With the growing life expectancy in Japan, new solutions are required to facilitate and stimulate an ageing workforce. That is why Dentsu launched a new program last year that helped older employees transition from their career at the company to a new career. The offer meant that employees would change their full-time employment to the role of a subcontractor with fixed pay of around 50-60% of their old salaries on average for up to ten years. During this time employees can start up their own businesses while they still work part-time for Dentsu.
This program has a multitude of advantages for everyone involved. Firstly, it is a great solution for older employees that want to keep working and start their own business, while at the same time enjoying the stability of fixed pay. Nearly 90% of workers aged 60 and up want to keep working until they are 70 or older. But the company profits as well, older employees in Japan often started during times when wages were higher. It means companies get to remove their highest salaries, while at the same time they hope to strengthen their network through these small companies. All in all, a great way to facilitate the longevity of your employees and help them in their development.