The average real, or inflation-adjusted wages for employees in Japan dropped 3.1 percent in April from a year earlier, marking the largest year-on-year fall in more than four years, the labor ministry said on Tuesday.
The pace of decline was the fastest since December 2009, when wages declined 4.3 percent compared to the year before.
An increasing number of companies raised wages this spring but price increases triggered by a consumption tax hike on April 1 could not be absorbed, according to the Ministry of Health, Labor and Welfare.
“Pay trends need to be closely monitored until summer” as small- and medium-sized companies are still working on pay negotiations, the ministry said.
Average monthly pay for workers in Japan rose 0.9 percent in April from a year earlier to ¥274,761, thanks to increased overtime pay and bonuses, according to the ministry.
Nonscheduled cash earnings, including overtime pay, grew 5.1 percent to ¥20,564. Special salary, including bonus payments, increased 20.5 percent to ¥10,208.
But the average basic salary fell for the twenty-third 23rd straight month, declining 0.2 percent to ¥243,989.
Nissan execs in payout
Automaker Nissan Motor Co. said Tuesday that it had paid a total of ¥1.66 billion to its nine board members in fiscal 2013.
The average pay for the executives, excluding an outside board member, rose ¥12.75 million from the previous year.
In fiscal 2012, combined compensation for the company’s 10 board members came to ¥1.75 billion.
In recent years, Nissan President and Chairman Carlos Ghosn has revealed his compensation for the preceding fiscal year at the annual shareholders’ meeting.
He received ¥988 million in fiscal 2012.
Nissan will hold its shareholders’ meeting on June 24.