Taxi Industry Employing Up to 80 Years Old in Japan

Koko
3 min readOct 5, 2023

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Have you ever taken a cab in Japan and been surprised to see how old the driver is?

In Japan, it seems the taxi industry is moving in the direction of allowing employment up to the age of 80. The shortage of cabs is a major problem, especially in rural areas.

They also call for a raising of the age limit from 75 to 80, in principle, in non-urban areas. The drivers would be required to pass health checks conducted at local taxi companies.

If you have recently visited Japan, you may have seen long lines for cabs in tourist areas. The cab shortage is a major problem in Japan, especially in rural areas. In addition to an aging population, this is due to a shrinking population.

You may be thinking, “Maybe we should introduce ride-sharing, like Uber.” On the other hand, it is known that many people are opposed to the introduction of ride-sharing services being considered by the government. Is it because they are afraid of drivers who do not have the “second-class license”(a specific license in Japan for professional drivers) required to drive on business?

It seems that the majority in this country does not want change. There is a strong sentiment to protect the “Japanese system” at all costs.

Why is that?

To explain this, it is necessary to mention the “Japanese system”.

The myth of “Japanese System”

In Japan, the prevalent belief starts from childhood: if one studies hard, attends a good school, and secures a job at a reputable company, they can ensure a stable livelihood for the rest of their lives.

Many Japanese companies have a practice of hiring new graduates en masse, regardless of their university specialization. These recruits are expected to be ‘generalists’ — versatile employees adept at varied roles, from sales to programming.

In Japan, there’s a practice known as “lifetime employment,” essentially meaning “job security for life.” Thus, removing someone from a job in a specific industry can lead to them losing their livelihood, making change difficult.

An educator once said, “We can’t get rid of textbooks in Japan because there are people working in textbook publishing companies.”

Hence, education remains textbook-centric.

Eliminating an industry would trouble those working in it.

Due to this mindset, even in Japan, IT professionals like programmers often say, “We will retrain and reassign our in-house staff”

There’s a resistance to casually eliminate jobs where people believe they have lifelong stability. There’s a desire to maintain employment stability — I think this is the root cause of the rigidity in the Japanese system.

The challenge, however, is that while this has its benefits, like contributing to Japan’s low unemployment rate and maintaining public safety, it inevitably results in low productivity. It’s a trade-off.

Examinations Further Reinforce the Concept of Lifetime Employment

On the other hand, we’ve recently observed a trend where the age for starting the examination system is being lowered.Therefore, I believe that more people will stick with one company, even though many know that “lifetime employment” is not practical.

Many young people are starting to prepare for exams at an even younger age than before. What is their main goal? To get into a top-notch university and find a stable job. As long as individuals aim for this “secure and stable class,” it is difficult to break this illusion.

Given this context, it becomes evident why it’s challenging to transition away from the traditional cab industry to more modern systems like Uber in Japan.

What is happening in this country, to a large extent, is this context.

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Koko

A Japanese writer living in Malaysia for 11 years. I used to be a professional editor of Magazine in Tokyo for more than 20 years. Published 7 books