Japan June Wages Revised Up To +0.4% Y/Y From -0.4% on Bonuses

--Japan June Average Wages Post 3rd Straight Y/Y Rise

--Japan June Real Wages Revised Up To -0.1% Y/Y From -0.8%

--Japan June Base Wages Revised Up To +0.5% Y/Y From +0.4%

--Japan June Overtime Pay Revised Up To -0.1% Y/Y From -0.2%

--Japan June Special Pay Revised Up to +0.4% Y/Y Vs -1.5% Y/Y, 5th Rise

     TOKYO (MNI) - Revised average wage data from the Monthly Labour Survey

released by the Ministry of Health, Labour and Welfare on Wednesday.

     * Total monthly average cash earnings per regular employee in Japan rose

0.4% on year to Y433.043 in June, revised up sharply from a preliminary 0.4%

fall reported earlier this month, as summer bonuses now posted a gain in the

broader survey, instead of the sharp drop originally reported. Average wages now

marked the third straight year-on-year increase. However, overtime pay continued

to be weak and average wages still dropped slightly after adjusting for

inflation.

     * In real terms, average wages slipped 0.1% on year, revised up from the

initial reading of a 0.8% fall. It remained the first year-on-year drop in three

months after being flat in the previous two months. The weak trend was caused by

a rise in the cost of living, with the total CPI minus imputed rents up 0.5% on

year in June, amid slow base wage hikes.

     * Base wages, the key to a recovery in cash earnings, rose 0.5% in June

from a year earlier, revised up slightly from a preliminary 0.4% rise. It was

the third consecutive year-on-year rise but the pace of increase was still below

+0.7% in May. Hourly base wages of regular employees working part time were

revised down slightly to +3.0% on year from +3.1% after +2.3% in the previous

month. Base wages for full-time workers rose 0.4% on year, revised up from

+0.2%, but the pace decelerated from +0.5% in May.

     * Overtime pay fell 0.1% on year in June, revised up slightly from -0.2%,

after rising 0.3% in May. It was the first year-on-year drop in two months.

Overtime working hours were revised up to +0.7% on year from -0.2% for the sixth

straight year-on-year gain after +1.6% in May.

     * Bonuses and other special pay were revised up sharply to a 0.4% increase

from a 1.5% decrease. It was the fifth straight year-on-year rise after +1.3%

the previous month, instead of the first drop in five months as reported

earlier.

     * Japanese policymakers have been urging firms to share more profits with

workers but firms remain cautious about raising base wages amid uncertainty over

the outlook for global and domestic demand.

--MNI Tokyo Bureau; tel: +81 90-4670-5309; email: max.sato@marketnews.com

--MNI BEIJING Bureau; +1 202-371-2121; email: john.carter@mni-news.com

[TOPICS: MAJDS$,M$A$$$,M$J$$$]