Latest news with #MasakazuTokura
Japan Forward
12-08-2025
- Business
- Japan Forward
Minimum Wage Talks: Who's Looking Out for Small Enterprises?
このページを 日本語 で読む The government has decided that in 2025 the minimum wage increase will be the largest on record. New guidelines for the national average minimum wage have been issued by the Central Minimum Wages Council of the Ministry of Health, Labor and Welfare. They call for an increase from the current ¥1,055 to ¥1,118 JPY ($7.14 to $7.57 USD). Such a boost by 6.0% would be the largest ever for the hourly wage. Real wages, allowing for price fluctuations, were negative for six consecutive months through June. It is commendable that the minimum wage guidelines, which impact the hourly wages of part-time and casual workers, have been significantly raised to support the daily lives of workers. But steady increases in wage levels will also be needed from next fiscal year onward, if we are to realize a virtuous economic cycle. Going forward, prefectural councils will make individual decisions on minimum wage levels for their areas based on these guidelines. Remedying regional disparities remains an issue, but if the ¥63 target is met, hourly wages will exceed ¥1,000 ($6.77) in all prefectures for the first time. Then-Keidanren chairman Masakazu Tokura (left) and Rengo president Tomoko Yoshino discuss wages in Tokyo on January 22, 2025. Small and medium-sized enterprises are the most sensitive to the impact of minimum wage hikes. The problem is that they are finding it difficult to make payments. Small and medium-sized enterprises are already spending a high proportion of their limited profits on labor costs. The "labor share of income," which indicates what percentage of profit is spent on labor costs, is in the 30% range for large companies. However, it is in the 70-80% range for small and medium-sized enterprises. In urban areas, the hourly wages paid part-time workers are noticeably higher than the minimum wage. The labor shortage in such areas is serious, and if businesses cannot secure personnel, their very survival is at risk. It is essential that each company make efforts to improve productivity by introducing IT technology so as to generate the capital needed to increase wages. We would like to see the government support investments that lead to increased productivity. It will also be necessary to further strengthen monitoring of transactions with large companies so that increases in raw material and labor costs for smaller companies can be passed on through transaction prices. Raising the minimum wage directly translates into increased take-home pay. It is something the government can claim as an achievement even without having to incur large fiscal outlays. Last fall (2024), Prime Minister Shigeru Ishiba brought forward the government's target date for raising the minimum wage to ¥1,500 ($10.15) from the mid-2030s to sometime before the end of this decade. To achieve this ambitious goal, an increase of more than 7% will be necessary every fiscal year from now onwards. However, it will be up to private companies to actually increase wages. It would be counterproductive if hasty increases in wage levels result in reduced overtime and work shifts, or job insecurity. We urge the government to keep this in mind while striving to create an environment that will lead to steady increases. Author: Editorial Board, The Sankei Shimbun このページを 日本語 で読む
Yomiuri Shimbun
24-06-2025
- Business
- Yomiuri Shimbun
22 Mil. Admissions Needed for Osaka-Kansai Expo to Be Profitable, Organizer Says; Average of 130,000 Visitors Necessary Per Day
The 2025 Osaka-Kansai Expo can become profitable if the event sees 22 million admissions during its entire run, the Japan Association for the 2025 World Exposition, which is the organizer of the Expo, said Monday. The association said the Expo needs to see a daily average of about 130,000 visitors from now on to be in the black. The number of visitors to the Expo had often been under 100,000 a day just after opening in April, but the daily number in the past month increased to about 130,000 on average. 'We made a good start,' said Masakazu Tokura, chairperson of the association and honorary chair of the Japan Business Federation (Keidanren), at a press conference on Monday. 'If the pace of increase in the past month continues, [the Expo] can become profitable.' Of the ¥116 billion budget for managing the Expo, admission ticket sales are expected to cover ¥96.9 billion, or more than 80%, of the budget. To break even, 18 million tickets need to be sold. The association aims for 22 million admissions, including those who have passes and enter multiple times during the run of the Expo. The Expo organizer's initial goal in terms of ticket sales was 23 million and expected a total of 28.2 million admissions.
