Japan's Small Firms Raise Fiscal 2026 Wages 4.29% as Inflation Keeps Hiring Pressure High
Updated
Updated · The Japan Times · Jun 8
Japan's Small Firms Raise Fiscal 2026 Wages 4.29% as Inflation Keeps Hiring Pressure High
1 articles · Updated · The Japan Times · Jun 8
Summary
Small and midsize Japanese companies lifted full-time monthly wages by an average 4.29%, or 512,036, in April from a year earlier, according to a Japan Chamber of Commerce and Industry survey.
The gain topped last year's 4.03% and reflected employers' efforts to retain and attract workers as inflation stays elevated; wages also rose 4.01% from March, a key measure of this spring's pay round.
More than 70% of surveyed firms said they had raised or planned to raise wages in fiscal 2026, though over 20% remained undecided amid worries about soaring prices and material shortages tied to the prolonged Middle East conflict.
Large companies still outpaced smaller peers with 5.46% wage hikes this spring, underscoring the gap as Japan tries to broaden pay growth beyond major employers.