Record 56.5 Pct of Japan Firms Seen Raising Pay in FY 2018

February 17, 2018

Tokyo- A Teikoku Databank Ltd. survey showed Friday that the proportion of Japanese companies expecting to offer pay hikes for regular workers in fiscal 2018 came to 56.5 pct, the highest level since the statistics started in January 2006.

The figure was up from 51.2 pct for fiscal 2017. The rise reflected improvements in corporate earnings and labor shortages, according to the research company.

The share of firms projecting pay increases is high mainly in the manufacturing, transportation and warehousing, and construction sectors.

Of all companies expecting to increase wages, 45.4 pct project pay scale hikes and 31.8 pct anticipate increases in bonuses, with both figures hitting record highs.

Meanwhile, the proportion of companies that do not expect to increase wages stood at 18.4 pct, down from 22.5 pct.

The survey, conducted in January, covered 23,089 companies nationwide. Of them, 10,161 gave valid responses. Jiji Press