Japanese Employees

In Japan, there is a close relationship between the worker and his company. Employees work hard and do hours of unpaid overtime to make their firms more efficient. If necessary, they give up weekends with the family to go on business trips. They are loyal to their organizations and they are totally involved with them. The system of lifetime employment creates a strong link between the enterprise and its workforce. It covers about 35% of the working population. Generally, when a person joins a firm after leaving high school or university, he expects to stay with that firm until he retires. He has a secure job for life. Therefore, he will not be laid off if the company no longer needs him because there is no work. Instead, it will retrain him for another position. The pay of a worker depends on his seniority, that is to say, on the years he has been with the firm. The longer he stays there, the higher his salary will be. When he is 30 or 40 years old, therefore, he cannot afford to change jobs. If he did move, he would also lose valuable fringe benefits. Promotion depends on seniority as well. Japanese managers are rarely very young, and chief executives are at least 60, and very often 70 years old. The Japanese have a special way of making decisions. They call it the consensus system. This is how it works: when a firm is thinking of taking a certain action, it encourages workers at all levels to discuss the proposal and give their opinions. The purpose is to reach a consensus, or general agreement. As soon as everyone agrees on the right course of action, the decision is taken. Because of this method, a group of workers, rather than one person, is responsible for company policies. One advantage of this is that decisions come from a mixture of experience from the top, the middle, and the bottom of an enterprise. Another advantage is that junior staff frequently suggest ideas for change. A disadvantage, perhaps, is that decision-making can be slow.