Workers at Japanese carmakers want higher pay

Article by Christian A., 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

Recommended

McLaren has already shown some interest in electrifying their models. And initially, we thought that they will just use hybrid systems to use across their current lineup. Nevertheless, we have...
by - August 19, 2017
Fifty years after its glorious victory at the 24 Hours of Le Mans, Ford launches the 2018 Ford GT ’67 Heritage Edition at the 2017 Monterey Car Week. The red...
by - August 18, 2017
Hyundai has recently unveiled an unnamed pre-production model of its new fuel cell SUV. We don’t know what to call this model just yet, but sources say that this model...
by - August 18, 2017
This weekend at the 2017 Pebble Beach Concours d’Elegance, the BMW Z4 Concept will make its first public appearance. The good news is that we will finally have a real...
by - August 18, 2017
While Honda’s new 2018 HR-V will be rolling out at the dealerships with just a few updates, the company is certainly not giving up its spot as the best-selling vehicle...
by - August 18, 2017
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