What are the issues with foreign workers? The current situation, benefits of accepting them, and solutions

In recent years, the presence of foreign workers in Japan has increased, and their importance is growing.

One of the characteristics of foreign workers as global talent is that they have the advantage of bringing new perspectives and specialized knowledge to companies in the labor market, which is facing a labor shortage due to the declining birthrate and aging population, as well as the relatively low wage levels in Japan.

However, on the other hand, there are also problems with wages, working conditions, communication, and the disadvantages of language and cultural differences. Issues facing foreign trainees in the technical intern training system and illegal employment issues These are important issues that society as a whole should consider.

This article takes a detailed look at the current situation and challenges facing foreign workers, as well as the measures that companies can take to resolve these issues.

In order to build a society where diversity is respected and where people can coexist, new initiatives are needed from companies. There is also an increasing need to deepen intercultural understanding in order to realize a multicultural society.

Current status of foreign worker issues

the current, There are over 2 million foreign workers in the country. We are doing it.
According to a survey by the Ministry of Health, Labor and Welfare, this number was reached as of the end of October 2023, and the current situation is that the number has increased by approximately 220,000 between 2022 and 2023.

Among them, it has been confirmed that the largest number of workers are from Vietnam. The background to this is likely the current situation in Japan where many industries are facing a labor shortage. The labor shortage is particularly noticeable in fields such as nursing care, construction, and agriculture.

For this reason, a new residence status called "specified skills" was created in 2019 with the aim of improving productivity and securing domestic human resources.

[Reference] JITCO "What is the 'Specified Skilled Worker' Residence Status?"

"Specified Skilled Worker" is a residence status that was established in 2019 to make up for the labor shortage in certain industries in Japan. Based on the Immigration Control and Refugee Recognition Act, the purpose is to promote the employment of highly skilled foreign workers and skilled foreign workers in specific occupations.

"Specified Skills No. 1" status allows workers to work in 14 industrial sectors (e.g. nursing care, construction, hospitality, agriculture, etc.), with a stay limit of up to five years and no family members allowed, while "Specified Skills No. 2" status is for highly skilled workers, has no stay restrictions, and allows family members to accompany them. Specified Skills status supports foreign workers in using their skills to work in Japan, and is active in sectors where there is a serious labor shortage.

[Source] Ministry of Health, Labor and Welfare "Summary of the notification status of "Foreign Employment Status" (as of the end of October 2023)"

What are the main issues surrounding foreign workers?

With the increase in the number of foreign workers,

• Low wages and working conditions
• Lack of communication
• Relationship with the local community
  

Here, we will take a closer look at the above issues.

Low wages and working conditions

There are many cases of foreign workers being forced to work in poor working conditions.

There have been reports of cases of minimum wage violations, non-payment of promised wages, and forced long working hours. Unpaid wages and harsh labor are also linked to human rights issues.

Such problems are caused by a lack of understanding on the part of companies about the Labor Standards Act regarding foreign workers, or by not employing them under the same conditions as Japanese workers, so clarifying the contents of employment contracts is important in order to avoid trouble.

It is true that there are companies that misunderstand the original purpose of the technical intern training program and try to exploit the labor force by paying low wages. The role of the supervising organizations is also important, and improvements to the training program are being called for.

The problem of lack of communication

There are many cases where communication between foreign workers and companies is lacking due to language barriers and cultural differences. It is essential to improve Japanese language education and intercultural communication skills.

In addition to the lack of Japanese language skills and understanding of Japanese culture among foreign workers, the lack of support from companies is also exacerbating the lack of communication.

Companies will be required to take concrete measures, such as preparing to accept foreign workers and creating manuals.

Community relations issues

There are regions where prejudice and discrimination against foreign workers are deeply rooted. There are also cases where trouble occurs between foreign workers and local residents, which is a major problem for companies.

By working with local governments and promoting community exchange, we can deepen mutual understanding. It is also important to understand differences in lifestyles.

