A Man in His 60s Who Experienced the Rise and Fall of Japan's Financial Market
Recently Recalled as the Bond Market Revives
"Employees with Experience from the Lost 30 Years Are Valuable"
In Japan's securities industry, the value of employees in their 60s is increasing. Their careers, which encompass the boom and bust of the Japanese financial market before the zero interest rate period, including the "Lost 30 Years," are highly appreciated, leading to higher salaries and improved treatment.
A citizen is passing in front of a securities firm in Tokyo, Japan, displaying the Nikkei index. Photo by AP Yonhap News
According to Bloomberg on the 18th (local time), Daiwa Securities in Japan has increased the salaries of employees aged 60 and over by an average of 15% annually over the past two years and has removed age limits for some positions. Nomura Holdings introduced paid sick leave for employees aged 60 and over last year, equal to that of regular employees before retirement, and Mizuho Securities changed its personnel system in July so that senior employees who rejoined the company enjoy welfare benefits at the same level as before retirement.
In this way, the Japanese financial industry is guaranteeing the salaries and treatment of senior employees while utilizing their know-how. It is believed that the experiences of these employees in their youth can shine in the recently revitalized bond market. Nomura Securities, Japan's largest securities firm, stated, "In a world where interest rates exceed 0%, the experience of these senior employees can provide information that young employees can hardly imagine."
Hideyasu Ban, a Bloomberg Intelligence analyst, said about employees in their late 50s and early 60s, "Employees who directly know what the situation was like before Japan entered the 'Lost 30 Years' are valuable," adding, "Their experience can be advantageous in rapidly changing market environments."
The influx of these employees also has the advantage of supplementing the workforce in Japan's super-aged and low birthrate society. According to the Ministry of Internal Affairs and Communications, the proportion of employees aged 60 and over in the financial industry rose significantly from 5% in 2002 to 14% last year. Nobuhiro Maeda, chief researcher at NLI Research, said, "Reassigning employees aged 60 and over is essential not only for corporate growth but also for maintaining business," and predicted, "Labor shortages will become more severe in the future."
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