NTT Corp. plans to introduce a new wage system for the roughly 100,000 staff being transferred from its group companies to regional subsidiaries under which salaries will be cut by 15 percent to 30 percent, company officials said Thursday.
Instead of paying the same wages nationwide, NTT will shift to a system under which wages at subsidiaries reflect the wage levels of each region, the officials said.
The move is aimed at reducing labor costs and improving profitability. NTT is currently holding talks with its labor union and hopes to adopt the new wage system in the fiscal year starting April 2002.