Japanese workers’ base pay jumped by the largest margin since 1994 in a sign that corporate pledges to offer wage increases are starting to take effect, though market players appeared unconvinced over the strength of the trend.
Base pay in April rose 2.3% from a year earlier to drive up nominal wages by 2.1%, the labor ministry reported Wednesday.
Despite the slew of improved figures, pay continued to lag inflation and market participants appeared to latch on to weaker-than-expected growth in cash wages in data that avoids sampling issues. The yen weakened back past the ¥155 mark against the dollar after recent gains.