1.When Shoma Tanaka moved from Japan to Australia for a working holiday, he never imagined the trip would become a financial bonanza. The 33-year-old works in a metalworks factory in Sydney, and earns so much more money compared to what he would at home, he’s been able to save over $200,000 and even purchase a new car for his dad.
2.It’s a stark contrast to the cost-of-living crisis many in Japan are suffering. But there is no secret to Shoma’s success. It’s not a scam or a get-rich-quick scheme. He openly discusses his earnings, costs, and savings on his YouTube channel and other social media platforms. His mission is to help other young Japanese people who are struggling in a country plagued with low wages and economic hardships that has lasted decades. “I’m sending out this message in the hope that it will help people know that there are opportunities,” he says.
3.In Japan, local prefectures set the minimum wage. The capital Tokyo has the highest at 1,113 yen an hour — less than $12. The lowest is Okinawa, at 896 yen (just over $9). Shoma Tanaka worked various farm jobs after moving to Australia in 2019, before finding his current job, which pays about $45 an hour, and extra on weekends.
4.He said the cost-of-living in Australia was higher than in Japan, and getting worse, but his Australian wage — and a bit of frugality — has been enough to offset those extra costs. And a bonus: he’s also working fewer hours than he would in Japan.
5.”I think it’s about double of what I earned in Japan,” he says.”It’s definitely better to have specialised skills. Even if Japanese people don’t have skills, the minimum hourly wage is much higher than in Japan, so I think people can make more money than in Japan.”Data from the Department of Home Affairs shows holiday visas granted to Japanese nationals hit a record high of 14,398 in the 2022-23 financial year. The current financial year is set to surpass that.
6.For those in Japan, a weak yen has pushed up the cost of living, as many imported goods are now more expensive. Even locally produced goods feel the pinch, as industries like agriculture rely on imported goods, such as fertiliser. Weak consumption data has been noted as one of the key reasons for Japan entering a recession.
7.Mr Yamaguchi added that data showed wages had finally started to budge, and younger people could use the current crisis to continue pushing for higher wages. “To keep the younger workers, Japanese firms need to continue their wage hikes,” he said. Unlike Australia, Japan has been reluctant to boost migration to offset the aging population, and even if it tried to, it would have to compete against higher-paying economies, like Australia.”Japanese wage is not as attractive as the wages in the United States or Australia,” Mr Yamaguchi said. “I don’t think there’s a very strong incentive to work in Japan.”
How do cultural attitudes towards work and migration differ between Japan and countries like Australia, and how do these attitudes influence economic outcomes?
8.Amid the gloomy economic figures has been positive news that Japan’s stock market, the Nikkei, has reached all-time highs. Japan’s biggest firms are also posting record profits. Mr Yamaguchi said a low currency helps boost exports, and therefore company profits. But much of Japan’s local production is domestically focused, while the big brands like Toyota have their production capacity overseas.
9.”[Stronger sales] goes to the profit of the companies … to the stock prices,” Mr Yamaguchi said.”[It] does not go to Japanese consumers or Japanese workers.” Shoma Tanaka fears what the future holds for him when his time in Australia runs out. “I’m worried about my life,” he said. “From my point of view, Japan is declining, and I’m worried about it. But, I like Japan, so I hope that Japan will be prosperous in the future.”
Considering Shoma Tanaka’s concerns about returning to Japan, what measures could Japan implement to make the country more attractive for returning expatriates and young professionals?
