Japan's Dai-ichi Insurance to raise wages this spring

Japan's Dai-ichi Insurance to raise wages this spring

A source who knows of the matter told Reuters that TOKYO Japan's Dai-ichi Life Insurance plans to raise wages by an average of 5 per cent for its roughly 50,000 workers this spring, including a rare base salary hike for non-sales staff.

The person said it would be the first base salary hike in 28 years for the 10,000 non-sales staff at the unit of Dai-ichi Life Holdings, and would not be identified because the plan is not public. The average 5 per cent rise would include a regular rise based on seniority.

The base salary, or regular pay, makes up most of the total cash earnings and determines the wage trend in Japan.

A company spokeswoman said the company intends to make its decision through discussions with its labour union, and that it aims to achieve a healthy distribution and growth that the government is aiming for.

Prime Minister Fumio Kishida has been pushing for wage increases of at least 5 per cent to offset price rises as companies enter the annual spring wage negotiations with labour unions.