Freelancing for Online English Teachers: The Current Market in Japan and the Philippines

The rise of remote work and digital education has created a massive opportunity for online English teachers, and two countries leading the charge are Japan and the Philippines. Both regions are central hubs for the growing demand for English language skills, and with that comes an increasing need for skilled freelance teachers. But what’s the situation like for teachers looking to tap into this market? Let’s dive into the current trends and opportunities for freelance online English teachers in Japan and the Philippines.

Online English Teaching in Japan: A Flourishing Market

Why Japan Needs English Teachers

Japan is a country where English proficiency has been in demand for years, but it’s recently reached a new level. A study in 2021 revealed that over 55% of Japanese adults are eager to improve their English language skills. Whether for career advancement, travel, or simply personal growth, English is becoming a must-have skill. This creates a steady demand for both individual learners and companies looking to offer English training to their employees. Japan's corporate giants, like Rakuten and Honda, have even made English their official language in the workplace, which has further fueled the demand for Business English tutors.

Growth in the Online Education Market

The online learning market in Japan is expected to reach $12 billion by 2026, with English language learning being a major contributor. Japan’s online education market is growing rapidly, thanks to advancements in technology and a greater emphasis on professional development. More people are looking to take their learning online, which creates an exciting opportunity for freelancers.

Freelance Teacher Rates in Japan

As for pay, online English teachers in Japan can expect to earn anywhere from ¥2,500 to ¥5,000 per hour ($18–$35 USD). Teachers specializing in Business English, IELTS, or TOEFL preparation can command even higher rates, and specialized skills or certifications often help boost a teacher’s earning potential.

Popular Platforms for Teachers

If you're looking to teach online in Japan, platforms like Loka Lingo, iTalki, and Preply are some of the popular choices. These platforms allow teachers to schedule classes, receive payments, and manage their students easily. However, be aware that most platforms charge commission fees, which can range from 15% to 30%, so it’s essential to weigh the benefits of each platform when choosing the one that’s right for you.

Online English Teaching in the Philippines

The Philippines’ ESL Market

The Philippines has long been a leader in the online ESL market, with more than 400,000 Filipino teachers offering English lessons online. The market in the Philippines is expected to reach $1.8 billion by 2026, with a majority of the demand coming from neighboring countries like China, South Korea, and Japan. Filipino teachers are known for their neutral accent, warm personalities, and strong communication skills, which makes them highly sought after by learners across Asia.

What are their rates? 

The pay for online teachers in the Philippines is generally lower than in Japan, with freelance teachers earning ₱150–₱400 per hour ($3–$8 USD) for general conversation lessons. However, the rates can go up significantly for more specialized lessons, such as Business English, or for preparation for exams like IELTS and TOEFL. These lessons can command anywhere between ₱500–₱800 per hour ($10–$15 USD). For highly experienced teachers with a strong reputation, rates can even reach ₱1,000 per hour ($20 USD).

Filipino teachers have a significant presence in countries like China and South Korea where they make up more than 60% of the online ESL workforce. In fact, the Philippines is the largest exporter of online English teachers in Asia. Companies such as 51Talk, Cambly, and RareJob are some of the largest employers of Filipino English teachers, with platforms like RareJob employing over 15,000 teachers alone.

The Economic Impact

Freelance teaching in the Philippines contributes significantly to the national economy, with the sector generating over ₱5 billion ($90 million) annually. This sector plays a crucial role in sustaining the country’s online education industry and provides a reliable income stream for many individuals in rural areas.

Opportunities and Challenges for Freelance Teachers

The Flexibility Advantage

Both Japan and the Philippines offer freelance online teaching opportunities that come with a high level of flexibility. Teachers can set their own schedules and choose how many hours they want to work. Whether you’re a night owl or an early riser, online teaching allows you to structure your workday in a way that fits your lifestyle.

The Demand is Global

In both countries, there’s a growing need for English teachers, with an increasing number of platforms connecting teachers with students worldwide. Whether you're looking to teach Business English to professionals in Japan or help students in China prepare for international exams, there are plenty of opportunities to expand your student base beyond your immediate region.

Pay Considerations

While the pay is relatively high in Japan compared to the Philippines, commission fees on platforms can cut into your earnings, especially in Japan, where platform commissions can range from 20% to 30%. In the Philippines, while the rates are lower, the lower cost of living can make freelance teaching more sustainable. However, you can still earn a solid income if you specialize in areas like IELTS preparation.

Dealing with Competition

The freelance online teaching market is competitive in both Japan and the Philippines. As the industry grows, more teachers are entering the market, so it’s important to differentiate yourself. You can do this by offering specialized lessons, obtaining certifications, and leveraging platforms like Loka Lingo, which allow you to create custom lesson plans and tailor the learning experience for each student.

Final Thoughts

Freelance online English teaching in Japan and the Philippines is a rapidly growing industry, and there are plenty of opportunities for teachers looking to get involved. Whether you’re teaching corporate clients in Japan or helping students in the Philippines improve their English skills, both countries provide unique advantages for freelancers. Flexibility, high demand, and the opportunity to build your own teaching brand make online English teaching a great career option for digital nomads and educators alike.

No matter where you’re teaching from, platforms like Loka Lingo can help you scale your business and manage your students more efficiently. As the demand for English continues to grow, both Japan and the Philippines will remain key players in the online education landscape. If you’re ready to take the plunge into the world of online teaching, now is the perfect time to get started!

Sources:

• Research and Markets. “Japan E-Learning Market 2021.” Research and Markets.
• Japan Times. “Why Companies Like Rakuten Are Making English Their Corporate Language.” Japan Times.
• Statista. “Online Education in Japan: Market Trends and Projections.” Statista.
• Philippine Statistics Authority. “Philippine Online Education Industry Overview.” PSA.
• 51Talk Annual Report 2023. 51Talk.