Japan enters 2026 with strong growth ambitions amid evolving workforce expectations, says Hays

Japan, February 24, 2026 - New insights released by Hays, the global leader in specialist recruitment and workforce solutions, reveal five key trends shaping Japan’s hiring landscape in 2026.
Despite ongoing economic headwinds, organisations across Japan are navigating 2026 with a clear appetite for growth, while also facing heightened challenges around talent retention, workforce expectations and the rapid adoption of AI technologies.
Despite ongoing economic headwinds, organisations across Japan are navigating 2026 with a clear appetite for growth, while also facing heightened challenges around talent retention, workforce expectations and the rapid adoption of AI technologies.
Key findings for Japan
1. Organisations are still looking to grow despite economic pressures
- 87 per cent of employers in Japan cite growing their organisation as a key strategic priority for 2026.
- Employers are focused on:
- Expanding market share (38 per cent)
- Improving competitiveness (35 per cent)
- Increasing turnover (35 per cent)
- Growth strategies are shifting toward targeted capabilities, critical roles and sustainable, productivity‑focused workforce planning rather than broad headcount expansion.
2. Talent retention emerges as a major barrier to growth
- 35 per cent of employers identify talent retention as their biggest obstacle to achieving organisational goals, the highest percentage in Asia.
- Market competitiveness and evolving employee expectations amplify retention challenges.
- Career development, progression clarity and manager‑led engagement are emerging as key differentiators.
3. Flexible work remains a core attraction driver
- 43 per cent of professionals in Japan say flexible working arrangements are important to them.
- According to professionals. flexibility has a direct impact on:
- Work‑life balance (68 per cent agree)
- Productivity (52 per cent agree)
- Retention and motivation (37 per cent agree)
- Organisations embedding flexible models are better positioned to sustain performance and reduce attrition risk.
4. Conversational AI becomes part of everyday workflows
- 90 per cent of professionals in Japan now use conversational AI tools (e.g., ChatGPT, Copilot), slightly lower than the Asia average (92 per cent).
- AI is being used to support productivity in areas such as multilingual content creation, analytics and decision‑making.
- Employers must balance opportunity with governance through training, policy clarity and responsible‑use frameworks.
5. International mobility continues to attract professionals
- 63 per cent of professionals in Japan would consider an overseas role for career development and global exposure.
- Mobility programmes are becoming a powerful tool for attracting and retaining ambitious, globally minded talent.
- Organisations connecting international experiences with long‑term career progression see greater retention impact.
Grant Torrens, Managing Director of Hays Japan
“Japan’s labour market continues to be shaped by long‑standing structural pressures, but this year’s data shows that employers are adapting with remarkable focus. Growth ambitions remain high, yet retention, flexibility and digital capability have become make‑or‑break factors in staying competitive.”
“As organisations navigate these shifts, the ones that will succeed are those that invest deliberately in developing skills, strengthening engagement and creating workplaces that reflect what professionals value today.”
Read the full blog here.
Contact
Hays Japan Marketing Team
T: 03-4565-5953
E: Natsuko.Arai@hays.co.jp
T: 03-4565-5953
E: Natsuko.Arai@hays.co.jp
About Hays Japan
Hays Specialist Recruitment Japan KK ("Hays Japan"), established in Tokyo in 2001, is one of the largest foreign recruitment companies in Japan with three offices across the country (Tokyo Head Office, Osaka and Yokohama).
At Hays Japan, our experts provide professional services across the private sector, dealing in permanent positions, contract roles, recruitment process outsourcing (RPO), Managed Service Programmes (MSP) and IT solutions in the following 13 specialisms: Accountancy & Finance, Banking & Financial Services, Engineering, Marketing & Digital, Human Resources, Insurance, Legal, Life Sciences, Office Professionals, Property, Sales & Marketing, Supply Chain and Technology. This ensures a highly focused, fully tailored specialist recruitment service, enabling us to power the future of work by serving thousands of companies and candidates in Japan. Hays Japan is recognised as a Great Place to Work® by the esteemed Great Place to Work® Institute Japan, the global authority on workplace culture. We continue to strengthen our position in Asia with the world-leading ISO 9001:2015 certification in all our operational markets including Japan, China, Hong Kong SAR, Malaysia, and Singapore.
At Hays Japan, our experts provide professional services across the private sector, dealing in permanent positions, contract roles, recruitment process outsourcing (RPO), Managed Service Programmes (MSP) and IT solutions in the following 13 specialisms: Accountancy & Finance, Banking & Financial Services, Engineering, Marketing & Digital, Human Resources, Insurance, Legal, Life Sciences, Office Professionals, Property, Sales & Marketing, Supply Chain and Technology. This ensures a highly focused, fully tailored specialist recruitment service, enabling us to power the future of work by serving thousands of companies and candidates in Japan. Hays Japan is recognised as a Great Place to Work® by the esteemed Great Place to Work® Institute Japan, the global authority on workplace culture. We continue to strengthen our position in Asia with the world-leading ISO 9001:2015 certification in all our operational markets including Japan, China, Hong Kong SAR, Malaysia, and Singapore.
About Hays
Hays plc (the "Group") is the world’s leading specialist in recruitment and workforce solutions, such as Recruitment Process Outsourcing (RPO) and Managed Service Provider (MSP). The Group is the expert at recruiting qualified, professional, and skilled people worldwide, being the market leader in the UK, Germany, and Australia and one of the market leaders in Continental Europe, Latin America, and Asia. The Group operates across the private and public sectors, dealing in permanent positions, contract roles and temporary assignments. As of 30 June 2025, the Group employed over 9,900 staff operating from 207 offices in 30 countries. For the year ended 30 June 2025:
- the Group reported net fees of £972.4 million and operating profit (before exceptional items) of £45.6 million.
- the temporary placement business represented 62% of net fees and the permanent placement business represented 38% of net fees.
- Technology is the Group’s largest division, with 25% of net fees, while Accountancy & Finance (15%) and Engineering (11%), are the next largest.
- Hays operates in the following markets: Australia, Austria, Belgium, Brazil, Canada, China, the Czech Republic, Denmark, France, Germany, Hungary, Hong Kong SAR, Ireland, Italy, Japan, Luxembourg, Malaysia, Mexico, the Netherlands, New Zealand, Poland, Portugal, Romania, Singapore, Spain, Sweden, Switzerland, UAE, the UK, and the USA.
Reports
Whitepapers
The Hays Global Talent Tracker
2025 Asia Staffing Marketing Pulse Report
The Future of Work: How AI is impacting your workforce
2024/2025 Hays Asia DE&I report
The Workforce of the Future Report
2024 Japan’s Technology Talent Trends
2024 Japan Accountancy and Finance Talent Trends
Future of Asia’s Technology Industry
Diversity, Equity & Inclusion Report
DNA series