According to OECD data, only 8.4% of Japanese workers use AI, compared to 50% in the US. This was reported by Qazaqyia.kz citing BBC News.

Facing acute labour shortages, ageing demographics and chronic productivity problems, Japanese companies should be fertile ground for the take-up of artificial intelligence (AI). Yet, compared with the US and UK, adoption in many workplaces remains sluggish and cautious. This resembles a traditional Noh play: all masked characters agree that action is urgent, but the actors remain frozen.

Data from the OECD, published at the end of last year, shows that just 8.4% of Japanese workers use AI as part of their job. In contrast, the US figure is 50%, and the UK 32%. In Singapore, which has the second-highest AI adoption after the UAE and the highest in Asia, 56% of workers use AI "multiple times a week".

Why is Japan dragging its feet? Austin Xu, co-founder of US start-up Kuse AI, says it is due to Japanese companies being conservative and risk-averse. His business recently set up an office in Japan to sell AI systems. "There are organisations where process and consensus culture genuinely slow things down. Tolerance for AI mistakes is close to zero, especially in anything client-facing. Some would rather leave a role unfilled than let a machine handle it," he says.

In the US, the situation is different: some businesses already allow AI agents more freedom to boost productivity. "In the US, AI colleagues enter as helpers and gradually become part of the workflow. The attitude is often - let it try, then correct it," Xu adds. He notes that Japanese companies need more proof before trusting AI.

Parrisa Haghirian, professor of international management at Kyoto University of Advanced Science, agrees that many Japanese companies are too risk-averse. "The challenges of adopting it are the same as adopting any change in Japanese firms. This is why AI use is still quite limited and cautious," she says. She contrasts this with the more entrepreneurial US culture, arguing that Japanese firms are highly sensitive to error, uncertainty and reputational risk. "Since generative AI is still not fully reliable, it is mainly used for low-risk tasks such as writing, summarising, or information gathering, but much less for core operations or decision-making," she explains.

Japan's healthcare sector is particularly slow to adopt AI, with some hospitals yet to fully digitalise patient files. One hospital employee, who asked not to be named, says: "Paper documents accumulate at a staggering scale. It's like the Stone Age."

The Japanese government is aware of the low AI adoption and is trying to encourage companies. Last year, its AI Promotion Act was passed by parliament. This aims to use light-touch regulation to encourage businesses to invest more in AI. Tokyo pledges that Japan will become "the world's most-friendly country for developing and utilizing AI". The government believes increased AI use can help improve productivity, which currently is the worst in the G7.

Japan's Ministry of Finance says AI adoption by businesses has increased substantially, with 75% of companies now using the technology, up from 11% five years ago. However, critics argue that only a tiny proportion of staff actually use AI, and to a limited extent.

Prof Yasushi Ogasawara, an expert on Japan's social system and technology at Meiji University, says there aren't enough tech-savvy people in the workforce. "Although the Japanese like playing with gadgets such as smartphones, digital literacy is low here," he says. A report earlier this year said Japan faced a shortfall of almost 800,000 IT professionals by 2030. Many companies also struggle with out-of-date computer systems, with around 60% more than 20 years old.

Ogasawara adds that Japanese companies are under more pressure to avoid fuelling unemployment than to develop AI, which could result in job losses.