Japan’s Struggle to Increase Female Business Leadership

By SNN News
Tokyo, Japan — December 8, 2025: Japan’s appointment of its first-ever female prime minister, Sanae Takaichi, has been widely viewed as a historic moment for women’s leadership. While her rise has been celebrated as a breakthrough, many experts remain cautious about whether it will lead to lasting change in Japan’s deeply entrenched gender inequality, particularly in business and politics.

Despite being one of the world’s most advanced economies, Japan continues to perform poorly on gender equality indicators. In 2025, the country ranked 118th out of 148 nations on the World Economic Forum’s Gender Gap Index, placing it last among member states of the Organisation for Economic Co-operation and Development (OECD).

The Japanese government previously committed to having women occupy at least 30% of leadership positions by 2020, but the target was later postponed to 2030. As of 2025, women hold only about 11% of leadership roles within Japanese companies, underscoring the slow pace of progress in corporate representation.

One area of improvement has been workforce participation. More than 77% of Japanese women aged 15 to 64 are now employed, a figure that surpasses the United States. Analysts attribute this rise to labour shortages caused by Japan’s ageing population, as well as policy measures such as expanded access to childcare facilities.

However, economic disparities remain significant. Women in Japan earn on average between 70% and 80% of what their male counterparts earn. Female entrepreneurs also face limited access to business funding, with venture capital largely controlled by men. A 2024 survey found that more than half of women entrepreneurs experienced sexual harassment, prompting the Ministry of Economy, Trade and Industry to launch a formal investigation in 2025.

Several initiatives are attempting to address these challenges. Women-led venture capital funds are increasing support for female founders, while organisations such as Startup Lady provide mentoring, training, and safe spaces for women entrepreneurs. Despite these efforts, many programmes report higher participation from foreign women than from Japanese nationals, highlighting persistent cultural and social barriers.

Education continues to present another major obstacle. Japan has one of the lowest proportions of female students in science and technology fields among OECD countries. At Tokyo University, women make up only around 20% of undergraduates. The institution has launched a gender equity initiative aimed at increasing female faculty representation, but progress remains gradual due to a limited pool of candidates.

Prime Minister Sanae Takaichi has emerged as the most visible symbol of female leadership in Japan. While supporters view her election as proof that women can reach the highest levels of power, critics argue that her conservative positions may not translate into meaningful gender equality reforms.

Nonetheless, her rise has established a powerful precedent. Women in Japan can now reach the top of national leadership, even as the broader struggle to expand female representation in business and society continues.