8legs: Japan federation of trade unions (rengo)

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Japan's Rengo says the environment for wage talks this year is not so bad | investingLive

Rengo chief Tomoko Yoshino says the environment for this year’s wage talks is not so bad, signaling openness to higher wage hikes.
Rengo aims for wage hikes of at least 5% for fiscal year 2026, with past demand at 6% for 2025 later trimmed to 5.25%.
Yoshino ties wage talks to yen moves, saying a weaker yen accelerates inflation while policy aims to stabilize prices.
Rengo’s 5% target includes more than 3% in base pay, shaping wage curves for bonuses, severance, and pensions.
Smaller firms may see a 6% wage increase to narrow the income gap with larger firms.
Analysts project the average wage hike could land between 4.50% and 4.80% if talks progress smoothly.
Rengo notes that real wage growth remains largely negative due to persistent inflation.
The wage talks act as a bellwether for the broader shuntō and March negotiations.
The report notes Yoshino as the chair of Japan’s largest trade union group leading the discussion.
The spring wage negotiations, or shuntō, typically shape wage increases set in March.
The report includes broader market context, noting yen and inflation dynamics affecting policy decisions.

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