Japan's gov't panel agrees on record minimum wage hike plan

Tokyo (Japan), August 2: A panel of the Japanese government on Monday agreed to the plan to increase the average minimum wage by a record hike of 31 yen (0.23 U.S. dollar) to 961 yen (7.28 dollars) an hour for fiscal 2022.
Compared to the 930 yen (7.05 dollars) in fiscal 2021, the newest minimum wage posted a 3.3-percent hike.
Labor and management representatives on the panel agreed that it is necessary to adopt a higher pay, but had differences over how much the rise in inflation should be taken into account.
The labor side asked for a sharp increase in minimum wage amid surging cost of living in Japan while the management side emphasized the need for more consideration in light of rising costs.
Based on a national target set by the government, local panels will decide on their minimum wage amounts, which will be formally adopted around October.
Employers who do not pay the minimum amount required by law will be fined.
Japan's minimum wages have been increasing but the pace of rise is considered as tepid.
The country has seen surging energy, raw material and food prices, and core consumer inflation in Japan has topped 2 percent in recent months, leaving greater pressure on households.
Source: Xinhua