Japan Expands Specified Skilled Worker Program to Welcome More Foreign Workers

In a Cabinet decision made on March 29, the Japanese government announced the inclusion of four additional sectors under the “specified skilled worker” residency status, allowing up to 820,000 foreign workers to enter the program by the 2028 fiscal year.

As Japan faces a declining population, resistance to immigration has decreased, making it easier to implement policies that attract foreign workers. The four new sectors—automotive transportation, railways, forestry, and the timber industry—are part of the government’s efforts to address labor shortages in these critical fields. However, despite the progress, some challenges remain.

The specified skilled worker residency status was introduced to fill significant labor gaps in industries struggling to find enough workers. To date, 12 sectors, including nursing care, construction, agriculture, and food services, have already been approved to hire foreign workers under this program.

There are two categories of specified skilled workers: Type (i) allows individuals to work in Japan for up to five years, while Type (ii) permits indefinite residence and the ability to bring family members.

As of October 2023, approximately 2.05 million foreign workers were employed in Japan.

When the specified skilled worker program launched in 2019, it initially faced opposition, particularly from conservative members of the ruling Liberal Democratic Party (LDP). Concerns were raised that the program could lead to increased job competition and negatively impact Japan’s labor market. There was also a debate within the Diet over whether this was, in essence, an immigration policy.

Opposition parties criticized the government’s rapid rollout of the program, pointing to the lack of clear guidelines on the number of workers to be accepted and the absence of detailed plans to support foreign workers upon their arrival. Initially, only construction and shipbuilding industries were allowed under the Type (ii) status.