The COVID-19 pandemic significantly transformed Japan’s job market. What was once an “employer-driven market” has now shifted to a “candidate-driven market,” especially in the IT industry. With the rise of remote work and accelerated digital transformation (DX), demand for tech talent continues to grow. 

Growth is particularly strong in fields like AI, cloud computing, and cybersecurity. For skilled professionals, this is an ideal time to take the next step toward building a future-ready career. 

The Impact of COVID on Japan’s Job Market

Let’s take a look at how the overall job market in Japan has evolved since the pandemic began.

Early COVID Period (2020 – mid-2021): Hiring Freezes and the Rise of Online Recruitment

During the initial outbreak, many companies temporarily froze or scaled down hiring. Industries dependent on face-to-face services, such as hospitality, tourism, and retail, saw a sharp decline in job postings, making it a challenging, employer-dominated market. 

However, this period also saw the rapid adoption of online interviews, reducing geographical barriers and enabling candidates to explore opportunities beyond their region. Remote work also began to gain significant traction and become a standard practice.

Mid-COVID to Post-COVID (Late 2021 – Present): Strong Recovery and Labor Shortages

As economic activity resumed, companies reignited their hiring initiatives. The job-to-applicant ratio steadily increased, and Japan’s job market fully shifted to a candidate-driven phase. 

Essential services and specialized professions now face serious labor shortages. At the same time, rising living costs are encouraging more workers to seek better pay and work conditions—further fueling mobility in the job market. 

Unique Shifts in the IT Industry and the Skills That Will Be in Demand

Unlike other industries, the IT sector saw robust growth even during the pandemic. While many companies paused hiring, IT firms faced soaring demand driven by the need for secure remote infrastructure and the explosive growth of online services like e-commerce, SaaS, and online conferencing. 

Since then, IT professionals have become central to companies' survival and innovation strategies, with high demand for roles such as software engineers, IT consultants, project managers, and data scientists.

In the post-COVID era, the demand for advanced tech skills is intensifying. Talent with expertise in areas like:

• Artificial Intelligence (AI)
• Blockchain
• Cloud Technologies
• Cybersecurity

...are now more valuable than ever. With remote work now a standard option, tech professionals can build flexible, location-independent careers with wider access to top-tier opportunities.

Conclusion: Now Is the Time to Seize the Opportunity

In the post-COVID job market, the value of IT professionals continues to rise. By sharpening your skills in growth areas like AI and cloud computing, you can dramatically expand your career possibilities. 

Companies are increasingly offering flexible working styles and attractive compensation packages to secure the best talent.