Market Overview

The domestic market of human resources business for older people and women is valued at 74,300 million yen for FY2021, up 5.2% from the preceding fiscal year (based on the sales at businesses). In detail, human resources business for older people generated 40,400 million yen (up 2.8% on year-on-year basis) and human resources business for women achieved 33,900 million yen (up 8.3% on year-on-year basis). According to the “Labor Force Survey” by Statistics Bureau of Ministry of Internal Affairs and Communications, the working-age population in Japan has been declining for two years in a row from 2020. Due to the situation, the demand for hiring older people and women is on the rise, and therefore the market of human resources business for older people and women is on an upward trend.

In the market of human resources business for older people, demand is increasing for temporary staffing business and recruitment business, where the former is used mostly by those who retired, and the latter is used mainly by people in their 50s and early 60s. Moreover, since the outbreak of COVID-19 crisis, the market of re-employment (outplacement) support business for older people is also expanding with increasing number of users.

Meanwhile, human resources business for women is growing as well by incorporating the needs of companies and job seekers. Recruiting service for C-level/C-suite positions for women, recruiting business that specialize in matching women to jobs at corporations that have adopted short working hours system, and job information services for women in various age groups/occupation, are showing stable expansion.

 

Noteworthy Topics

Challenges in Human Resources Business for Older People and Women

With increasing number of active seniors eager to work and supportive regulatory environment for older workers, such as the Act on Stabilization of Employment of Elderly Persons, job opportunities for older people are expanding. These factors are expected to augment the market growth of human resources business for older people. On the other hand, there is a widespread belief that extending employment for older workers will limit employment opportunities for youth and middle-aged. Reducing the antipathy is a challenge for further growth of the human resources business for older people.

Stimulated by the change in social values and supportive legislation like Act on Promotion of Women's Participation and Advancement in the Workplace, companies are willing to hire more women workers and support women's full and effective participation at work, while women themselves increase willingness to work. Accordingly, human resources business for women anticipates expansion. However, companies are still having issues in “creation of workplace that fully harness participation of women”. Whole industry needs to work on improving working environment for women.


 

Future Outlook

Human resources business for older people and women is projected to attain 78,400 million yen for FY2022 (up 5.5% from the preceding fiscal year). Owing to an increase of corporate hiring activities, moves to promote the employment of older people and women through legal reforms and various policies, and the increased willingness of workers to work, human resource business for older adults and women is expected to continue expansion in FY2022.

As the working age population is dwindling due to the declining birthrate and the aging of population, recruitment of older people and women is crucial for Japan to maintain economic growth. With growing demand for human resources business to support the employment of older people and women will continue to grow from FY2022 onward, the market is forecasted to expand continuously over the long term.


 

Research Outline