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Internal Labour Markets in Japan


  • Ariga,Kenn
  • Brunello,Giorgio
  • Ohkusa,Yasushi


Japanese labour market practices have attracted considerable attention in the West for two reasons. Firstly, innovative human resource management (HRM) is responsible for the development of competitive industrial sectors. Secondly, inner flexibility of the labour market has produced low unemployment and wage flexibility. This study, originally published in 2000, provides a thorough investigation of the distinctive features of Japanese internal labour markets (ILM) and occupational labour markets (OLM), closely analyses important changes in ILM and considers future developments. It combines a mixture both of descriptive and of theoretical and econometric work and builds on the authors' wel- known previous research in this area. Also contains a detailed case study and the econometric analysis of HRM policies used by a large Japanese firm. Although the focus is on Japanese ILM, international comparisons are made throughout, mainly with reference to Europe and the United States.

Suggested Citation

  • Ariga,Kenn & Brunello,Giorgio & Ohkusa,Yasushi, 2000. "Internal Labour Markets in Japan," Cambridge Books, Cambridge University Press, number 9780521642408, May.
  • Handle: RePEc:cup:cbooks:9780521642408

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    References listed on IDEAS

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    Cited by:

    1. Kawaguchi, Daiji & Ueno, Yuko, 2013. "Declining long-term employment in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 28(C), pages 19-36.
    2. Naoki Shintoyo, 2008. "Creation of jobs and firm-sponsored training in a matching model of unemployment," Journal of Economics, Springer, vol. 93(2), pages 145-176, March.
    3. Kazuaki Okamura, 2011. "The Signalling Role of Promotion in Japan," Discussion Papers 1112, Graduate School of Economics, Kobe University.
    4. Ishida, Junichiro, 2004. "Signaling and strategically delayed promotion," Labour Economics, Elsevier, vol. 11(6), pages 687-700, December.
    5. Simone Strambach & Cornelia Storz, 2008. "Pfadabhängigkeit und Pfadelastizität von Innovationssystemen: die deutsche und japanische Softwareindustrie," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 77(2), pages 142-161.
    6. Storz, Cornelia, 2008. "Dynamics in innovation systems: Evidence from Japan's game software industry," Research Policy, Elsevier, vol. 37(9), pages 1480-1491, October.
    7. Naoki Shintoyo, 2010. "Worker-financed versus Firm-sponsored Training: How are Skilled Workers Supplied to the Economy?," Economica, London School of Economics and Political Science, vol. 77(305), pages 110-127, January.
    8. Hiroshi Ono & Marcus E. Rebick, 2003. "Constraints on the Level and Efficient Use of Labor in Japan," NBER Working Papers 9484, National Bureau of Economic Research, Inc.
    9. Junichiro Ishida, 2012. "Dynamically Sabotage-Proof Tournaments," Journal of Labor Economics, University of Chicago Press, vol. 30(3), pages 627-655.

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