Japanese workers lifetime employment and income doubling plan

Japanese workers lifetime employment and income doubling plan

Enterprises are profound impact on the economic body active and healthy degree of national strength. Region, industrial chain traction in large enterprises, driven by small and medium enterprises to achieve the country strong and rich, the government of each country are expected to do. But along with keep trying, we are also clearly aware of the maturity of the industrial structure and economic development of the soft environment, need to continue to rely on the actual situation to adjust only avoided the error on the direction and manner, to allow nationals to live and work Share the benefits brought by the long-term planning. Bai Yimin, director of the Chinese Academy of Social Sciences, the Japanese Economic Association in an interview with "Global Finance" reporter that this sense, Japan's experience is worth learning.

The new gathering relationship spawned the lifetime employment system

 Japan's traditional culture is based on the same "home" and family kinship. With the development of the capitalist economy, more and more Japanese came to the factories and enterprises from the traditional villages, the new agglomeration relationship also calls for a new spiritual. Sunny by Fang Youheng heart, business owners on the use of this kind of psychological enterprise to create an environment similar to the "home" to cultivate the collective consciousness of the employees to Changzhi service enterprises. The lifetime employment system came into being.

"Lifetime employment" is by Panasonic Company was founded in 1918. Its entrepreneurs, revered as "the god of management" Matsushita: "Panasonic employees before the scheduled retirement age is reached, do not worry about unemployment. Enterprise would never dismiss any 'Matsushita person,. Countless companies to follow the business model pioneered by Panasonic, this life-long employment system also made great contributions to Japan after World War II economic boom.

Speaking of "lifetime employment" system, people generally with the state-owned enterprises linked - rigid, inefficient. However, Japan's "lifetime employment" is not a contract can not be changed, but by the socio-cultural, and historical factors affecting the formation of a convention, that its own staff willing to stay in the right business. The enterprise is formed by the managers of collective ownership. Neither private ownership, nor is the state-owned enterprises are employees rather than shareholders. Employees to participate in the decision-making of every aspect of the enterprise, the employees and the boss more cooperative relationship, rather than antagonistic relationship. "Lifetime employment" staff salaries, income distribution consultation system. Composed of staff unions to negotiate with the boss, to determine the employee's wages. It can be said that the Japanese companies, employees wages not fully priced by the market.

Japan can achieve "lifetime employment" is the result of multiple factors

First, cross-shareholdings among Japanese companies, the formation of a stable industrial structure, the symbiotic relationship between the Japanese companies rather than antagonistic relationship. This interdependent relationship makes long-term stable operation, the number of their employees has remained at a relatively stable level. Even if the individual corporate bankruptcy, they will soon be associated enterprises incorporate, but the original enterprise employees will still work in the enterprise. Japan deemed to human capital rather than cost. Even if there is the Great Depression, the Japanese companies practice is also common to take a pay cut, instead of cutting people. Even if the cut, either early retirement humane, very generous amount of compensating employees early retirement; employees either transferred to affiliated enterprises shunt.

Secondly, the Japanese companies have the ability to continue to sustained profitability, the industry is escalating, expansion, transfer. Such as Toshiba Corporation, and its television and other electronic equipment manufacturing accounted for only 12% of its entire business, more of it is invested in the construction of nuclear power plants. Another example is the Toyota Group, the industry is also not just limited to car manufacturers as simple as that.

Finally, in Japan, whether it is business or employees are valued loyalty. Rarely seen in Japan, the talent market. This also from the subjective to ensure the feasibility of "lifetime employment" system.

The pros and cons of "lifetime employment"

On the one hand, the lifetime employment system in the time after the end of World War II, under the formation and consolidation of the background of the economic downturn in Japan, the Japanese economy to take off to no small role. Historical facts indicate that the greatest benefits of the implementation of "lifetime employment" system is conducive to the accumulation of technology and upgrade. Unlike American invention, Japan is more inclined to patent these inventions technology becomes, then commercialized. Due to the stability of the employees of Japanese companies, Japanese companies can continue the accumulation of technology upgrades, and the last will be converted into productivity. Allegedly, Japan now has the technology patent has enough of its next 10 to 30 years in the commercialization process. For example, tens of millions pixel digital camera is hot today, in fact, a decade ago to master this technology. Japan by the accumulation of technology, continue to release technical energy to ensure a sustained and stable development of enterprises continue to profit.

