Will Japan's Permanent Residency Become Harder to Obtain? Higher Income Than National Average, 30 Years of Pension Payments — New Rules May Take Effect as Early as October

The Japanese government led by Prime Minister Koike Hayami is accelerating its tightening of foreign resident policies. After announcing a significant increase in visa application fees in July, the government revealed in August new eligibility thresholds for permanent residency (eijū). Not only will income and pension requirements become stricter, but whether an applicant 'can benefit Japan' will also become a crucial evaluation criterion going forward.

According to coverage by Jiji Press, Justice Minister Hiraguchi Hiroshi stated at a press conference on the 4th that adjusting the review standards for permanent residency permits aims to more firmly confirm that applicants 'will not become a public burden.'

Under current regulations, obtaining permanent residency in Japan generally requires passing three criteria: good conduct, the ability to sustain independent living, and alignment with Japan's national interests.

However, the new proposal intends to raise these standards further. On income, applicants may need to earn above the 'average annual household income in Japan.' Regarding pensions, the standard would roughly equate to 'having paid into the Employees' Pension Insurance (Kōsei Nenkin) for 30 years at that income level.' As for the 'alignment with national interests' criterion, applicants may now be required to 'actively and concretely contribute benefits to Japan.'

Reports indicate the new regulations are scheduled to roll out starting in October. Notably, the income requirement may be applied retroactively to applications submitted after April this year—an extremely rare move.

This approach has drawn criticism from legal experts. Attorney Iyoshu Shoichi, who specializes in foreigner-related issues, argues that the government establishing de facto legally binding conditions through administrative 'guidelines' alone could infringe upon the authority of the Diet.

One reason behind the government’s accelerated review of foreigner policies is increasing public debate in Japan over the rapid growth of the foreign population. Particularly, cases involving some foreigners receiving public welfare benefits, or defaulting on taxes and social insurance premiums, have sparked dissatisfaction among Japanese citizens.

A government insider disclosed, 'The timing of this review was driven by Foreigner Policy Minister Onoda Norimi, who strongly pushed for it, thus accelerating the process.'

Not only is the bar for permanent residency rising, but in April, Japan also tightened the conditions for acquiring Japanese citizenship, extending the required period of residence from 'over five years' to 'principally over ten years.' The permanent residency application fee is also set to skyrocket to 200,000 yen (approximately NT$40,000) starting in October—20 times the current rate.

On the 7th, the Japanese government also discussed whether to implement 'quantitative management' of the foreign population residing in Japan. By the end of 2025, the number of foreign residents in Japan had reached 4,125,395—a new historical high. Former LDP cabinet members supporting tighter policies argue, 'The pace of foreign population growth is too fast and could deepen xenophobic sentiments among citizens; therefore, higher acceptance standards are necessary.'

Yet Japan simultaneously faces severe challenges from depopulation, aging society, and shrinking labor force. With Asian countries including South Korea actively competing for foreign talent, if Japan continues to raise the barriers for permanent residency and naturalization while drastically increasing application fees, there are concerns that foreign talent may choose other nations instead.

A Constitutional Democratic Party lawmaker warned, 'If things continue this way, Japan will only become less attractive. If Japan ceases to be a choice for foreigners, economic activity will shrink, and various local community activities will become difficult to sustain.'