2016 JAPAN SALARY OUTLOOK

OUTLOOKS A L A R Y & E M P L O Y M E N T

2016 JAPAN

Worldwide leaders in specialist recruitmentwww.michaelpage.co.jp

2 2016 JAPAN SALARY & EMPLOYMENT OUTLOOK

2016 JAPAN SALARY & EMPLOYMENT OUTLOOK 3

INTRODUCTION 05

ACCOUNTING & FINANCE 06

BANKING 10

ENGINEERING & MANUFACTURING 14

HEALTHCARE & LIFE SCIENCES 18

HUMAN RESOURCES 23

LEGAL 27

OFFICE SUPPORT 31

PROCUREMENT & SUPPLY CHAIN 34

RETAIL 38

SALES & MARKETING 42

TECHNOLOGY 47

TEMPORARY & CONTRACT 52

CONTACT US 60

CONTENTS


BASIL LE ROUX

Welcome to the 2016 Michael Page Salary & Employment Outlook report for Japan. This report provides executives and professionals with useful insights into salary forecasts and expectations, hiring intentions, and recruitment challenges over the next 12 months.

The Michael Page Salary & Employment Outlook combines qualitative and quantitative research, as well as expert insights and commentary from our extensive involvement in the executive and professional employment market. Our clients come from all major industry sectors and range from market-leading multinationals to small and medium-sized enterprises.

Consistent with our specialist approach to recruitment, where we have dedicated teams of recruitment professionals servicing all of our industry sectors or functions, the report provides in-depth market insights as well as detailed salary guides with tables divided into job types, years of experience or company size.

Alongside this report, we also provide a range of salary tools, advice and information on our website. Go to michaelpage.co.jp to find these features.

Thank you to everyone who contributed to this year’s Salary & Employment Outlook, I hope you find it helpful and informative. We welcome your feedback and encourage you to contact us for further information or market specific advice at www.michaelpage.co.jp

BASIL LE ROUX

Managing Director, Michael Page Japan

INTRODUCTION

6 2016 JAPAN SALARY & EMPLOYMENT OUTLOOKFinance

ACCOUNTING & FINANCE


HIRING ACTIVITY • The accounting and finance market has

enjoyed steady growth and has shown a clear sign of stabilisation after the trend of off-shoring and downsizing in previous years. Although the majority of activity is still driven by replacement hiring, we have seen an increase in headcount, which possibly reflects increasing employer confidence in the Japan economy. Over the next 12 months, we expect to see demand for finance professionals continue to increase, which will create further competition in the market.

• Hiring activity for accounting and finance professionals remains strong within the consumer sector (particularly retail and FMCG) and the healthcare sector (particularly pharmaceutical and medical devices). Activity within the IT sector has also increased.

• As many companies are expanding and looking to improve their business operations, they are seeking finance professionals that possess highly specific skills, with particular emphasis on financial analysis, audit and internal controls.

• Organisations and their C-level executives recognise the importance of highly skilled finance professionals. They seek individuals who can make a positive impact on the business by supporting the decision making process, performing analysis, identifying trends, formulating business strategies, increasing company efficiency through cost control, and possessing a deep understanding of the constantly evolving regulatory environment.

• Financial Analysts, Financial Planning & Analysis (FP&A) Managers, and Financial Controllers are a selection of the roles with the highest demand. Due to the importance of these skills to business performance, there has been urgency around replacing these roles whenever there has been turnover.

• For experience level, the highest demand remains for professionals at staff level and middle management. Candidates for Accountant and Analyst positions holding a postgraduate qualification and possessing strong communication skills are still one of the most sought-after groups within the accounting and finance job market. Companies no longer assess only the quantitative accounting skills of applicants and look for professionals with a strong balance between technical knowledge and business acumen. In particular, the ability to communicate across the organisation in a collaborative way, and the ability to apply critical thinking for commercial decisions is sought-after. Companies are increasingly eager to strengthen their internal organisation through hiring candidates with Masters degrees (particularly MBA) with the aim of growing their high potential management group.

• Accounting and finance managers with bilingual abilities are in high demand and will continue to be over the next 12 months. This skill is a high priority given that finance professionals within foreign multinational companies are often required to interact with an overseas parent company or group finance functions. These roles typically require


the ability to effectively communicate with different areas of a business and analyze information received from various departments.

• Financial Controllers will remain in demand in 2016 as this is a key position in any organisation. They are responsible for overseeing not only daily financial operations, but moreover to guide a company’s strategic financial decisions in consideration of the wider business. They are also an invaluable member of the management team, and the position needs to be replaced immediately in the case of employee turnover.

• Accounting and finance professionals with knowledge of IFRS (International Financial Reporting Standards), US GAAP (Generally Accepted Accounting Principles) and JGAAP are in consistent demand due to the need for multinational companies to report to their overseas headquarters. This has seen a continued demand for high potential individuals coming from the audit/assurance functions within the Big Four accounting firms.

SALARY AND BONUS LEVELS • Cost pressure remains strong for finance

and accounting positions, however companies will have to show flexibility and offer competitive compensation and benefits in order to attract top talent in the market.

• While all accounting and finance positions will see an increase in compensation, especially on starting salaries, some roles will experience a greater jump than others.

• Candidates in high demand functions, such as FP&A, will typically receive multiple offers, and will be able to command above-average salary and bonus levels when seeking alternative employment opportunities.

• Individuals with these skills are often changing jobs for larger salary increases, which is placing upward salary pressure on employers.

ATTRACTION AND RETENTION • Ongoing success within finance functions

is directly linked to a company’s ability to attract and retain their core talent, especially as it is more and more challenging to find skilled professionals across all levels today.

• The best employers continue to focus on retention strategies for existing employees and on reviewing their hiring processes to stay competitive in the market. These strategies include a higher level of training, staff/management development programs and secondments - either to other divisions or internationally.

• Given market conditions, the ability to provide more exposure to financial planning and analysis or projects has also proved successful.

• Most accounting professionals prefer a mix of financial and non-financial rewards.


Role Small Company Medium Company Large CompanyMillions (Yen) Millions (Yen) Millions (Yen)

GeneralAccountant / Financial Analyst

0-3 years 4 - 5.5 4.5 - 6 4.5 - 6.5

3-5 years 5 - 7 5.5 - 7 6 - 8

5-7 years 7 - 8.5 7.5 - 9 8 - 11

Accounting Manager

5-7 years 8 - 9.5 9 - 11.5 10.5 - 12

7+ years 10 - 12 10 - 13 12 - 14

Financial Planning & Analysis

5-7 years 8 - 11 10 - 13 12 - 14

7+ years 10 - 13 12 - 15 15+

Specialist

Audit

3-5 years 5.5 - 7.5 6 - 8.5 7 - 9

5-7 years 7 - 8.5 8 - 9.5 8.5 - 11

7+ years 8 - 9.5 9 - 10.5 9.5 - 13

OtherFinancial Controller 10 - 13.5 12.5 - 15.5 14.5 - 18+Finance Director 14 - 18 15 - 20 18+Internal Audit Manager 8 - 13 12.5 - 16+Treasury Manager 8 - 13.5 13 - 17Tax Manager 8 - 14 14 - 18+

SALARY TABLES

ACCOUNTING & FINANCE


BANKING & FINANCIAL SERVICES


HIRING ACTIVITY • There has been relatively higher demand

for candidates in asset management, real estate and insurance than investment banking since 2014.

• Investment banks have relatively high turnover and are not influenced by inflation. As a result many are continuously hiring throughout the year. However, this hiring tends to be limited to high potential junior candidates who prove difficult to source.

• Since equities have performed well over the last year in the secondary market (or circulation market), the need to prevent staff attrition in equity departments became more pronounced than that in bond departments. Trading in not only Japanese stocks, but also Pan Asia Equity in general, has shown particular growth. To support this growth, various securities firms have been actively hiring junior, bilingual candidates.

• With the GPIF (Government Pension Investment Fund) shifting investment strategies from bonds to equities and alternative investments, asset management firms are hiring experts for positions related to alternative investments. Product Managers with knowledge and expertise in technical products and investment risk will be in particularly high demand.

• Hiring for real estate investment firms has been consistently active to date. However, rising property prices are creating an increasingly challenging market which is likely to lead to a decrease in hiring this year.

• Due to increased hiring activity and competition across the banking industry, there is a shortage of high potential junior candidates. These candidates have their pick of offers and will generally not rush to make a decision or accept a new role.

• There is still strong demand for experienced compliance professionals, especially those with direct experience liaising with local regulators and handling regulatory inspections.

• Compliance Officers with experience in AML (Anti-Money Laundering), ASF (Anti-Social Forces), Compliance Testing and e-Communications monitoring and surveillance remain in high demand.

• On the buy-side, there has been an increase in demand for senior compliance officers with experience obtaining and maintaining licenses from the FSA and the Kanto Local Finance Bureau. This is due to a number of asset management firms looking to expand their business and obtain a DIM (Discretionary Investment Management) license from local regulators.

• Finance professionals with experience in areas such as financial reporting, liquidity risk management, capital adequacy and stress testing are highly sought after as financial institutions continue to improve internal controls and comply with new global standards as outlined in Basel III.

• A number of global investment banks have been looking to strengthen the first line of defense by developing front office teams that specialise in risk and control.


