Business

Japanese electronics makers agree on ¥1,000 pay-scale hike

JIJI

Six major Japanese electronics makers and their labor unions have effectively agreed on a pay-scale increase of ¥1,000 per month this year, sources said Saturday.

In their shuntō spring wage negotiations, the labor unions are calling on the management side to increase the pay scale by at least ¥1,000 in order to avoid a strike.

The management side is expected to accept the demand, the sources said.

This marks the sixth straight year of pay scale increase by major electronics makers, though the pace of rise slows from last year’s ¥1,500.

In this year’s talks, the labor side initially demanded an increase of ¥3,000 for the fourth consecutive year.

Amid growing concerns over earnings, the management side was cautious about meeting the demand after the cumulative increase reached ¥9,000 over the past five years.

Of the six companies, Mitsubishi Electric Corp. and Panasonic Corp. lowered their earnings projections for the business year through the end of this month amid slowing economic growth in China.

The six electronics makers, also including Hitachi Ltd., Fujitsu Ltd., Toshiba Corp. and NEC Corp., plan to give their formal answers to their labor unions on Wednesday.

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