However, the disadvantages of the lifetime employment system is obvious: talent flow blocked, enterprises lack vitality. Even if some very talented, but because of the time into the enterprise is not long enough qualifications, it is difficult to be reused, thus affecting the personal enthusiasm to play. This situation continues over time, the enthusiasm and creativity of employees will gradually wear hit. And lifetime employment system is contrary to the modern concept of employment, many young people can not accept, could easily lead to the loss of local talent. The final step is the lifetime employment system brought heavy labor costs. When the Japanese economy has entered a period of slow growth, the many mature enterprises need to fight the Great Depression and the longest. If companies can not lay off, will be regular wages. Whether the wages are high or low, are enterprise a need fixed expenses cost.

After the 1997 Asian financial crisis, some economists doubt of lifetime employment, and think that this will reduce the ability of the enterprise to create wealth, the potential weakening of the enterprise's ability to resist risks. According to a survey conducted by the MHLW in 2001, the 591 companies surveyed, only 9.5% of the enterprises to adhere to the lifetime employment system, 38.3% of companies said that lifetime employment is not required. The originator of "lifetime employment" Panasonic Group, also in the same year, announced the cancellation of the lifetime employment system, more traditional Japanese enterprise system, a heavy blow

But 10 years later, people are surprised to find that a considerable part of the enterprise in Japan still stick to the tradition of lifetime employment. Japanese companies from 70% to 80% of the field still uses the lifetime employment system, did not use this system in the field of mostly expatriate project of some companies in Japan, and it is not true enterprise core layer. Proved that lifetime employment is still applicable to the current economic situation in Japan.

"Lifetime employment" Japan in the distribution of income "socialist"

"Lifetime employment" in Japan to form a system of society as a whole, helping to eliminate the divide between rich and poor. The three artifact known as the high-speed development of the Japanese economy, "one" Annual Merits "can illustrate this problem. The connotations of the basic salary of the employees annual increase with the age of the employee and the growth of corporate seniority and wage increase certain sequence, increase in annual wages under the table order by enterprises themselves. At the same time, the wage difference between whether it is at all levels within the enterprise, or between different enterprises in the same class wage differentials are not. This not only reduces the possibility of employees active flow, more importantly, it makes the gap between the income of employees of Japanese companies will not be much, the Japanese society Gini coefficient has been maintained at about 2.7. No wonder the former Japanese Prime Minister Yasuo Fukuda in a speech at Peking University in 2008, proudly declared: "Japan than socialism also socialist."

Sustained economic recession malformations reform - national income doubling plan

In addition to the lifetime employment system of the enterprise level, another Japanese help to eliminate the rich-poor divide initiatives implemented by the Government in the 1960s, national income doubling plan. After World War II, Japan's economy into the "bottom of the pot bust" experienced "already been taken the economy" (1955-1957), (1957-1958), that the deflation stage. Depression exposed the Japanese economy there is a dual structure, excessive reliance on investment to spur economic growth, the demographic dividend is coming to an end, the Japanese economy is an urgent need to transform the economic growth mode, facing the industrial structure adjustment, the per capita national income is not high and the lack of consumer demand and many other issues. Japan triggered out a big discussion in the formulation of economic planning in the new period, and ultimately a comprehensive economic development strategy - "national income doubling plan" was born.

December 17, 1957, the Japanese cabinet meeting to develop a new long-term economic plan. The goal of this program is to achieve an average annual economic growth of 6.5% in 1958-1962, while seeking the steady improvement of the national standard of living, close to full employment status. GNP in 1962 than in the base year increased by about 40%, and per capita consumption expenditure increased by about 38%. The plan also contains an important resolution, that the development of Japan in 1980 after a 20-year economic outlook report.