Such firms are typically seeking candidates with experience in audit, compliance or other control functions, which is further straining the already limited candidate pools in those functional areas.

• In previous years, the majority of hiring for internal audit positions was limited to replacement hires. Recently, there has been an increase in new headcount for Internal Auditors in investment banks as part of a global initiative to strengthen audit functions, due to pressure from regulators.

• The implementation of IFRS for accounting and Solvency II in the insurance industry means that there is continued demand for governance, risk and compliance professionals, as companies continue to strengthen their ERM (Enterprise Risk Management) framework.

• Big Four audit firms are continuing to build up their advisory teams to perform gap analysis and advise their clients in the financial services industry on how they can minimise the potential impact of regulatory changes.

SALARY AND BONUS LEVELS • Salary levels for banking professionals

working in front office, finance, middle office and operations will remain largely constant with the previous year.

• There continues to be a shortage of experienced compliance professionals, meaning that those candidates with direct experience can typically negotiate for a higher salary when making a lateral move.

• Employers tend to offer a higher base salaries than three years ago by approximately 10-20%, because top tier candidates will not consider a lateral move without a base salary increase. In addition, employers often must engage in difficult salary negotiations with potential candidates.

ATTRACTION AND RETENTION • Many financial institutions are focusing

on internal mobility, offering better work-life balance, implementation of programs for working parents, childcare and career progression to retain top performers.

• Due to a shortage of qualified talent in the market, banks have implemented greater flexibility in their hiring in order to attract bilingual banking professionals with high potential who are looking to make a lateral move.

• A number of global financial institutions have been focusing on hiring more junior talent from analyst to associate level so they can promote more people internally and grow teams organically.

• Foreign investment management firms in need of junior banking professionals are starting to transfer talent working in securities and trust banks who have strong potential. In particular, they are targeting individuals with an ability to work with domestic clients, and who are looking for more stability and a long-term career path.


Role Analyst Associate VP DirectorMillions (Yen) Millions (Yen) Millions (Yen) Millions (Yen)

Front Office (Sell side)

Investment Bank (IBD) 7 - 10 11 - 15 16 - 20 21 - 26

Research (Equity and Fixed Income) 7 - 9 10 - 14 15 - 18 19 - 25

Sales (Cash and Derivatives) 7 - 9 10 - 14 15 - 18 19 - 25

Trading (Cash and Derivatives) 7 - 9 10 - 14 15 - 18 19 - 25

Front Office (Buy side)

Research (Equity and Fixed Income) 7 - 9 10 - 13 13 - 17 18 - 22

Fund Manager 7 - 9 10 - 13 13 - 17 18 - 22

Sales (Mutual Fund, FIG, Pension) 7 - 9 10 - 13 13 - 18 18 - 25

Product Manager 7 - 9 10 - 13 13 - 17 18 - 22

Marketing 6 - 8 9 - 12 13 - 16 17 - 20

Front Office (Corporate Bank)

Relationship Management 5 - 7 8 - 10 11 - 12 13 - 15

Structured Finance (Project/ECA Finance) 5 - 7 8 - 10 11 - 12 13 - 15

Front Office (Private Equity)

Private Equity 6 - 9 8 - 10 11 - 12 13 - 15

Risk Management

Credit Risk 6 - 8 8 - 12 13 - 16 17 - 22

Market Risk 6 - 8 8 - 12 13 - 16 17 - 22

Quants 7 - 9 9 - 13 14 - 17 18 - 24

Operational Risk 6 - 8 8 - 12 13 - 16 17 - 22

Actuary 7 - 9 9 - 13 14 - 17 18 - 24

Operation and Middle Office

Trade Support (Exotic and Structured) 6 - 8 8 - 12 12 - 15 16 - 22

Trade Support (Flow and Vanilla Products) 6 - 8 8 - 12 12 - 15 16 - 22

AM Operations (Client Reporting, Fund Accounting) 6 - 8 8 - 10 10 - 12 12 - 15

Bank Operations (Treasury Ops, Remittance, Account Opening) 5 - 7 7 - 9 9 - 11 12 - 15

Securities Operations (Settlements) 6 - 8 8 - 12 12 - 15 16 - 22

Corporate Governance

Internal Audit 6 - 8 8 - 12 13 - 16 17 - 22

Technology Audit 6 - 8 8 - 12 13 - 16 17 - 22

Central Compliance 6 - 8 8 - 12 13 - 16 17 - 22Compliance Advisory 6 - 8 8 - 12 13 - 16 17 - 25Finance and Accounting Financial Accounting/Reporting 6 - 8 8 - 12 12 - 14 15 - 22Product Control 6 - 8 8 - 12 12 - 14 15 - 22Tax 6 - 8 8 - 12 12 - 14 15 - 22

SALARY TABLES

BANKING & FINANCIAL SERVICES


Engineering &Manufacturing

ENGINEERING & MANUFACTURING


HIRING ACTIVITY • There is currently positive hiring activity

for engineering professionals due to the steady performance of the manufacturing industry. This is expected to continue over the next 12 months. Hiring for engineering professionals has been particularly strong within the automotive industry, as it continues to be a leading industry in Japan.

• As the manufacturing industry continues to shift towards an international supply chain, engineers who are able to speak English are in more demand than ever.

• Due to a computerization trend, there is steady recruitment in the electric industrial devices and equipments industries.

• There has been strong demand for engineering professionals in the chemical sector due to innovation for new materials in a variety of products such as automobile chassis, airframes, and digital consumer products, etc.

• Job types that are currently in high demand are Sales Engineers, Application Engineers, Project Managers, and Facility Managers. These job types are expected to be in particularly high demand over the next 12 months.

• Distribution and logistic property services are building distribution centers and stores throughout the country because of an increase in sales. This trend is creating stronger demand for Construction Managers.

• Due to the growth of the renewable energy industry, companies have been urgently and actively seeking talented candidates for engineer and business development positions. For engineers, candidates who have experience in another industry may also be considered.

• Usually, foreign multinationals do not manufacture products in Japan. However, due to the high expectations of Japanese clients, foreign companies have begun to establish manufacturing bases and R&D centers within the country. This has created demand for Plant Engineers and Design Engineers.

• Professionals with electrical, mechanical or chemical engineering skill sets are in demand due to the fact that many products are mainly composed of electrical, mechanical or chemical technology.


SALARY AND BONUS LEVELS • Environment, Health and Safety Engineers

and Electrical Engineers who work with high voltage will be awarded above average salary and bonus increases, as well as Process Engineers who have a working knowledge of the Japanese Pharmaceutical Act.

• Since engineers who speak both English and Japanese are more in demand than ever, candidates have been able to command a salary that is from 10% to 15% higher than that of non-bilingual engineers.

ATTRACTION AND RETENTION • Employers are offering new retention

strategies in order to keep qualified engineers by offering flexible working arrangements and setting long term career progression programs.

• Employers strive to create a corporate culture where it is possible for employees to develop a long term career.


Role 0-3 Years 3-5 Years 5-7 Years 7+ YearsMillions (Yen) Millions (Yen) Millions (Yen) Millions (Yen)

R&D

Design Engineer 4 - 5 5 - 8 6 - 8 7 - 12

Process Development Engineer 4 - 5 5 - 8 6 - 8 7 - 12

Researcher 4 - 5 5 - 8 6 - 8 7 - 13

S/W Test Engineer 4 - 5 5 - 7 5 - 8 7 - 9

Embedded S/W Engineer 4 - 5 5 - 7 6 - 8 7 - 13

Industry Designer 7 - 15

R&D Center Director 10 - 20

Plant Engineer

Plant Manager 9 - 20

Process Engineer Manager 7 - 9 8 - 13

Process Engineer 4 - 5 5 - 7 6 - 8 7 - 10

Facility/Utility Engineer 4 - 5 5 - 7 6 - 8 7 - 15

QC/QA Engineer 4 - 5 5 - 7 6 - 8 7 - 12

EHS 4 - 5 5 - 7 6 - 8 7 - 13

Equipment Engineer 4 - 5 5 - 7 6 - 8 7 - 11

Field Engineer

Sales Engineer 4 - 5 5 - 7 6 - 8 7 - 12

Application Engineer 4 - 5 5 - 7 6 - 8 7 - 12

Field Service Engineer 4 - 5 5 - 7 6 - 8 7 - 11

In-house Engineer

Customer Support Engineer 4 - 5 5 - 7 6 - 7 7 - 9

Technical Marketing 6 - 9 8 - 18

Project Manager 6 - 9 8 - 15Sourcing Engineer 6 - 8 7 - 12Regulatory Affairs 6 - 8 7 - 12

SALARY TABLES

ENGINEERING & MANUFACTURING


Healthcare &Life Sciences

HEALTHCARE & LIFE SCIENCES


HIRING ACTIVITY • Despite uncertainty in Japan’s economic

future, hiring activity in healthcare industries will continue to rise with the well-known factor of Japan’s aging population and rising healthcare spending per capita.

• Hiring activity in the clinical development area is expected to remain strong over the next 12 months. The number of global clinical trials in Japan also increased this year. Global sponsors are forecasting this increase to continue in 2016 and are actively selecting global CRO partners with Japan operations.

