Top Ten Talent Trends in Japan for 2022

Following an eventful year that included the Olympics and Paralympics, two elections, and dealing with the fallout from the pandemic, Japan will focus on recovery and growth as the economy gradually reopens.

As a result, a significant increase in hiring is expected across most, if not all, industries. However, with new working models emerging and roles evolving to meet new demands, businesses and talent will need to stay alert in order to quickly adapt to the new normal.

1. Hyperfocus on Cyber and Information Security

The global increase in cyberattacks during the pandemic has compelled businesses across industries to take security seriously, with many taking steps to strengthen their Cybersecurity defences and Information Security policies in order to meet compliance standards and, most importantly, maintain customer trust. This will increase demand for product vendors and service providers in the space, as well as for existing job functions such as Security Engineer, Incident Response Engineer, Security Leader, and Information Security Manager in the coming year. Threat Intelligence Analyst, Digital Forensics Specialist, and DevSecOps will also become more common. Those seeking employment in these fields should have SIEM (or similar) experience, as well as security certifications such as CISA, CISSP, or CISM for non-technical roles.

2. The continued rise of the Data Centre sector

As digitalisation becomes more pervasive in Japan and more businesses adopt cloud computing, the demand for data centres in the country is growing. And, with a number of key players having established strong presences in Japan, demand isn't slowing down. As a result, candidates with experience in construction and facility engineering will be in high demand. However, because there are typically a scarcity of qualified candidates in this field in Japan, hiring will only increase once work visa restrictions for non-Japanese workers are relaxed.

3. Financial Services and Insurance return to growth

Financial Services firms will transition from recovery to growth in 2022, following the pandemic. As financial institutions and banks invest more in digital and mobile platforms, the FinTech sector can expect to see accelerated digital transformation. This will result in a surge in demand for talent in positions such as Digital Transformation Specialist, IT Business Analyst, Application Project Manager, Mobile or Web Developer/Architect, Big Data, and Cloud experts.

4. Huge appetite for sales roles across sectors

In the coming year, the stabilisation of the pandemic situation and the gradual reopening of borders will provide a much-needed boost to the sales sector. Many companies are looking to strengthen their sales teams with both replacement and new vacancies, resulting in a revival of sales functions in a variety of sectors. Demand for sales candidates in the Retail, Luxury, and F&B sectors is expected to rise in the coming year as more retail stores and restaurants reopen.

5. Relaxing of requirements in Life Sciences

The Life Sciences industry has shown to be pandemic-resistant, with demand for talent outpacing supply. The traditional high bar of academic qualifications is primarily to blame for the scarcity of candidates, but given the shrinking candidate pool, some previously mandatory requirements are being relaxed.

6. Businesses are strengthening corporate services teams

New headcounts for roles such as Accountants, Financial Planning & Analysis Managers, and Legal Specialists will be created as a result of the optimism for the coming year. Companies that previously outsourced their legal function or had their legal teams based in regional offices outside of Japan are now hiring local candidates and forming new in-house legal teams, and we expect this trend to continue even after mobility restrictions are lifted. Candidates with corporate experience and industry exposure in these fields will be in high demand as the finance and IT sectors are expected to grow.

7. Remote hiring set to increase for non-client facing roles

Closed borders as a result of the pandemic have resulted in fierce domestic competition in a variety of industries, most notably accounting and finance. Candidates have reported salary increases of more than 15%, a trend that is expected to continue until the border is reopened. Companies with open back-office positions that do not require much face time with clients are beginning to expand their search for talent outside of the city where they operate, equipping them to start the job remotely before relocating. Such policies will be highly appealing to potential candidates as more people prioritise flexibility over salary, particularly the ability to work remotely outside of cities or urban areas.

8. The rise of office decentralisation and shared services

Flexible work schedules have become a primary concern for Japanese job seekers, forcing employers to change their policies. In fact, in order to remain competitive, accounting, finance, and legal firms are making concerted efforts to provide flexible work options. Medical Science Liaisons, for example, are a field-based role in Life Sciences that has seen a push toward online and remote working. However, due to the nature of some industries, such as engineering, employers are encouraging employees to return to the office every day, with some even mandating that employees return to the office for a few days each week.

9. Demand for junior level talent increasing, but experience is still king

Companies are beginning to hire more junior talent across industries in the Engineering and Supply Chain sectors to bring a breath of fresh air into the organisation. It is also more important than ever to be fluent in both Japanese and English. Candidates in Engineering and Procurement who demonstrate excellent bilingual skills will have an advantage over the competition and will have access to a plethora of new opportunities – provided they have the necessary experience.

10. Focus on sustainability

Japan has set ambitious sustainability goals, such as doubling the proportion of renewable energy in the country's power supply by 2030 and becoming a net-zero society by 2050. This has resulted in significant investments in the ESG (Environmental, Social, and Governance) sector, which has fueled hypergrowth and talent demand. Engineering and Construction Project Management positions in renewable energy companies are among the most in demand.