Trade union officials, company executives and labor experts believe current wage negotiations will result in a 2 percent pay raise for the coming fiscal year, the same increase as last year, according to a survey by a private labor think tank.
While labor is hoping for a higher increase than the 2.06 percent awarded last spring -- the lowest on record according to statistics compiled by the Labor Ministry -- the study suggests that is unlikely.
The survey was conducted by the Institute of Labor Administration in late December and January and is based on 460 responses from company executives in charge of labor affairs, trade union representatives and labor experts.
While the respondents predicted a 2.0 percent increase in basic pay, or 6,487 yen, only 34.7 percent of company executives said their companies plan to accept a pay hike, against 32.7 percent last year.
On the issue of employing people over 60 in line with a government decision to raise the minimum age of eligibility for social security payments, 90 percent of company executives believe some action should be taken on the issue.