• The ‘service to pharmaceutical’ industry is growing, and manufacturers are investing more in outsourced service providers because of increasing quality and lower cost. Project Managers and Consultants in service companies will continue to be in high demand in 2016.

• Medical Affairs and Medical Science Liaisons with MD/PhD qualifications are in high demand along with CRA, sales and marketing professionals who specialise in healthcare. Employers are requiring not only commercially minded professionals, but also technically strong academics with robust degrees and specialties.

• Drug Safety (pharmacovigilance and post-market surveillance) hiring is on the rise with stricter regulation on products in clinical trials and following approval.

• Health technology assessment (HTA) in Japan is yet to be fully implemented, however, the rising healthcare costs and need for government regulation is causing some healthcare companies to invest in health economics and outcomes research (HEOR) and market analytics hiring.

• Some companies that cover both the life sciences and diagnostics areas are narrowing their coverage towards diagnostics because of larger return on investment. Diagnostic sales hiring will increase to match this growth.

• Most international healthcare companies continue to struggle to hire qualified candidates with a strong technical skill set and the ability to communicate and influence in both Japanese and English.


SALARY AND BONUS LEVELS • Many manufacturers are focusing their

efforts on fewer therapeutic areas, and as a result, candidates with unique matching specialties are of greater value and demanding higher salaries.

• Contract research organisations are often able to offer higher salaries than pharmaceutical and medical device manufacturers. This is due to the upward trend of outsourced clinical services and the strong competition among the CROs for qualified candidates.

• The decrease in life sciences talent in the market is making these candidates more expensive to retain.

ATTRACTION AND RETENTION

• Flexible working time and working from home arrangements are increasingly being used to attract and retain employees, specifically targeting working individuals who are caring for children or the elderly.

• In terms of attraction and retention strategies, the majority of healthcare professionals prefer financial rewards such as stock options, over non-financial rewards.

• Housing allowance and relocation assistance are important employment incentives for sales professionals covering regions across Japan.


Role Salary (0-3 yrs) Salary (3-5 yrs) Salary (5-7 yrs) Salary (7+ yrs)Millions (Yen) Millions (Yen) Millions (Yen) Millions (Yen)

Clinical ResearchClinical Study Manager 6 - 8 8 - 11 9 - 13 9 - 13

Clinical Project Manager 8 - 11 11 - 13 12 - 14 12 - 16

Clinical Lead (non-MD) 8 - 11 11 - 14 13 - 15 13 - 16

Clinical Operations Director 15 - 18 16 - 18 16 - 20 17 - 20

Clinical Lead (MD) 15 - 18 15 - 18 16 - 20 16 - 20

Clinical Development Director 15 - 20 16 - 20 17 - 21 18 - 21

Medical AffairsMedical Science Liaison 7 - 11 7 - 11 9 - 12.5 9 - 12.5

Medical Affairs Manager 9 - 12 9 - 12 10 - 14 10 - 14

Medical Affairs Director (non-MD) 13 - 16 13 - 16 14 - 18 14 - 18

Medical Affairs Director (MD) 17 - 20 17 - 20 19 - 25 19 - 25

Research and DevelopmentScientists (non–PhDs) 5 - 8 6 - 9 7 - 10 7 - 10

Scientists (PhDs) 6 - 8 7 - 10 8 - 12 8 - 12

Regulatory and CompliancePMS Manager 9 - 12 9 - 12 10 - 13 10 - 13

Regulatory Affairs Manager 9 - 12 9 - 12 10 - 15 10 - 15

Pharmacovigilance Manager 9 - 12 9 - 12 10 - 13 10 - 13

Regulatory Affairs Director 13 - 17 13 - 17 15 - 20 15 - 20

Pharmacovigilance Director 12 - 16 14 - 17 15 - 20 15 - 20

QA/QC Manager 9 - 12 9 - 13 10 - 15 10 - 15

CommercialSales/Medical Representative 6 - 10 6 - 10 7.5 - 12 9 - 13

Product Manager 7 - 9 9 - 13 10 - 15 10 - 15

Sales Manager 9 - 11 10 - 14 11 - 16 11 - 16

Senior/Group Product Manager 10 - 12 12 - 15 13 - 16 13 - 16

Marketing Manager 12 - 16 12 - 16 13 - 16.5 13 - 16.5

Business Development Director 15 - 19 15 - 19 16 - 20 16 - 20

Marketing Director 16 - 19 16 - 19 16 - 21 16 - 21

Sales Director 14 - 20 14 - 20 16 - 22 16 - 22

General Manager 18 - 30 18 - 30 20 - 35 20 - 35

Business Unit Director 19 - 24 19 - 24 21 - 26 21 - 26

SALARY TABLES


PHARMACEUTICALS



Regulatory and Compliance

Regulatory Affairs Manager 9 - 12 9 - 12 10 - 15 10 - 15

Regulatory Affairs Director 13 - 17 13 - 17 15 - 20 15 - 20

QA/QC Manager 9 - 12 9 - 13 10 - 15 10 - 15

Commercial

Sales 4.5 - 7 4.5 - 7 6 - 11 6 - 12

Product Manager 7 - 9 9 - 13 10 - 15 10 - 15

Sales Manager 9 - 11 10 - 14 11 - 16 11 - 16

Senior/Group Product Manager 9 - 12 9 - 12 9 - 12 9 - 12

Marketing Manager 8 - 12 8 - 12 9 - 12 9 - 12



Sales Director 10 - 13 10 - 13 13 - 18 13 - 18

General Manager 18 - 30 18 - 30 20 - 35 20 - 35



Clinical Research

Sales 4 - 6 5 - 7 5 - 8 6 - 10

Product Manager 5 - 8 6 - 8 7 - 10 8 - 12

Sales Manager 7 - 10 7 - 10 8 - 15 8 - 17

Marketing Manager 8 - 12 8 - 12 8 - 15 9 - 15



Sales Director 10 - 16 14 - 18 15 - 19 15 - 25

General Manager 10 - 15 12 - 16 12 - 20 14 - 25


MEDICAL DEVICES

LIFESCIENCE/DIAGNOSTICS

SALARY TABLES



HUMAN RESOURCES

Human Resources


HIRING ACTIVITY • Hiring activity within the human resources

field is strong and is expected to continue at this level over the next 12 months. The strength of hiring activity can be attributed to a shortage of qualified and bilingual professionals.

• There have been a steady number of available jobs, and a continued increase for in-house recruiting positions as well as HR business partners.

• Industries with the most demand have been the retail, consumer goods, healthcare, and IT. Financial industries recruited at similar levels as the previous year.

• Hiring activity for bilingual HR consultants also increased due to new projects acquired by major consulting firms.

• The retail and consumer industries have always seen high demand for HR professionals. They are competing against established Japanese brands and are committed to investing in their staff to retain a leading position in the Japanese market.

• The IT industry continues to demonstrate innovation, growth and diversity. As a result, more support is needed from HR professionals to increase headcount to capitalise on growth potential. IT companies continue to recruit through their own networks with mixed results.

• The weakening yen has allowed foreign companies to invest more heavily in human capital. This, combined with a lack of bilingual professionals and a quickly aging workforce, is spurring hiring activity for HR professionals within strong performing industries.

• Japan’s aging population is contributing to a high demand for HR professionals with experience in the healthcare industry.

• HR Generalists and HR Business Partner positions continue to be in-demand functions for companies as there is an increased demand for HR professionals who are capable of interfacing and partnering with the business from a strategic point of view, rather than operating purely as a support function. These job roles are expected to be in high demand over the next 12 months.

• With some international companies viewing Japan as an optimistic market for growth, there is a high demand within organisations for recruiters who have previous experience sourcing and attracting talent through innovative channels, such as direct sourcing. The talent pool for recruiting professionals is minimal, and there is a trend of external recruiters to move into internal HR roles.

• Recruitment roles will be in high demand over the next 12 months. As many businesses are either expanding


or cutting recruitment costs, they need proactive recruiting professionals who are able to source the most qualified talent through their direct sourcing skills or a recruitment agency.

• HR professionals who specialise in compensation and benefits are currently highly sought-after.

• For multinational companies it is always advantageous for HR professionals to be fluent in English. Businesses will also favour professionals with direct sourcing and strategic HR skills for implementing new, cost saving initiatives – skills that are in currently in high demand.

SALARY AND BONUS LEVELS • HR professional who are working in

the financial services and commercial industries can expect salary increases of approximately 2%.

ATTRACTION AND RETENTION • New attraction and retention strategies are

starting to emerge, such as job rotation, career progression, special projects, sign-on bonuses and training abroad.

• In terms of workplace incentives, most HR professionals prefer financial rewards and career progression.



