As of June 2024, Japan was home to approximately 600,000 Vietnamese residents, marking a tenfold increase in the past decade as Vietnamese citizens pursue job opportunities in the country. However, the working conditions of technical intern trainees and specific skilled workers have often drawn international criticism.
In 2023, a record 9,753 technical intern trainees went missing, with 56% of them being Vietnamese. Among these issues is the rise of organized crime, such as the “Bo Doi,” a gang comprised primarily of Vietnamese residents in northern Kanto. This group has been linked to various illegal activities, including livestock theft, selling stolen goods, and trading bank accounts.
Amid growing concerns, the Japanese government took action in June 2024, pledging to overhaul the foreign trainee program within three years. By 2027, a new system, Ikusei Shuro (training employment), will replace the existing Technical Intern Training Program (TITP). This shift aims to improve labor conditions and safeguard human rights while addressing Japan’s reputation for exploitative practices under TITP.
Key changes in the upcoming system include the abolition of the TITP and its replacement with a more transparent employment framework. Another significant change is the introduction of greater job mobility for foreign workers within the same industry, subject to specific conditions. Currently, the TITP restricts trainees from changing employers unless extraordinary circumstances arise.
Despite these reforms, a pressing issue persists: the steep costs of migration for Vietnamese workers. These costs account for over half of Japan’s migrant workforce and disproportionately affect Vietnamese workers. According to a 2022 survey by Japan\u2019s Immigration Services Agency, Vietnamese trainees paid an average of 688,143 yen (US$4,450) to migrate\u2014over seven times the amount paid by their Filipino counterparts.
Vietnam’s Ministry of Labor, Invalids, and Social Affairs (MOLISA) oversees the dispatching of migrant workers, and regulations stipulate that fees should not exceed US$3,600. However, actual costs are often much higher due to numerous nominal fees and intermediaries. During a May 2024 exchange in Tokyo between Vietnamese officials and Japanese companies, concerns about excessive fees were raised. MOLISA\u2019s Deputy Director Dang Si Dung pointed out that both sending and receiving countries share responsibility for these inflated costs.
The financial burden drives many Vietnamese workers into debt, with 80% borrowing money to cover migration expenses. This rate is second only to Cambodian workers (83.5%). Workers often face harsh conditions, insufficient pay, and lack of overtime, making debt repayment nearly impossible and contributing to disappearances.
The high costs stem from multiple intermediaries, including brokers, agencies, government entities, and corrupt officials. In Vietnam, corruption allows unscrupulous brokers to exploit workers. “Dark costs,” such as unrecorded payments to officials, add to the financial burden. For example, gifts to Communist Party officials during Tet (Vietnamese New Year) can amount to US$6,500.
On the Japanese side, some companies exacerbate the issue by charging travel costs under the guise of business meetings, which are then passed on to workers. Cultural practices, such as blending personal relationships with business through drinking parties and golf outings, also contribute to opaque expenses.
To address these challenges, both Vietnam and Japan must work collaboratively to eliminate exploitative practices and reduce costs for migrant workers. Simplifying administrative fees, curbing corruption, and fostering transparency can alleviate workers’ financial burdens. By learning from successful examples in countries like South Korea and the Philippines, Japan and Vietnam can create a fairer system that supports migrant workers while addressing their shared labor needs.