Real Wages In Japan Shrank 1.8% In May
Government data showed wages in Japan slightly rose in May, but shrank in real terms as consumer prices continued to rise.
The labor ministry on Tuesday said workers earned an average of about 277,000 yen, or some 2,040 dollars, in May.
The figure was up 1 percent in yen terms from a year earlier, marking an increase for the fifth straight month. Overtime and other extra pay rose 5.5 percent, logging growth for 14 months in a row.
Ministry officials say overall wages rose due to base pay increases and other factors in sectors such as manufacturing and restaurants. They added that the total was even higher than in May 2019, before the coronavirus pandemic began.
But in real terms, the average monthly wage fell 1.8 percent year on year, marking the second consecutive month of decline.
Officials say the burden on household finances has increased because wage hikes have not kept pace with inflation.
The ministry survey covers some 30,000 businesses with five or more employees across Japan.