Banking and FinanceHuman Resources Administration 5 - 7 5 - 7 5 - 7 5 - 7Human Resources Generalist (Junior) 5 - 7 6 - 8

Learning & Development Specialist 4 - 6 5 - 7 6 - 8 7 - 12

Recruitment Specialist 4 - 6 6 - 8 7 - 9 9 - 11Human Resources Generalist (Mid–level) 5 - 7 7 - 9 9 - 11 10 - 13Compensation & Benefits Specialist 6 - 8 8 - 10 9 - 12Learning & Development Manager 8 - 11 9 - 12 10 - 13 12 - 16Recruitment Manager 8 - 11 9 - 12 10 - 13 10 - 18Human Resources Manager 9 - 12 10 - 13 11 - 16 12 - 18Compensation & Benefits Head 10 - 13 11 - 14 12 - 15 14 - 18Learning and Development Head 10 - 13 12 - 15 14 - 16 14 - 18Human Resources Generalist (Senior/CRM) 10 - 13 12 - 15 14 - 17 14 - 20Human Resources Director 13 - 16 15 - 17 15 - 19 17 - 35Commerce and IndustryHuman Resources Administration 4 - 6 4 - 6 4 - 7 4 - 7Payroll 4 - 6 4 - 7 5 - 7 5 - 8Human Resources Generalist (Junior) 5 - 7 6 - 8Recruitment Staff 5 - 7 6 - 9 7 - 10 9 - 12Compensation & Benefits Specialist 5 - 7 6 - 8 8 - 10 10 - 13Learning & Development Specialist 5 - 7 6 - 9 7 - 10 8 - 12Payroll Manager 5 - 7 6 - 8 7 - 9 8 - 10Human Resources Generalist (Senior/CRM) 7 - 9 8 - 11 8 - 14 8 - 14Recruitment Manager 7 - 10 7 - 10 8 - 12 10 - 16Learning & Development Manager 8 - 10 8 - 10 9 - 12 10 - 16Compensation & Benefits Manager 8 - 11 10 - 13 10 - 13 10 - 15Human Resources Manager 8 - 10 8 - 10 10 - 14 10 - 16Human Resources Director 12 - 15 13 - 17 15 - 20 15 - 30

SALARY TABLES

HUMAN RESOURCES

2016 JAPAN SALARY & EMPLOYMENT OUTLOOK 27Legal

LEGAL


HIRING ACTIVITY • Hiring activity for the legal market in 2015

was fluid across the market, particularly with an increase in demand for in-house Legal Counsels and Legal Managers. Financial services institutions were actively looking for Legal Counsels with relevant experience, and private practice firms continued to strengthen their M&A and project finance businesses.

• Amongst the three key areas (commercial, private practice and financial services), the biggest growth clearly stemmed from commercial companies within the pharmaceutical, technology and gaming sectors.

• Japan has one of the largest pharmaceutical markets in the world, yet its growth rate has been slower than anticipated due to a number of challenges.

• By global standards, Japan is still not fully up to speed on compliance and regulatory matters, resulting in high demand for Legal Counsels.

• There is always high demand for legal skills in the technology sector, including media and telecom, and this was particularly the case as the exchange rate enabled technology companies to focus on outbound businesses. As transactions within technology are usually not complex, most mandates were for Legal Managers rather than Legal Counsels.

• The gaming sector also continued to see growth as Japanese companies looked to expand their businesses overseas, with industry popularity at an all-time high.

Likewise, within the technology sector, Legal Managers have been in demand to oversee non-complex legal matters, mostly contract reviews.

• While the financial services industry itself only experienced limited growth, there has been an increase in demand for Legal Counsels due to a stricter set of regulations. Professionals with compliance exposure to look after regulatory matters, and experience in capital markets and M&A transactions have been in demand.

• Private practice firms are primarily focused on expanding project finance. For example, a number of airports are currently looking to renovate their facilities, such as the Osaka and Sendai Airport, and the Tokyo Olympics in 2020 will demand substantial infrastructure projects. There was also a greater focus in 2015 on LNG (Liquefied Natural Gas) projects. Given the nature of these transactions, most international law firms targeted PQE with two to five years experience that are both globally and locally qualified.

• Within private practice the banking and finance sector saw increased optimism due to the government encouraging foreign entities to enter the market, leading to more capital markets and M&A transactions. In this space, PQE three to five years’ experience that are ideally locally qualified are sought after, with potential to hire a foreign qualified lawyer.

LEGAL – 2016 JAPAN SALARY & EMPLOYMENT FORECAST


SALARY AND BONUS LEVELS • There has been a slight increase in

salary within the in-house legal counsel area, particularly for opportunities which require concurrent industry expertise. For example, given the limited number of qualified legal counsels within the healthcare and pharmaceutical industry, institutions were willing to provide attractive packages. Private practice firms continue to offer healthy compensation in line with the industry standard, and financial services firms have remained steady.

ATTRACTION AND RETENTION • Given the lack of significant variance in

salaries amongst commercial institutions, non-monetary benefits have become critical. In this regard, work-life balance and the ability to work from home have been the leading factors to attract and retain professionals.

• Within private practice, the prospect of advancement with the respective firm has been the most important factor. Once it becomes clear that the partnership track is unlikely, associates look to make a move to in-house. Moreover, even when professionals are on track to become a partner, a good number of associates consider making a move for a more sensible work-life balance.

• Financial services institutions typically lack the flexibility to significantly increase current employees’ salaries and titles given the specific restrictions applied to each hire. This extends to offered salaries as well which tend to be in line with market rates.



Private Practice - LocalNewly Qualified 6 - 10 9 - 12 11 - 14 14+Associate 9 - 12 11 - 13 13 - 15 16+Senior Associate 12 - 14 13 - 15 14 - 17 17+Salaried Partner 18 - 21 20 - 23 21 - 25 30+Equity Partner 20 - 23 22 - 25 24 - 30 40+Private Practice - InternationalNewly Qualified 12 - 17 15 - 19 18 - 22 22+Associate 15 - 18 16 - 20 19 - 23 24+Senior Associate 17 - 19 19 - 21 20 - 23 25+Salaried Partner 22 - 25 25 - 28 28 - 32 35+Equity Partner 30 - 35 35 - 40 40 - 45 50+In-house Corporate (MNC)Post-Qualified Experience (PQE)0-3 years 6 - 8 8 - 10 10 - 13 14+4-7 years 8 - 10 10 - 12 12 - 14 15+8+ years 10 - 13 13 - 15 14 - 17 18+Financial ServicesPost-Qualified Experience (PQE)0-3 years 7 - 10 10 - 13 15 - 18 18+4-7 years 11 - 12 12 - 14 14 - 17 19+8+ years 13 - 15 15 - 17 17 - 20 20+Paralegals and Legal SecretariesParalegal 4 - 5 4 - 5 5 - 6 7+Senior Paralegal 4 - 6 6 - 7 7 - 8 8+Legal Secretary/Assistant 3 - 5 4 - 5 5 - 6 6+

SALARY TABLES

LEGAL

2016 JAPAN SALARY & EMPLOYMENT OUTLOOK 31Office Support

OFFICE SUPPORT


HIRING ACTIVITY • Hiring activity for office support

professionals has been strong and is expected to remain strong over the next 12 months.

• Although comparatively less than last year, there is still a consistent in-flow of expatriate professionals relocating to work in Japan. This has created demand for skilled office support staff especially with previous experience supporting non-Japanese executives.

• The finance sector continues to experience the strongest hiring activity for office support staff. In addition, the industrial sector has also showed higher volume of hiring activity, particularly in Sales Assistant roles.

• The retail industry has also experienced strong hiring activity for office support staff due to a slightly higher turnover compared to other industries, which opens opportunities for replacement hires. The retail sector still requires potential applicants to have previous retail or B2C experience.

• Sales Assistant roles are currently in high demand, especially for the IT sector and companies with tangible products, in line with their sales growth.

• The demand for General Affairs/Officer Manager roles slowed down slightly in 2015 as this area predominantly hired only on replacement basis.

• Japanese corporations with plans for overseas business expansion have started to hire bilingual office support

professionals to bridge communication between Japan and overseas counterparts.

• Interpersonal skills are important for office support professionals as businesses are keen to hire individuals who can facilitate both internal and external communication.

SALARY AND BONUS LEVELS • The financial services, medical,

pharmaceutical, and IT fields have been able to offer higher salaries compared to other industries, due to companies requiring that candidates have a background from a similar industry.

• Employers tend to hire junior staff in office support roles to keep salary levels low. The exception is for Executive Assistant positions where extensive experience is necessary.

ATTRACTION AND RETENTION • Most office support professionals prefer

a mix of financial and non-financial rewards.

• Work life balance, company stability, English usage, as well as career progression opportunities to areas outside of office support, are some examples of what high-potential, bilingual, office support candidates are looking for when selecting their next employer.



Banking and FinanceOffice Administrator 3 - 5 4 - 6 4 - 6 5 - 7Sales Assistant 4 - 5 5 - 6 6 - 8 8 - 12

Administrative Assistant 4 - 5 5 - 6 6 - 8 6 - 8

Legal Secretary 4 - 5 5 - 6 6 - 7 7 - 8Group Secretary 4 - 5 5 - 6 6 - 7 7 - 8Secretary/PA 5 - 6 6 - 7 7 - 8 8 - 10Executive Assistant 5 - 6 6 - 7 7 - 9 9 - 12Research Assistant 4 - 5 5 - 6 7 - 8 8 - 10Interpreter 4 - 5 4 - 5 5 - 7 7 - 12Translator 4 - 5 4 - 5 5 - 7 7 - 13General Affairs 4 - 6 4 - 6 6 - 8 8 - 15Facility Management 4 - 6 4 - 6 6 - 8 8 - 15Office Manager 4 - 5 5 - 6 6 - 8 8 - 12Commerce and IndustryOffice Administrator 3.5 - 4.5 4 - 5 5 - 6 5 - 6Sales Assistant 3.5 - 4.5 4 - 5 5 - 6 5 - 6Administrative Assistant 3.5 - 4 4 - 6 5 - 6 5 - 6Group Secretary 4 - 5 5 - 6 6 - 7 6 - 7Secretary/PA 4 - 5 5 - 6 6 - 7 6 - 7Executive Assistant/PA 4 - 5 5 - 6 6 - 7 8 - 10Interpreter 3.5 - 4 4 - 5 5 - 7 7 - 10Translator 4 - 5 5 - 6 6 - 8 8 - 10General Affairs 3 - 5 4 - 6 6 - 7 7 - 10Facility Management 4 - 5 4 - 6 6 - 7 7 - 10Office Manager 4 - 5 5 - 6 6 - 8 6 - 8

SALARY TABLES

OFFICE SUPPORT


Procurement &Supply Chain

PROCUREMENT & SUPPLY CHAIN


HIRING ACTIVITY • Hiring activity within the procurement and

supply chain sector was stable across most industries during 2015. This is due to a healthy economic outlook and companies looking to maintain headcount levels, while adding new staff in key strategic areas.

