Japanese workers’ base salaries jumped the most since 1993, an encouraging sign that the underlying pay trend may start to support consumption and enable the Bank of Japan to raise interest rates again.
Base pay increased 2.5% in May from a year ago, the fastest growth since 1993, outpacing the 1.9% gain in the headline figure, the labor ministry reported Monday.
A more stable measure for full-time workers that avoids sampling issues and excludes bonuses and overtime pay rose by a record 2.7%, a firmer indication of improvement in the overall wage trend.
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