United Nations Report Shows How Aging Impacts Country Demographics

The United Nations Department of Economic and Social Affairs/Population Dynamics report on World Population Prospects shows how aging impacts country demographics. The 2019 revision is the 26th round of official UN population estimates. Many countries will experience a dramatic shift in the proportion of people aged 65 and older. As a result, this shift will impact each country’s economy, politics, budget, immigration, and a number of other areas.

Aging Impacts Country Demographics in Japan More Than Any Other Country

The country of Japan will remain the world’s oldest country by demographics for several decades. In fact, the population of Japan that is 65 years and older will rise to 38% by the year 2050. Another trend during this timeframe is a decline in Japan’s total population. The report indicates the country of Japan’s total population will decline by 20%. Japan’s National Institute of Population and Social Security Research confirms these trends.

These two trends in Japan will lead to significant changes throughout the nation. The country’s aging population will increase the demand for nursing, health care, and products and services unique to this demographic. The declining population will impact the nation’s economic output and hamper employers’ ability to find qualified workers for open positions. Areas that face significant changes include:

  • Medical Care
  • Long Term Care
  • Nursing Care
  • Pensions
  • Social Services

Working-Age Population in Japan Also Projected to Decline

Along with the increase in Japan’s population of people aged 65 and older comes another significant population shift. Japan projects its working-age population to decline from 60% of the population as of 2017 to just 51.4% of the population by 2065. As a result, a smaller share of Japan’s population will support a larger share of elderly residents.

Japan Working to Mitigate How Aging Impacts Country Demographics

Japan has been working to increase immigration into the country by introducing a new work permit and two new visa categories for qualified foreign workers. Currently, foreign residents make up approximately 1.5% of Japan’s total population. The country’s amended Immigration Act in 2019 is expected to increase the nation’s pool of qualified workers.

However, Japan does not currently have structures in place to support a significant influx of workers from other countries. The Immigration Services Agency is considering a new Japan Public Certification System to support a rising number of foreign workers. Through June 2019, a record number of foreign people were registered in Japan as residents. The newly arriving foreign people in Japan have been entering the country on visas for engineers and international services, highly skilled professionals, and technical trainees.

Global Relocation can Help Employers in Japan Recruit Foreign Workers

Employers in Japan should consider highlighting their relocation program’s benefits in their recruiting materials. In the same way that aging impacts country demographics, aging also impacts industries. The healthcare industry has been responding effectively to mitigate critical talent shortages in several ways, including:

  • Defining a Superior Brand That Clearly Identifies the Employer
  • Focusing on Cultural Fit During Recruitment
  • Delivering Exceptional Candidate Experiences
  • Leveraging Data to Increase Recruiting Effectiveness
  • Keeping Candidates Engaged with Quick Processes

Relocation Management Companies (RMCs) are ideal sources for information on global candidate recruitment and relocation. Pre-Decision Services are critical for employers as they provide valuable information about a candidate’s ability to accept a position and be successful. Data gathered with Pre-Hire Assessment tools can be paired with structured interview questions to better understand the candidate’s interests, goals, and motivations.


GMS’ team of global relocation experts has helped thousands of our clients develop relocation programs that attract and retain qualified employees. Our team can help your company mitigate the effect of how aging impacts country demographics. Our experts will use industry best practices to design your relocation program. As a result, this will increase your company’s ability to attract and retain new employees.

GMS was the first relocation company to register as a .com, created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

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Contact our experts online to learn more about how global relocation can be used to mitigate how aging impacts country demographics, or give us a call at 800.617.1904 or 480.922.0700 today.

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