A small technology company in Osaka, Japan, is making headlines for its unconventional employee perks—offering free alcohol at work and hangover leave to attract young professionals.

With limited resources to compete with larger corporations on salary, Trust Ring Co., Ltd. has introduced these unique benefits as a way to stand out in Japan’s competitive job market.

Alcohol at work and flexible recovery time

While drinking on the job is typically discouraged, Trust Ring Co., Ltd. encourages it. Employees can drink during work hours, with the company’s CEO even personally providing the alcohol. The catch? If workers have one too many, they can take “hangover leave,” allowing them to come in late the next day—no questions asked.

One employee told Kansai TV that the system significantly improves productivity: “Because I used the ‘hangover leave’ system, I can go back to work at 12 o’clock. You can sleep for 2 or 3 more hours and come back to work with a clear mind. I feel like I will be more efficient.”

Why this unusual benefit?

The company’s starting salary is 222,000 yen ($1,500), including 20 hours of overtime pay—barely above minimum wage. CEO Katsuhito Takeuchi admits that competing with larger corporations on salary is impossible, so he decided to focus on offering something young professionals value more than money—a fun and relaxed work environment.“We really can’t raise the starting salary, so I think small and medium-sized enterprises should focus on attracting talent with similar ideas,” Takeuchi explained.

Reflection of Japan’s economic challenges?

Since Japan’s economic bubble burst in the early 1990s, wages have stagnated, forcing small and medium-sized businesses to get creative with employee benefits. Some companies have increased salaries to attract workers, but many smaller firms simply don’t have that option. Instead, they must rely on innovative incentives such as free drinks and flexible schedules to stay competitive.

Will this trend catch on?

With Japan’s ageing workforce and declining birth rate, the job market is evolving. While some may question the long-term sustainability of perks like on-the-job drinking, others see it as a refreshing approach to modern work culture.