Benefits of Working in Japan for Foreigners
Searching online about professional life in Japan often yields countless pieces highlighting the challenges of the local work culture. Yet, rest assured, it's not all pessimism and hardships, as there are many advantages to providing balance.
Critiques commonly focus on Japan's high cost of living and how the average salary for software engineers in Japan is significantly lower than in the U.S. Nonetheless, considering factors such as job security, earnings, and safety, along with numerous other advantages provided by Japan, and the future opportunities due to the ever-growing demand, Japan is indeed a worthwhile place to be employed. Here are some of my own best-loved aspects, and I am excited to know about others'!
Season Tickets, Commuting Allowances, and Public Transit
One of the perks that I truly miss about being employed in a sizable corporation—which I can no longer enjoy as an entrepreneur—is undoubtedly the season ticket or monthly pass, known locally as teiki. In most parts of the world, corporations don't subsidize their employees' transportation costs; in Japan, this is a customary benefit. Taking into account that my regular commute was in the ballpark of ¥20,000~ ¥30,000 each month (which let me travel without the burden of purchasing, maintaining, and fueling a car), this is unquestionably a significant bonus.
Moreover, the teiki is not just for those holding full-time positions but also extends to part-time workers.
The most attractive aspect of commuter passes is that they're applicable for all stations between your residence and your office (on the specific train routes you utilize for work). As your teiki is integrated into your Pasmo or Suica card, even your leisurely weekend outings or in-city errands that fall within your commuting path are cost-free! This can be an enormous relief, especially for budget-conscious young professionals, and I certainly maximized the benefits of my pass by indulging in cost-free escapades on my off days to explore the attractions along my commuting route. This pass helped me save between ¥6.000 to ¥10.000 each month on leisure train travel.
Health Insurance and Kenko Shindan
For those hailing from countries with state-funded healthcare, possessing a comprehensive health insurance plan might seem standard. However, for those from the United States and other regions where healthcare is largely privatized and exorbitantly costly, the peace of mind from employer-supported health insurance can be transformative. Naturally, the extent of your coverage depends on the specific plan your employer offers. But, the ability to receive medical care and medicines at an affordable cost (or sometimes at no cost at all) remains one of the primary reasons I'm grateful to be living in Japan.
Beyond just offering basic insurance, Japanese companies also have an obligation to ensure their employees undergo an annual health examination (kenko shindan). HR takes this mandate very seriously and will persistently remind you until you comply! Undergoing detailed medical checks and blood tests might not be the most pleasant experience, but these routine health screenings are an effective way to preemptively tackle potential significant health issues.
Accomodation
The common narrative asserts that renting apartments in Japan for foreigners is a tough task, but that's a tale from the past. Recent developments, primarily in urban centers, have smoothed this process considerably, making it much simpler for foreigners to locate suitable housing.
Often, Japan, specifically Tokyo, is painted as a costly living environment. However, from my perspective, this is quite relative. If you prefer to reside in ultra-central, expat-centric neighborhoods like Azabu and Hiroo and primarily purchase foreign goods to recreate a sense of home, then indeed, your expenses will skyrocket.
However, slightly stepping out of these zones, the prices become considerably more affordable. While I was single, my Tokyo-based friends and I were paying rent for basic rooms in pleasant (albeit not trendy) districts, ranging from ¥50,000 to ¥80,000 per month. Although not ridiculously inexpensive, I knew individuals in New York, San Francisco, Paris, and Singapore paying double that amount for shared accommodations. Later I resided in a charming but old 2LDK in Sasazuka for ¥150,000, a compact yet conveniently located 3DK in Minami Asagaya for ¥100,000, and then a spacious, modern house with a garden (though a bit distanced from the station) in Mitaka for just shy of ¥200,000.
Choosing slightly aged, more traditional Japanese residences or apartments and making minor compromises (like accepting a room with tatami flooring, living on a third floor without an elevator, or being over 10 minutes away from the station) can substantially shrink your rental expenditure.
Professional Advancements and Self-Starters
Considering Japan's aging demographic, the high job vacancy rate isn't unexpected, even amidst unforeseen events like the COVID-19 pandemic. This bodes well for those eager to ascend their professional rungs, as fresh prospects typically surface whenever you're ready to elevate. While not being a native may limit your choices in some domains, it can also offer an edge, provided you have a clear vision for your aspirations. Specifically, fluency in both English and Japanese (or any additional languages you might know) can place you ahead of domestic competitors and unlock opportunities not available to monolingual Japanese speakers.
As an entrepreneur, I've found Japan to be an ideal hub. Establishing a Joint Stock Company (kabushiki kaisha) is straightforward and swift, with tax deductions available for those filing taxes in this manner. Free support centers also cater to individuals seeking assistance in setting up their small to mid-sized ventures.
The abundance of Job Prospects
Japan's labor deficiency is significant, thus opening a broad range of career possibilities for skilled aspirants. Particularly for those proficient in Japanese, the Japanese job market offers a wealth of opportunities surpassing those of many other developed nations. Specifically, Japan is a great nation for software engineers, among numerous other fields.
Moreover, if we go back two decades or even one decade, it was very difficult for foreigners to find job opportunities in Japan. Specifically, for foreigners who did not speak Japanese, finding an opportunity to work in Japan was a herculean task. However, during the past few years, things started changing.
Changes are inevitable in any society or country in these fast-changing times. However, people have realized that more openness to attract foreign talent is a must, considering the aging and declining population. Fortunately, this realization was felt by the government, as well as the new-age private companies.
The rate of founding new companies has seen an exploration growth in recent times. Many such tech companies are very accommodating to foreigners without Japanese skills. With such demands and potential for foreign tech talent, platforms like EJable.com have come into the picture that connects Japanese tech companies to talent outside Japan.
I'd love to know, what are some of your favorite aspects of living and working in Japan.