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Improving the performance of youth on the labour market is a crucial challenge in many OECD countries and first experiences on the labour market have a profound influence on later working life. This report on Japan, one of a series of country studies, surveys the main barriers to employment for young people in Japan, assesses of the adequacy and effectiveness of existing measures to improve the transition from school to work in the country, and presents set of policy recommendations.Click to Access:
- 17 Dec 2008
Tackling demand-side barriers to youth employment
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In general, youth employment tends to be highly sensitive to the aggregate economic situation. Macroeconomic policies which provide a suitable framework for expanding overall labour demand in a sustainable fashion are therefore crucial to enhance job prospects for young people. However, there are demand-side issues more directly related to the labour market. High levels of wages, minimum wages or non-wage labour costs are likely to create obstacles to youth employment. Overly strict employment protection legislation (EPL) can also serve as a disincentive for employers wanting to hire young workers. Some workplace practices might also function as an impediment to the smooth transition from school to work. Among the various issues on the demand side, this chapter focuses on employment practices, wages and non-wage labour costs, and employment regulations with a view to highlighting possible future reform agendas.