Japan Times
23-05-2025
- Business
- Japan Times
Keidanren to install first leader from financial sector
Yoshinobu Tsutsui, former chairman of Nippon Life Insurance, is slated to become the next chairman of the Japan Business Federation, or Keidanren, later this month, marking the first time the nation's most influential business lobby will be led by a figure from the financial industry. Tsutsui, 71, currently serves as vice chairman of Keidanren and will succeed the current chairman, Masakazu Tokura, 74, upon the completion of his term. The post of Keidanren chairman, often dubbed "the prime minister of the business world," has traditionally been held by leaders from the manufacturing sector. With Tsutsui at its helm, Keidanren will be expected to broaden its focus and strengthen its capacity to propose policy solutions that address a wide range of social issues, extending beyond its conventional emphasis on industrial policy. At a joint news conference with Tokura in late March, Tsutsui expressed his enthusiasm about taking on the role. "At a time when the outlook is very uncertain for both domestic and international affairs, I am resolved to show the way forward for Japan as a front-runner and to open up the future with strong determination," he said. Keidanren's growing sense of urgency over Japan's slowing economic growth, attributed to a declining birth rate and aging population, has lent greater weight to its policy proposals aimed at building a sustainable society, including reforms to the pension and social security systems. In June last year, Keidanren proposed the early introduction of a system allowing married couples to choose separate surnames, aiming to promote the active participation of women in society, an essential element for sustainable growth. At Tokura's initiative, Keidanren released Future Design 2040, a set of long-term policy recommendations for the Japanese economy in the 2040s, late last year. The document calls for bold investments in energy and decarbonization, the establishment of an inclusive social security system covering all generations, including tax increases on the wealthy, and the promotion of regional economic revitalization through a realignment of Japan's prefectures into broader administrative units. Regarding the selection of his successor, Tokura said he prioritized "the ability to take a comprehensive, panoramic view of society and propose solutions from a medium- to long-term perspective." He added, "I judged that Tsutsui was the best fit, as he surprisingly shared the same way of thinking (as me)." Tsutsui said, "I will fulfill my duties by prioritizing medium- to long-term perspectives, as well as the broader goal of contributing to Japan as a whole, and shoulder responsibility for future generations." He also indicated that shortly after assuming office as chairman, he would develop a road map to implement the proposals outlined in Future Design 2040. With over 1,500 member companies, primarily large businesses, Keidanren focuses on presenting policy proposals to the government and engaging in private-sector diplomacy with overseas economic organizations. The current federation was formed in 2002 through the merger of the former Federation of Economic Organizations, or Keidanren, and the Japan Federation of Employers' Associations, or Nikkeiren. Along with the Japan Chamber of Commerce and Industry and the Japan Association of Corporate Executives, or Keizai Doyukai, Keidanren is considered one of Japan's three major economic organizations. The post of chairman at Keidanren, including its predecessor organization, has most frequently been held by executives from Nippon Steel, with three appointments. The steelmaker is followed by Tokyo Shibaura Electric, now Toshiba, Toyota and Sumitomo Chemical, each with two appointments. The current chairman, Tokura, is from Sumitomo Chemical. Nippon Steel Chairman Eiji Hashimoto and Hitachi Chairman Toshiaki Higashihara were among those considered strong candidates to be the next Keidanren chairman. However, Tokura has emphasized that Keidanren should speak out with integrity on a broad range of social issues, making policy proposals not just on industrial matters but also on various other concerns. He explained that he selected Tsutsui "on the basis of his personal character, without considering whether he comes from the manufacturing or nonmanufacturing sector." "There can be no sustainable growth if we ignore discussions on inequality and division. I hope he (Tsutsui) will take over from me and address this challenge," Tokura added.
Reuters
22-04-2025
- Business
- Reuters
Japan business lobby chief says rapid forex fluctuation undesirable
TOKYO, April 22 (Reuters) - The head of Japanese business lobby Keidanren, Masakazu Tokura, on Tuesday said rapid foreign exchange fluctuation is undesirable and that currencies must stabilise as much as possible to reflect economic fundamentals. Tokura was speaking after the U.S. dollar fell below 140 yen. He also welcomed Japan and the United States engaging in tariff talks earlier this month.
CNA
22-04-2025
- Business
- CNA
Japan business lobby chief says rapid forex fluctuation undesirable
TOKYO :The head of Japanese business lobby Keidanren, Masakazu Tokura, on Tuesday said rapid foreign exchange fluctuation is undesirable and that currencies must stabilise as much as possible to reflect economic fundamentals. Tokura was speaking after the U.S. dollar fell below 140 yen. He also welcomed Japan and the United States engaging in tariff talks earlier this month.
