Union at MUFG Bank to Scrap Uniform Pay Scale Demands

Economy

Tokyo, Feb. 11 (Jiji Press)--The labor union at MUFG Bank plans to scrap its current system of seeking pay scale hikes at a uniform rate for all workers in this year's "shunto" labor-management talks, it has been learned.

Based on a proposal from the management side, the union will demand total pay combining salaries and bonuses for all employees while tolerating the salary portion differing from employee to employee according to personnel evaluation, informed sources said.

In the automobile industry, the labor union at Toyota Motor Corp. <7203> has decided to allow the company to expand the gaps in pay scale hikes among employees based on the results of personnel assessments in this year's shunto negotiations.

The moves by the unions at MUFG Bank, one of the biggest banks in Japan, and the leading Japanese automaker may prompt labor unions at other firms in the country to follow suit, analysts said.

During last year's shunto, MUFG Bank proposed to the labor union that the two sides negotiate total wage levels in future shunto and that gaps be introduced on the size of increases in the salary portion.

[Copyright The Jiji Press, Ltd.]

Jiji Press