Keidanren to urge firms to raise wages to achieve new capitalism
December 1, 2021
TOKYO (Jiji Press) — The Japan Business Federation, or Keidanren, plans to call on member companies with solid earnings to raise wages to help initiate a “new form of capitalism,” a key policy platform of Prime Minister Fumio Kishida, informed sources said.
The policy is shown in Keidanren’s management-side draft guidelines for next year’s “shunto” spring wage talks.
The draft guidelines say desirable pay hikes include pay-scale increases.
Keidanren, however, will not seek uniform wage raises, out of consideration for firms performing poorly, the sources said Tuesday.
Kishida, who calls for a positive cycle of growth and distribution, had expressed hope for the economic circle to increase wages by over 3%.
Keidanren in the draft guidelines asks companies to appropriately evaluate employees’ achievements for bonuses and lump-sum payments.
With the novel coronavirus pandemic dragging on, earnings differ greatly between companies and industry sectors.
Against this background, Keidanren will not call on all companies to raise wages, and instead, will encourage firms that are falling behind in business recovery to prioritize preserving jobs.
The federation will uphold the main principle to hold labor-management negotiations on setting wages based on the situation of each individual company.
"Business" POPULAR ARTICLE
-
Japan, U.S., Philippines to Strengthen Nickel Supply Chains; Reduce Reliance on China for Critical Minerals
-
Shinkansen to Have Private Rooms by FY 2026, JR Tokai Announces
-
Survey: 80% Worried About Recognizing AI as Patent Inventor; Respondents Fear Increase in Unverified Inventions
-
Ride-Sharing Services Start in Tokyo; Kanagawa, Aichi, Kyoto, Others To Follow Suit
-
Japan’s Docomo To Sell Contactless Smart Rings; Users Can Make Payments at the Wave of a Hand
JN ACCESS RANKING
- China Mutes Memorialization of Reformer Hu Yaobang; Memories Could Spark Critique of Xi Administration
- Shinkansen Services Suspended After Man ‘Searches for Phone’ on Tracks; Disruption Affects About 14,000 Passengers
- U.S. 7th Fleet officer Arrested on Suspicion of Stealing Sushi, Sashimi, Chicken at Kanagawa Shopping Mall; Suspect Caught Mid-Meal
- UNRWA Director Describes Catastrophic Destruction in Gaza; Says Relief Trucks Robbed, ‘People’s Hearts Destroyed’
- JAL Airplane Experiences Radio Malfunction During Flight, Lands Safely By Relying on Light Signals