Dirigé par DEBANES Pauline, CASTELLVI César, DWIYANTI Monic
This report aims to provide a historical account of the critical factors that have enabled the labour market formalization pathways in Japan, the Republic of Korea and Singapore in the post-war period, and to draw lessons, where possible, for the emerging economies of today. These three countries experienced their “golden age” in the post-war period, from 1950 to 1970 in Japan and from 1960 to 1980 in the Republic of Korea and Singapore; where rapid economic growth went hand-in-hand with industrial upgrading, rising productivity and broader social development. The structural change from agriculture to manufacturing, already advanced at the time in Japan, was just starting in the Republic of Korea and Singapore. The development of large-scale manufacturing firms facilitated the absorption of day labourers into formal contract arrangements.
In addition, the shortage of skilled workers in those years, combined with extensive industrial policies (and monitoring) by government, created a system of protected employment with on-the-job training and skilling built in. As a result, firms were incentivized to retain the workers they had trained.