• Hiring for qualified procurement and supply chain professionals is expected to remain strong over the next 12 months.

• Demand for professionals continues to be consistent within the healthcare sector, specifically across pharmaceutical and medical devices, with international firms continuing to invest strategically in the Japan market.

• There was considerable increase in demand in the retail and luxury sector. This was due to a consistently weak yen, which drove strong sales from overseas tourists visiting Japan and taking advantage of lower prices on luxury brands.

• Hiring activity has also been stable within the industrial and automotive industries with no major changes from previous years.

• Supply chain professionals who specialise in demand and supply planning are in high demand due to a shortage of talent in these disciplines. This role requires strong numerical and analytical skills for accurate forecasting of sales and supply trends.

• Indirect procurement professionals with the ability to report overseas to global procurement headquarters and manage local stakeholders continue to be in high demand. However, hiring in this area has tended to focus more on staff level roles rather than managerial in recent months. This trend could continue with higher demand for junior professionals with bilingual skills.

• Procurement professionals with the ability to negotiate and finalise contracts with suppliers based overseas continue to be in high demand due to their linguistic and negotiation skills.

• Demand for supply chain professionals specialising in logistics operations improvement will be high over the next 12 months. Employers have increased their hiring for Logistics Managers within the retail and luxury product sectors as consumer sentiment improves.

• As supply chains continue to become increasingly global and automated, procurement and supply chain professionals with bilingual skills in English and Japanese, in addition to knowledge of the latest IT systems and tools, are in high demand.

• Procurement and supply chain professionals who are proficient in ERP systems, such as SAP and Oracle, will have a significant advantage over other job seekers.


SALARY AND BONUS LEVELS • Supply Chain Managers and Directors

with deep knowledge and experience in a specific industry are able to command higher salary levels. This is due to their ability to manage the entire supply chain and partner with senior executives, as well as their broad knowledge of various aspects of the supply chain like planning, logistics, 3PL operations, and customer service.

• Bilingual professionals who specialise in indirect procurement will be able to command above average salary and bonus levels. This can be attributed to their communication and negotiation skills, and their ability to manage internal and external stakeholders in order to reduce indirect costs to the business.

ATTRACTION AND RETENTION

• Employers are offering their procurement and supply chain employees more attractive retention strategies, such as better work-life balance, flexible working hours or the ability to work from home.

• More international exposure and team management responsibilities across countries is also viewed as an attraction and retention tool.

• Most procurement and supply chain professionals prefer a mix of financial and non-financial rewards.



Procurement, Purchasing

Buyer (Direct) 4 - 6 6 - 7 7 - 8 8 - 9

Indirect/Service Procurement 5 - 6 6 - 7 7 - 8 7 - 8

Manager 7 - 8 8 - 9 9 - 10 9 - 10

Senior Manager 9 - 10 10 - 11 11 - 13 12 - 13

Director 14 - 15 14 - 15 15 - 18 15 - 18

Supply Chain

Supply Chain Analyst 5 - 6 6 - 7 6 - 7 7 - 8

Assistant Manager (Forecasting/Planning) 6 - 8 6 - 8 8 - 9 8 - 9

Demand/Supply Planning Manager 8 - 10 9 - 10 9 - 10 10 - 11

Senior Manager 9 - 10 10 - 11 11 - 13 12 - 13

Director 14 - 15 10 - 11 15 - 18 16 - 19

Logistics, Warehousing, Distribution

Logistics Staff 4 - 5 5 - 6 6 - 7 6 - 7

Customer Service Staff 3 - 4 4 - 5 5 - 6 5 - 6

Senior Inventory Controller 6 - 7 6 - 7 7 - 8 7 - 8

Logistics Operations Manager 7 - 8 7 - 8 8 - 9 8 - 9

Distribution Centre Manager/Lead 8 - 9 8 - 9 9 - 10 9 - 10

General Manager/Director 14 - 15 14 - 15 15 - 18 16 - 19

3PL, Logistics Service Provider

Warehouse Team Leader 5 - 6 5 - 6 6 - 8 6 - 8

Operations Manager 7 - 8 7 - 8 8 - 9 9 - 10

Senior Operations Manager 9 - 10 10 - 11 11 - 13 12 - 13

General Manager 15 - 16 16 - 18 16 - 18 18 - 20

Vice President 16 - 18 16 - 18 18 - 20 20 - 22

Consulting

Senior Consultant 7 - 8 8 - 9 9 - 10 9 - 10

Manager 9 - 10 10 - 11 11 - 12 11 - 12

Senior Manager 11 - 12 11 - 12 12 - 14 12 - 14

Director 15 - 16 16 - 17 18 - 20 20 - 22

SALARY TABLES

PROCUREMENT & SUPPLY CHAIN

38 2016 JAPAN SALARY & EMPLOYMENT OUTLOOKRetail

RETAIL


HIRING ACTIVITY • Hiring within the retail sector remained

strong throughout 2015, with usual slowdowns in the beginning of the year and summer due to bonus season. Common reasons for hiring ranges from regular staff turnover, replacement of underperformers, and change of global strategy or local executive management. A healthy volume of hiring activity for retail professionals is expected to continue over the next 12 months.

• The 2020 Tokyo Olympics is encouraging strong hiring activity, particularly within the sports retail area.

• Hiring activity in the luxury industry remains stable. There has been demand for retail staff who are able to service the increasing inbound tourists primarily from China and other Asian countries.

• Merchandisers and Retail Managers will be in high demand over the next 12 months as they are the key individuals who drive revenue. There is turnover for these positions as professionals typically consider outside options after a few years with a company. Headhunting is also becoming more popular for these positions.

• Hiring activities for Merchandisers at junior level has remained high throughout the year, regardless of brand and product category.

• Retail professionals who specialise in Ecommerce merchandising will be in high demand over the next 12 months as many retailers launch and expand their Ecommerce businesses. As Ecommerce merchandising is a relatively new specialty, companies need to train and develop existing employees, or hire externally.

• Regardless of products and brands, there has been an upward trend of hiring demand in digital marketing and data analysis. This tends to be found in medium to large organisations where specialist teams are responsible for specific functions.

• Retail professionals who are fluent in English are highly sought after, as many companies are centralising businesses from global headquarters. They need staff who can effectively communicate with overseas counterparts. Replacement of non-bilingual middle management is predicted as centralization becomes more common.


• Proficiency in Excel remains a strong advantage for retail professionals as it is an essential skill for all sales-related roles before a company’s IT infrastructure is implemented.

• The ability to effectively communicate with a range of stakeholders is an important skill. Good communication is crucial as the retail industry involves people at different organisational levels such as global headquarters executives, back office staff, and local store employees.

SALARY AND BONUS LEVELS • Merchandisers, Sales Managers and Store

Managers will be able to command above average salary and bonus levels as they are key players in driving sales revenue.

• As the build up towards the 2020 Tokyo Olympics continues, sports and outdoor industries are enjoying business success, which will reflect on bonuses this coming year.

ATTRACTION AND RETENTION • An emerging attraction tool for retail

employers is to promote high performing staff to the headquarter office, as well as to have internal mobility opportunities within Japan and overseas.

• Most retail professionals prefer a mix of financial and non-financial rewards, such as well-rounded employee benefits from product discounts to personal development, and training programs provided by the company.

• For luxury fashion businesses, ‘clothing allowances’ are considered to be an important benefit to employees in customer facing roles.

• A retirement pension plan, or 401K, is particularly important for retail professionals that come from businesses of bigger sizes. They feel more secure when a company includes pension programs as part of compensation.



