Japan reportedly proposes 6% minimum wage hike amid inflation pressure

Published 04/08/2025, 11:46
Japan reportedly proposes 6% minimum wage hike amid inflation pressure

Investing.com -- Japan’s Labour Ministry panel has proposed a 6% increase in the national average minimum wage for the current fiscal year, according to a Monday report by the Nikkei business newspaper.

The proposed increase would raise the average minimum wage to 1,118 yen ($7.57) per hour, marking the largest jump since the current system was introduced 23 years ago. This increase would surpass last year’s 5% hike and represent the biggest increase since at least 2002.

The push for higher wages comes as Japan prioritizes real wage growth amid persistent inflation that continues to squeeze household budgets. The timing is particularly significant following Prime Minister Shigeru Ishiba’s ruling coalition’s loss of control in the upper house during July’s election, which highlighted growing public frustration with the government’s economic policies.

The Nikkei report did not specify the source of this information.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.