Japan Private-Sector Wages Fall for 2 Years in Row

Economy

Tokyo, Sept. 30 (Jiji Press)--The average wage of private-sector workers in Japan in 2020 fell 0.8 pct from the previous year to 4,331,000 yen, down for the second consecutive year, a National Tax Agency survey has shown.

The decline was apparently because companies in many industries cut bonuses due to the fallout of the novel coronavirus pandemic. In the survey, data collected from some 300,000 workers at about 27,000 businesses was used to estimate national averages. The results of the survey were announced Wednesday.

Bonuses averaged 646,000 yen, down 8.1 pct, marking the steepest fall since the 13.2 pct drop in 2009, after the September 2008 collapse of U.S. investment bank Lehman Brothers. By sector, the average bonus declined 35.9 pct to 127,000 yen at businesses in the accommodation and restaurant sectors, 16.3 pct to 381,000 yen in the life-related service and entertainment sectors, and 11.3 pct to 919,000 yen at manufacturers.

The average wage stood at 5,322,000 yen for male workers and 2,926,000 yen for female workers.

Regular and nonregular employees earned 4,957,000 yen and 1,762,000 yen, respectively, on average, with the gap between the two figures shrinking for the first time since the agency began to compare wages of workers in regular and nonregular positions in 2012.

[Copyright The Jiji Press, Ltd.]

Jiji Press