OSAKA, JAPAN: In an innovative move to address Japan’s shrinking workforce, a company in Osaka is offering its employees a range of unconventional leave options. These include time off for hangovers and “celebrity loss leave”, where workers can take the day off after hearing disappointing news about their favourite celebrities. According to the latest South China Morning Post report, this approach is part of a broader strategy to attract younger workers as Japan faces an ongoing labour shortage.
Addressing Japan’s labour crisis
Japan has been grappling with a shrinking workforce in recent years. With the country’s unemployment rate consistently remaining under 3%, the competition for workers has intensified. A staggering 60% of small and medium-sized enterprises have reported labour shortages. In response, larger companies have raised the salaries of new graduates to lure fresh talent. However, smaller companies like TrustRing have opted for creative alternatives, offering unique benefits to compensate for their inability to match the higher salaries being offered by their larger counterparts.
TrustRing’s creative leave options
TrustRing, a tech company based in Osaka, has made waves by introducing unusual leave options, including hangover leave. One employee was reported arriving at work late after a night of heavy drinking, citing the company’s hangover leave policy as the reason for her late arrival. The employee noted that the extra sleep allowed her to feel more refreshed, ultimately boosting her efficiency. The company also offers “celebrity loss leave”—time off when a worker feels too emotionally distressed over the news about their favourite celebrity. A notable example occurred in 2021 when one employee took leave after learning that musician Gen Hoshino had married actress Yui Aragaki.
Daigaku Shimada, president of TrustRing, emphasized that these benefits are crucial for the company’s competitiveness, especially since the salary they offer new hires is lower than that of larger firms. However, the strategy has proven effective—TrustRing has maintained strong company performance with zero employee turnover over the past three years.
The growing trend of employee benefits
TrustRing’s approach has sparked interest beyond Japan’s borders. Online observers from China have praised the company’s efforts, commenting that additional leave days could be an effective alternative to salary hikes. A similar concept is seen in China, where a supermarket chain called Pangdonglai offers “unhappy leave” for employees experiencing stress or dissatisfaction at work. This policy allows workers to take up to 10 additional days off to focus on their mental well-being.
With employee well-being at the forefront of these innovative benefits, companies like TrustRing and Pangdonglai are reshaping the future of work in Asia, highlighting the importance of work-life balance and creative solutions to address labour shortages.