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ECONOMY > Economic Policy

Gist of “Plan to Realize the Dynamic Engagement of All Citizens”

  • May 19, 2016
  • , Mainichi , p. 9
  • Translation

<Reform work styles>

Over the next three years, consideration will be given to revising the labor contract act, part-time employment act, and worker dispatch act in a package to realize an “equal pay for equal work” system. The wage gap between regular and non-regular workers will be narrowed to a level comparable to Europe.

 

The minimum wage will be raised by around 3% per year to realize an hourly wage of 1,000 yen on average across the nation.

 

The practice of working long hours, which makes it difficult to achieve balance between work and family, will be addressed. While workers who work for 49 hours or longer in a week account for 10% of the total workforce in Europe, the percentage stands at 20% in Japan. Overtime work will be reduced to a level comparable to Europe. Incentives will be given to businesses that extend the employment of workers aged 65 or older to increase workforce participation by seniors.

 

<Achieve the desirable birthrate of 1.8>

Along with the decision to expand the capacity of daycare centers to accept about 500,000 additional children by fiscal 2017, the monthly salary of daycare workers will be raised by about 2% (6,000 yen) and that of experienced staff will be raised by about 40,000 yen. The goal of accepting 300,000 additional primary school children at after-school care facilities will be achieved by the end of fiscal 2018, one year ahead of schedule.  

 

Scholarship programs will be enhanced to support students who want to seek higher education at universities and other institutions. The achievement criteria for children to qualify for interest-free student loans will be eased for those from lower-income households. The introduction of a scholarship program not requiring repayment will be considered from the viewpoints of ensuring fairness and securing funding sources.

 

<Put an end to people leaving workforce to provide nursing care>

To prevent workers from quitting their jobs to provide nursing care for their family members, a decision has been made to expand the capacity of nursing care facilities to accept at least 500,000 people.

 

To address the wage gap between nursing care and other jobs, a career enhancement mechanism will be set up from fiscal 2017 and the monthly salaries of nursing care workers will be raised by 10,000 yen on average. The student loan program will be enhanced to support students seeking to become nursing care workers. Efforts will be made to secure 250,000 nursing care workers by the early 2020s.

 

<Raise GDP to 600 trillion yen>

Technology such as big-data and artificial intelligence will be applied to various industries to bring about a “fourth industrial revolution.”

 

<Roadmap>

Roadmaps will be drawn up for a six-year period spanning from fiscal 2016 to 2021 on measures aimed at lifting GDP to 600 trillion yen, and a ten-year period spanning from fiscal 2016 to fiscal 2025 to achieve the desirable birthrate of 1.8 and put an  end to people leaving the workforce to provide nursing care.

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