Faced with a rapidly falling birthrate and aging population, local governments are opening up to foreign workers to fill labor shortages.

In an interview with The Asahi Shimbun, Miyagi Governor Yoshihiro Murai said municipalities will have to compete to retain foreign workers who are drawn to larger cities that offer higher pay.

The key to survival for rural areas is to realize a multicultural inclusive society, said Murai, who also serves as chairman of the National Governors' Association.

Excerpts of the interview follow:

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Question: According to an Asahi Shimbun survey conducted in October 2024 covering 47 prefectural governments and government-designated cities, about 40 percent have signed a memorandum of understanding (MoU) regarding the acceptance of overseas workers with foreign municipalities, universities and other organizations.

Murai: It is so good because it is a manifestation of their willingness to work with many countries and move forward with accepting (foreign workers).

Some foreign organizations that recruit and send workers to Japan collect huge fees from workers. But dispatching organizations can also feel at ease if there is a framework under which Japanese municipalities, foreign municipalities and government-approved organizations work together.

The MoU has been very effective. The Miyagi prefectural government hosted a job fair event in Indonesia, with which we have signed an MoU, in September last year. It was attended by 1,200 young people, and at least one Japanese company has already decided to hire five workers.

RAPIDLY DECLINING POPULATION

Q: The number of MoUs signed by local governments, particularly those outside metropolitan areas, has sharply risen after the COVID-19 pandemic.

A: That is because populations are rapidly declining in local regions.

There were 19,689 junior high school students who graduated in the 2023 academic year in Miyagi Prefecture, but the figure is expected to be 12,830 in the 2038 academic year.

It's a decline of about 35 percent.

With most of them moving on to senior high school and the college enrollment rate remaining the same, high school graduates entering the workforce will disappear very quickly. We have no choice but to depend on foreign manpower.

Q: Many municipalities have hammered out a range of support measures to attract foreign workers.

A: When the technical trainee program is replaced by the new training and employment system (to accept non-skilled workers from overseas) by June 2027, it will be easier for foreign workers to change workplaces.

When you fall behind in providing an environment where foreigners want to work and put down roots, they will move to other municipalities, particularly large cities where they can earn higher wages.

I'm sure there will be competitions among municipalities.

There is a growing number of foreign residents in all municipalities, and they won't survive unless they build an inclusive society.

I think that building a multicultural inclusive society that is active, not passive, is important.

Q: There is also an idea to give cash directly to foreign workers on the condition that they live in a certain municipality for a certain period of time.

A: I don't deny it as a measure. But if it is only worth one or two months' salaries, I think it won't be easy to keep them after the time period is over.

If we use money to compete, it comes down to who has more financial resources, and there is no way we can compete with municipalities in urban areas.

We need to listen to foreigners to understand what kind of difficulties they are having in their daily lives and establish a comprehensive service.

Q: There are voices calling on the central government to provide more financial support and establish a basic law on policies for foreign residents.

A: I think we should accept more foreign laborers.

It is often said that we must rack our brains to keep human resources from moving out, but we can't force foreigners to stay when young Japanese people are flowing into metropolitan areas in droves.

Large cities also take in (foreign workers) because they are also short-handed, and I think we can't resolve the issue of the outflow that troubles local municipalities unless the overall number of foreigners accepted to work in Japan increases.

Of course, that doesn't mean we must accept anyone.

For example, I want the central government to consider ways to make foreigners who learn welding, landscaping or other skills at vocational training schools across Japan eligible for employment after graduation.

HELPING PUT DOWN ROOTS

Q: Prime Minister Shigeru Ishiba's administration has pledged to promote regional revitalization.

A: I attended a meeting of the Forum for Consultations between the National and Local Governments held at the prime minister's office in December last year.

I asked the prime minister to proceed with measures to help not only women and young people but also foreign human resources to put down roots in local regions.

The number of children is rapidly decreasing.

Meanwhile, we are also competing against South Korea and Taiwan to secure Asian workers.

Local governments are in need of foreigners to live together in their areas.

If we are to push forward with 'regional revitalization' only with Japanese people, we will end up battling for limited resources.