Workers at Japanese carmakers want higher pay

Article by Christian Andrei, on February 23, 2015

Workers at Japanese auto makers are asking for a bigger share of the companies’ projected JPY4 trillion ($33.6 billion) in annual profit, via a raise for the next fiscal year. The workers, represented by 11 unions, plans to demand a JPY6,000 ($50) monthly raise for the fiscal year starting April 1, according to the Confederation of Japan Automobile Workers’ Unions, which has around 766,000 members at parts suppliers, dealers and the carmakers.

Even Japanese Prime Minister Shinzo Abe has urged companies to increase wages to help the country sustain its ongoing recovery. While pay surged in 2014, it failed to boost spending due to a sales-tax increase, carmakers were able to earn more thanks to the weakening yen.

The JPY6,000 surge in in monthly base wages that the Toyota Motor Workers’ Union recently proposed was equal to a raise of around 1.7 percent for its 63,000 workers. Toyota is expected to answer the proposal on March 18.

“To judge whether the level of wage demands is enough to support a healthy economic cycle, we will have to look at the actual results,” according to confederation president Yasunobu Aihara.

Toyota Motors along expects to post a record profit of JPY2.13 trillion this fiscal year – which is more than the combined forecast of the country’s 10 other car and truck makers, as well as that of Yamaha Motor Co. (JPY1.9 trillion).

Record earnings are also expected from Fuji Heavy Industries Ltd., Mazda Motor Corp., Mitsubishi Motors Corp. and Suzuki Motor Corp. for the current fiscal year.

Topics: japan

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Nearly all details have been set with regards to the upcoming market introduction of the new Jaguar I-Pace. Its production version was recently previewed at the 2016 Los Angeles Auto...
by - December 8, 2016
WM Motor, a new China-based automaker, recently revealed its forthcoming lineup consisting of affordable electric vehicles. While there is a company is the U.S. that has the same name, they...
by - December 8, 2016
Even when Aston Martin has been mum about the upcoming AM-RB 001 hypercar, Marek Reichman at least has something new to say. In a recent interview with Australia’s Motoring, the...
by - December 8, 2016
The people at Mercedes-Benz are rejoicing. This is simply because for the first time since 1979, Mercedes-Benz has assembled 20,000 – and still counting – examples of the Mercedes-Benz G-Class....
by - December 8, 2016
When Donkervoort Automobielen BV unveiled its Donkervoort D8 GTO-RS limited edition in May 2016, customer interest has been so overwhelming that the Lelystad, Netherlands-based carmaker sold out this one-of-a-kind vehicle...
by - December 8, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries