News On Japan

Japan's Real Wages Rise 2.4% in July for Seventh Straight Gain

TOKYO - Japan's inflation-adjusted real wages rose 2.4% in July from a year earlier, marking a seventh consecutive monthly increase as higher base salaries and easing price pressures improved workers' purchasing power.

According to the Ministry of Health, Labor and Welfare, average total cash earnings per worker, including base salaries, overtime pay and bonuses, reached 436,401 yen in July, up 4.7% from the same month a year earlier.

Nominal wages have now risen by at least 3% for six consecutive months, the first such stretch in about 34 years.

Real wages, which take changes in consumer prices into account, increased 2.4% year on year in July. The gain marked the seventh straight month of growth, the longest positive streak since 2021.

A ministry official attributed the continued rise in real wages to increases in base salaries and other forms of pay, as well as a moderation in the pace of price increases.

Source: TBS

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