
Japan's biggest union group demands highest wage hike since 1993
Japanese workers are demanding the largest salary hike since 1993 in ongoing pay negotiations, as both central bank and government officials look for signals of sustainable wage growth that could help drive economic progress.
The Japanese Trade Union Confederation, known as Rengo, said Thursday its member unions demanded an average wage increase of 6.09% this year, up from last year's 5.85%. This is the first time in more than three decades that they are seeking more than 6%.
Unions representing workers from smaller companies demanded a 6.57% raise, compared with 5.97% last year.

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The Mainichi
18 minutes ago
- The Mainichi
BOJ set to keep policy rate unchanged, will gauge US tariff impact
TOKYO (Kyodo) -- The Bank of Japan is expected to leave interest rates unchanged at its policy meeting next week as it gauges the impact of higher U.S. tariffs and monitors ongoing trade talks between Tokyo and Washington, sources familiar with the matter said Wednesday. Following the two-day gathering starting Monday, the central bank is likely to agree on continuing reductions in government bond purchases beyond next April, as part of monetary policy normalization from a decade of unorthodox monetary easing, according to the sources. The latest BOJ meeting will coincide with the upcoming Group of Seven summit in Canada, where Japanese Prime Minister Shigeru Ishiba and U.S. President Donald Trump are expected to hold bilateral talks primarily focused on tariffs on the sidelines. The summit is set to run for three days from Sunday. Ahead of the G7 gathering, Japan's chief tariff negotiator Ryosei Akazawa is expected to visit Washington for a sixth round of ministerial-level negotiations, setting the stage for the Japan-U.S. leaders' meeting, government sources said. The BOJ has said it will continue to raise interest rates if the economy and prices move in line with its expectations. However, Governor Kazuo Ueda told a parliamentary session earlier this month that the central bank would not push to raise its policy rate unless economic and price conditions improve, given the uncertainty stemming from U.S. trade policies. The BOJ has increased its key interest rate three times since March last year when it implemented its first hike in 17 years. But the bank maintained its short-term rate at around 0.5 percent in May for the second consecutive meeting. In July last year, the BOJ decided to reduce monthly government bond purchases by 400 billion yen ($2.8 billion) every quarter through March 2026, aiming to shrink its bloated balance sheet following years of massive asset buying to combat deflation. While the central bank is widely expected to continue trimming its bond purchases beyond April, market participants are monitoring whether it would slow the pace of reduction, BOJ watchers said. Board members are expected to weigh whether to maintain the current pace or decelerate the reduction to avoid triggering a sharp rise in yields on long-term government bonds, which remain elevated partly due to concerns over Japan's fiscal health, they added.


Kyodo News
an hour ago
- Kyodo News
Japan PM to urge G7 to work to tackle North Korea's cryptocurrency theft
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an hour ago
Japan's Marelli Seeks U.S. Chapter 11 Bankruptcy Protection
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