Real wages rise 2.4% in July, marking seventh consecutive month of growth
Macro
According to the Ministry of Health, Labour and Welfare's monthly labor survey (preliminary figures, for businesses with five or more employees) released on the 8th, real wages, which adjust nominal wages for price changes, increased 2.4% year-on-year in July, marking the seventh consecutive month of growth. The slowdown in price increases continued, with wage growth outpacing inflation. Total cash earnings (nominal wages), including base pay and overtime, rose 4.7% to 436,401 yen. Of this, 'special payments' such as bonuses increased 6.3% to 134,819 yen, while 'scheduled wages,' primarily base pay, rose 4.1% to 280,797 yen. In addition to wage hikes, summer bonus payments contributed to the increase in wages.
