Labor organizations representing employees of major automakers on Wednesday presented their annual list of wage and benefits demands to management as another difficult year looms for Japan's blue-collar workers.
The Confederation of Japan Automobile Workers Unions has left the wage increase guideline for this year's spring labor campaign unchanged from the previous one, at 2 percent for regular pay increases based on seniority and other factors, plus a uniform 2,000 yen general pay hike.
The wage increases represent a monthly average of 8,300 yen more for 12 member unions.
Meanwhile, 106 labor unions of plant workers under the Federation of All Toyota Workers' Union submitted their demands for wage hikes and benefits to management. In their demands, 80 percent of the unions seek wage increases of 6,000 yen to 9,000 yen, the same level as last year.
"While auto production is growing, business results in the Toyota Motor group have polarized. Under such circumstances, we cannot be optimistic about the course of the negotiations with management," an official of the federation said.
With the economy in a prolonged slump, wage settlements in the private sector have languished over the past several years.
Last year, pay hikes negotiated by unions at major shipbuilding, telecommunications and electric power companies hit a record low for the third consecutive year.
According to the Labor Ministry, unionized workers in these industries got an average 2.06 percent pay increase in 2000. Most employers rejected increasing general wage levels, the so-called "basic pay" element in Japan's two-prong wage system.
In contrast, the Japanese Trade Union Confederation (Rengo), the umbrella organization for the nation's labor force, has set this year's general wage hike demand at 1 percent, while the Japan Council of Metalworkers Unions set the goal at between 2,000 yen and 3,000 yen.
The JCMU traditionally establishes the benchmark for annual wage increases among Japanese industries.
Both recommendations are the same as last year.
Rengo officials maintain that Japanese companies have increased their profitability and should be able to meet the unions' wage demands this year.
"Corporate profits are up and we are determined to win amounts above what management proposes," one senior Rengo official said.
Citing uncertainties in the economy, employers in the private sector are generally negative about this year's wage demands and argue that any increased profitability should be reflected in bonuses instead of wages.
Labor unions in the electrical machinery, shipbuilding and heavy machinery industries, all members of the council, are scheduled to launch their own collective bargaining talks in mid-February.
Steelworker unions, which have multiyear labor contracts for basic pay rates, are set to open negotiations with management in late February on semiannual bonuses and other allowance payments.
Most employers dealing with the metalworker unions are set to present counterproposals on March 14.
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