Latest perk: Dorming with co-workers
August 21, 2008 by Fred HosierPosted in: Special Report, That's how they do it in ______
Is one of your HR duties building teamwork? It might be easier if employees spent more time with each other. Well, that’s exactly what’s happening in Japan, where corporate dormitories for young, single workers are making a comeback. Japanese companies started the tradition of offering dormitory accommodations for young workers back in the 1950s. The practice fell off during the country’s economic slump in the 1990s.
But now companies are bringing them back, finding that cutting the dorms during hard economic times a decade earlier hurt attempts to build corporate culture, according to a recent article in The Wall Street Journal.
Mitsui & Co. has eight dorms — six for men, two for women — for about 430 unmarried employees. They can live there for their first several years with the company.
And the rents are cheap! For less than $185 a month, the dorms offer a private bedroom, a large cafeteria and communal bathrooms, just as college residence halls do in the U.S.
Back to tradition
Japanese companies credit the dorms with building corporate cultures based on loyalty, dedication to hard work and identifying the company as family.
And dorms aren’t the only benefit the firms are using to attract younger employees and build teamwork. They’re also offering all-expenses-paid travel with colleagues and in-house cafeterias.
When some companies closed their dorms, they decided to emphasize Western-style work ethics such as individual competition and performance targets. Mitsui, among others, found this didn’t work as well as the previous teamwork style.
Aren’t young Japanese workers tired of dormitory life by the time they finish college? Not a problem: Many Japanese commute to college.
So dorm dwellers are happy about their living arrangements. “I have friends all around me now,” a 26-year-old Mitsui employee told the WSJ.
Can you imagine starting employee dormitories as a benefit at your company? Is your company offering any benefits to appeal to younger workers? What does your company do to build teamwork? Let us know in the comments section below.
Tags: benefits, dormitories, younger workers


August 21st, 2008 at 1:01 pm
How cool it that? I would have loved to live in a corporate dorm after college. $185 a month? Think about how much money that could be saved over just 1-2 years.
August 22nd, 2008 at 9:15 am
At my age (way past my twenties!), I just can’t imaging staying at work in a dorm room! There are so many days that leaving the building is just the best part of the day!
That being said, I do believe that we would have some employees who would be perfectly comfortable staying at work–that way they wouldn’t have to deal with the commute!
August 22nd, 2008 at 10:57 am
I can’t see it working in all cases, but think it could be a good recruitment tool for filling entry-level jobs with modest starting salaries.
August 22nd, 2008 at 2:40 pm
I have a friend who is Japanese and lives in the company dorms. I think it’s a great idea, but I don’t think it will ever work well in the US.
August 25th, 2008 at 10:29 am
I also agree that this is a very intersting idea. When I was first employed, right out of school, I would have gone for this in a big way. There were a large group of mostly single folk that I worked with who sort of did this in an informal way - we spent week nights and most weekends together, camping during the better weather and staying in small B&B’s etc in the colder weather.
As a more mature (and not to mention married) person this wouldnt work for me. My agency is too small to do this but I could see the younger employees getting into this.
August 27th, 2008 at 5:13 pm
Company dorms sound like a great company perk/benefit, but what about the company’s liability issues or potential harassment issues? Do they hire a Dorm Monitor to maintain law and order?