“Blue-collar workers can earn more” signals a revival of the Japanese economy: What Japan should rethink about the value of work

Demand for blue-collar workers is rising, and more companies are strengthening recruitment of new graduates for hands-on roles. Against a backdrop of severe labor shortages and growing momentum toward higher wages, a new trend is emerging in which such roles are becoming an option for young people entering the workforce.

At the same time, some argue that Japan has fallen behind in the IT industry and is trailing other countries. Another view is that this presents Japan with an opportunity to reconsider the value of work. Against the backdrop of past economic conditions and the history of technology adoption, efforts to reassess how people work today are being emphasized.

While wage growth has remained sluggish during the “lost 30 years” since the 1990s, IT companies such as Google and Amazon have continued to grow overseas, and challenges are said to remain in developing Japan’s IT capabilities. The Winny case is discussed as having hindered the growth of Japan’s IT industry, suggesting the difficulty of gaining social acceptance for technology and nurturing technological talent.

The spread of generative AI, social media and video platforms is creating new sources of income for individuals, but it is also said to make it harder to see what value they are creating for society. A debate unfolds comparing the social value of tangible industries, such as automobile manufacturing and sales, with that of services such as AI for advertising optimization.

Ultimately, the emphasis is on the importance of what work creates, rather than on whether IT or hands-on work is superior. A return to blue-collar work could prompt a reconsideration of the fundamentals of working and give Japan an opportunity to return to the basics of creating value.