Prolonging working life in Japan: Issues and practices for elderly employment in an aging society

As a result of the rapidly aging society, Japan’s public policies and related academic research have sought to address issues related to the employment of older workers. However, these efforts do not sufficiently consider how human resources management practices might facilitate effective policies. In response, this study investigates both the challenges and the solutions that employers have adopted to deal with an aging workforce. In particular, the authors argue that practices developed mainly by smaller enterprises might offer insights for larger companies that attempt to support the employment of elderly workers. An empirical analysis of the human resources management practices employed by 27 Japanese companies provides novel insights into how companies can ensure the prolonged employment of older workers while also motivating their work performance.