Why Foreign Business Owners in Japan Should Start Using the Specified Skilled Worker  System

Why Foreign Business Owners in Japan Should Start Using the Specified Skilled Worker System

A clear guide for foreign business owners in Japan on using the Specified Skilled Worker (SSW) visa to hire skilled foreign workers. Learn eligibility, benefits, and how to get started.

Why Foreign Business Owners in Japan Should Start Using the Specified Skilled Worker (SSW) System

A clear guide for foreign business owners in Japan on using the Specified Skilled Worker (SSW) visa to hire skilled foreign workers. Learn eligibility, benefits, and how to get started.

 

Running a business in Japan as a foreign entrepreneur is both exciting and challenging. Many owners of small restaurants, trading companies, or service businesses often struggle with staffing, especially when the local labor pool becomes increasingly tight. What is surprising, however, is that a large number of foreign business owners still do not know that they themselves can hire “Specified Skilled Workers (Tokutei Ginou)”—a government-approved visa category designed precisely to help companies secure essential workers in industries facing labor shortages.
During consultations with foreign entrepreneurs, I often hear comments like:
“I thought only big companies could apply.”
“I thought my business was too small.”
“I run a restaurant, but I didn’t know foreign staff could come through a government system.”
These misunderstandings are common, and they are preventing many businesses from using a system that was created to support them. This article explains why the Specified Skilled Worker system is still under-utilized among foreign-owned companies, and how it can become a practical solution for your business.

 

1. Why Many Foreign Business Owners Are Still Unaware of the System

Even though the Specified Skilled Worker program has existed since 2019, information about it is not always easy to find—especially in languages other than Japanese. Many foreign owners rely on word-of-mouth from friends or community groups, where visa information tends to be outdated or incomplete.
Another reason is that the system is often mistaken as something “complicated” or “bureaucratic,” and therefore only suitable for large corporations. In reality, many small businesses—family-run restaurants, small cleaning companies, food factories, or nursing-care facilities—have already hired staff under this visa category. The number is steadily increasing, yet awareness among foreign operators remains low.
Japan’s immigration authorities do not actively advertise the system, and many private consultants and agencies focus only on Japanese-owned companies. As a result, foreign entrepreneurs miss out on reliable guidance and assume the system is not meant for them.

 

2. Small Restaurants and Shops Can Use the Specified Skilled Worker System

A common misconception is that only big restaurant chains can hire Specified Skilled Workers. This is not true. Even a single-owner restaurant with two or three staff members may be eligible, as long as the business is legally registered, properly taxed, and operating in one of the designated industries.
For food-related businesses, there are actually two categories that may apply:

  • Food Service Industry (外食業) – for roles directly involved in cooking or food preparation
  • Food and Beverage Manufacturing (飲食料品製造業) – for businesses where kitchen work is production-focused

Some restaurant owners misunderstand and think the visa covers hall staff or front-of-house workers. It does not. But if the primary work is cooking or preparation, many small shops can meet the requirements.
Foreign entrepreneurs who studied Japanese cuisine, opened restaurants in Japan, or operate ethnic food establishments are especially well positioned to benefit. But many simply have not been informed.

 

3. Why the System Matters for Foreign-Owned Businesses

Japan’s labor shortage is not just a topic on the news—many foreign business owners feel it directly every day. Staff quit suddenly, part-time workers are unstable, and recruitment costs keep rising.
The Specified Skilled Worker system solves several problems:

  • 1. A stable, full-time workforce
  • 2. Employees who commit long-term (1–5 years)
  • 3. Clear rules for work duties and training
  • 4. A legal status that encourages loyalty and retention

In many communities, foreign workers feel more comfortable joining a company run by someone who understands their background. This gives foreign-owned shops a natural advantage—if they use the system effectively.

 

4. What Many Business Owners Don’t Realize About Eligibility

Some owners assume their company must be “big” or “well-established” before applying. In reality, the requirements are more practical:

  •  Your company must be legally registered
  •  Taxes and social insurance must be in order
  •  Employment conditions must be fair
  •  The worker must pass the required skills and language tests
  •  A support plan must be prepared (either by you or a Registered Support Organization)

This is not beyond the reach of a small business. In fact, many first-time applicants are small ethnic restaurants, small food factories, or cleaning service companies run by foreign entrepreneurs.
Japan’s Immigration Services Agency evaluates the real situation of your business, not its size. Stable management and compliance are what matter most.

 

5. The Biggest Missed Opportunity: Hiring People from Your Own Country

Many foreign owners do not know that they can directly hire skilled workers from their home country. This includes:

  •  chefs with experience
  •  staff who passed the SSW exams
  •  workers introduced by overseas sending organizations

If your home country is part of Japan’s SSW agreement, recruitment can be efficient and reliable. For example, many workers from Southeast Asia have already passed the exams and are waiting for job offers. They prefer companies where communication is easier—and foreign-owned businesses often provide a more welcoming environment.

 

6. Why You Should Consider Using the System Now

Japan is currently reviewing the Specified Skilled Worker framework and expanding opportunities in several industries. As the system becomes more structured, competition for skilled foreign workers will increase. Companies that start early will have advantages in:

  •  securing motivated employees
  • reducing turnover
  •  creating stable operations
  •  building a long-term workforce strategy

Foreign entrepreneurs often notice things Japanese owners do not—such as cultural strengths, diverse cuisines, and multilingual customer service. The SSW system allows you to reinforce these strengths with a stable, legally authorized workforce.

 

7. How Foreign Business Owners Can Get Started

If you are considering hiring under the Specified Skilled Worker system, the first step is understanding whether your business fits one of the designated industries. After that, preparing documents and support plans becomes much easier with professional assistance. Most foreign business owners who tried the process say the same thing:
“I wish I had known about this earlier.”
The system is not limited to big corporations. It was created for all businesses facing labor shortages—including yours.

 

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