Retail

Retail Operations Manager 6 - 8.5 6 - 9 8 - 10 10 - 12

Regional Retail Operations Manager 10 10 - 12 12 - 15 15 - 20

Country General Manager 10 12 - 15 15 - 20 20 - 25

Regional General Manager 18 18 - 20 20 20 - 25

Store Management

Visual Merchandiser 3.5 - 5 4 - 6 5 - 7 8 - 10

Visual Merchandising Manager 6 6 - 7 6 - 8 9

Store Supervisor 4 - 6 4 - 6 5 - 8 6 - 8

Store Manager 4 - 5 4 - 6 4-7 10

Buying, Merchandising, Sourcing

Merchandiser 4 - 5 5 - 6.5 5.5 - 7 5.5 - 7

Assistant Manager 6 6 - 7 6 - 8 6 - 8

Manager 6 - 7.5 6 - 8 6 - 9 7.5 - 9

General Manager/Divisional Manager 8 8 - 10 10 - 13 15+

Director/Vice President 10+ 15 15 - 20 20+

Product Management

Product Manager 3.5 5.4 6.5 6.5 - 8.5

Category Controller 9 8 - 10 10 10.5

Product Director 10+ 13 15 - 20 20

Supply Chain, Logistics

Assistant Manager 4 - 5.5 5 - 7.5

Manager 4 - 6 4.5 - 8 5 - 10 6 - 10

Country Manager 20 - 22 22 - 24 24 - 26 26 - 30

Regional Director/Vice President 15 - 16 16 - 17 17 - 18 18 - 20

Warehousing, Distribution, Inventory

Inventory Controller 4 - 5.5 4 - 6 6 - 8 6 - 10

Distribution Manager 4.5 - 6 5 - 8 5 - 10 6 - 11

Regional Distribution Manager 8 - 10 10 - 11 12 - 14 14 - 16

Manufacturing, Production

Material Planning & Control Manager 8 - 12 10 - 14 10 - 14 12 - 15

Production Manager 8 - 12 10 - 14 10 - 14 12 - 15

Factory/Plant Manager 8 - 12 10 - 14 14 - 18 15 - 20

General Manager 8 - 12 10 - 14 14 - 18 15 - 20

Quality, Compliance, Technical Services

Product Technologist 4 - 6 5 - 7 5 - 8 6 - 10

Manager 5 - 8 6 - 8 7 - 10 8 - 12

Senior Manager 8 - 12 10 - 14 10 - 14 12 - 15

Director 8 - 12 10 - 14 10 - 14 12 - 15

Design, Product Development

Designer 4 - 6 5 - 7 7 - 9

Chief Designer 5 - 7 7 - 9 9 - 11

Manager 7 - 10 7 - 10 8 - 11

Director 9 - 11 9 - 11 10 - 13

SALARY TABLES

RETAIL

42 2016 JAPAN SALARY & EMPLOYMENT OUTLOOKSales & Marketing

SALES & MARKETING


HIRING ACTIVITY SALES• Demand for B2C sales candidates has

remained consistently strong throughout the year, with the major fast-moving consumer goods (FMCG) companies continuing to expand their operations and product ranges nationally. This in turn has led to requirements for larger sales teams across Japan.

• Companies selling directly to consumers have also continued their entry into the Japan market. Companies selling white goods (including kitchenware and homewares) in particular are searching for candidates with existing relationships within the major retailers and department stores.

• The travel and tourism industry has experienced a prominent increase in recruitment activity. This is due to larger numbers of inbound tourists taking advantage of the weaker currency, and new hotels being built in anticipation of the 2019 Rugby World Cup and the 2020 Tokyo Olympics. The rise in low cost carriers has also made both inbound and outbound travel much more affordable. Additionally, online travel agencies (OTA) have also expanded rapidly across Japan, with major offices typically being established in Tokyo, Osaka, Fukuoka, Hiroshima and Okinawa.

• B2B sales recruitment has remained strong, with a greater emphasis on securing senior level talent, either at the Country Manager or Sales Director level, with industry and product knowledge a firm (albeit niche) requirement.

MARKETING• B2C marketing recruitment activity

has remained strong throughout the year. FMCG and cosmetics companies continue to be successful while becoming more competitive domestically. Companies are launching new products and expanding their Ecommerce presence, which has led to greater demand for candidates with experience in these areas.

• This year has seen most major corporations and businesses within the travel and tourism sector look to increase their online presence through hiring digital marketers as well as driving sales through an Ecommerce offering. These searches can be challenging as many companies are looking for similar types of candidates with experience in digital and/or Ecommerce start-ups. Hiring could be difficult if the company does not have a clear online strategy and job responsibilities to appeal to the successful candidate.

• Recruitment in the entertainment sector has changed significantly as the increase in online entertainment gradually starts to take market share from more traditional forms including cable, TV, and DVD distribution. In addition, larger demand for domestically produced films and TV programs has prompted global multinationals to invest much more heavily into local production, which has resulted in a further uplift in hiring.

• Companies with a presence in Japan via distributor networks have increasingly


looked to bring their marketing and sales functions in-house and have started recruiting for candidates with direct contacts at the major retailers. Marketers have been expected to drive forward campaigns and events in order to educate the market, establish a quality brand image and build relationships that encourage loyalty and repeat sales. Candidates with prior experience at a build-out or startup have been in high demand as they are likely to have a more diverse skill set and be more adaptable in a rapidly evolving business.

• Recruitment for marketing professionals in the technology sector continues to be strong, with an emphasis on marketing candidates who can provide a measurable impact on revenue and who are highly analytical. Over the past 12 months, there has also been an increase in demand for high-potential PR and communications candidates, with foreign companies looking to build and improve their brand awareness in Japan, especially through digital marketing and social media.

• The B2B segment continues to have a relatively low emphasis on recruiting for marketing positions, with most firms running small, efficient teams that work closely with their sales function. They are usually heavily focused on managing industry events and trade shows as well as marketing collateral and pitches. These positions tend to have low turnover and invariably require strong English skills, as marketing candidates often report into the head of regional marketing teams and are responsible for the localisation of marketing materials.

• The financial services industry, while not emphasizing marketing and communications recruitment heavily, has shown a small uptick in marketing recruitment with much of the hiring being made within communications and PR. Areas in retail and consumer finance are hiring the most actively followed by credit card, insurance, and online payment companies.

• The automotive sector continues to be a very conservative area with most foreign automotive companies posting solid, but not record-breaking, results in Japan. Marketing recruitment has remained stable with the majority of hires being on a replacement basis. Companies tend to want candidates to have strong English skills (a prerequisite to moving up in to management positions). At the same time, the automotive candidate pool remains one of the least bilingual in the Japanese job market. This has caused many foreign automotive businesses to look for candidates from outside of the industry.

• The pharmaceutical, healthcare and life sciences sectors continue to be a high-activity area for recruitment. For marketing, firms require highly-specialised, technically capable candidates who understand products and niche market dynamics. Across communications and PR, clients prefer candidates with similar industry experience, but have also been open to hiring candidates from other highly-regulated markets or top-tier foreign multinationals.


SALARY AND BONUS LEVELS SALES• It is quite rare in the current market

for candidates not to receive bonuses, unless they operate in an industry which is in decline, such as non-online entertainment or B2B solar. Therefore in some instances, there has been a return to sign-on bonuses and even larger salaries on offer to secure talented staff with the desired networks and specific product knowledge.

• Salaries remain constant within larger Fortune 500 companies who typically look to hire junior bilinguals. There has been an increase in companies looking to hire candidates with strong networks of contacts. As these candidates are in high demand, they will likely receive multiple offers at the same time.

MARKETING• Salaries and bonuses have remained

constant with occasional exceptions where supply outstrips demand. Major corporations continue to remain very selective about the talent they bring in to their businesses and tend to ultimately choose a junior candidate if the opportunity arises.

ATTRACTION AND RETENTIONSALES• Larger companies, predominantly those

within the FMCG sector searching for junior bilingual candidates, offer internal mobility, career progression and opportunities to work in an international environment with the potential to move overseas.

• Companies entering into the Japan market will often offer stock options, restricted stock units, or some other

form of incentive that ties business performance to reward, especially for Country Manager and other senior positions.

MARKETING• FMCG and major cosmetic companies

continue to be the most highly sought after companies to work for to younger candidates as they offer internal mobility, training on “best practice” marketing, an international work environment, and in some cases, international transfers.

• The company’s brand remains an important factor to many candidates when they select whether to apply to a job opportunity.

• Companies that are highly reputed to offer autonomy and creativity around the marketing function will also find it much easier to attract the best talent, irrespective of the products.

• Many manufacturing, industrial and B2B companies offer competitive salary packages and attractive opportunities but face challenges because of their office location, which is often far from central Tokyo. Many candidates prefer companies with better accessibility.

• Technology, pharmaceutical, healthcare and life sciences companies continue to pay, on average, higher salaries to maintain their ability to attract strong talent.

• Smaller start-up tech companies, while often not able to compete on remuneration, tend to offer better benefits and incentives to candidates, such as flex-time, mobile working, stock options, and free food and drinks, in order to improve attraction and retention.



