National Factors and Employment Relations in Japan

In the last three decades, changes have also occurred in the employment relations practices. Though Japanese employment relations system was regarded as the most vital element for the success of Japanese economy, especially during 1970s, many academicians and practitioners raised question marks. In fact, the changes in national factors —national institutions, labour market, national culture and business and economy— had jolted the prevailing employment relations practices too. The impact of developments in national factors seemed to be different in the size, number of employees and sectors of individual company. However, in general, all the above four national factors are influencing the employment relations factors.