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Geopolitical tensions are reshaping the future of work, influencing who works, how work is performed, and where it takes place. As nations become increasingly protective of their technological advantages and intellectual property, remote work is facing resistance and there is a shift toward more localized talent pools. While creating new opportunities in some regions, it is also limiting them in others. The nature of work itself is evolving in response to these tensions. Remote work, cybersecurity, new protocols, and organizational practices are fundamentally altering how employees interact with information and each other. Moreover, the physical location of work is being reevaluated. Companies are revising job descriptions and requiring top managers to engage in the political process. There is a cultural shift in how work is done as companies import practices from other locations. Organizational changes tilt the balance toward discord rather than harmony. There is more emphasis on retooling and reskilling as countries try to maintain a domestic labor force.
Digital transformation and demographic change are usually seen as two separate but equally threatening events that foreshadow job replacement, industrial decline, and social bifurcation. Because Japan is the world's frontrunner in demographic change with an ageing and shrinking society, it is facing these two disruptions at the exact same time. This creates a 'lucky moment,' as it presents an opportunity to employ one as a solution for the problems caused by the other. For example, Japan's traditional sectors are replaced by digital systems that demand fewer people while offering new jobs. Emerging technologies are opening fresh opportunities for Japanese companies to compete globally. The twin disruptions are also upending Japan's political economy. As companies reinvent business strategies and employees reskill to pursue individual careers, the state is reorganizing to find a new role in balancing the unfolding demands of the digital economy.
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