IT, TelecommunicationsMarketing/Marcom/Public Relations Executive 4.5 - 6 5 - 7 5 - 8 5 - 8Marketing Communications Manager 5 - 7 6 - 8 8 - 10 8 - 12

PR Manager 5 - 7 6 - 8 8 - 10 8 - 12

Senior Marketing Manager 8 - 10 9 - 12 10 - 13 12 - 15Marketing Director 10 - 15 12 - 16 14 - 18 15 - 20FMCG, ConsumerSales Executive 4 - 6 5 - 7 5 - 8 5 - 9Marketing/Marcom/Public Relations Executive 4 - 6 5 - 7 5 - 8 5 - 8CRM Specialist 4 - 5 4 - 6 5 - 10 10 - 14Account Manager 4 - 6 5 - 7 6 - 8 6 - 9Trade Marketing Manager 4 - 5 5 - 6 6 - 7 7 - 10Key Account Manager 5 - 7 7 - 9 8 - 11 11 - 14Product Manager 6 - 8 8 - 11 12 - 18Brand Manager 6 - 8 8 - 11 12 - 18PR Manager 5 - 7 6 - 8 6 - 9Marketing Communications Manager 6 - 8 6 - 9 8 - 12Sales Manager 8 - 10 10 - 12 12 - 15Digital Marketing Manager 5 - 7 7 - 8 8 - 10 10Ecommerce Marketing Manager 5 - 8 8 - 9 9 - 11 11 - 13Business Development Manager 5 - 7 7 - 9 8 - 11 10 - 15Marketing Manager 7 - 9 8 - 12 12 - 15Senior Brand Manager 10 - 13 12 - 18Senior Marketing Manager 10 - 12 12 - 15Sales Director 10 - 12 12 - 20Marketing Director 12 - 20Managing Director/General Manager 15+Banking, Financial ServicesPublic Relations Assistant 4 - 6 5 - 7 6 - 8 6 - 8Public Relations Manager 6 - 8 7 - 9 8 - 10 8 - 10Marketing Manager 6 - 9 7 - 10 8 - 11 9 - 12Online Marketing Manager 6 - 9 7 - 10 8 - 11 8 - 12Corporate Communications Manager 8 - 10 9 - 11 10 - 12 10 - 13Senior Marketing Manager 8 - 12 8 - 12 9 - 13 10 - 14Corporate Communications Director 10 - 12 10 - 13 12 - 18 15 - 25Marketing Director 10 - 12 10 - 13 12 - 18 15 - 25Manufacturing, IndustrialMarketing/Marcom/Public Relations Executive 4 - 6 5 - 7 5 - 8Account Manager 6 - 8 8 - 11Key Account Manager 7 - 9 9 - 11

Sales Executive 4 - 6 6 - 8

Sales Manager 8 - 10 10 - 12Marketing Manager 6 - 8 7 - 10 8 - 12 9 - 12Product Manager 4 - 6 6.5 - 8 8 - 10 9 - 12Marketing Communications Manager 6 - 8 7 - 9 8 - 10 9 - 11Business Development Manager 8 - 10 9 - 11Senior Marketing Manager 7 - 9 8 - 10 9 - 11 10 - 12Sales Director 10 10 - 13 10 - 15 15+Marketing Director 10 - 12 10 - 14 12 - 15 12 - 18Managing Director/General Manager 15 - 20 20+

SALARY TABLES

SALES & MARKETING

2016 JAPAN SALARY & EMPLOYMENT OUTLOOK 47Technology

TECHNOLOGY


HIRING ACTIVITY • In 2015, there was strong demand for IT

professionals across all industries, and this is expected to continue into 2016 with the cloud, Internet, and IT security being key drivers.

FINANCIAL SERVICES• In financial services, hiring for

replacements and succession planning have been active. There has been a slight increase in local hiring as opposed to the offshoring of roles in the years after the collapse of Lehman Brothers. For example, for the first time in several years, there have been a small number of vacancies for Tokyo-based programming staff.

• As in recent years, there has been strong demand from insurance firms for both application and infrastructure specialists. Approximately 80% of demand has been for junior roles. This also supports succession planning, with the aim of bringing in younger staff to eventually replace experienced staff approaching retirement age. However, the pool of available bilingual Japanese IT professionals to suit these roles is very limited.

• In the banking industry, demand is largely on the application side to support the business. These include roles such as Application Support Analysts, Business Analysts and Development Project Managers.

COMMERCIAL• Due to the increase of Ecommerce sales

and cloud technology, companies have put more emphasis on data analysis. As a result, we see more hiring demands for BI/CRM/Data Scientist related positions especially in the pharmaceutical, medical, and retail industries.

• Job roles that will be in the highest demand over the next 12 months will be that specialising in security, data analysis (especially BI/CRM), and Data Modeler or Architects.

TECH VENDOR• IT professionals specializing in security

and cloud are in high demand due to increased interest from companies looking to invest in cloud infrastructure and applications. Increase in cloud investment will continue over the next 12 months as more companies see benefits related to cost, work/life balance, and mobility of their workforce.

• The highest demand in IT companies was for security roles. In part, the popularity of cloud technology has led to an increased emphasis on securing both internal and customer data in the cloud due to consumer awareness, privacy concerns, and government legislation. This area experienced high turnover in 2015, and is expected to grow in the next 12 months.


SALARY AND BONUS LEVELS FINANCIAL SERVICES• Salaries in banking and insurance have

generally been unchanged from last year. However there has been market demand for junior candidates, and salaries available for these positions have increased slightly when compared with past years. Similarly, the severe lack of experienced system risk and security candidates has meant that some firms have increased remuneration levels for professionals with these types of backgrounds.

COMMERCIAL • Due to an increase in cloud and big data

usage, there was a rise in the salaries of professionals in security and data analysis and data architecture (including BI/CRM) positions in 2015. For other positions in both application and infrastructure divisions, salary levels are more or less the same as last year.

TECH VENDOR• Salaries within the security and Internet

industries have experienced the largest increases during 2015 due to intense competition for candidates with experience in these industries. Salaries within other IT industries also rose slightly in 2015.

ATTRACTION AND RETENTION FINANCIAL SERVICES• Following the cost cutting, off-shoring

and outsourcing prevalent in recent years, there has been a growing perception by candidates that the banking industry is

less stable and less financially attractive than in the past. To counter this view, some banks and securities firms have, during hiring processes, focused on conveying additional information about the stability and long-term career opportunities possible in their businesses.

• Due to high demand for younger candidates, banks and insurance firms have been especially diligent to retain junior staff. As a result, salaries and promotion possibilities have increased and junior staff have been less likely to change jobs.

COMMERCIAL • Many new market entrants (especially

retail and pharmaceutical companies) have been offering stock options to attract candidates. To stay competitive, established companies in these industries paid special attention to retaining their existing staff through investment in training, internal job rotation, remuneration packages, etc.

TECH VENDOR • In 2015, there was the largest number of

offers with sign-on bonuses, restricted stock units, and guaranteed bonuses from IT companies looking to entice competitive candidates. Whilst being strong at attracting new staff, there were not many IT companies implementing new programs to improve staff retention.



IT Support Help Desk Engineer 3 - 5 4 - 6 5 - 7Desktop Support Analyst 4 - 7 5 - 8 6 - 9Banking Front Office Support 7 - 10 8 - 11 9 - 12Banking Market Data Engineer 6 - 8 7 - 9 8 - 10Help Desk Manager 6 - 9 8 - 12InfrastructureNetwork Engineer 4 - 7 5 - 9 6 - 12Network Manager 7 - 10 10 - 14Server Engineer 4 - 6 5 - 8 8 - 12Server Manager 7 - 10 10 - 14Windows Systems Administrator 4 - 6 5 - 8 6 - 10Unix/Linux Systems Administrator 7 - 10 8 - 12 10 - 15Head of Infrastructure 7 - 10 8 - 14 10 - 25Development and ArchitectureTester/QA Analyst 3 - 5 4 - 6 5 - 8Testing Manager 6 - 8 8 - 10 9 - 12Developer (Scripting) 4 - 6 5 - 7 7 - 9Developer (Object Oriented) 6 - 10 8 - 12 8 - 15Developer (Web) 3 - 5 4 - 7 6 - 8Architect 8 - 14 12 - 20Head of Application Development 10 - 15 14 - 18 16 - 25Project ManagementBusiness Analyst 5 - 8 6 - 10 6 - 15Project Coordinator 4 - 6 5 - 7 5 - 7Project Manager 6 - 10 8 - 13 8 - 16Program Manager 12 - 20 14 - 25Data ManagementDatabase Engineer 8 - 10 10 - 12 10 - 14Data Warehousing Engineer 7 - 10 9 - 12 10 - 15Business Intelligence Analyst 6 - 9 8 - 12 9 - 15SAP Consultant 5 - 7 6 - 8 7 - 10CRM Analyst 6 - 8 7 - 9 8 - 10

SALARY TABLES

TECHNOLOGY



System Risk

BCP/Disaster Recovery Analyst 6 - 10 8 - 12

IT System Risk Analyst 6 - 8 7 - 10 9 - 14

IT Security Engineer 9 - 12 10 - 12 10 - 16

Head of IT System & Risk 8 - 12 10 - 15

General Management

IT Service Delivery Manager 8 - 12 10 - 14

IT Vendor Manager 7 - 10 8 - 12

IT Manager 6 - 10 8 - 12

Head of IT/Chief Technology Officer 8 - 15 15 - 30

IT Vendor

Inside Sales 4 - 7 5 - 8 6 - 8

Sales Executive 6 - 8 8 - 10 8 - 11

Account Manager 8 - 10 8 - 11 10 - 15

Key Account Manager 8 - 12 11 - 14 13 - 18

Business Development Manager 8 - 12 8 - 14 10 - 15

Sales Manager 8 - 12 10 - 14 12 - 18

Sales Director 12 - 20 12 - 20 15 - 24

CM/Sales Head 15 - 25 20 - 30 25 - 60

VP 15 - 25 20 - 30 25 - 60

Solution Architect 13 - 15 14 - 18 15 - 20+

Technical Consultant 8 - 11 9 - 13 9 - 15

Sales Engineer 9 - 12 10 - 13 10 - 15

Professional Service 8 - 11 9 - 12 11 - 14

Project Manager 8 - 10 9 - 11 10 - 15

Delivery Engineer 6 - 8 7 - 9 8 - 10

Operations Engineer 4.5 - 6.5 5 - 7 5.5 - 7

Technical Support (Tier 1-2) 5 - 7 6 - 8 7 - 9

Technical Support (Tier 3) 9 - 10 10 - 11 11 - 15

Developer 6 - 10 7 - 11 8 - 15

QA/Tester 5 - 7 6 - 8 7 - 12

Field Engineer 4 - 6 4.5 - 6.5 5 - 8

SALARY TABLES

TECHNOLOGY


TEMPORARY & CONTRACT


HIRING ACTIVITY SPECIALIST• There has been strong demand

for specialist temporary/contract professionals in support role functions, in particular to cover for maternity leave. Demand is expected to remain strong over the next 12 months.

