Japan Minimum Wage Set to Rise Into Upper 1,100-Yen Range

Jul 28, 2026 | News On Japan

TOKYO - Negotiations over Japan's minimum wage for the current fiscal year have entered their final stage, with a national guideline likely to be set in the upper 1,100-yen range per hour and a government panel expected to reach a conclusion this week.

The minimum wage is the lowest amount companies are legally required to pay workers. The current national weighted average is 1,121 yen per hour.

The sixth round of discussions on the minimum wage guideline was held Tuesday. Representatives of labor and management agree that the minimum wage should be raised, but they remain divided over the size of the increase.

Labor representatives are seeking a 75-yen increase from the current national average of 1,121 yen per hour. Negotiations are believed to be focusing on a guideline in the upper 1,100-yen range, which would bring the average close to 1,200 yen.

Japan's minimum wage is determined separately by each prefecture based on a guideline issued by a council under the Ministry of Health, Labor and Welfare. The council aims to present its recommendation by the end of this week.

Source: TBS

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