• Economy

Japan Unions Win Biggest Pay Hikes in 30 Yrs: Interim Tally

TOKYO (Jiji Press) — Labor unions in Japan have won the biggest pay hikes in 30 years in their 2023 shunto wage negotiations with management, the Japan Trade Union Confederation, or Rengo, said Wednesday.

In an interim tally by Rengo as of Monday, the average monthly pay hike, including rises in pay scales and regular wages, stood at 3.70%, or ¥11,114, up sharply from 2.11&, or ¥6,319, a year earlier.

The results showed that the momentum for pay increases among large companies has spread to smaller companies.

In the negotiations, 4,248 labor unions demanded pay increases. Of them, 2,290 have concluded their negotiations, with about 60% winning pay scale increases.

Among unions with 1,000 or more members, the average hike came to 3.74%, or ¥11,559, higher than 2.13%, or ¥6,526 a year before.

Among those with fewer than 300 members, the average was 3.42%, or ¥8,554, up from 2.06%, or ¥5,125 a year before.

By industry, the manufacturing sector and the commercial distribution sector won average hikes above 4%.