Nissan to meet 5.5-month bonus

JIJI

Nissan Motor Co. is expected to fully meet its labor union’s demand for annual bonuses equivalent to 5.5 months’ salary, sources said.

The major Japanese automaker sees it as necessary to reward its employees by accepting the request in full as the business environment surrounding the company is improving thanks in part to the yen’s fall, the sources said.

Last year, Nissan agreed to pay annual bonuses equivalent to 5.3 months’ salary although the union had demanded 5.5 months.

The company will make a formal response to the union Wednesday.

Industry leader Toyota Motor Corp. has decided to retain its regular pay hikes, but is still in negotiations with its labor union over its request for annual bonuses worth five months of salary plus ¥300,000.