Regional Minimum Wage Gap Likely to Widen in Japan

Tokyo, July 27 (Jiji Press)--The widest gap in average minimum hourly wages between Japanese prefectures in fiscal 2016 is expected to double the level a decade ago. Based on a Japanese government advisory panel's recommendation, the gap between the highest and the lowest prefecture figures will stand at 218 yen in the year that began in April, up from 109 yen in fiscal 2006. The highest minimum wage will be 932 yen in Tokyo and the lowest 714 yen in Okinawa, Kochi, Tottori and Miyazaki prefectures for fiscal 2016, under the recommendation. Such a wide gap could cause an outflow of labor from regions with lower minimum wages, said Takashi Suda, a senior official of the Japanese Trade Union Confederation, or Rengo. The recommendation was agreed at a meeting of a subcommittee of the Central Minimum Wages Council on Tuesday, which sought to raise the country's average minimum hourly wage by 24 yen to 822 yen. The recommended growth marks the largest since the country started measuring the minimum wage on an hourly basis in fiscal 2002.Copyright JIJI PRESS LTD.