Along with Taiwan becomes an aged society, the stabilization of employment of the elderly will be an important issue. Executive Yuan begins deliberations on legislation of special law of employment of the elderly, while Japan have enacted the law since 1971. The legal policy development of Japan should be a good reference for Taiwan, therefore, this thesis focuses on introducing the legal policy development of Act Concerning Stabilization of Employment of the Elderly in Japan. After introducing Japanese employment practices and its evolution, this thesis focuses on analyzing the legislation and important amendments of Act Concerning Stabilization of Employment of the Elderly in Japan. In the end, this thesis presents what can Taiwan borrows from Japan’s experience.