Japan is implementing significant labor market reforms aimed at addressing persistent workforce challenges, with major developments in both wage negotiations and teacher qualification requirements that could impact foreign residents working or considering careers in these sectors. According to NHK, the All Toyota Labor Union Federation, representing workers at Toyota Motor Corporation and its group companies, has announced it will continue demanding wage increases in next year's spring labor negotiations, known as shunto. The decision reflects ongoing concerns about rising living costs affecting workers across Japan. While the union maintained its commitment to wage growth, notably absent from the 2025 negotiations was the specific language about exceeding previous year's increases that characterized this year's demands, potentially signaling a more cautious approach despite inflationary pressures. The continued push for wage increases by Japan's largest automaker union carries significant implications beyond the automotive sector. Toyota's labor negotiations traditionally set the tone for wage discussions across Japanese industries, making these developments relevant for foreign professionals working in various fields. The focus on cost-of-living adjustments acknowledges the financial pressures facing all residents of Japan, including the expat community, as inflation continues to erode purchasing power. For foreign workers in Japan, these wage negotiations represent a broader shift in Japanese labor practices. Historically known for modest annual raises, Japan has seen increased pressure for meaningful wage growth as the government pushes companies to help workers cope with inflation. This environment may benefit foreign professionals during salary negotiations, as companies face mounting pressure to offer competitive compensation packages to attract and retain talent in a tight labor market. In the education sector, the Japanese government is taking dramatic action to address severe teacher shortages. According to NHK, the Ministry of Education, Culture, Sports, Science and Technology has decided to reduce the number of university credits required to obtain a teaching license by up to 50 percent. This substantial reform aims to attract more students to the teaching profession by lowering barriers to entry. The teacher qualification changes could open new opportunities for foreign residents interested in Japan's education system. While the reforms primarily target Japanese nationals pursuing teaching careers, they reflect the desperate state of teacher recruitment in Japan. Schools nationwide have struggled to fill positions, leading to increased workloads for existing staff and concerns about educational quality. For foreign professionals already working in education, particularly as Assistant Language Teachers (ALTs) or at international schools, these reforms may create new pathways. As Japan loosens requirements for teaching licenses, there may be increased opportunities for qualified foreign educators to transition into more permanent positions within the Japanese education system, though language requirements and specific regulations for foreign teachers remain separate considerations. The reduced credit requirements could also benefit foreign residents studying at Japanese universities who might consider teaching as a career option. Previously, the extensive coursework required for teaching certification deterred many students; the streamlined process may make this career path more accessible. Both reforms highlight Japan's pragmatic response to demographic challenges and labor shortages. The aging population and declining birth rate have created workforce gaps across industries, forcing policymakers and companies to reconsider traditional approaches to employment and qualifications. For expats living in Japan, these developments suggest a labor market increasingly favorable to workers. Whether negotiating salaries in the private sector or considering career transitions into education, foreign residents may find more opportunities and better conditions as Japan adapts to its changing demographic reality. However, those interested in teaching should monitor specific implementation details of the licensing reforms, as practical application procedures and foreign resident eligibility will be clarified as the policy develops throughout 2025.