Major Japan firms to grant smallest pay scale hikes in 4 yrs
Jiji -- Mar 16
Many major Japanese companies, including automakers and electronics makers, on Wednesday proposed raising their pay scales for the fourth straight year, but the hikes will be the smallest in the four years.

"The fourth straight year of base wage hikes will support Japan's exit from deflation and economic recovery," Yasunobu Aihara, president of the Japan Council of Metalworkers' Unions (JCM) and president of the Confederation of Japan Automobile Workers' Unions, said at a press conference.

But this year's "shunto" wage negotiations between labor and management suggested that the Japanese government's campaign to press businesses to increase wages, which started in 2014, has been losing steam further, analysts said.

Major companies the same day presented their wage plans in response to requests by their labor unions in the negotiations.

Many large firms proposed keeping pay scale increases smaller than the previous year's levels for the second consecutive year although the government has called on businesses to grant base wage hikes at least on par with last year's figures to help spur economic growth.

News source: Jiji
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