Editorial: Work reforms to rebalance gender wage gap

July 1 , 2023

Japan hosted the G7 Ministerial Meeting on Gender Equality and Women’s Empowerment in the resort city of Nikko, Tochigi prefecture, on June 24-25. One of the key topics officials of G7 and the EU and representatives of related organizations discussed was the need to redress the wage disparity between men and women.

That disparity plagues numerous countries, but none more so than Japan. While the underlying causes are largely universal, experts in our country cite a dearth of opportunities and inflexible work schedules, along with deep-seated prejudices over ability and retention rate. According to a OECD finding, Japanese women workers on average receive 22.1% lower pay than their male peers—the worst among all G7 nations.

Another leading factor exacerbating the plight of women: the paltry number of women in management and executive positions. While women in 2022 comprised some 45% of the total Japanese workforce—roughly on par on with other countries—a mere 12.9% were managers versus the more than 30% elsewhere. And that ratio becomes more lopsided the higher the position.

In order to right the gender imbalance in management, what is needed to uproot entrenched biases against women in the workplace. However, such reforms will not be viable until women are provided with opportunities to balance their careers with their familial responsibilities. A company that offers employees a greater degree of flexibility and diversity in the way they can work can expect to see tangible improvements in productivity. This includes keeping women on the payroll even after taking long-term maternity leave.

It means that the government must adopt initiatives that encourage more men to take paternity leave and other measures to alleviate the burden of childcare placed on women, while enticing companies to change the ways their people can work.