It's the same in Japan, but the consequences don't hit until after junior high school. High school isn't mandatory education in Japan so if you don't have the grades, you need to start working or start a trade school. (Degrees, licenses, social ranking is everything in Japan).

We are also facing another problem of kids just not coming to school. Maybe "school" has just become some boring cultural nonsense rather than opening and engaging a child's mind. Or maybe tiktok has fried so much of our youth's potential.