The advantages and disadvantages of accepting foreign workers

Accepting foreign workers could be an effective solution to Japan's labor shortage problem, but it also creates new challenges.

From here, let's look at the advantages and disadvantages for companies when they hire foreign workers.

Benefits of accepting foreign workers

Hiring foreign workers not only helps companies to alleviate their labor shortages, but also leads to the acquisition of talented people with high levels of skills and expertise.

Utilizing foreign employees with technical skills and expertise has the potential to promote innovation within companies. Bringing together people of different nationalities, ages, genders, and experiences will enable companies to grasp diverse customer needs, create better products and services, respect diversity of values, and enrich their organizational culture.

This will improve the company's brand image, which will be an essential element for future business growth and will also lead to strengthening international competitiveness.

Disadvantages of accepting foreign workers

In order to create an environment where foreign workers can work comfortably, a wide range of measures will be necessary, including language support and assistance with daily life. Support for daily life aspects, such as housing assistance and access to medical care, will also be important.

It is also important to find ways to bridge the communication gap caused by language and cultural differences and to deepen mutual understanding, and introducing intercultural training and mentor systems is also effective.

In addition, hiring foreign workers is an issue due to the time and expense required for obtaining visas and Japanese language education, etc. There will be calls for simplifying application procedures and providing free Japanese language training.

Solutions and measures to the foreign worker problem

In order to solve the foreign worker issue and for foreign workers and companies to grow together, it is essential that companies take an active approach. From here on, we will introduce solutions and measures to the foreign worker issue.

Setting equal treatment to Japanese people

Foreign workers must be guaranteed the same working conditions, wages, and treatment as Japanese workers.
Ensuring fairness in working conditions is essential to creating an environment in which people can work with peace of mind.

It is important to enter into an employment contract that complies with the law, including minimum wage and overtime pay, as well as enrolling in social insurance and providing paid vacation.

It is also important to enroll in social security systems such as employment insurance, workers' compensation insurance, health insurance, and pensions.

Gain knowledge about labor management for foreign workers

When hiring foreign workers, it is important to acquire knowledge regarding residence status and labor management specific to foreign workers.

Make use of the information and advice provided by government agencies such as the Management Agency and the Foreign Employment Service Center.

Companies need to understand the laws and systems regarding foreign workers and establish appropriate labor management systems. It is also important to comply with regulations and establish auditing systems.

Prepare to accept foreign workers

It is important to build a detailed support system from before to after employment so that foreign workers can work with peace of mind. Consideration of their mental health is also essential.

It is necessary to build a support system that takes the perspective of foreign workers into consideration, such as Japanese language education, daily life support, and training to understand differences in culture and customs. It is also important to provide OJT and education and training programs to help them improve their skills.

Accepting foreign workers not only benefits companies by alleviating labor shortages, it also provides a good opportunity to embrace diversity and adopt a global perspective.

It is important for companies to correctly understand the current situation, reality, and issues surrounding foreign worker issues, and to create an environment where foreign workers can work with peace of mind, in order to lead to corporate growth. Increasing engagement and motivation can lead to increased productivity.

Besides hiring foreign workers, there are other ways to alleviate the labor shortage in factories. For more information, please see the following article.

Multifaceted approaches to the issue of foreign workers are key to opening up the future

As Japan's population continues to decline, the labor shortage will have a major impact on corporate management.

The issue of foreign workers involves differences in working conditions, human rights, and culture, and resolving it requires a change in corporate awareness, the establishment of laws, and understanding from society as a whole.

While labor shortages are a social issue, there are also measures that companies should take, such as introducing automation and AI technology and utilizing foreign workers.

The on-site reporting system "i-Reporter" is a highly effective tool for companies dealing with issues related to foreign workers.

By working with workers from diverse backgrounds, we can improve communication and streamline quality control, contributing to an improved working environment. Data visualization makes it possible to analyze worker performance and optimize production processes, leading to the resolution of internal issues.

Please make use of i-Reporter for your company's initiatives.