Japan’s real wages in May fell 1.4 percent from a year earlier, declining for a record 26th straight month, as the sharpest base wage growth in 31 years was offset by inflation.
The drop in May was larger than a revised 1.2 percent fall in April, with higher material costs and a weakening yen pushing up import costs, data from the Japanese Ministry of Health, Labor and Welfare showed.
Nominal wages, or the average total monthly cash earnings per worker including base and overtime pay, were up 1.9 percent at 297,151 yen, Japan’s News Agency (KYODO) reported.
It was the 29th consecutive month of increase and the biggest gain since June 2023, ministry data showed. But growth in the consumer price index, which is used to calculate real wages, remaining well above 2 percent due to higher utility and food costs.
The impact of pay increases was seen in nominal wages, with average base pay up 2.5 percent at 263,539 yen ($1,600), the fastest rise since January 1993.
Average monthly nominal wages for full-time wor
kers were up 2.1 percent at 378,803 yen, while part-time workers saw monthly pay increase 3.2 percent to 108,511 yen.
Source: Qatar News Agency