Economic consideration will be by the end of 1959, the Japanese government set up a "long-term economic outlook for the Subcommittee. Outlook report on May 19, 1960, the Commission submitted to the economic consideration would put forward: the first 10 years, the average annual growth of the Japanese economy was 7% 5% after 10 years, and strive to Japanese national living standards after 20 years to reach the West Germany, France, the extent. Then proposed: "The long-term plan of doubling the size of the Japanese economy in the next 10 years, including gross national product, balance of payments, energy consumption, etc. everything double."

In July 1960, served as Prime Minister Hayato Ikeda, under its auspices, the new cabinet has decided to develop and implement plans to subject growth target of 9% in the first three years.

National income doubling plan "is determined in a relatively short period of time, by improving production efficiency and effectiveness of the various sectors of the national economy, significantly enhance the residents' real income level, establish a sound government income distribution and social security mechanism to achieve double the income of residents of a goal of economic and social development programs.

The pros and cons of the national income doubling plan "

On the one hand, Japan's national income doubling plan "industrial sophistication also consider the elimination of backward production capacity, merger, reorganization, build backward SMEs. National income doubling plan "stressing that" the establishment of a new industrial order, "integration of resources," rational distribution. Japan's national income doubling plan "to achieve exceed the target of about 65% of the gross national product, the actual score of 40.6 trillion yen. Deducting price factors, the real GDP and real per capita national income to achieve a doubling of the former is about six years, which is about seven years.

On the other hand, the national income doubling plan "by many economists oppose that this will add to inflationary pressures. General Japanese public also believes that the effectiveness of their income "multiplier" will be offset by inflation.

Should be pointed out here that the doubling of the national income doubling plan "does not mean a doubling of the per capita disposable income, but rather refers to the per capita income doubled, there is a big difference between the two. According to the initial plan, when the per capita national income to achieve double the per capita disposable income increased by 65% from the base period (adjusted for inflation). Therefore, in the national income doubling plan ", the per capita disposable income is not achieved doubling. Therefore, the Little Professor Lin Yixiong in Japan's postwar economic history "clear that national income doubling plan" does not really want to achieve the increase in the income of working people, but monopoly capital to maximize profits, the pursuit of capital in national income distribution The increase in the proportion of a way to victory in the game of capital and labor.

While many people believe that the Japanese "lifetime employment" may bring enterprise rigid, lack of energy and the economy continues to grow as the support of the national income doubling plan contradict. This is a misunderstanding. In contrast, Japan's internal competition does weaken, but its overall external competitiveness and overseas expansion force has constantly strengthened. Collaborative relationship between the Japanese companies to make it a whole has a very strong competitive overseas, Japanese companies currently only in China, there are more than 10,000. Therefore, the national income doubling plan "is a guarantee by the continuous growth of the GNP, while not dependent on GDP.

China how to learn from the Japanese experience

Powerful economic entity is to support the stable development of the entire national economy, an important guarantee for the people of affluence, in which the stability of the industrial structure is the basis for the development of a country's economy. And upgrading of industrial structure, but also help to increase the enterprises to increase revenue on the basis of technical upgrades to more effectively promote industrial upgrading of domestic enterprises, China's departure from the experience of Japan, production in some state-owned enterprises in the industry, business, financial combined pilot . If successful, combined with the actual situation of the country to promote them.

In the economic driving force, "to stimulate domestic demand" has been an important part of the transformation of economic development in China. Many Chinese scholars also advocate for increased revenue, expand effective demand, such as the original Japanese entrepreneurs, some of China's enterprises, experts and scholars to improve labor income has been there are dissenting voices. Therefore the urgent need for the country to promote the transformation of economic growth mode to the scientific concept of development, in accordance with the principles of economics, from a pragmatic and feasible, the operational level to push forward. From the micro level to promote enterprises to improve labor productivity, Industrial Structure at the macro level, the establishment of a new development economic model, that is, to improve labor productivity rate, in order to raise revenue for the purpose of, in order to expand effective demand as a source of growth, in order to achieve economic continued growth in order to increase revenue source, the establishment of the national economy virtuous circle between the operating system, and ultimately the country strong and rich.