Japan boosts foreign caregiver recruitment to combat aging crisis
TOKYO, JAPAN — Japan is intensifying its efforts to recruit nursing care staff from Southeast Asia to address a growing labor shortage in its aging society.
Starting next fiscal year, the Health, Labor, and Welfare Ministry will subsidize costs incurred by nursing care operators in recruiting foreign workers and establish a specialized training program in Indonesia.
The move comes as Japan’s population continues to age rapidly. By next year, one in five citizens is expected to be 75 or older, significantly increasing the demand for caregiving services. While Japan currently has about 2.15 million nursing care workers, the industry faces an estimated shortfall of 250,000 workers by fiscal 2026 and 570,000 by 2040.
Japan’s ¥1Mn subsidy plan for foreign caregiver recruitment
To attract overseas talent, the government plans to cover travel expenses for recruitment activities and organize briefings at language schools and dispatch agencies in countries such as Vietnam and Myanmar. Participating companies will receive up to ¥1 million (US$6,500) in subsidies from national and prefectural governments, with around 100 businesses expected to join the initiative next fiscal year.
“We want to encourage people to take the first step toward hiring foreign staff,” said a ministry official overseeing welfare recruitment policy.
Three-year Indonesian training program
In collaboration with the Japan International Cooperation Agency (JICA), Japan will also launch “Kaigo,” a three-year training program in Indonesia aimed at preparing local nursing school students and instructors in caregiving techniques.
Japanese experts specializing in elderly care will support the program, which seeks to train caregivers who can pass Japan’s qualification exams for certified care workers and continue working in the country.
Outsourcing as a complementary solution
While Japan focuses on bringing foreign caregivers into the country, outsourcing certain healthcare tasks could also alleviate some workforce pressures in the industry.
Services such as medical billing and coding, patient scheduling, and call center operations can be handled remotely through advancements in technology. These solutions could reduce dependency on foreign workers physically relocating to Japan while addressing administrative burdens within the healthcare system.
Addressing industry challenges: Better wages and conditions needed
Despite these initiatives, challenges persist. A recent survey by the Care Work Foundation revealed that 60% of care facilities reported staff shortages, yet only 10% employed foreign workers. Experts stress that improving wages and working conditions is crucial for making caregiving roles more attractive to both domestic and international candidates.
“Conditions must be improved, such as by increasing wages,” said Prof. Noriko Tsukada of Nihon University, emphasizing the need for long-term strategies alongside immediate recruitment efforts.
As global competition for caregiving talent intensifies, Japan’s measures represent a critical step toward sustaining its healthcare system amid demographic shifts while exploring innovative solutions like outsourcing to complement workforce strategies.
