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Employment Policies in Two Ageing Societies: Japan and Finland Compared

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  • Räisänen, Heikki
  • Hori, Haruhiko

Abstract

This study compares employment policies between two rapidly ageing societies: Japan and Finland. This paper concentrates on analysing the elderly people who leave the labour market early and the young people entering the labour market. Based on analysis of the statistics and literature and interviews with experts, Japan is clearly ahead in ageing itself, but Finland is somewhat ahead in the preparation for ageing. In Japan the main labour reserves are women, the aged and young people, whereas in Finland the unemployed, those outside the labour market, the aged and men are the main reserves. Both countries have carried through pension reforms and created incentives for the aged to continue working. The sustainability of the Finnish pension reform seems good. In Japan the focus is on the employers in influencing the aged to continue employment, whereas in Finland the focus is on the employees. Both countries have good practices in integrating young people into the labour market, despite the problems faced. Employment of the elderly is remarkably high in Japan, and development has been positive in Finland, too. In Finland female employment is high compared with that of Japan.

Suggested Citation

  • Räisänen, Heikki & Hori, Haruhiko, 2008. "Employment Policies in Two Ageing Societies: Japan and Finland Compared," Discussion Papers 453, VATT Institute for Economic Research.
    • Handle: RePEc:fer:dpaper:453
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    File URL: https://www.doria.fi/handle/10024/148442
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    1. Korkeamäki, Ossi & Uusitalo, Roope, 2006. "Employment Effects of a Payroll-Tax Cut: Evidence from a Regional Tax Exemption Experiment," Discussion Papers 407, VATT Institute for Economic Research.
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    Cited by:

    1. Didem Koca, 2022. "Comparative Analysis of the Labor Market Structure and Active Labor Market Policies of G7 Countries and Turkey Between 2000-2020," Journal of Social Policy Conferences, Istanbul University, Faculty of Economics, vol. 0(83), pages 101-140, December.

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