Business

Japan's personnel authority likely to recommend pay raise for government employees

JIJI

The National Personnel Authority is likely to recommend raising the monthly salaries of government employees for a sixth straight year this year to close gaps between the public and private sectors, sources said Friday.

The salaries of government employees in April were believed to have been lower than those of private-sector workers, the sources said.

The agency will present its recommendations to the Diet and the Cabinet in August. Possible options include raising basic wages or increasing allowances while keeping basic wages intact, the sources said.

The agency conducted a wage survey covering about 12,500 businesses with 50 or more regular employees between April 24 and June 13.

Last year, the salaries of government employees were ¥655, or 0.16 percent, lower than those of people working in the private sector, prompting the government to raise the salaries of its employees by the same amount.

The public-private gap may be smaller this year than last year, as private-sector wages are showing slower growth.

In the meantime, it is unclear whether the agency will recommend a rise in the annual bonuses of government employees this year, currently standing at 4.45 months’ pay. Recommendations on government employee bonuses will reflect 2018 winter and 2019 summer bonuses in the private sector.

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