JAPAN – GOVERNMENT TO URGE FIRMS TO HIRE EMPLOYEES UNTIL AGE 70 AMID LABOUR SHORTAGE (JAPAN TODAY)
The government said Wednesday it plans to urge companies to hire employees until age 70 as part of measures to address a severe labour shortage amid, reports Japan Today. Prime Minister Shinzo Abe’s government also plans to call on companies to provide support for retired employees to find new jobs, launch their own companies or work freelance. Many companies in Japan set a retirement age of 60, but employees are legally allowed to work until 65 if they desire and employers are obliged to rehire them. The government plans to submit a bill to parliament next year to revise related laws, the prime minister said, but there will be no penalties at this stage if companies fail to comply. The government has already introduced a series of steps to make up for the labour crunch such as bringing in more foreign workers and promoting women's participation in the labour market.