Japan Minimum Wage Set to Rise 55 Yen to 1,176 Yen

Jul 29, 2026 | News On Japan

TOKYO - Japan's national average minimum wage is set to rise by 55 yen, or 4.9%, to 1,176 yen per hour in fiscal 2026 after a labor ministry panel agreed on guidelines for this year's increase.

The proposed increase would lift the current national average hourly wage from 1,121 yen.

The decision was reached at the sixth meeting of a subcommittee under the Ministry of Health, Labor and Welfare's advisory council. Labor representatives had called for a substantial increase, citing higher prices linked to tensions in the Middle East, while employer representatives urged the panel to consider the financial impact on small and midsize businesses.

Japan divides its 47 prefectures into three categories, A, B and C, when setting recommended minimum wage increases.

The guideline calls for an increase of 54 yen in Category A prefectures, which include Tokyo and Osaka. Category B prefectures, including Hokkaido and Fukuoka, were given a recommended increase of 56 yen.

Category C prefectures, which include lower-wage areas such as Kochi and Okinawa, were also given a recommended increase of 56 yen.

Source: テレ東BIZ

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