Economy

58.2 Pct of Small Biz in Japan Plan Pay Hikes in FY 2023

REUTERS/Issei Kato
Office and residential buildings in Tokyo.

Jiji Press

12:30 JST, March 2, 2023

Tokyo (Jiji Press)—A survey has found that 58.2 pct of small and midsize companies in Japan plan to raise pay in fiscal 2023, the Japan Chamber of Commerce and Industry head said Wednesday.

Most of such companies are based in Tokyo and surrounding areas, according to the interim results of the survey cited by JCCI Chairman Ken Kobayashi at a press conference.

The reading suggests that small businesses are eager to offset the impact of price increases on employees, Kobayashi said.

The interim report on this year’s nationwide wage survey was drown up based on answers given by 493 firms by Feb. 9.

It also found that hikes of at least 2 pct are being considered by 66.8 pct of all firms planning to raise pay and those of at least 4 pct, almost equal to the current consumer inflation rate in the country, by 28.5 pct.

The final outcome of last year’s survey, covering about 6,000 companies, showed that 45.8 pct of respondents planned to raise pay.