Big Firms Accept Union Pay Demands In Labor Talks

TOKYO (Nikkei)--Automakers, electronics manufacturers and other big companies on Wednesday accepted their unions' demands for pay or bonus hikes across the board in their annual spring labor negotiations.

Prime Minister Shinzo Abe has been calling on companies to boost their pay to help pull the country out of deflation.

The planned hikes, which in many cases exceeded the terms agreed upon the previous year, are thought to be based on the assumption that Abe's economic stimulus measures will push up corporate earnings.

Most of the union requests were for bigger bonuses rather than hikes in basic monthly wages or larger regular pay increases.

Toyota Motor Corp. (7203) announced Wednesday morning it accepted its union's request for a bonus payment equal to five months' pay plus 300,000 yen, amounting to an average annual bonus of about 2.05 million yen.

Also agreeing to bonus increases were Nissan Motor Co. (7201), Honda Motor Co. (7267), Fuji Heavy Industries Ltd. (7270) and Mitsubishi Motors Corp. (7211).

(The Nikkei, March 13 evening edition)

• 
• 
•