4.5. Retirement System
Retirement program should be designed so that it can attract and motivate employees. Retirement
programs are designed to meet the objectives: provide employees with adequate retirement income.
Retirement age in Japan and in United States is different. The retirement age in Japan is around 55
years old, but in United States is 65 years old. Japanese companies use wage system based on seniority,
so it is difficult to keep old employees who should be paid a more expensive salary.
5. Conclusion
Planning human resource tends to become important role in the near future since many business
environments are changing. The characteristics of Japanese style of management, especially for dealing
with human resource planning are lifetime employment system, seniority waged based system and
company based labour union. The practices of Japanese human resource planning for increasing
industrial competitiveness includes adjustment for lack, adjustment for redundancy, training and
promotion system. All of those practices can support to increase the Japanese companies
competitiveness.