Japan's Labour Shortage Spurs Companies to Ditch Strict Dress Codes

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TOKYO - In a bid to attract workers in a tight labour market, Japanese companies are relaxing their dress code rules, allowing employees to express themselves through hair colour, nail art, and accessories. For 22-year-old Hinako Mori, a part-time worker at Don Quijote, a major discount retailer, this means she can finally dye her hair in vibrant colours without fear of reprisal. She was drawn to the company because it doesn't enforce strict dress code rules, unlike her previous job at a convenience store chain that required employees to have black or dark brown hair. This year, several companies have followed Don Quijote's lead, including Fuji Yakuhin, a drugstore chain that now allows employees to wear any hair colour, nail art, and heavy makeup. The operator of Tokyu Store supermarkets has also relaxed its restrictions on hair colours, styles, accessories, nail polish, and piercings. The labour shortage in Japan, a rapidly ageing country with limited immigration, has left companies scrambling to attract workers. Two-thirds of Japanese firms have reported that the labour shortage is having a serious business impact, according to a Reuters survey. The country's working-age population has declined by 16% since a peak in 1995, according to OECD data. As a result, young people are increasingly demanding more flexibility in their part-time work, with two-thirds of students believing they should be able to choose their appearance when working part-time, according to a survey by job information and recruitment firm Mynavi. While some companies are embracing the change, others remain conservative, with traditional big-name Japanese companies still enforcing strict dress code rules. However, as the labour market continues to tighten, it remains to be seen whether these companies will follow suit and offer more flexibility to their employees.