Beyond the Paycheck: What Top Students Should Know About Foreign Firms in Japan
- Daichi Mitsuzawa
- 6 days ago
- 4 min read
Updated: 13 minutes ago

Foreign companies operating in Japan often headline internship fairs with starting packages that dwarf the national average. Yet this is only half the story: pay dispersion, workload and job-security norms vary sharply by sector. Understanding those contrasts helps you choose a path that matches not just your wallet, but also your time and risk appetite.
Quick snapshot — Pay premium vs. National average
Sector (new-grad / junior level) | Typical annual total comp | % above national mean (¥6.1 m) *5 |
Investment Banking | ¥11 m (base ≈ ¥9 m + bonus) *1 | +80 % |
Strategy Consulting | ¥12 m (BCG associate) *2 | +97 % |
Big Tech / IT | ¥15 m – ¥24 m (Google L3–median) *3 | +145 – 290 % |
VC-backed Start-up (engineer median) | ¥6.0-7.0 m (TokyoDev survey) *4 | -2% ー +15 % |
Take-home message: yes, foreign firms usually pay more, but the “premium” ranges from a modest bump at early-stage start-ups to 2–3× in Big Tech.
Sector deep-dive - Foreign Firms in Japan
3-A. Investment Banking
Compensation: Analysts in Tokyo average ≈ ¥11 m total; bonuses can double in good years *1.
Working Hours: 70 – 90 h / week remains common; insiders report “midnight is normal, 2–3 a.m. during live deals” at overseas I-banks’ Tokyo desks *7.
Job Security: Pay is high, but teams resize quickly with deal flow. 2024–25 saw global banks trim Asia headcount after fee slumps *11.
3-B. Strategy Consulting
Compensation: Entry consultants at top firms (MBB) hover around ¥12 m *2.
Working Hours: Recent surveys still show 60 – 75 h/month overtime—BCG 69 h, McKinsey 74 h *6.
Job Security: Up-or-out promotions every 2–3 years; performance exits are part of the model, though mass layoffs are rare.
3-C. Big Tech / Enterprise IT
Compensation: Google Japan’s median package is ¥23.7 m; even L3 new grads clear ¥15 m *3.
Working Hours: 72 % of international developers in Japan say they work ≤ 40 h/week and enjoy good work-life balance *4.
Job Security: Global restructuring waves reach Japan; TechCrunch’s running tally lists cuts at nearly every FAANG subsidiary in 2024–25 *10. Equity cushions the risk but vesting schedules matter.
3-D. VC-backed Start-ups
Compensation: Median total comp for engineers is ¥8.5 m, but early-stage salaries can be < ¥6 m with stock options *4.
Working Hours: Range widely. Many product teams run 45 – 55 h weeks, yet founders may expect “all-hands” sprints before funding rounds.
Job Security: Employment is flexible; pivots or cash-flow issues can trigger sudden layoffs—regulated but easier than at large domestic firms *9.
Beyond money — work hours & employment flexibility
Metric | IB | Consulting | Big Tech | Start-up |
Typical weekly hours | 70 – 90 h *7 | 55 – 70 h *6 | 40 h or flex *4 | 45 – 55 h (varies) |
Overtime cap vs. reality | Statutory 40 h/week; > 80 h overtime/month still observed in finance *8 | Gradual reduction efforts, yet peaks near deadlines *6 | Tech firms advertise “no overtime” culture *4 | Often project-driven peaks, less formal cap |
Employment stability | Market-cycle layoffs *11 | Up-or-out | Global downsizing waves *10 | Funding-linked |
Key insight: Higher pay often tracks higher workloads or higher dismissal risk. Japan’s lifetime-employment norm (“shūshin koyō”) offers some shelter, but foreign firms lean closer to at-will practices—performance or business downturns can end contracts quickly*9.
Takeaways for top-university graduates
Quantify the premium: A ¥3–5 m jump in salary may justify longer hours—for a while. Model after-tax income against realistic workweeks to value your time. Japanese firms may offer lower initial pay, but more predictable workloads and slower burnout.
Watch the volatility curve: IB bonuses and start-up equity shift year-to-year. If loan repayments or visa status demand stability, Big Tech or mature consulting may be safer. Japanese firms also offer relatively stable work environments, with less risk of sudden layoffs or job-function changes.
Probe culture during interviews: Ask about average weekly hours, PTO usage, and last year’s attrition. Reputable firms share the numbers. Consider how clearly the role is defined—some foreign firms offer flexibility but may bind you tightly to narrow job descriptions. If you prefer a setting to gradually build skills across functions, Japanese firms may suit you better.
Plan an exit ramp: Foreign firms reward early responsibility; leverage that brand equity (and up-skilling) to pivot—whether to grad school, a domestic blue-chip, or your own venture. Those who value long-term career development and wish to take on strategic decision-making responsibilities within Japan may find domestic firms more aligned. Especially since many foreign offices lack such decision-making authority locally.
Stay visa-compliant: Frequent employer switches can complicate renewal; keep immigration timelines in mind.
(Editor:Jelper Club Editorial Team)
Sources
"Investment Banking Analyst in Japan 2025 – Salary"(Glassdoor):https://www.glassdoor.com/Salaries/japan-investment-banking-analyst-salary-SRCH_IL.0%2C5_IN123_KO6%2C32.htm
"Boston Consulting Group Consultant Salaries in Tokyo"(Glassdoor):https://www.glassdoor.com/Salary/Boston-Consulting-Group-Consultant-Tokyo-Salaries-EJI_IE3879.0%2C23_KO24%2C34_IL.35%2C40_IM1071.htm
"Google Software Engineer Salary in Japan"(Levels.fyi):https://www.levels.fyi/companies/google/salaries/software-engineer/locations/japan
"TokyoDev Developer Survey 2024"(TokyoDev):https://2024.surveys.tokyodev.com/en-US
"Average Salary in Japan (2025 Research)"(Tokyo Portfolio):https://tokyoportfolio.com/articles/average-salary-in-japan/
"Consulting Overtime & Work-Life Balance 2024"(case-search.jp):https://case-search.jp/consul-tenshoku/work-life-balance/
"野村證券は激務でやばい?仕事内容も解説"(TalentSquare):https://talentsquare.co.jp/career/nomura-ibd-career-interview/
"White Paper on Overwork in Japan Shows Record…"(Nippon.com):https://www.nippon.com/en/japan-data/h02171/
"Layoffs and Japan: Can You Get Fired in Japan?"(Daijob):https://www.daijob.com/en/guide/expat-essentials/layoffs-and-japan-can-you-loose-your-job/
"A comprehensive list of 2024 and 2025 tech layoffs"(TechCrunch):https://techcrunch.com/2025/02/13/tech-layoffs-2024-list/
"Morgan Stanley, HSBC cutting Asia investment banking jobs on China deals slowdown"(Reuters):https://www.reuters.com/business/finance/morgan-stanley-cut-around-50-investment-banking-jobs-asia-pacific-sources-say-2024-04-17/
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