Japan struggles with aging population as elderly numbers soar

Japan faces a significant challenge with its aging population, which reached a record high of 36.25 million in 2024, coinciding with a historic low in birth rates. The country's elderly population is expected to continue growing, leading to an increased demand for healthcare services tailored to older adults. In response to this crisis, Sompo Holdings, Inc., one of Japan's largest insurance companies, is leveraging artificial intelligence to address the severe shortage of workers in elder care. By implementing technologies that can assist with tasks traditionally performed by caregivers, the company aims to improve nursing care services while alleviating the burden on understaffed facilities. The need for innovation in the elder care sector has been highlighted by reports indicating that Japan's population is shrinking year by year. For instance, current figures show that only 700,000 new babies were born in 2024, compared to 1.8 million in 1965, a stark indication of the demographic shift the country is experiencing. This diminishing population creates a double challenge: not only is there an increasing number of older individuals requiring care, but there are significantly fewer young people available to provide that care. Therefore, the introduction of digital technologies could prove essential in enhancing productivity and efficiency among caregivers. Sompo Holdings is committed to exploring how technology can improve elder care services. Their initiatives include using AI for sleep monitoring and reducing the administrative workload on nursing staff, ensuring colleagues can devote more time to patient care. The company's CEO, Mikio Okumura, has emphasized this strategic shift as a key to not just maintaining but improving service quality in an era where human resources are stretched thin. The future of elder care in Japan is likely to rely heavily on such technological advancements. As the demand for geriatric care continues to rise, the integration of AI and other digital resources into caregiving practices may ultimately provide a necessary lifeline to a strained healthcare system. Without a concerted effort to innovate and attract more talent into this field, Japan could be facing a crisis in elder care within the next few years, one that may have far-reaching implications for society as a whole.