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Idle young adults threaten Japan’s workforce
(Reuters)

28 February 2005
TOKYO - Tatsuhiro Nakayama spends day and night playing Internet games and scoffs at the idea of work.

“I don’t feel like working and I don’t have any problems with it,” says the 26-year-old.

Nakayama was among a handful of young men and women gathered in Tokyo’s trendy Shibuya district this month for a walk devoted to being “NEET” -- not in employment, education or training.

He wonders only vaguely what he will do once his parents stop supporting him. For the government, however, the worries are more serious.

Officially numbering 520,000, the growing legion of younger people with no intention of working has threatened to drain the country’s workforce as the population ages.

Already, the government estimates there will only be two working-age citizens for every pensioner over 65 by 2025. More workingwomen and late retirees may cushion the fall in labour, but they are not expected to be enough.

Led by social workers dressed in red, festive robes and waving white banners and fans, the NEETs joined the 7 km walk and chatted about not knowing what to study or what to do next.

“NEETs know they have to face society and work some day, but they just don’t know where to start,” said Hidehiko Nakamoto, social worker and organiser of the walk.

“For now, though, we want to tell them to walk and relax, don’t think too hard. They don’t have to work as hard as their fathers did,” he said.

Serious shortage

NEETs are not the only threat facing the labour market.

The government also has to contend with “freeters” -- young Japanese who shun traditional, lifetime employment and float from one part-time job to another.

Such carefree lifestyles have prompted economists to forecast a sharp drop in Japan’s skilled workforce and a decline in the economy’s growth potential.

Add to this Japan low birth rate. The population grew only 0.05 percent in the year to Oct. 1, its slowest increase in 54 years, underscoring concerns that an ageing population may dent future growth in the world’s second-largest economy.

Fewer workers also mean falls in tax and welfare payments to support an ageing society already weighing on the government’s fiscal deficit.

“Given that baby-boomers will start retiring from 2007, there could be a serious shortage of labour in Japan if the number of young people out of work continues rising as it is now,” said Yoshimasa Maruyama, senior economist at Mizuho Research Institute.

“The government needs to come up with a plan fast,” he said.

Japan has earmarked to spend 37 billion yen ($349.9 million) in the year starting from April on programmes to help youngsters find jobs, including boot camps with job-training sessions and activities to snap NEETs out of their idleness. But motivating them to work may be a tough task.

“In many cases, it is not just about young people struggling to find the right job or not knowing what they want to do,” said Yasushi Nagano, job counsellor at a public employment centre for young people.

“Many are suffering from withdrawal from school and society and come here for mental counselling,” he said.

Nagano also noted that companies remained cautious about hiring full-time workers to concentrate on cutting costs, while smaller families were making it easier for parents to financially support their children.

A 2-¢hour walk, at least, did not seem to be the solution.

Nakayama, entering the final stretch of the walk, said he did not feel any more motivated to search for a job.

“Actually, I feel better about being a NEET now that I know there are more like me,” he said.

Photo courtesy: BBC


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