Tuesday, May 02, 2006

The Future of Japan’s workforce: Too many old adults?

Written by: S.M.Mehdi Hassan
Japanese economy is now becoming more dependent on aged people. According to an article written by Martin Mühleisen and Hamid Faruqee, at present, people of Japan live long than most of the countries of the world and by 2025 there will be one elderly person in every two young person in Japanese workforce. The raising complexities in marriage have led to less childbirth. As a result, there are not too many young people entering into work. This will create huge pressure on the economy because the aged work force will have less productivity. There will be lower employment as well. The elderly people will also create huge pressure on the country’s social security system. At present, the country offers a generous social security system which is why the elderly people are not dependent on their sons or daughters but in future when the number of elderly people increases it will create serious problem for the government.
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