DIVERSITY AND INCLUSION IN JAPAN: Issues in Business and Higher Education | Edited by Lailani Alcantara and Yoshiki Shinohara

Diversity and Inclusion in Japan centres on minority groups perceived as “diverse” in Japanese society and analyzes the current situation of diversity and inclusion (D&I) in business and higher education initiatives in the country. The global diffusion and adoption of D&I as a normative and competitive principle has led to increased recognition of its importance in Japanese business and society, but practical implementation of D&I has not progressed. One significant obstacle has been its path-dependent social structure that prioritizes certain majority groups, including males, mature adults, the Japanese, and individuals without disabilities. These entrenched privileges are still upheld by the institutional complementarity of the country’s patriarchal family structure, Japanese employment practices, and the educational system. As Japanese society grapples with the challenges of an aging population and a declining birth rate, which are expected to drastically reduce the working-age population, it becomes imperative to reconsider these interconnected systems and include those who have been traditionally excluded. This book focuses on women, the elderly, people with disabilities, and foreigners as minorities within the diversity spectrum and examines the inclusive efforts of businesses and higher education institutions, thus providing a comprehensive understanding of the current D&I landscape in Japan.

The book is organized into two parts: one dedicated to business and the other to higher education, complemented by a historical overview of Japanese society. In the first part, Lailani Alcantara and Yoshiki Shinohara examine the relationship between D&I public policies and Japanese corporate behaviour. Using Toyo Keizai Corporate Social Responsibility (CSR) panel data from Japanese firms, they show that policy changes in each minority category have yielded only incremental effects on corporate behaviour. Furthermore, they found that these effects depend on how the minority category is underrepresented in Japanese society. Their research subsequently delves into variations in corporate behaviour across industries, identifying differences in the emphasis placed on diversity orientations for each minority category within the manufacturing and service sectors.

In another section, Shinohara, Alcantara, and Toshitsugu Otake examine the time-series effects of workforce diversity on financial performance. Using CSR panel data from Japanese firms, they found that age diversity is positively related to Return on Assets (ROA). Meanwhile, Thi Huong Tang and Alcantara concentrate on Vietnamese entrepreneurs living as immigrants to Japan. Based on interviews with 12 individuals, the authors qualitatively examine these immigrants’ opportunity identification processes and strategic exploitation of conforming, while maintaining a distinct identity in Japanese society. In his historical examination of the development of reasonable accommodation for individuals with disabilities in Japan, Nagase Osamu advocates for the expansion of accessibility for this population segment in general. Furthermore, Nagase emphasizes the importance of striking a balance between a comprehensive assessment of corrective rules for them on the one hand and tailored, individualized responses on the other.

In the second part, Yoshimi Matsuzaki and Kuniomi Shibata present the potential challenges related to information accessibility and reasonable accommodation for students with disabilities in higher education. The analysis, which employs two concepts—cognitive academic language proficiency (CALP) and basic interpersonal communicative skills (BICS)—indicates a discernible need to enhance these students’ information accessibility by increasing their knowledge of communication through various transmitting styles. Yukiko Ito and Mie Morikawa advocate for the increased importance of evidence-based policymaking, emphasizing the necessity of enhancing accessibility to transparent data and databases for citizens. Ito and Morikawa insist that improving access to databases is crucial for engaging diverse citizens and empowering inclusive policymaking. Meanwhile, Takahashi Yuko analyzes the oral history of Fujita Taki, a female leader at Tsuda University who played a pivotal role in advancing women’s rights in Japan. The study explores how women like Fujita, historically excluded from higher education, were integrated into the educational system through their contributions to women-led activism. Otake presents a case study of Ritsumeikan Asia Pacific University, where D&I initiatives for several minorities are underway. He discusses strategies to promote the inclusion of minorities on campus, focusing on international students and individuals with disabilities.

In the commentary, Haruaki Deguchi attempts to provide a historical explanation for the decline of the Japanese economy. While including women, individuals from diverse groups, and the highly educated is crucial for the success of unicorn firms, the Japanese household system has historically restricted women’s rights. Moreover, prevailing employment practices, which tend to undervalue acquired knowledge in higher education, tilt the vast majority of executive positions in major Japanese companies toward Japanese men in their fifties and sixties who have dedicated significant portions of their careers to their respective companies. Against this background, Deguchi underscores the need to assess the current state of D&I in Japan and implement changes in related practices in Japan through the horizontal axis of global and spatial influence and the vertical axis of history.

Two specific aspects of this book stand out in excellence. First, it refers to various minorities, including women, the elderly, people with disabilities, and foreigners, thus presenting a unified perspective for D&I that has been lacking in comprehensive discussions. Second, it successfully establishes connections between education and management, to illustrate how the institutional linkages among industry, education, and family in Japan pose challenges to D&I as a whole. The book is particularly commendable for the broad policy implications derived from its respective empirical analyses.

However, a potential area for improvement lies in the extent to which theoretical synthesis has been achieved. While the authors assert that the goal is to provide “a holistic understanding of D&I issues in Japan that can assist theory building and policymaking” (4), questions remain regarding the unified theoretical framework derived from a collection of empirical studies. For example, do the historical analyses of the current D&I situation in Japan provide a perspective that is inclusive enough for any individual minority group? These considerations are crucial not only for addressing inequality with the majority but also for addressing disparities among different minority categories. The reviewer believes in the importance of focusing on the intersectionality of minorities to achieve an ideal D&I situation in Japan, alongside giving due empirical consideration to each specific group.

Kaoru Sonoda

The University of Tokyo, Tokyo