The Current State of the IT Industry in Japan: Population Decline and IT Growth
Thursday, May 23, 2024
Japan continues to experience a declining population, leading to a significant shortage of labor.
[Edited: May 28, 2024]
In recent years, Japan has been experiencing a declining population. According to statistics from the Ministry of Internal Affairs and Communications, the population has been decreasing since around 2010, with a net decrease of approximately 2.5 million people over the past decade.
Conversely, the global population continues to increase. According to the "World Population Prospects 2022 Revision" released in July 2022, it is projected to reach 8.5 billion people by 2030, 500 million more than the current population.
The population decline in Japan is a serious issue. With a shrinking workforce due to the aging population, there is a risk that the economy may stagnate. In this context, foreign workers play a crucial role.
The Current State of the IT Industry in Japan and the Need for Foreign Talent
Japan is facing a shortage of workers, and the IT industry is no exception. Occupations requiring advanced skills like programmers and engineers are currently in high demand.
In modern society, IT technology is indispensable and used in various areas, from the smartphones we use in our daily lives to PCs, websites, social media, infrastructure, healthcare, and finance.
Moreover, AI-based systems like "ChatGPT" have become mainstream, indicating the increasing importance of this industry.
In response, programming education has become compulsory in Japanese elementary schools. However, for example, if a student is 12 years old and in the sixth grade, it would take approximately 10 years for them to become active contributors in the field.
Despite this situation, what is currently needed is immediate expertise. To address this problem promptly, relying on foreign talent is necessary.
The Job Market in Japan's IT Industry and Required Skills
In Japan, recruiting foreign talent in the IT industry is in full swing. If you possess certain programming language skills, there are plenty of job opportunities available.
For example, job postings may require experience in Python or AI development, with an annual salary ranging from 5 to 10 million yen. The primary responsibilities include developing in-house AI models, such as natural language processing, time series data analysis, AI speech analysis, and AI image analysis.
Other job openings include infrastructure engineers working with Linux OS, front-end engineers utilizing HTML/CSS/JavaScript, and system engineers using open-source languages. The content of job postings varies.
However, many positions in Japan require a certain level of Japanese language proficiency. It is advisable to start learning and practicing Japanese to increase the number of opportunities available. Japanese companies prefer to hire programmers with Japanese language skills to communicate with management, other team members, and sometimes also clients.
It is important to note that companies are now moving away from requiring JLPT certification. While studying for the JLPT is a good way to learn the basics of Japanese, it often doesn't lead to practical applications of the language. It is most important to focus on communication skills, whether it is engaging in conversations or being able to discuss work-related topics with colleagues and management. Fluency in Japanese in addition to programming skills will always give you the most job options and also put you in a position to negotiate the best salary.
Summary
The above information highlights the current state and future prospects of Japan's IT industry. Engineers and programmers with a decent command of the Japanese language are encouraged to explore job prospects in Japan.
IZANAU is a service that helps international professionals find employment in Japan. You can contact us via the email address below and we can advise and assist your job search in Japan.
In reality, various job offers for system engineers, infrastructure engineers, front-end engineers, back-end engineers, full-stack engineers, and more are available. If you are interested, please consider submitting your resume.
If you are looking for a job in Japan, email us at info@izanau.com.
