Why Japan's Automakers Are Finally Recruiting Women

A labor shortage forces car companies to seek more female engineers

- Nao Sano, Kae Inoue, And Jason Clenfield

The story of Yui Mitsuhashi illustrates the bind that Japan’s carmakers find themselves in as the country struggles with its worst labor shortage in decades. Captain of a team that builds race cars at prestigious Osaka University, the 24-year-old engineering student would be among the most prized recruits for Toyota Motor Corp. or Nissan Motor Co.—if only she wanted to work for them. But as much as she loves cars, she isn’t sure she wants to spend her life in the industry, which has a reputation for long hours and big gender imbalances.

“People are always telling me, ‘You could go to any company you want,’ ” Mitsuhashi says, standing in the center of the university’s tool-strewn shop. “I want to have kids, but right now I’m not sure whether I want to keep working when they’re young. So I want to pick an employer that gives me options.”

A dearth of young people has made Japan a seller’s market for workers. That situation is only going to worsen for employers over the next dozen years, with the country’s aging labor force expected to shrink by an estimated 8 million, to 55.6 million in 2030, according to forecasts by Japan’s Cabinet Office. That prospect is finally forcing Japan’s employers to provide more opportunities for women.