• There is increasing demand for short-term roles (three to six months) as companies cannot predict their long-term hiring plans and need to maintain flexibility in their workforce. However, this had led to a higher number of temporary workers transitioning to permanent work as employers initially hire on a temporary basis and convert top-performing staff to permanent.

• Positions for temporary/contract specialists that are expected to be in highest demand over the next 12 months are Assistants (Group Secretaries, Executive Assistants, Office Managers, and Administrators), Accountants and Operations Assistants. Temporary workers will continue to be the most in demand in the finance, manufacturing, and IT sectors, as well as retail and consumer companies that have just entered the Japan market.

TECHNOLOGY (OVERALL)• Throughout 2015, there was very steady

demand for bilingual IT contracting professionals across all industries, which we expect to continue throughout this year.

• High demand is leading to a general increase in average salaries across all sectors though most notably for senior level positions such as Project Management and Business Analysis

• With the upturn in permanent recruitment across a number of sectors, the competition for contracting staff has also steadily increased. The best candidates may be involved in a number of permanent and contract hiring processes. This extreme competition for experienced bilingual engineers is essentially driving up the salaries of highly specialised contract staff.

• Recent changes in dispatch regulations, while significant, are unlikely to affect temporary hiring within the foreseeable future. However, it will likely encourage firms to consider directly employing highly skilled contract and temporary workers.

TECHNOLOGY (FINANCIAL SERVICES)• As in previous years, the insurance

industry has remained the most active for both infrastructure and applications side positions, with the highest demand in the business analysis, project management and security areas. Demand for Infrastructure Engineers and Programmers was stable, which we expect will continue this year.

• Investment banking & asset management also saw a slight increase in demand for business analysts and project management. Infrastructure and applications side roles remained fairly limited as companies elect to hire these roles in lower cost centers overseas. Japanese financial institutions however, are an exception to the trend.

• Regardless of position, we are seeing stricter requirements for Japanese language skills across the industry, with the positions increasingly requiring IT staff to interact with local users in Japanese.


• Permanent conversions for finance IT professionals significantly increased during 2015. We expect this to continue as headcount gradually increases and long serving contract staff move into higher level positions, developing long term careers within their firms.

TECHNOLOGY (COMMERCE & INDUSTRY)• The Ecommerce and big data booms

experienced in previous years are set to continue this year. Ecommerce companies are consistently searching for highly skilled Web Programmers and Developers to help them compete in the highly competitive online space.

• A very heavy emphasis on cloud services by the big data service companies is also maintaining a healthy demand for infrastructure engineers across the data center, network and virtualisation areas.

• Retail, FMCG and Manufacturing companies continue to invest in SCM and ERP/CRM systems while experienced SAP, Oracle EBS and Salesforce candidates continue to be in high demand. The distinct shortage of experienced bilingual candidates and the cultural difficulties of bringing in non-Japanese speakers mean that this is a highly competitive market where demand will remain high but supply will be low.

• IT vendors and system integrators benefit from the above where companies unable to source SAP/Oracle EBS specialists directly outsource to vendors who in turn seek to hire the same professional skill sets. Vendors however, often struggle to compete with firms hiring these resources directly.

MARKET OBSERVATIONS• There is high demand for temporary/

contract specialist professionals as companies are reluctant to increase personnel costs or have limited headcount. Hourly rates are generally the same as last year, however for roles that require a special skillset or have very few candidates, rates have risen approximately 3 to 10%.

• Base salary levels have remained fairly stable over the course of the year within operational positions as firms seek to limit their expenditure. However, highly specialised contractors engaged in critical business projects covering business analysis, project management, Ecommerce and SAP Consulting are generally receiving higher overall annual salaries than permanent employees as their remuneration packages include overtime pay. In many cases, overtime will exceed bonus payments.

ATTRACTION AND RETENTION• The majority of temporary/contract tech

and specialist professionals prefer financial rewards.

• Employers are increasingly offering high performers in temporary/contract specialist positions with permanent employment opportunities where headcount permits.

• Due to changes in dispatch regulations, there may be a move towards directly hiring temporary staff. Under the revised law, temporary workers can only be employed for a maximum of three years so there will be more competition in candidate attraction.


Role Hourly Rate (Yen)Office Support

Secretary 1700 - 1800

Administrative Staff 1700 - 1800

Facility Coordinator 1700 - 2000

Receptionist 1600 - 1700

Office Manager 1800 - 1900

Team Assistant 1700 - 1800

Marketing

Marketing Assistant 1700 - 1800

PR Assistant 1700 - 1800

MD Assistant 1700 - 1800

CRM Assistant 1700 - 1800

Marcom Staff 1700 - 1800

Sales

Sales Assistant 1700 - 1800

HR

HR Assistant 1700 - 1800

Supply Chain

Logistics Assistant 1700 - 1800

Buyer 1700 - 1900

Finance

Accounting Assistant 1700 - 1800

Accountant 1800 - 2000

Controller/FPA Staff 2500 - 6000

SPC Accountant 1800 - 1900

Fund Accountant 1800 - 1900

AP/AR 1800 - 1900

Banking

Operations Staff 1800 - 1900

Compliance 1800 - 1900

Client Service 1700 - 1900

Middle Office 1800 - 1900

Client Specialist 1800 - 3000

Trade Finance 1800 - 1900

Legal

Lawyer 5000 - 10000

Paralegal 2000 - 3000

Legal Secretary 1700 - 1800

Night Secretary 1700 - 1800

SALARY TABLES



Role Hourly Rate (Yen)IT

Application Engineer 2500 - 4500

Application Manager 3250 - 5500

Applications Support 2000 - 4000

Business Analyst 3000 - 6000

CAD (Architecture, Civil Engineering, Equipment) 1500 - 2200

CAD (Electrical, Electronic, Mechanical) 1500 - 2200

Database Administrator 2500 - 5000

Designer 1600 - 2200

Developer/Programmer (Control System) 1800 - 2500

Developer/Programmer (General Purpose System) 2500 - 3500

Developer/Programmer (Open System) 2500 - 3500

Developer/Programmer (Web, Smartphone) 2000 - 3500

DTP Operator 1400 - 1800

Embedded Developer 2000 - 3500

Embedded Control System Engineer 2400 - 3750

ERP Consultant 3000 - 5500

Evaluation and Test 1600 - 2200

Field Application Engineer 2000 - 3000

FIX Specialist 3500 - 7000

General Purpose Machine System Engineer 1500 - 2500

Help Desk/User Support 1700 - 2200

Help Desk/Customer service 1600 - 2000

Information Security Officer 2500 - 5000

Infrastructure Engineer 2500 - 4500

Infrastructure Manager 3500 - 5500

IT Architect, PM 3500 - 6000

IT Consultant 3500 - 6000

SALARY TABLES



Role Hourly Rate (Yen)IT

IT Director 5000 - 7000

IT Manager 3500 - 5500

Localisation Engineer 2000 - 2500

Management and Maintenance 1800 - 2400

Market Data Engineer 3500 - 7000

Network Engineer 2500 - 3500

OA Instructor 1600 - 2000

Open/Web-based engineer 2500 - 3000

Other Web 1500 - 2000

Pre-Sales Engineer 3000 - 4500

Program Manager 3500 - 5000

Project Coordinator 2000 - 3000

Project Manager 4000 - 6000

Quality Assurance Engineer 2000 - 3000

Senior Developer 3500 - 6000

Senior ERP Consultant 3500 - 6000

Service Delivery Director 5000 - 8000

Service Delivery Manager 5000 - 8000

Solution Architect 4000 - 7000

Storage Engineer 3000 - 4500

Systems Administrator 2500 - 4000

Systems Engineer 2500 - 3500

Technical Support Engineer 2000 - 3000

Tester 1800 - 2500

UNIX Systems Administrator 3000 - 5000

Web Designer 1500 - 2000

Web Director 1800 - 2500

Web Production and Editing 1600 - 2200

Wintel Systems Administrator 3000 - 4500

SALARY TABLES



NOTES

CONTACT US

JAPAN15F Kamiyacho MT Building4-3-20 ToranomonMinato-ku Tokyo105-0001Japan

Tel +81 3 5733 7166Fax +81 3 5733 7167

[email protected]

2016 JAPAN SALARY OUTLOOK

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