Top Japanese companies offered their largest pay increases in a quarter century on Wednesday as the outcome of annual labour talks showed them heeding, at least for now, Prime Minister Fumio Kishida's calls for higher wages to counter inflation.
Big companies are expected to raise wages by around 2.85% at the "shunto" spring wage talks that wrap up on Wednesday, according to a survey of 33 economists taken by Japan Economic Research Center .
"The increase from the shunto wage talks this year will not immediately lead to a big change in monetary policy.", a cornerstone of corporate Japan, said it would increase overall wages by an average of 3.9%, compared to a 2.6% increase a year earlier. Kishida's government will likely hold a joint three-party meeting with labour and management for the first time in eight years on Wednesday to ensure structural wage hikes.But there are already some encouraging signs.for hefty wage hikes. Other unions from Toyota, the world's No. 1 automaker, and Honda, have also secured their biggest pay rises in decades.
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