal view of education, where the primary goal is to produce workers who can compete in the global market.
Some educators advocate for a broader, more critical approach to global education, emphasizing social justice and intercultural understanding. However, the dominant trend remains focused on employability and economic growth.
Internationalization at All Levels
Efforts to internationalize education are not limited to universities. There is growing recognition of the need to improve English and global skills from elementary through high school. Bilingual and international curricula are being introduced in some schools, and foreign university branch campuses, such as Temple University Japan, offer globally oriented education in English. However, access to such programs remains limited, and many domestic employers still require high Japanese proficiency, which can exclude otherwise qualified foreign applicants.
Barriers to Attracting and Retaining Global Talent
While Japan has made progress in attracting foreign professionals and students, significant obstacles remain. Traditional attitudes toward immigration, language barriers, high taxes, gaps in bilingual services, and housing discrimination all make it difficult for foreigners to live and work in Japan. Many employers require high levels of Japanese language proficiency, limiting opportunities for international talent.
To create a more inclusive environment, experts recommend:
- Increasing professional opportunities in English
- Developing comprehensive Japanese language programs for foreigners
- Improving access to housing, healthcare, and education for foreign residents
- Providing private sector support and coordinated government action
As one observer noted,
“Improvements in these sectors would enhance Japan’s appeal for international talent and help address demographic challenges.”
Regional and Industry Initiatives
Some regions and companies are taking proactive steps to foster global connections. Shiga Prefecture, for example, has built partnerships with Asian countries and India, hosting more than 1,000 foreign interns and trainees through local companies like Hiyoshi Ecological Services. These programs not only provide valuable training for foreign students but also create a global network of professionals with ties to Japan.
Such initiatives demonstrate the potential for subnational and industry-led efforts to complement national policy and expand Japan’s global human resources network.
Japan’s Global Human Resources Policy Abroad: Development Cooperation and International Partnerships
Japan’s commitment to human resource development extends beyond its borders. Through its Official Development Assistance (ODA) and partnerships with organizations like the World Bank and the African Development Bank, Japan has supported capacity building and skills development in developing countries for decades.
The Policy and Human Resource Development Grant (PHRDG)
One notable example is the Policy and Human Resource Development Grant (PHRDG), a trust fund created by Japan in 1994 and managed by the African Development Bank. Over the past 30 years, this initiative has supported more than 100 projects across Africa, focusing on higher education, debt management, climate-smart agriculture, and more. The Japan-Africa Dream Scholarship Program (JADS) offers scholarships to high-achieving African students, many of whom return home to drive innovation and development in their countries.
Similarly, the Japan Policy and Human Resources Development (PHRD) fund at the World Bank has contributed over $5.3 billion to support technical assistance, training, and knowledge sharing in more than 50 countries. These programs reflect Japan’s belief that investing in people is key to sustainable development and global prosperity.
Strategic Interests and the Indo-Pacific
Japan’s global human resources policy is also linked to its broader foreign policy goals, particularly in the Indo-Pacific region. The Free and Open Indo-Pacific (FOIP) strategy emphasizes quality infrastructure, rule of law, and capacity building as tools for regional stability and economic growth. By supporting human resource development in partner countries, Japan aims to strengthen its diplomatic ties and counterbalance the influence of other major powers.
Labor Market Reforms and the Changing Nature of Work
Japan’s traditional labor practices—such as lifetime employment, seniority-based wages, and enterprise unionism—are being challenged by globalization, demographic change, and the need for greater flexibility. The rise of non-regular employment, declining union membership, and the push for work-life balance have all contributed to a changing landscape.
Flexible Work and Work-Life Balance
In recent years, the Japanese government has encouraged employers to adopt four-day workweeks, flexible scheduling, and paid leave to combat overwork and improve mental health. While some companies have introduced these policies, uptake remains limited due to cultural norms and resistance to change. As Hiroshi Ono, a professor of HR at Hitotsubashi University, explains,
“It’s going to take time for the four-day work week to penetrate, as people are not used to being flexible, and traditional Japanese companies may take even longer to adopt such changes.”
Nonetheless, these reforms are seen as essential to attracting and retaining talent, especially as the workforce shrinks and competition for skilled workers intensifies.
Digital Transformation and Workforce Reskilling
The COVID-19 pandemic accelerated Japan’s efforts to modernize public administration and promote digital skills across all age groups. The launch of the Digital Agency in 2021 marked a major step toward integrating technology into government and industry. However, challenges remain, including rigid bureaucracy, limited interoperability, and the need to reskill workers for the digital economy.
Investing in digital literacy, fostering innovation, and moving away from paper-based processes are key priorities for Japan’s future workforce strategy.
Comparing Domestic and International Human Resource Management
Japan’s approach to human resource management (HRM) has traditionally been shaped by local norms, regulations, and cultural values. However, as companies expand globally, they must balance the need for consistency with the flexibility to adapt to diverse environments.
Research shows that while domestic HRM focuses on local practices, international HRM requires sensitivity to cultural differences, legal requirements, and market conditions. Challenges include managing cultural diversity, ensuring effective communication, and complying with translation mandates for employee communications. Opportunities arise from leveraging a diverse workforce and facilitating knowledge transfer across borders.
Experts recommend developing hybrid HRM approaches that prioritize cultural sensitivity, embrace diversity and inclusion, and continuously adapt to changing environments.
In Summary
- Japan’s global human resources policy aims to foster workers who can compete internationally and revitalize the economy.
- Government initiatives focus on education reform, internationalization, and attracting foreign talent, but challenges remain in language proficiency, cultural attitudes, and inclusivity.
- Major companies are adopting global HR policies, promoting diversity, and facilitating international personnel exchanges.
- Japan’s international development cooperation supports human resource development abroad, strengthening diplomatic ties and contributing to global prosperity.
- Labor market reforms and digital transformation are reshaping the Japanese workforce, but cultural and structural barriers persist.
- Balancing domestic traditions with global best practices is essential for Japan to remain competitive in a rapidly changing world.
