Gender Inequality and its Economic Impact: A Japanese Case Study

Michelle Obama once said, “The measure of any society is how it treats its women and girls.” As International Women’s Day nears this year, this article aims to decipher how gender inequality is hindering economic growth, with a focus on the Land of the Rising Sun.

Japan’s economy is creaking under the pressure of rising energy prices and defence costs, compounded by the impact of the pandemic. The sustainability of its labour market is further threatened by declining birth rates and an elderly population. According to a 2023 study by Recruit Works Institute, there will be a 3.41 million person shortage in the labour force by 2030 and a shortage of over 11 million by 2040.

Gender inequality is another significant pressure point. Studies indicate that a workforce and culture that are inclusive of all genders fosters creativity and economic expansion. However, Japan has one of the lowest levels of gender equality among G7 countries. It has slipped to its lowest ranking yet in the World Economic Health Forum’s latest Global Gender Report, particularly in terms of women in leadership. While Japan has tried countless measures, most of them have largely failed. This is because the poisonous roots of gender norms go deep in Japanese society. 

Gender norms in Japanese society are tightly connected to patriarchal hierarchies that paint men as breadwinners and women as wives and caregivers, ultimately subservient to the head of the family. Even children are taught these norms from an early age. 

These beliefs and values influence hiring practices and organisational behaviour within the Japanese workplace, which is still based on the male-based breadwinner/female-dependent model.

Most Japanese women are isolated from the leadership career path. This was evident when Japan was the only country to send a male delegate to a G7 delegation on gender equality and female empowerment. 

Work-life expectations are unrealistic, and in the workplace, women face discrimination and harassment, as well as restrictive expectations of gendered behaviour and appearance. 

While former Japanese governments instigated various schemes in order to raise the birth rates and improve gender equality, these initiatives have either failed to achieve their target or have become tokenistic. Even with the focus on female leadership quotas, increased childcare places and enhanced parental leave programmes, it has been reported to have aggravated the gender inequality issue and even driven some women into poverty.

In comparison, Singapore has been more successful in resolving the matter of national gender inequality. The government achieved this by gathering ideas and responses from women’s and youth groups, private organisations, academics, policy makers and the general public. This intel allowed the government to make a better analysis of the problem and formulate a superior policy report which will be implemented into both policy and education.

This approach would also be effective for Japan. It provides a platform to the people to voice their opinions and wishes in an open debate - which coincidentally aligns with the Japanese cultural decision making process that emphasises consensus.

In case Japan adopts this method of review, it would need to look at all stages of life and all aspects of society that influence acculturation of gender roles and the economic and human impact they have. It is already evidenced that gender inequality is a cause of mental health issues in Japan, chiefly for divorcees and single mothers.

This review would also provide a voice to the younger generation to offer their inputs and feedback. Research shows that Japanese youth are rejecting traditional gender roles and the institution of marriage, choosing to pursue careers outside the echelons of power within Japanese society.

Japan has the scope to revise its gender equality trajectory. Doing so would hopefully lead to the inclusion of other representations of gender and diversity that have so far been disapproved of by Japanese society. This change will require open-mindedness and tolerance and will take a generation. The conversation needs to start now.